💰 From $7M to $15M in 10 Months?!

Name: 💰 From $7M to $15M in 10 Months?!
Uploaded: 2025-10-09T18:20:52+00:00
Duration: 1 min 39 s
Channel: Chris Larsen
Description: A first-person investment anecdote (Feb 2020) about acquiring a mobile home park for $7.1M that was mismanaged (owner absent ≥5 years, rents ~35% below…

9 Oct 2025 · 2 min

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A first-person investment anecdote (Feb 2020) about acquiring a mobile home park for $7.1M that was mismanaged (owner absent ≥5 years, rents ~35% below market, utilities paid by owners). Financing was roughly half debt/half equity. Shortly after acquisition an early offer of $9.5M was received and declined; the operator completed four of six planned value-adds and sold the park for $15M within six months, producing an approximate 340% IRR for investors over 10 months. The story emphasizes aggressive value-add execution and large returns.

Questions this video answers

$7.1 million

February 2020

About half debt, half equity

Approximately 35% below market levels

$9.5 million

February 2020, we invested in a. We're the largest investor in a 7.1 million dollar mobile home park. About half debt, half equity. The owner had not visited the property in at least five years. Rents had not been raised anywhere near market levels. They were 35% below market. Utilities were all being for some reason paid by the owners, not the of the park. And there were all kinds of other huge, huge missteps on this property. Yeah, well, anyway, it was acquired for 7.1 million. A week later there was an offer to this, to our friend, the buyer of nine and a half million. And I said, take it run. You'll have like a million percent irr and you can avoid this crisis that. Who knows if it's going to destroy it. And he's like, no, no, I'm going to stay the course. Very Buffett thinking. He's read Buffett's biography like 21 times. He said, no, hang on, I think It'll be worth 13 million in three years. Which would have been a massive win. So he hung on. He did like four of the six value ads that needed to be done. Not the biggest, not the hardest, but the four easiest. And he got an offer of, get this, Chris, 15 million within six months. Amazing. So he sold it and we got like a. I mean, IRR is deceiving, you can't eat IRR. But yeah, we got a 340% IRR in 10 months. Amazing. Yeah.