Colliers Closes $16M Sale of Illinois MHC

The acquisition marks Flagship Communities Real Estate Investment Trust’s entry in the state.
Woodland Acres. Image via Google Street View

Flagship Communities Real Estate Investment Trust has spent $16.3 million for Woodland Acres, a 231-unit manufactured housing community in Springfield, Ill. National Director Michael Nissley from Colliers worked on behalf of the seller, a private investor. The purchase marks the REIT’s first foray into the Prairie State.

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Located at 3500 N. Dirksen Parkway on more than 50 acres, the property is a little over 3 miles from Interstate 55. Additionally, the community is less than a mile from a Walmart Supercenter and several other retail and dining choices. At the time of sale, the asset was 94 percent occupied, with monthly rents averaging $373.

Manufactured housing was among the top-performing asset types last year, according to Green Street Advisors. While other asset classes suffered from the impact of the pandemic, manufactured housing experienced a 12 percent increase in value in 2020.

With the average cost of a manufactured home amounting to just one third of the price of a single-family house or half the price of an equivalent apartment building in the same community, the sector was is seen as a viable solution to the ever-growing need for affordable housing, which only worsened since the onset of the pandemic.