westbrooke
USA tovia mobile home parks
No longer accepting investments
- Overview
- Investment highlights
- Investment fundamentals
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fund overview
Westbrooke Tovia Mobile Home Parks is an exclusive partnership with our US-based operating partner, Tovia Capital, and invests in a portfolio of USA-based mobile home parks which meet defined criteria.
Tovia is a mobile home park investor and asset manager, founded by ex-South African Quan Rees. Since inception, Tovia has produced annualised returns well in excess of 30%, with cash-on-cash yields in excess of 10%.
Launch date 2021 Fund type BVI Registered Private Fund Target 5-year IRR 17% and above p.a Target dividend yield 10% p.a. (Based on net investment) -
key investment highlights
Unique access through an exclusive relationship with Tovia Capital
Strong alignment as Westbrooke and Tovia remain significantly invested in the strategy and in the Funds
Compelling dollar returns – target dividend yield of 10% p.a. and target total return (IRR) of 17%+
Tax-efficient structure for South African and other foreign investors
Increasing property values through active management and the conversion of park-owned-homes into tenant-owned-homes
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key investment fundamentals
Strong supply / demand fundamentals: surrounding resident opposition and zoning restrictions restrict supply, with demand for affordable housing increasing
Fragmented market: dominated by unsophisticated owners where there is a significant opportunity to enhance income through digitisation, improving record keeping and professionalising the business
Mobile homes are not so mobile: mobile homes are very difficult and costly to move, resulting in very low tenant turnover
Resilient through the economic cycles: with the asset class having performed well throughout both the 2008 Global Financial Crisis and Covid-19
Low maintenance and capital costs: as the landlord is typically not responsible for maintaining the building
Increasing levels of institutionalisation: starting to gain significant attention as more sophisticated / institutional investors acquire properties (currently less than 4% of the total stock in the market)
Consistent annual rent growth: driven by the unique sectoral supply / demand fundamentals, thereby increasing valuations and returns
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