182-space mobile home park in Long Beach filed for bankruptcy due to tenant litigation for failure to maintain and negligence
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Force 10 served as the financial advisor to the Chapter 7 Trustee. We conducted a Section 363 sale process, culminating in the $11 million sale of this deeply distressed Mobile Home Park, which needed over $20 million of remediation and repair. We managed a complex due diligence process while communicating with more than 200 potential bidders.
A global settlement of over $50 million for the residents of this mobile home park was reached after a jury awarded $39.5 million to an initial group of 30 litigants a year earlier. As part of the agreement, tenants also shared a portion of the proceeds from the park sale. Force 10 marketed the severely neglected facility, managing a complex due diligence process involving numerous soil, geology, and structural consultants. After a first stalking horse bidder broke its commitment, our efforts culminated in a Section 363 sale for $11 million amidst the initial confusion of the COVID-19 pandemic. The buyer also committed to significant property improvements of approximately $15 million. The sale price confirmed Force 10’s stabilized valuation of approximately $27 million.
