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A number of Wheel Estate residents attended the meeting.
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Tenants Association President Sandra Overlock and Vice President Jesse Martinez answered questions.

North Adams Rent Board OKs Increase for Wheel Estates

By Tammy DanielsiBerkshires Staff
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Mobile Rent Control Board members Suzanne Wick, James Morocco and Chairman Wayne Wilkinson check a spreadsheet prior to the meeting.

NORTH ADAMS, Mass. — The Mobile home Rent Control Board approved a $29 monthly rent increase for Wheel Estates Mobile Home Park effective May 1.

Based on review of the park's income and expenses, the board voted to increase the lot rent by $14, and allowed an increase of $15 per month for a capital project, bringing the total monthly rental to $374.

Adding in the city's $9 a month mobile home tax, Wheel Estates residents will pay $383 a month in rent, or $4,596 a year.

The Tenants Association, owners of the park, had asked for a $40 total lot rental increase to cover operations and a $500,000 water line replacement. A number of residents had argued at the public hearing two weeks ago that the increase was too high and complained that some work from the Phase 1 water line replacement had not been completed.

The two increases were applied for separately and the board reviewed and voted on each separately. The board had also asked for modifications and more information for the two applications.

The operations increase was determined by reviewing the $2,736,200 park's income and revenue. The board accepted expenditures of $804,909, including maintenance, salaries, supplies and professional services totaling $426,383 and debt service of $378,526.

Revenues were $774,180, all from rentals of the 187 occupied lots, leaving the park short $30,000. There was some discussion of whether to count all 199 lots but it was decided to calculate the rent increase using only those lots occupied. Dividing 187 into $804,909 resulted in 4,304, divided by 12 months, came to $358.66. The board rounded up the number to $359 a month, up from the current $345.

The same calculation was made with the amount needed to be borrowed for the Phase 2 water line replacement of $462,000. The Tenants Association has already put in about $40,000 toward the $505,000 project, which will complete the line replacements at the park.


"I think that it happens to be the case that they can not move forward unless we move forward," Chairman Wayne Wilkinson said, referring to the Phase 2 capital plan.

Wilkinson said he initially had reservations about approving an increase for the plan because there had been some question of whether the first phase had been completed. The association had received a rent increase for that $1.3 million project when it bought the park in 2013.

"I thought we should wait until the phase had been finished," he said. "I know there are some people who think there are some things that hadn't been done yet."

However, association President Sandra Overlock had told the board its approval was required that night by the loan guarantor, ROC USA (Resident Owned Communities), which had also helped the tenants buy the park.

"I told Sandy that I understood they were between a rock and a hard place," he said, asking for other board members' input.

The board decided to approve the increase, allowing the park to get the loan, but with the condition that any work be completed within the year beginning May 1. Should it fail to be done in time, the board would rescind the increase.

"That's fair but we intend to complete it," said association Vice President Jesse Martinez. He estimated the major part of the construction would be completed in 90 days with the expectation that it would begin as soon as the ground thaws. At the last meeting, he said some minor landscaping and paving from Phase 1 would be done in the spring.

ROC also is standing guarantor that the work will be completed and funding for the project will be doled out in phases.


Tags: mobile home park,   rent control,   

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By Sabrina DammsiBerkshires Staff
This spring weekend, there are a variety of events in and around the Berkshires, including Spring Celebrations, music, cleanups, and more.  
 
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Downtown Celebrates Spring Week
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