September 30, 2005

ROP, Inc. contributes to the Fund

The San Luis Obispo County Housing Trust Fund has received a $2,500 contribution from Sacramento-based Resident Owned Parks, Inc. (ROP).   ROP is a state-wide nonprofit corporation that acquires and operates mobile home parks on a nonprofit basis. 

The contribution was made to express ROP's appreciation for the technical assistance that the Fund provided in connection with ROP's recent purchase of the Sunny Oaks mobile home park in Los Osos.

The Housing Trust Fund advised ROP and its lender - Los Padres Bank - that the financing for the park purchase could be treated like a tax-exempt bond.  The Housing Authority of the City of San Luis Obispo (HASLO), County Planning Department and County Board of Supervisors all helped make the tax-exempt financing possible.

By structuring the loan as a tax-exempt note, Los Padres was able to reduce the interest rate it charged.  This, in turn, reduced ROP's cost of owning and operating the park and will save park residents money over time.

This project provides an example of the value of the Housing Trust Fund's technical assistance.