Title
Approval of Manufactured Home Communities Preservation Recommendations
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve the recommendations to support preservation of manufactured home communities.
Report
Issue:
Whether to approve staff recommendations to support preservation of manufactured home communities.
Staff Contact:
Christa Lenssen, Senior Housing Program Specialist, Community Development, 360.570.3762
Presenter(s):
Christa Lenssen, Senior Housing Program Specialist, Community Development, 360.570.3762
Background and Analysis:
Manufactured housing landscape and displacement impacts
Manufactured homes comprise between 2 and 3% of the city’s housing units but represent an important affordable unsubsidized housing option. There are twelve known manufactured home communities in Olympia city limits with an estimated total of 750-800 units.
Economic displacement can occur when lot rents are increased beyond what residents are able to afford and residents must relocate. Residents may face physical displacement if a community is closed due to redevelopment. When a manufactured homeowner is forced to relocate, it can be very difficult (if not impossible) to relocate their home and may be cost prohibitive. Cost estimates obtained from a community partner indicate rates to relocate a home are between $20,000 to $30,000. Some relocation assistance may be available through the state to residents of parks that close, but that amount ranges from $11,000 (for a single wide) to $17,000 (for a double or multi-section home). As a result, residents lose not only their housing, but the value of their investment if they are not able to relocate their home elsewhere. Owners of recreational vehicles (RVs), travel trailers, and park models (as defined in RCW 59.20.030) are not eligible for state relocation assistance.
Exploration of preservation options
Olympia City Council’s Land Use & Environment Committee (LUEC) has discussed preservation of manufactured housing communities multiple times over the past two years, most recently in March 2026. Staff were directed to research options for preservation, including: costs to construct a new manufactured housing community and potential land for development, transfer of development rights, infrastructure funding and assistance that could be provided, acquisition of small communities, and potential funding sources. Staff has summarized the research findings and recommendations for LUEC in the attached MHC recommendations report.
Staff recommendations
Recommendations presented consider the current City resources and funding landscape. The Land Use and Environment Committee (LUEC) is asked to approve or modify staff recommendations. Staff recommends four strategies to advance this work:
1. Pursuing outreach and engagement opportunities (3-9 months)
• At community meetings with MHC residents, residents expressed a desire to learn more about their rights and staff organized a training provided by legal aid attorneys about their rights under the manufactured/mobile home landlord-tenant act that was well-received.
• Staff will develop a new resources section on the City’s website for manufactured homeowners.
• If desired, staff can also explore training opportunities with community partners (such as legal aid attorneys, ROCNW, Washington State Attorney General’s Office, or others) to offer education on manufactured/mobile home landlord-tenant rights, rent stabilization, right to compete to purchase, etc.
2. Continued monitoring of funding opportunities and policy change (6-12 months/ongoing)
• Current funding options, particularly for infrastructure upgrades, are limited.
• Monitoring existing funding opportunities.
• Track new sources of funding developed.
• Track new legislation.
• Track litigation.
• Advocacy for additional funding sources.
• Track City of Lacey and other efforts to identify opportunities for collaboration.
• Explore whether Olympia Public Works has an interest in reinvigorating a septic to sewer revolving loan fund.
• Explore whether RHC Opportunity Fund could be utilized for infrastructure upgrades.
3. Strategic work with manufactured home communities on a case-by-case basis (6-12 months)
• Rather than adopting a one-size-fits-all policy or approach, that the City engages in creative problem-solving on a case-by-case basis.
• Not all small parks are good candidates for acquisition and eventual resident ownership. Staff could utilize information from Washington State Department of Commerce to develop a prioritization matrix that guides when staff will provide additional support and resources, and the nature of the assistance. Staff could take a more active role in strategy and support when there is a higher likelihood of success in transitioning to resident ownership.
• This work will occur on an ongoing basis, as needs and opportunities arise.
4. Continued work to expand affordable homeownership opportunities (3-12 months)
• Acknowledging manufactured homes are one of few forms of affordable homeownership, staff will continue to explore ways the City can support access to affordable homeownership opportunities
• Monitor statewide starter home efforts and funding.
• Potential for land banking to create more supply.
o Rather than only exploring land banking for development of a new resident-owned manufactured housing cooperative, explore any and all forms of permanently affordable homeownership.
• Affirmative marketing to manufactured housing communities when new homeownership supply is developed or for homebuyer education opportunities.
• If desired, staff could also research financing options and grants to help residents upgrade their RV/park model to a new manufactured home to enable more parks to access ROC-USA lending.
Climate Analysis:
The recommended actions are not expected to have a significant impact on greenhouse gas emissions. Preserving existing housing may have a long-term reduction on greenhouse gas emissions by eliminating need for replacement of housing units. However, many older manufactured homes are not energy efficient. Most manufactured home communities in Olympia are located along major transit corridors where residents have access to public transit. Preserving these housing units from commercial redevelopment will keep housing that is already accessible to transit routes.
Equity Analysis:
Households in mobile homes are over twice as likely to live in poverty (DeLuca, Stefanie, and Eva Rosen 2022) and manufactured housing is the largest source of unsubsidized affordable housing in the country (Consumer Financial Protection Bureau, ‘Manufactured Housing Finance: New Insights from the Home Mortgage Disclosure Act Data’). Adults over age 65 are more likely to live in a manufactured home than the general population, according to the Thurston County Housing Needs Assessment. About 12% of seniors countywide live in manufactured housing or mobile homes compared to 9% for the county population as a whole. Nearly 17% of adults over age 65 in Olympia have income below the federal poverty level, which is about 1.5% higher than the general adult population. Staff was not able to locate the racial demographics of Olympia residents who live in manufactured homes. Enacting protections that increase housing stability and reduce risk of displacement will benefit lower-income households and older adults, who are more likely to live in manufactured housing.
Staff was not able to obtain demographic data on manufactured home community owners. Park owners would be burdened by additional requirements or restrictions put in place by the City but may benefit from capital investments or incentives offered.
Neighborhood/Community Interests (if known):
The primary concern of manufactured home residents raised at the community meeting held in September 2024 was increasing lot rents, which was addressed by enactment of HB 1217 in 2025. Residents were also most concerned about being displaced if the owner sells or redevelops the property.
Financial Impact:
Staff recommendations will require staff time, but no additional resources at this time. If the City pursues assisting manufactured home communities on a case-by-case basis with acquisition or activities to support preservation, those actions may incur costs. A funding source will need to be identified to support any additional work in this area.
Options:
1. Move to approve the recommendations to support preservation of manufactured home communities.
2. Modify staff recommendations and approve the recommendations to support preservation of manufactured home communities.
3. Take no additional action.
Attachments:
MHC Recommendations Report
Homeownership Project Final Brief