Rancho Estates Mobile Home Park

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On February 17, 2009, the City Council approved a project to subdivide the existing 17.84-acre rental mobile home park located at 7465 Hollister Avenue to allow mobile home park residents to buy their units and underlying space outright. The project site, which consists of 150 mobile home spaces, is known as the Rancho Estates Mobile Home Park, and the current owner is Rancho Estate Cowan LLC (Owner). The City Council also approved an associated Development Agreement (DA), dated March 3, 2009, between Goleta Mobile Home Park L.P. (the previous owner) and the City. For a copy of this Development Agreement, click link below:

On May 5, 2020, the City Council gave final approval to Tract Map 32,030 for the Goleta Mobile Home Park subdivision. Following approval and recordation of this final Map, the Owner could begin the process of selling individual units at the Mobile Home Park, by obtaining approval and a final public report from the California Department of Real Estate (DRE). The final public report was issued in May 2023. Under the terms of the DA, Mobile Home Park residents now have the right to purchase the lot on which their mobile home is located.  Residents have a two-year period in which to notify the Owner of their interest in buying their lot. The two-year period for residents to purchase their lots at a 15% discount off the 2021 Appraisal Value ends May 4, 2025. Residents who choose not to buy their lots have the right to continue to rent under the current conditions and terms in place, subject to limited rent increases in accordance with applicable law and the terms of the DA.

The process for purchasing a lot will be as summarized below: 

  1. Appraisal Value of Lots: The Owner proposed three qualified appraisers, and the City reviewed and selected one to perform the appraisal.  The appraisal of the lots was completed in 2021, and the Appraisal Value (as defined in the DA) for each lot was determined.

  2. Owner delivers final public report to tenants: The Owner obtained the final public report from the DRE and delivered a copy to residents in May 2023, so the Owner is now legally permitted to offer the lots for sale.

  3. Residents must notify Owner of intent to purchase within 2 years of receiving the final public report: To qualify for the benefits outlined in the DA, residents who are interested in buying their lot must notify the Owner in writing of their intent to purchase within two years of receiving the final public report. 

  4. Sale price discount: For qualifying low-, moderate-, and above moderate-income households, the Owner must provide a 15% discount on the Appraisal Value of the lot and must offer financing assistance as outlined in the DA.

  5. Resident Incomes: Pursuant to the DA, rent increases are limited according to the resident household's status as low-, moderate-, or above moderate-income level. Official verification of resident household income is ongoing. Any information provided in response to the income verification is confidential.
  • Low-income households are defined as a household whose income does not exceed 80% of Santa Barbara County’s Area Median Income, adjusted for household size.
  • Moderate-income households are defined as a household whose income does not exceed 120% of Santa Barbara County’s Area Median Income, adjusted for household size.
  • Above-moderate income households are defined as a household whose income exceeds 120% of Santa Barbara County’s Area Median Income, adjusted for household size.
  • For Santa Barbara County for the year 2024, the Area Median Income is $119,100. These numbers are set and published annually by the California Department of Housing and Community Development (HCD).

If you have any questions about the information or process described above, please contact Lucy Graham, Senior Housing Analyst, at lgraham@cityofgoleta.org

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For more information on affordable housing efforts, visit the Affordable Housing page.

 

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