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UMH Properties, Inc. UMH recently acquired two age-restricted manufactured home communities, Cedar Grove Park and Maplewood Village in Mantua, NJ, for a total purchase price of $24.6 million.
Cedar Grove Park and Maplewood Village are high-quality stabilized communities that contain all modern, homeowner-occupied, manufactured homes. These communities, which are situated on approximately 38 acres, consist of 266 developed homesites, of which 100% are occupied.
These communities are well-located near Philadelphia and experience strong demand for sales.
This deal is expected to be accretive to earnings with additional upside through the brokerage of home sales.
The company continues to look for acquisitions that align with its growth criteria and anticipates that it will make additional acquisitions as 2025 progresses.
UMH: In a Snapshot
Following this acquisition, UMH Properties now owns and operates 141 manufactured home communities, containing around 26,500 developed homesites, of which 10,300 contain rental homes and over 1,000 self-storage units.
The company’s ability to provide competitively priced quality homes is likely to help it witness healthy rental demand in the upcoming period, especially in a market where the gap between buying and renting is expected to continue in the following quarters, and mortgage rates remain high. Its communities continue to experience strong demand for both sales and rentals.
Shares of this Zacks Rank #3 (Hold) company have declined 1.1% over the past three months against the industry’s growth of 2.9%.
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Stocks to Consider
Some better-ranked stocks from the residential REIT sector are Modiv Industrial, Inc. MDV and Elme Communities ELME.
The Zacks Consensus Estimate for Modiv’s 2025 FFO per share is pegged at $1.36, which indicates year-over-year growth of 1.5%. MDV currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
ELME carries a Zacks Rank #2 (Buy) at present. The Zacks Consensus Estimate for Elme’s full-year FFO per share is 95 cents, which indicates an increase of 1.1% from the year-ago period.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.
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