Bath Homeowners Secure Stability and Security with $3 Million Purchase of Their Manufactured Home Community
PHFA’s PHARE program funds help Royal Oaks Cooperative become the second Resident Owned Community in the commonwealth
BATH, Pa. – The residents of Royal Oaks Cooperative have successfully purchased their 33-home manufactured home community for $2.95 million last week, marking a significant milestone as the second resident owned community (ROC) in the state. This achievement was made possible with coaching and financing from ROC USA, including $750,000 in funding from the Pennsylvania Housing Finance Agency’s PHARE Program.
The purchase enables the homeowners at Royal Oaks to gain control over the land beneath their homes, fostering long-term stability and security. The community also plans to use an additional $145,000 in financing to address critical infrastructure improvements, which include replacing drain fields, conducting tank repairs, sealing roadways, and installing new signage.
ROC USA President Emily Thaden emphasized the importance of government support in promoting resident ownership, stating, “Programs like Pennsylvania’s PHARE highlight the growing recognition of resident ownership as a sustainable solution to the nation’s affordable housing crisis. By supporting cooperative ownership, these initiatives help preserve long-term housing stability for homeowners and offer an alternative to the rising rents and uncertainties often faced in investor-owned manufactured home communities.”
Homeowners are enthusiastic about their new status. Royal Oaks Steering Committee Member Christine Hernandez said her home in the co-op doesn’t even compare to an apartment: “The community is beautiful. I was a single parent when I moved here, and I had to find somewhere that was safe. It was like $1,200 to rent a two-bedroom apartment, and it was not in a good neighborhood. In an apartment, you don’t get parking or a yard. Here I have two parking spots, a yard, my daughter can safely ride her bike, and I even feel safe with the school bus dropping her off at the entrance of the community and her walking home.”
In many manufactured home communities, residents own their homes but not the land beneath them. This makes homeowners vulnerable to rent increases and eviction, especially when ownership of the land changes. By purchasing the property, homeowners are empowered to make major decisions as a unified community. In a ROC, homeowners each buy one low-cost share and become Members of the co-op, with one vote per household on matters of the community. They elect a Board of Directors to act on day-to-day issues and vote on larger matters like the annual budget, bylaws and community rules. ROC USA and its technical assistance affiliates work with more than 330 ROCs made up of more than 23,000 homes in 21 states.
Since 2012, the PHARE (Pennsylvania Housing Affordability and Rehabilitation Enhancement) Fund has received a portion of the impact fees collected from natural gas companies operating in Pennsylvania supplemented with funding provided by a portion of the realty transfer tax. To date, the program has made nearly $300 million in awards, according to PHFA Executive Director and CEO Robin Wiessmann: “By investing in resident ownership initiatives like the Royal Oaks Cooperative, we are taking essential steps to ensure that families can secure their homes and maintain the affordability of their neighborhoods. State support can play a crucial role in helping communities like Royal Oaks Cooperative thrive, providing residents with housing stability for their families.”
Located in the picturesque Lehigh Valley, Royal Oaks Cooperative is surrounded by scenic hills and offers quick access to Philadelphia and New York City. The community comprises a diverse mix of retirees and young families who value the affordability and safety of the area.
For more information about the Royal Oaks Cooperative and its journey toward resident ownership, please visit ROC USA’s website.
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About the Partners
ROC USA (rocusa.org) is a national non-profit social venture with an in-house lending subsidiary (ROC USA Capital) and robust training and coaching infrastructure for resident owned manufactured home communities. ROC USA and its network of technical assistance affiliates promote stability and sustainability in affordable neighborhoods by empowering residents through cooperative ownership. All told, ROC USA Network has helped 334 communities through this integrated technical assistance and financing model.
The Pennsylvania Housing Finance Agency (phfa.org/) works to provide affordable homeownership and rental housing options for older adults, low- and moderate-income families, and people with special housing needs. Since its creation by the legislature in 1972, it has generated more than $18.9 billion of funding for more than 201,500 single-family home mortgage loans, helped fund the construction of 103,328 rental units, distributed approximately $289 million to support local housing initiatives, and saved the homes of more than 50,860 families from foreclosure.
