- Choke off enough lending options,
- drive out enough manufactured home retailers,
- and you’ll witness a increasing number of producers of HUD Code manufactured housing fail,
- and/or those independent retailers and producers will be forced into a ‘consolidation’ with larger companies.
As “Smoking Gun? Part 1” outlined, companies as large as Champion and Fleetwood previously were (they were #1 and #2 for years), both ended up filing bankruptcy in the wake of this credit contraction.
If the prior MH Industry giants went broke, is it any surprise when other more modest manufactured home production companies failed or had to sell out to others too?
- Was it mere chance?
- Was it dumb luck that favored 21st, Clayton Homes, Vanderbilt Mortgage, and Berkshire Hathaway?
- Was it part of a longer-term plan?
- Or was Warren Buffett Berkshire Hathaway taking advantage of a tragic opportunity to squeeze smaller companies?
- Isn’t this second 21st document, signed by Tim Williams, another clear case of 21st favoring Berkshire Hathaway? Didn’t it do so in manner that led to what Maxine Waters and others across the political spectrum to call them a “near monopoly,” per her prior statements? See one linked further below.
For those who’ve not read “Smoking Gun?” Part 1, it will be useful to read that related document, also signed by Tim Williams, as it provides a more in-depth report on this highly-impactful industry controversy.
The Atlantic/IBIS World
Also, those who may not recall – or need a refresher – on the 2010 Atlantic’s article, which was based in part upon IBISWorld research, they asserted that independent manufactured home retailers were among the most dying American industries. Note that nuance projection proved to be correct: independent retailers failed by the hundreds.
Or as former Clayton manger, Ken Corbin put it, there was a “10,000 retailer drop.”
Have Clayton and their sister operations magically turned one disaster after another into an opportunity in disguise to pressure and consolidate other operations evermore?
- A Harvard University researcher MHI cited projected that manufactured homes was going to be poised to supersede conventional housing. Eric Belsky wasn’t and isn’t alone, as the example below documents. Why doesn’t MHI refer to this document any more?
Bloomberg, HousingWire, Realtor and Fox all suggest Manufactured Homes as Important Solution for Affordable Housing in America – manufacturedhomelivingnews.com
While housing becomes more and more expensive across the United States, there’s a simple solution. For those who either want to be frugal and still get great quality or those who have limited funds, but desire to be a homeowner – the answer, suggests and HousingWire – could be modern manufactured homes.
- NAR and other researchers have documented a need for 8 million affordable housing units,
- How can the Berkshire Hathaway dominated Manufactured Housing Institute say they’ve done a good job of protecting and promoting the industry? Why did they make obvious mistakes, that sources say benefited Berkshire Hathaway’s consolidation efforts?
- Aren’t they at least de-facto agents for those consolidating of the MH Industry that MHI is claiming to protect?
See linked reports for more details.
MHI, Clayton, 21st, VMF – Ready to Go On the Record Again?
We’ve used the exact words of the players involved to show the alleged patterns. Is there any need to do more than look at the facts, and draw reasonable conclusions?
We are hereby once more inviting MHI and/or the Berkshire Hathaway manufactured housing units to respond, preferably via a live discussion via video which the entire industry can see. As regular Daily Business News readers know, they have routinely declined comment for months.
But as regular readers also know, the ongoing spotlight has force MHI into a number of pivots from their prior public positions.
MHProNews would also welcome their written response to the concerns and documents these articles have raised. Otherwise, there is the old English maxim, “Silence indicates consent.”
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