Option 8—Limit site rent increases to CPI

This option provides an alternative to options 6 and 7 and would replace all existing site increase bases. Home owners would experience significant cost savings under this reform option, and equivalent costs would be incurred by the park owner. The long-run (10-year) savings to the average home owner in the market is estimated at $169 Net Present Value which equals approximately $5,700,539 over ten years for the market, and an equivalent cost applied to park owners from reduced rent income. This option was identified as higher risk and beyond what was necessary for achieving the policy objectives. This option scored 7/9 on its contribution to policy objectives and was not selected as a component of the preferred package of reform options.

This is a summary of the impacts of option 8 only. For the full impact analysis, read chapter 7 of the C-RIS (PDF, 3.3 MB).