Hermantown mobile home park in disrepair may close, putting residents at risk of homelessness

NINA MOINI: A mobile home park in Hermantown, outside of Duluth, is in the midst of a legal dispute that's pushing its residents toward homelessness. And it has potential to contribute to the affordable housing shortage in the region. Here to explain the latest in Hermantown is Duluth News Tribune reporter Peter Passi. He's been reporting on the disrepair and legal battle at the mobile home park. Thanks for being here, Peter.

PETER PASSI: Thanks for inviting me, Nina.

NINA MOINI: I know you've done extensive reporting on this conflict. Could you paint us a picture of just the conditions that residents of this mobile home park, Maple Fields, are facing? It's been in disrepair for a while, I understand.

PETER PASSI: Yeah, it's been about a few years that this has been brewing. It's a pretty difficult situation out there. And people have not had access to potable water. There have been disrupted electricity. There's been a number of fire concerns with egresses not properly-- well, with just single doors into mobile homes. And so if there were a fire, there would be only one way out, which is never a good situation.

Also fire hazards-- we've got electrical problems out there, homes that are not properly anchored, which is always a problem in a mobile home park. So we've also got plumbing issues, sewage spills, sewage backing up in units.

NINA MOINI: Wow.

PETER PASSI: We've got ceilings and floors that are caving in. And then, they're just not weathertight. And this is a harsh climate. And so it's been a rough winter for a number of folks. There's also been issues with holes in the floors and stuff of some of these units, so the rodents have been an issue, too. Altogether, a pretty, pretty difficult situation.

NINA MOINI: Peter, that is a lot for these residents to be living through. I'm curious what it was like when you first went out there to try to meet people who were living there? What was it like for you? How did you get people to trust you with what was going on inside of their homes?

PETER PASSI: People are very distrustful, and rightly so. I think a lot of folks feel very vulnerable right now. I know when I spoke to the attorney that is representing a group of these residents, Peter LaCourse, he had said, it's just a situation where folks were quite hesitant to even speak up because it's a bad situation. But there are very few alternatives for them in terms of housing at a comparable price point. And so it's not a good situation. But if that's what you've got, it's hard to stick your neck out.

And we've also got families out there, too. So you're not just talking about people who need a one-room apartment or anything like that. I mean, it's not a simple thing to house some of these folks, who are managing to get by right now, but not under very desirable living conditions.

NINA MOINI: What has the response been from management for the park?

PETER PASSI: Management initially had talked about being open to trying to make repairs. But this case came forward in the courts in late 2024, in December. And the conversation has very rapidly shifted from making repairs now to closing the park. The outfit that owns it, Elevated Management, has said that they cannot afford to make these repairs. And so they've begun to notify folks that their intention is to close the park as soon as by the end of this month.

NINA MOINI: Where does that leave the residents that you've spoken with?

PETER PASSI: Well, if they're able to go through with the closure, it leaves them in a really tough spot. There's really not a place to go. I mean, we've got 44 rentals out there. About a third of the rentals now are empty. People have been trying to find their way out of this situation, I think. Folks have been looking at other alternatives. They don't want to find themselves out on the street.

But I mean, last that they had reported, 29 of the 44 rentals are now vacant. I mean, there's just a-- yeah, there are a number of those folks that are really not sure what they're going to do if it does close. And there aren't a lot of empty slots or vacant apartments that are affordable for folks.

NINA MOINI: And so the city and state have actually gotten involved. What type of pressure are they putting on the management?

PETER PASSI: Right. The city of Hermantown has argued that the owners of this mobile home park have engaged in what they call "constructive eviction," in that they've allowed these repairs to let them slide for long enough, that, in effect, they've created a situation where eviction is the only alternative, arguing that they've created this situation.

The ownership has argued that they've only owned the place for a few years. They say that they didn't fully recognize what they were walking into, and that the city bears some responsibility, and that they should have brought these issues forward sooner. And it's a tough one.

NINA MOINI: And there is a housing shortage in that area as well, correct? It's not so easy for people to find anywhere else to go. Have you talked with residents about what they will do if they are forced to leave their homes?

PETER PASSI: It's not clear. It's not clear what folks will do. A number of folks have relocated. And the ownership of the mobile home park has stepped forward, too, to help folks, to some extent. And with security deposits for new places, they've forgiven some outstanding debt for these tenants, too.

So I mean, they're trying to create a pathway, it looks like. The packages that they've offered to residents have varied pretty greatly from party to party. And there's not a lot of communication, I think. There's actually been some effort to discourage folks from discussing the details of their arrangements as they leave the park.

But it's not clear that the park is going to close right away. This is heading back to court in April. The judge, Judge Shawn Pearson, has a hearing where he's going to be looking at whether to hold Elevated Management in contempt of court. This eviction is being viewed by some as a retaliatory act. And he explicitly had said that he wouldn't tolerate any retaliation against the plaintiffs in the case.

Elevated, on the other hand, argues that it just doesn't really have any alternative at this point. They said they had revenue of $6,000 a month from the mobile home park before all this went down. And that's declined considerably because the court has said that until some of these issues are addressed, people don't need to pay their rent.

And some of the units that have been declared unfit for habitation, Folks have been able to move into motels or hotel rooms in the interim. And that's been on Elevated's dime. So I think this probably has a negative cash flow at this point in time. And so the question is, is where does the money come from to make the repairs that are needed? And who bears responsibility?

NINA MOINI: Yeah, and before I let you go, Peter, this situation, there's a lot of moving parts right now. But mobile home parks are held to different regulation standards, right, than a rental apartment or a house. Are there any efforts to focus on holding mobile home parks, in particular, accountable to housing regulations?

PETER PASSI: That's a good question. And I frankly don't know that large picture. But I mean, I think there's an attempt, of course, to try to hold all housing to certain standards. And I think that's what we're seeing here. But sometimes, these are older mobile homes, and they require substantial investment.

And they're not worth a lot, too. That was one of the arguments that the owners have said, is like, well, we could put all this money into these, but they're still not worth much because once a mobile home is 25 years-plus old, there's not a lot of market for it. And a lot of the regulations have really changed for mobile home parks, as I'm sure you're aware.

The newer ones are much safer than some of the older ones. So it's sometimes hard to bring these older units up to snuff. But they do provide affordable housing for folks. And affordable housing is something that's definitely in short supply here in the Twin Ports.

NINA MOINI: Absolutely. Peter, thanks so much for your reporting and for sharing it with us.

PETER PASSI: Sure. Thanks for having me on.

NINA MOINI: That was Duluth News Tribune reporter Peter Passi.