Exclusive Negotiating Agreement between City of Novato and MVMCC Residents Concludes

The Exclusive Negotiating Agreement (ENA) between the City of Novato and the Marin Valley Mobile Country Club (MVMCC) Park Acquisition Corporation (PAC) will expire at the end of this month. At the request of the PAC, the ENA was established on May 1, 2024, to allow the City and PAC to explore a potential resident-led effort to purchase the mobile home park.

Over the past year and a half, the City and PAC engaged in multiple rounds of written proposals and held numerous face-to-face meetings. These discussions were productive, professional, and grounded in a shared commitment to the long-term well-being of MVMCC residents. Throughout the process, both sides worked in good faith to evaluate options, identify areas of agreement, and understand the financial realities of resident ownership.

"We deeply respect the dedication shown by the Park Acquisition Corporation and their commitment to their neighbors," said City Manager Amy Cunningham. "We know how important stability and affordability are for the seniors living at MVMCC. After careful analysis, the City Council believes continued City ownership is the best way to protect residents and ensure rents remain affordable for years to come."

The City currently maintains rent control for MVMCC, an essential protection for residents- many of whom are seniors living on fixed incomes and vulnerable to rising cost increases. If the park were privately owned by residents, that rent control would no longer apply. Maintaining public ownership ensures long-term affordability and safeguards residents from the risk of displacement or homelessness.

During the ENA period, it became clear that the PAC does not have the financial capacity to purchase the property without compromising the affordability of the park for current and future residents. The PAC submitted several purchase offers to the City throughout the negotiation process and each of them relied upon cost increases to the residents. Their offers also required limited reserves which could result in additional direct costs to the residents, including but not limited to the potential for further increases through assessments, to fund future capital improvement or emergency projects.

While the ENA is coming to a close, the City remains committed to open communication and continued collaboration with the PAC and all MVMCC residents to ensure the long-term affordability, security and sustainability of the park.