Former owners of abandoned trailer parks must pay back more than $100K for cleanup effort
In February of 2012, the former owners of two Ypsilanti Township trailer parks abandoned the sites and left the township and county to foot the bill for the cleanup.
Earlier this month, a Washtenaw County Circuit Court judge ordered the three owners to pay the township back $92,000 and pay the Washtenaw County Treasurer's Office $12,000 for the cleanup effort and cost of paying emergency utility bills.
When the owners of WOC Realty walked away from the two properties at 2590 E. Michigan Ave. and 117 S. Harris Road, they left behind a combined 62 mobile homes where a number of tenants never moved out and squatters moved in. The park then went into tax foreclosure.
Township Attorney Dennis McLain said the owners, Robert Stahl, Kim Peters and Michael Peters, were pocketing rent money instead of paying property taxes or maintaining the park, and the township is pleased with the court’s ruling that it is entitled to reimbursement for clearing the mess.
“They let both parks go into ruins while they were pocketing the rental receipts instead of paying the maintenance on the parks,” McLain said. “The township petition also claimed they were renting units under the guise of renting to sell them, and then not transferring the title.
Tom Perkins | For AnnArbor.com
“But they transferred the cleanup costs to the taxpayers when they abandoned the parks. They created the nuisance before they abandoned the park and under Michigan laws they are responsible (financially).”
In his opinion, Judge Donald Shelton wrote that the county and township were forced to maintain the park and pay utility bills to keep the utilities on for the remaining inhabitants once WOC walked away.
"Defendants created the nuisance the Plaintiffs were forced to eventually clean up at public expense," he wrote
McLain said he plans to send a judgment to the owners’ attorney, Patrick Conlin, and begin the collection process. McLain said he isn’t sure if the defendants could file for bankruptcy.
Conlin did not return AnnArbor.com calls for comment.
As the parks dissolved, township officials were confronted with a wide range of issues.
Building inspectors couldn’t tell which trailers were inhabited and which were abandoned as they monitored the situation. Many of the trailers were gutted and torn apart by scrap metal thieves, and one had its roof completely torn off as the parks were slowly abandoned.
Washtenaw County Sheriff's Office deputies regularly responded to situations at the parks and firefighters responded to several fires. Before the park on Michigan Avenue was totally abandoned, one trailer was so packed with garbage that it spilled out windows and the front door. Residents there were also subjected to contaminated drinking water.
Neither WOC property lost to tax foreclosure was purchased in the county's foreclosure auction, and the township eventually bought them in the no-bid auction for a total of $8,500.
It plans to sell the Michigan Avenue property and there has been discussion of making a recreational park at the Harris Road site.
Tom Perkins is a freelance reporter. Contact the AnnArbor.com news desk at news@annarbor.com.
Comments
Susan Ursus
Thu, Aug 29, 2013 : 3:23 a.m.
I don't think anyone's going to get any blood from those turnips.
John of Saline
Tue, Aug 27, 2013 : 9:42 p.m.
Wouldn't it be cool if you could enforce judgments against the attorneys if the actual owners can't be found?
sailor67
Tue, Aug 27, 2013 : 7:48 p.m.
Actually, the newest PC term for a trailer park is: "Pre-manufactured land-lease development".
EyeHeartA2
Tue, Aug 27, 2013 : 3 p.m.
Ummm, NOT a "trailer park". A "Manufactured Home Community." How unPC can you get? Yikes.
justcurious
Tue, Aug 27, 2013 : 1:37 p.m.
The picture shows a pretty peaceful site with mature trees. Just waiting for a park to happen.
jns131
Tue, Aug 27, 2013 : 8:43 p.m.
That area is being considered for park use. Would love to see a park go in there.
dexterreader
Tue, Aug 27, 2013 : 2:13 p.m.
Agreed. I think that would be a great choice for that property.
Nicholas Urfe
Tue, Aug 27, 2013 : 12:55 p.m.
"McLain said he isn't sure if the defendants could file for bankruptcy." Maybe that is a reason to show some hustle and do something sooner rather than later. Ya think, yspi "government"?
YpsiLivin
Tue, Aug 27, 2013 : 3:50 p.m.
The defendants can declare bankruptcy anytime they want to, but the bankruptcy rules don't allow restitution judgments to go away. Further, since the original owners obtained the funds by fraud, I think the defendants are on the hook for this one.
TinyArtist
Tue, Aug 27, 2013 : 12:44 p.m.
A nicely written, informative report. By inference, we know also that they have saved enough to hire an attorney. This is a drama that is just starting to unfold.
dexterreader
Tue, Aug 27, 2013 : 2:15 p.m.
Tiny ..... I thought the exact same thing when I read they had hired an attorney with a prominent name around Ann Arbor. They can't be too "cash poor".
hawkhulk
Tue, Aug 27, 2013 : 11:13 a.m.
If there are any two types of buildings I avoid, they are projects and mobile homes. Whether they are publicly or privately owned, they are eventually due to neglect or lack of maintenance hand me downs to low income residents who have no other place to go. For these owners to collect rent and pocket the money shows they never cared about the welfare of their tenants anyway. These owners need to see the inside of a jail cell like David Kirschner, that would serve the most justice.
Carole
Tue, Aug 27, 2013 : 1:55 p.m.
I will take exception to your comment. Many folks live in a mobile community who take great pride in their home and surroundings. However, I will agree that some of these mobile communities have lacked in the owners keeping them up.
Arieswoman
Tue, Aug 27, 2013 : 10:25 a.m.
Well good luck collecting! It is long over due to make these owners accountable.