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Allan Knutt is hoping he can make a significant contribution to the economy of Devils Lake, N.D.

He has secured a $50,000 loan from Forward Devils Lake and a handful of other institutions to start manufacturing park model homes in Devils Lake, according to the Devil’s Lake Journal.

Other agencies kicking in on the venture include $50,000 from Western State Bank and $50,000 from North Central Planning.

He will also apparently put in $25,000 of his own money.

Chris Schilken, executive director of Forward Devils Lake, went before the Devils Lake City Commission this week and got its approval.

Knutt, who recently took over the RV dealership on Highway 2 East, hopes to begin building RV park model homes to be used by the lake.

“We think there’s a market for this,” says Knutt. “A lot of new spots are opening on the lake and there seems to be an interest in them.”

Devil’s Lake is a community of 8,000 people located midway between Minot and Fargo in the northeastern part of the state.

Knutt said he had been toying with the idea for about a year, and believes there is a fair demand for the homes.

They are relatively small homes, generally 400 square feet, or so, which makes them highly mobile.

Depending upon what they want in them, people can often spend up to $25,000.

“It just depends upon how much you want to put into it,” added Knutt. “You can spend as much as you want.”

Knutt also said the present building where he’s located isn’t quite big enough to produce at the level he’s hoping, so he’ll likely be looking for a new location.

He presently has three employees, and is hoping to add another this spring.

“Where we’re at now we’re only able to work on one new home and we’d like to find somewhere big enough to be working on three,” adds Knutt.

Under the agreement, Forward Devils Lake and the North Central Planning Council would have a shared second mortgage on the property and equipment.