national (US) local niche Site network, am i missing something?

Hey,
Look at this site newyorkappliancerepair (dot) net
Also look at newyorkappliancerepair (dot) net/Sources (dot) htm

This guy has a big network and rank VERY good (mostly in first #3 for hundreds of keyword in every city.

Many of those sites are on same ip and they all very obviously designed the same (3 different designs) and all linked.

I feel like i'm missing something.. Can it be that all of this network power is just from interlinking?

Anyone got an idea?

a linkwheel perhaps

All incoming links according to yahoo site explorer R.I.P are from same networks (plus local directories).

I followed the links and checked many sites, they are all connected to each other only, nothing else.

I need to get in on that lol.

Anyone...?