SB 1212

Bill Subjects

Abstract

Existing law provides that all property has an owner, whether that owner is the state and the property is public, or the owner is an individual and the property is private. This bill, on and after January 1, 2025, would make it unlawful for a real estate investment trust, as defined, to purchase or acquire an interest, as defined, in a single-family dwelling or other dwelling that consists of one or 2 residential units, unless the housing has been listed for sale to the general public for at least 60 days. The bill would reset that 60-day timeline if the seller changes the asking price for the housing. The bill would prohibit a real estate investment trust that purchases or acquires any housing in compliance with these provisions from paying a final sales price that less than 95% of the publically listed asking price. The bill would impose civil damages upon a real estate investment trust that violates these provisions in an amount not to exceed $1,000,000. The bill would absolve a seller of housing from liability under these provisions if the seller obtains a written release signed by the buyer stating that the buyer is not a real estate investment trust. This bill, on and after January 1, 2025, would require a real estate investment trust, before offering to sell housing to any purchaser other than an existing tenant, to send notice of its intent to sell the property to each adult tenant who is named in the rental agreement and who currently resides at the property. The bill would authorize a tenant to send a notice to the real estate investment trust expressing interest to purchase the housing within 20 days. The bill would require a real estate investment trust that receives a notice from the tenant expressing interest to purchase the housing to afford the tenant 60 days to secure financing and submit a formal offer. The bill would authorize a real estate investment trust to reject any offer submitted to purchase housing pursuant to these provisions, but would prohibit a real estate investment trust that rejects an offer from a tenant from listing the housing for sale to the general public in an amount less than the amount offered by the tenant to purchase the housing, except as specified.