Defines lease-hold retirement community and proscribes rules and regulations for ownership and operation thereof

BILL NUMBER:S3660

Title of bill

An act to amend the real property law, in relation to lease-hold retirement communities

Purpose

This legislation would provide protections to retired persons who purchase homes in communities where the real property is leased.

Summary of provisions

The bill would:

1. Call for 99 year leases

2. Require rules and regulations to be given to prospective buyers and attached to lease

3. A presumption that rules and regulations not uniformly enforced are arbitrary and capricious

4. Rules and regulations cannot be changed without the consent of 60% the homeowners

5. No fees may be added by the retirement community owner unless approved by 60% of the homeowners

6. All rent and utilities must be reasonably related to the value of the facility or the services rendered.

7. Rent and utility fees must be fully explained when the deposit is made; failure to do so will result in a failure of the owner to collect them

8. Any increases in rent or utilities must be in conformance with the lease

9. The owner shall not:

-require tenants to purchase goods or services from the owner -require installation and maintenance or repair services to specific vendors -charge a fee to anyone who installs goods -restrict interior improvements -interfere with the sale of a home -retaliate against tenants for their lawful pursuits

10. If a homeowner sublets the house to a tenant, the lease-hold retire- ment community owner/operator may reserve the right to approve the tenant, but only insomuch as they are ensuring that the rules and regu- lations of the community are being followed.

11. Makes it a misdemeanor to deny utilities to tenants

12. Tenants damaged by a violation of these provisions may bring an action for recovery of damages, plus attorney's fee's

JUSTIFICATION:This bill would afford to individuals residing in lease- hold retirement communities the same protections as persons who are mobile home owners or multiple dwelling tenants.

Legislative history

2011-12: A.2136-A/S.1941-A 2009-10: A.6648/S.3142 2007-08: A.6630/S.3815

Fiscal implications

None to the State.

Effective date

This act shall take effect October 1 next succeeding the date it shall have become a law and shall apply to sales, actions, or leases involving planned retirement community homes occurring or entered on or after such date.