2. a. The Legislature finds that the provision and maintenance of an adequate supply of housing affordable to persons of low and moderate income in this State has been and is becoming increasingly difficult as a result of economic and market forces which require special public actions or subsidies to counteract.

b. One particularly acute result of these forces has been the continual increase in the number of displaced or homeless persons who, lacking permanent shelter, require special assistance from public services in this State and in surrounding states in order to remain alive.

c. The Legislature has taken various actions to increase the supply of affordable housing in the State. However, it also is necessary to protect residential tenants, particularly those of advanced age or disability, or lower economic status, from the effects of eviction from affordable housing in recognition of the high costs, both financial and social, to the public of displacement from affordable housing and of homelessness.

d. The Legislature recognizes that the eviction of residential tenants pursuant to the process of conversion of residential premises to condominiums or cooperatives exacerbates homelessness and makes more difficult the maintenance of an adequate supply of low and moderate income housing.

e. The Legislature, therefore, declares that it is in the public interest to establish a tenant protection program specifically designed to provide protection to residential tenants, particularly the aged and disabled and those of low and moderate income, from eviction resulting from condominium or cooperative conversion.

f. Despite its laudable objectives, the Legislature finds that the “Tenant Protection Act of 1992,” P.L.1991, c.509 (C. 2A:18-61.40 et al.) has yet to adequately preserve the supply of affordable housing in certain municipalities in which condominium and cooperative conversions have been especially common. Accordingly, the Legislature also finds that condominium and cooperative conversions remove affordable rental housing from the market.

g. In the public interest of preserving affordable housing, the Legislature therefore declares that qualified municipalities may prohibit the conversion of affordable rental housing units.

L.1991, c.509, s.2; amended 2020, c.40, s.1.