Rhode Island General Laws 34-45-7. Opportunity to purchase
No owner shall:
(1) Sell, lease, or otherwise dispose of, or prepay any obligation secured by, a federally insured or assisted development in a manner which would result in either:
(i) A discontinuance of the use of the development as a federally insured or assisted housing development or a development that was federally insured or assisted within the preceding two year period, or
(ii) Cause the termination of any use restrictions which apply to the development, or
(2) Record a declaration of condominium, pursuant to chapter 36.1 of this title, with respect to all or any portion of a federally insured or assisted development, or
(3) Terminate any contract subject to the provisions of § 34-45-5 of this chapter unless he or she shall have first provided each of the persons and entities listed below an opportunity to purchase the development at a price and upon terms which represent a bona fide offer to sell, in compliance with the provisions of § 34-45-8. The persons and entities to whom such an opportunity to purchase shall be provided are:
(i) The tenant association of the development,
(ii) The corporation,
(iii) The housing authority of the city or town in which the development is located, and
(iv) The municipal government of the city or town in which the development is located.
History of Section.
P.L. 1988, ch. 508, § 1; P.L. 1989, ch. 493, §§ 1, 4; P.L. 2006, ch. 267, § 1; P.L. 2006, ch. 295, § 1.
Terms Used In Rhode Island General Laws 34-45-7
- Contract: A legal written agreement that becomes binding when signed.
- Development: means any structure or group of structures situated in the state which is federally insured or assisted; provided, however that the term "development" does not include any structure or group of structures which are not federally insured or assisted, although such structures may be commonly owned with units that receive such federal assistance or sent to such units; and provided further than this chapter shall not apply to a development whose owner gave notice to the United States department of housing and urban development pursuant to § 262 of the Housing and Community Development Act of 1987, Rhode Island General Laws 34-45-4
- Federally insured or assisted: means any:
(i) Low income housing units insured or assisted under §§ 221(d)(3) and 236 of the National Housing Act, 12 U. See Rhode Island General Laws 34-45-4
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Owner: means an individual, corporation, association, partnership, joint venture, or business entity which holds title to a development. See Rhode Island General Laws 34-45-4
- Tenant: means a tenant, subtenant, lessee, sublessee, or other person entitled to possession, occupancy, or receiving the benefits of, a federally insured or assisted rental unit within a development. See Rhode Island General Laws 34-45-4
- town: may be construed to include city; the words "town council" include city council; the words "town clerk" include city clerk; the words "ward clerk" include clerk of election district; the words "town treasurer" include city treasurer; and the words "town sergeant" include city sergeant. See Rhode Island General Laws 43-3-9
- Use restrictions: means any federal, state, or local statute, regulation, ordinance, or contract which as a condition of receipt of any housing assistance, including a rental subsidy, mortgage subsidy or mortgage insurance, to a development:
(i) Establishes maximum limitations on tenant income as a condition of eligibility for occupancy of the units within a development; or
(ii) Imposes any restrictions on the maximum rents that could be charged for any of the units within a development; or
(iii) Requires that rents for any of the units within a development be reviewed by any governmental body or agency before the rents be implemented. See Rhode Island General Laws 34-45-4