Summary of Bill SB749

Mobilehome parks: closure, cessation, or change of use.

This bill strengthens and clarifies the rights of mobilehome park residents in California, especially in cases involving:

  • Termination of tenancy

  • Park closure or change of use

  • Park destruction due to natural disasters

  • Resident or nonprofit purchase opportunities

KEY HIGHLIGHTS

1. Termination of Tenancy Rules (Civil Code §798.56)

Tenancy in a mobilehome park can only be terminated for specific reasons, including:

  • Violations of laws or park rules (after proper notice and opportunity to cure).

  • Substantial annoyance or criminal acts on park premises.

  • Nonpayment of rent or utilities (with a 3-day notice after a 5-day grace period).

New Provisions:

  • After 3 nonpayment notices within 12 months, a 3-day notice is no longer required for eviction.

  • Homeowners are given 60 days to remove their home after repeated defaults.

  • Lienholders or legal owners can cure defaults up to 30 days after certain notices, but only up to 2 times in 12 months.

2. Protection After Natural Disasters (Civil Code §798.62)

If a mobilehome park is destroyed by wildfire or natural disaster and the owner decides to rebuild:

  • Previous residents have the right to return under similar rental terms, with some cost adjustments for rebuilding.

  • Offers must be sent at least 240 days before reopening.

  • Residents have 60 days to accept the offer.

  • Rent is not owed while they are displaced.

  • Offers are non-transferable and processed first-come-first-served.

3. Resident & Nonprofit Right to Purchase Before Park Closure (Gov Code §65863.15)

Before closing, selling, or changing the use of a mobilehome park:

  • Owners must give resident groups, nonprofits, and public agencies the first opportunity to buy the park.

Key steps:

  • 12-month advance notice required before closure.

  • A 270-day window for qualified buyers to submit a bona fide offer.

  • If any qualified entity submits an offer, the owner must consider it and engage in good-faith negotiation.

  • Certified appraisers determine fair market value if needed.

Qualified Buyers Include:

  • Resident organizations

  • Local/state nonprofits or agencies

  • Entities certified by the CA Department of Housing and Community Development (HCD)

4. Enhanced Notice Requirements to Tenants and Agencies

Before a change of use, closure, or cessation of operations:

  • Park management must notify tenants and public entities (mayor, county board, housing authority, HCD).

  • Required notices must include specific details like rent roll, vacancy rate, proposed changes, and tenant demographics.

  • Updates or major changes to the plan must also be re-notified.

5. Enforcement & Oversight

  • HCD will monitor compliance, certify eligible buyer entities, and provide approved forms.

  • Tenants, nonprofits, or public entities can sue for injunctive relief and attorney fees for violations.

  • Local governments can still enforce stronger protections.

EFFECTIVE DATE

These amendments and additions become operative February 1, 2025.

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