Vermont § 325c - Age-restricted housing; right of first refusal

§ 325c. Age-restricted housing; right of first refusal

• (a) Definitions. As used in this section: (1) “Age-restricted property” means a privately owned age-restricted residential property
  that is not licensed pursuant to 33 V.S.A. chapter 71 or 8 V.S.A. chapter 151. (2) “Eligible buyer” means a nonprofit housing provider. (b) Right of first refusal; assignment to eligible buyer. (1) The Vermont Housing and Conservation Board shall have a right of first refusal for
  age-restricted properties as set out in this section. The Board may assign this right
  to an eligible buyer. (2) For any offer made under this section, the Board or its assignee shall contractually
  commit to maintaining any affordability requirements in place for the age-restricted
  property at the time of sale. (c) Content of notice. An owner of age-restricted property shall give to the Board notice by certified mail,
  return receipt requested, of the owner’s intention to sell the age-restricted property.
  The requirements of this section shall not be construed to restrict the price at which
  the owner offers the age-restricted housing for sale. The notice shall state all the
  following: (1) that the owner intends to sell the age-restricted property; (2) the price, terms, and conditions under which the owner offers the age-restricted property
  for sale; (3) that for 60 days following the notice, the owner shall not make a final unconditional
  acceptance of an offer to purchase the age-restricted property and that if within
  the 60 days the owner receives notice pursuant to subsection (d) of this section that
  the Board or its assignee intends to consider purchase of the age-restricted property,
  the owner shall not make a final unconditional acceptance of an offer to purchase
  the age-restricted property for an additional 120 days, starting from the 61st day
  following notice, except one from the Board or its assignee. (d) Intent to negotiate; timetable. The Board or its assignee shall have 60 days following notice under subsection (c)
  of this section in which to determine whether the buyer intends to consider purchase
  of the age-restricted property. During this 60-day period, the owner shall not accept
  a final unconditional offer to purchase the age-restricted property. (e) Response to notice; required action. If the owner receives no notice from the Board or its assignee during the 60-day period
  or if the Board notifies the owner that neither it nor its designee intends to consider
  purchase of the age-restricted property, the owner has no further restrictions regarding
  sale of the age-restricted property pursuant to this section. If, during the 60-day
  period, the owner receives notice in writing that the Board or its assignee intends
  to consider purchase of the age-restricted property, then the owner shall do all the
  following: (1) not accept a final unconditional offer to purchase from a party other than the Board
  or its assignee giving notice under subsection (d) of this section for 120 days following
  the 60-day period, a total of 180 days following the notice under subsection (c); (2) negotiate in good faith with the Board or its assignee giving notice under subsection
  (d) of this section; and (3) consider any offer to purchase from the Board or its assignee giving notice under
  subsection (d) of this section. (f) Exceptions. The provisions of this section do not apply when the sale, transfer, or conveyance
  of the age-restricted property is any one or more of the following: (1) through a foreclosure sale; (2) to a member of the owner’s family or to a trust for the sole benefit of members of
  the owner’s family; (3) among the partners who own the age-restricted property; (4) incidental to financing the age-restricted property; (5) between joint tenants or tenants in common; (6) pursuant to eminent domain; or (7) pursuant to a municipal tax sale. (g) Requirement for new notice of intent to sell. (1) Subject to subdivision (2) of this subsection, a notice of intent to sell issued pursuant
  to subsection (b) of this section shall be valid: (A) for a period of one year from the expiration of the 60-day period following the date
  of the notice; or (B) if the owner has entered into a binding purchase and sale agreement with the Board
  or its assignee within one year from the expiration of the 60-day period following
  the date of the notice, until the completion of the sale of the age-restricted property
  under the agreement or the expiration of the agreement, whichever is sooner. (2) During the period in which a notice of intent to sell is valid, an owner shall provide
  a new notice of intent to sell, consistent with the requirements of subsection (b)
  of this section, prior to making an offer to sell the age-restricted property or accepting
  an offer to purchase the age-restricted property that is either more than five percent
  below the price for which the age-restricted property was initially offered for sale
  or less than five percent above the final written offer from the Board or its assignee. (h) “Good faith.” The Board or its assignee shall negotiate in good faith with the owner for purchase
  of the age-restricted property. (Added 2023, No. 181 (Adj. Sess.), § 109, eff. June 17, 2024.)