1.1 	A bill for an act
1.2 	relating to housing; establishing a resident right of refusal when a manufactured 
1.3 	home park is being sold;amending Minnesota Statutes 2006, sections 327C.095, 
1.4 	subdivisions 6, 7, 9; 327C.096; repealing Minnesota Statutes 2006, section 
1.5 	327C.095, subdivision 8.
1.6 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.7 	Section 1. Minnesota Statutes 2006, section 327C.095, subdivision 6, is amended to 
1.8 	read:
1.9 		Subd. 6.Intent to convert use of park at time of purchase; resident right of first 
1.10 	refusal. (a) Before the execution of an agreement to purchase a manufactured home park, 
1.11 	the purchaser must notify the park owner, in writing, if the purchaser intends to close the 
1.12 	manufactured home park or convert it to another use within one year of the execution of 
1.13 	the agreement. The park owner shall provide a resident of each manufactured home with a 
1.14 	45-day90-day written notice of the purchaser's intent to close the park or convert it to 
1.15 	another use, and offer the park for sale to the residents. The notice must state that the park 
1.16 	owner will provide information on the cash price and the terms and conditions of the 
1.17 	purchaser's offer to residents requesting the information. The notice must be sent by first 
1.18 	class mail to a resident of each manufactured home in the park. The notice period begins 
1.19 	on the postmark date affixed to the notice and ends 4590 days after it begins. 
1.20 	(b) During the notice period required in this subdivision, the following shall have 
1.21 	the right to purchase the park by meeting the cash price and executing an agreement 
1.22 	to purchase the park for the purpose of keeping the park as a manufactured housing 
1.23 	community:
1.24 	(1) the owners of at least 51 percent of the manufactured homes in the park or;
2.1 	(2) a nonprofit organization which has the written permission of the owners of at 
2.2 	least 51 percent of the manufactured homes in the park to represent them in the acquisition 
2.3 	of the park shall have the right to meet the cash price and execute an agreement to purchase 
2.4 	the park for the purposes of keeping the park as a manufactured housing community; or
2.5 	(3) a resident-owned cooperative formed under either chapter 308A or 308B, unless 
2.6 	a majority of the residents object, in writing, to a conversion under either chapter 308A or 
2.7 	308B within 30 days after receipt of notice of an attempt to convert to a cooperative. 
2.8 	(c) The park owner must accept the offer if it meets the cash price and the same 
2.9 	terms and conditions set forth in the purchaser's offer except that the seller is not obligated 
2.10 	to provide owner financing. For purposes of this section, cash price means the cash price 
2.11 	offer or equivalent cash offer as defined in section 500.245, subdivision 1, paragraph (d). 

2.12 	Sec. 2. Minnesota Statutes 2006, section 327C.095, subdivision 7, is amended to read:
2.13 		Subd. 7.Intent to close or convert use of park after purchase. (a) If the purchaser 
2.14 	of a manufactured home park decides to close or convert the park to another use within 
2.15 	one year within three years after the purchase of the park, the purchaser must offer the 
2.16 	park for purchase by the residents of the park, and the residents shall have the right to 
2.17 	purchase the park by meeting the cash price and executing an agreement to purchase the 
2.18 	park. For purposes of this subdivision, the date of purchase is the date of the transfer of 
2.19 	the title to the purchaser. 
2.20 	(b) The purchaser must provide a resident of each manufactured home with a 
2.21 	written notice of the intent to close the park and all of the owners of at least 51 percent 
2.22 	of the manufactured homes in the park or a nonprofit organization which has the written 
2.23 	permission of the owners of at least 51 percent of the manufactured homes in the park 
2.24 	to represent them in the acquisition of the park. The following  shall have 4590 days to 
2.25 	execute an agreement for the purchase of the park at a cash price equal to the original 
2.26 	purchase price paid by the purchaser plus any documented expenses relating to the 
2.27 	acquisition and improvement of the park property, together with any increase in value 
2.28 	due to appreciation of the park:
2.29 	(1) all of the owners of at least 51 percent of the manufactured homes in the park;
2.30 	(2) a nonprofit organization which has the written permission of the owners of at 
2.31 	least 51 percent of the manufactured home in the park to represent them in the acquisition 
2.32 	of the park; or
2.33 	(3) a resident-owned cooperative formed under either chapter 308A or 308B, unless 
2.34 	a majority of the residents object, in writing, to a conversion under either chapter 308A or 
2.35 	308B within 30 days after receipt of notice of an attempt to convert to a cooperative. 
3.1 	(c) The purchaser must execute the purchase agreement at the price specified in this 
3.2 	subdivision and pay the cash price within 90 days of the date of the purchase agreement. 
3.3 	The notice must be sent by first class mail to a resident of each manufactured home in 
3.4 	the park. The notice period begins on the postmark date affixed to the notice and ends 
3.5 	4590 days after it begins.

3.6 	Sec. 3. Minnesota Statutes 2006, section 327C.095, subdivision 9, is amended to read:
3.7 		Subd. 9.Effect of noncompliance. If a manufactured home park is finally sold or 
3.8 	converted to another use in violation of subdivision 6 or 7, the residents do not have any 
3.9 	continuing right to purchase the park as a result of that sale or conversion. A violation 
3.10 	of subdivision 6 or 7 is subject to section 8.31, except that relief shall be limited so that 
3.11 	questions of marketability of title shall not be affected. 

3.12 	Sec. 4. Minnesota Statutes 2006, section 327C.096, is amended to read:
3.13 	327C.096 NOTICE OF SALE AND OPPORTUNITY FOR RESIDENTS TO 
3.14 	PURCHASE.
3.15 		Subdivision 1.Notice of offer of sale. When a park owner offers to sell a 
3.16 	manufactured home park to the public through advertising in a newspaper or by listing 
3.17 	the park with a realtor licensed by the Department of Commerce, the owner must provide 
3.18 	concurrent written notice to a resident of each manufactured home in the park that the 
3.19 	park is being offered for sale. Written notice provided once within a one-year period 
3.20 	satisfies the requirement under this section. The notice provided by the park owner to a 
3.21 	resident of each manufactured home does not grant any property rights in the park and is 
3.22 	for informational purposes only. This section does not apply in the case of a taking by 
3.23 	eminent domain, a transfer by a corporation to an affiliate, a transfer by a partnership to 
3.24 	one or more of its partners, or a sale or transfer to a person who would be an heir of 
3.25 	the owner if the owner were to die intestate. If at any time a manufactured home park 
3.26 	owner receives an unsolicited bona fide offer to purchase the park that the owner intends 
3.27 	to consider or make a counter offer to, the owner is under no obligation to notify the 
3.28 	residents as required under this section.
3.29 		Subd. 2.Opportunity for residents to purchase. A manufactured home park 
3.30 	owner who offers to sell a manufactured home park under subdivision 1 must consider 
3.31 	a bona fide purchase offer from the residents and must negotiate in good faith with the 
3.32 	residents. An owner who accepts a purchase agreement from the residents, nonprofit 
3.33 	organization, or resident-owned cooperative must provide a reasonable period for the 
3.34 	residents to obtain full financing. For the purposes of this subdivision, "residents" means:
4.1 	(1) the owners of at least 51 percent of the manufactured homes in the park;
4.2 	(2) a nonprofit organization that has the written permission of the owners of at least 
4.3 	51 percent of the manufactured homes in the park to represent them in negotiations; or
4.4 	(3) a resident-owned cooperative formed under either chapter 308A or 308B.
4.5 		Subd. 3.Exceptions. This section does not apply in the case of a taking by eminent 
4.6 	domain, a transfer by a corporation to an affiliate, a transfer by a partnership to one or 
4.7 	more of its partners, or a sale or transfer to a person who would be an heir of the owner if 
4.8 	the owner were to die intestate.

4.9 	Sec. 5.  REPEALER.
 4.10 	Minnesota Statutes 2006, section 327C.095, subdivision 8, is repealed.