California 2025-2026 Regular Session

California Senate Bill SB749 Latest Draft

Bill / Amended Version Filed 03/25/2025

                            Amended IN  Senate  March 25, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 749Introduced by Senator AllenFebruary 21, 2025 An act to amend Section 827 of the Civil Code, relating to property. An act to amend Section 798.62 of the Civil Code, and to add Section 65863.15 to the Government Code, relating to housing.LEGISLATIVE COUNSEL'S DIGESTSB 749, as amended, Allen. Lease agreements. Mobilehome parks: closure, cessation, or change of use.The Mobilehome Parks Act provides for the regulation of mobilehomes and related vehicle parks by the Department of Housing and Community Development. The Mobilehome Residency Law governs the terms and conditions of residency in mobilehome parks, and requires management of a mobilehome park to offer the previous homeowner a right of first refusal to a renewed tenancy in the park if the park is destroyed due to a fire or other natural disaster and management elects to rebuild the park in the same location. Existing law defines management to mean the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters relating to a tenancy in the park and previous homeowner to mean a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.This bill would provide that previous homeowners shall receive notice in the same manner as a current homeowner of the mobilehome park according to specified notice provisions, as applicable. The bill would also provide that previous homeowners are not obligated to pay rent during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster.The Planning and Zoning Law requires an owner of an assisted housing development, before the termination of a subsidy contract, the expiration of rental restrictions, or prepayment on an assisted housing development, to provide certain notices of the proposed change to each affected tenant household residing in the assisted housing development and affected public entities, as specified. Existing law defines affected public entities as the mayor or chair of the board of supervisors, as applicable, in which the assisted housing development is located, the appropriate local public housing authority, if any, and the Department of Housing and Community Development.This bill would, at least 12 months and at least 6 months prior to the anticipated date of closure, cessation, or change of use of a mobilehome park, require management of a mobilehome park to provide notices of the proposed change to each affected tenant, prospective tenant, and affected public entities, as provided. The bill would require the Director of Housing and Community Development to approve forms to be used by management to comply with these provisions, and require management to use the approved forms once the director has approved the forms. The bill would provide for injunctive relief to any affected public entity or affected tenant, including a resident organization, as defined, who is aggrieved by a violation of these provisions.The Planning and Zoning Law prohibits an owner from terminating a subsidy contract or prepayment of a mortgage unless the owner or its agent has provided specified entities an opportunity to submit an offer to purchase the development, as specified.This bill would prohibit management of a mobilehome park from pursuing closure, cessation, or change of use of the mobilehome park unless management has provided resident organizations and certain nonprofit organizations and public agencies an opportunity to submit an offer to purchase, according to specified procedures. The bill would require an entity to be certified by the Department of Housing and Community Development to qualify as a purchaser under these provisions, and would require the department to, among various other duties, establish a process for that certification and maintain and update a list of certified entities. The bill would require a qualified entity that elects to purchase the mobilehome park to make a bona fide offer within 270 days of the notice of the opportunity to submit an offer that, among other things, certifies under penalty of perjury that the entity has been certified by the department. By expanding the scope of the crime of perjury, this bill would impose a state-mandated local program. The bill would provide that any affected tenant, resident organization, qualified entity, or affected public entity, as specified, may enforce these provisions either in law or in equity.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason. Existing law authorizes a landlord to increase the rent provided in a lease or rental agreement, as specified, upon giving written notice to the tenant, in accordance with certain procedures.This bill would make nonsubstantive changes to those provisions.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NOYES Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 798.62 of the Civil Code is amended to read:798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.(7) The previous homeowner shall not transfer the right to a renewed tenancy.(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster. (b)(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.SEC. 2. Section 65863.15 is added to the Government Code, immediately following Section 65863.13, to read:65863.15. (a) For purposes of this section, the following definitions apply:(1) Affected public entities means all of the following:(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.(B) The appropriate local public housing authority, if any.(C) The Department of Housing and Community Development.(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.(B) The anticipated date of closure, cessation, or change of use.(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) The anticipated date of closure, cessation, or change of use.(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:(A) The resident organization of the mobilehome park.(B) Local nonprofit organizations and public agencies.(C) Regional or national nonprofit organizations and regional or national public agencies.(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:(i) Itemized lists of monthly operating expenses for the property.(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.(iii) The amount of project property reserves.(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.(v) The most recent rent roll for the property listing the rent paid for each unit.(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:(A) Sell the property to any buyer.(B) Maintain ownership of the property and continue its operation as a mobilehome park.(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).(C) Monitor compliance with this subdivision by owners of mobilehome parks.(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SECTION 1.Section 827 of the Civil Code is amended to read:827.(a)(1)Except as provided in subdivision (b), in all leases of lands or tenements, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may, upon giving notice in writing to the tenant, in the manner prescribed by Section 1162 of the Code of Civil Procedure, change the terms of the lease to take effect, as to tenancies for less than one month, upon the expiration of a period at least as long as the term of the hiring itself, and, as to tenancies from month to month, to take effect at the expiration of not less than 30 days, but if that change takes effect within a rental term, the rent accruing from the first day of the term to the date of that change shall be computed at the rental rate obtained immediately prior to that change; provided, however, that it shall be competent for the parties to provide by an agreement in writing that a notice changing the terms thereof may be given at any time not less than seven days before the expiration of a term, to be effective upon the expiration of the term.(2)The notice, when served upon the tenant, shall in and of itself operate and be effectual to create and establish, as a part of the lease, the terms, rents, and conditions specified in the notice, if the tenant shall continue to hold the premises after the notice takes effect.(b)(1)In all leases of a residential dwelling, commercial real property by a qualified commercial tenant, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may increase the rent provided in the lease or rental agreement, upon giving written notice to the tenant, as follows, by either of the following procedures:(A)Delivering a copy to the tenant personally.(B)Serving a copy by mail under the procedures prescribed in Section 1013 of the Code of Civil Procedure.(2)If the proposed rent increase for that tenant is 10 percent or less of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 30 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.(3)(A)If the proposed rent increase for that tenant is greater than 10 percent of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 90 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.(B)If the proposed rent increase for that tenant is caused by a change in a tenants income or family composition as determined by a recertification required by statute or regulation, the notice shall be delivered at least 30 days before the effective date of the increase as described in paragraph (2), and subparagraph (A) of this paragraph shall not apply.(4)A landlord of a commercial real property shall include in the notice information on the provisions of this subdivision.(5)In all leases for commercial real property by a qualified commercial tenant, a rent increase shall not be effective until the notice period required by this subdivision has expired.(6)Notwithstanding any other provision of law, a violation of this subdivision by a landlord of a commercial real property does not entitle a qualified commercial tenant to civil penalties.(7)For the purposes of this subdivision, the following definitions apply:(A)Commercial real property means all real property in this state, except dwelling units subject to Chapter 2 (commencing with Section 1940) of Title 5 of Part 4 of Division 3, mobilehomes as defined in Section 798.3, and recreational vehicles as defined in Section 799.29.(B)Microenterprise has the same meaning as that term is defined in subdivision (a) of Section 18000 of the Business and Professions Code.(C)Nonprofit organization means any private, nonprofit organization that qualifies under Section 501(c)(3) of the United States Internal Revenue Code of 1986.(D)Qualified commercial tenant means a tenant of commercial real property that meets both of the following requirements:(i)The tenant is a microenterprise, a restaurant with fewer than 10 employees, or a nonprofit organization with fewer than 20 employees.(ii)(I)Subject to subclause (II), the tenant has provided the landlord, within the previous 12 months, a written notice that the tenant is a qualified commercial tenant and a self-attestation regarding the number of employees, at such time the protections under this subdivision come into place.(II)Unless the tenancy is from week to week, month to month, or other period less than a month, the tenant provided the notice and self-attestation described in subclause (I) before or upon execution of the lease, and annually thereafter, at such time the protections under this subdivision come into place.(c)If a state or federal statute, state or federal regulation, recorded regulatory agreement, or contract provides for a longer period of notice regarding a rent increase than that provided in subdivision (a) or (b), the personal service or mailing of the notice shall be in accordance with the longer period.

 Amended IN  Senate  March 25, 2025 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION Senate Bill No. 749Introduced by Senator AllenFebruary 21, 2025 An act to amend Section 827 of the Civil Code, relating to property. An act to amend Section 798.62 of the Civil Code, and to add Section 65863.15 to the Government Code, relating to housing.LEGISLATIVE COUNSEL'S DIGESTSB 749, as amended, Allen. Lease agreements. Mobilehome parks: closure, cessation, or change of use.The Mobilehome Parks Act provides for the regulation of mobilehomes and related vehicle parks by the Department of Housing and Community Development. The Mobilehome Residency Law governs the terms and conditions of residency in mobilehome parks, and requires management of a mobilehome park to offer the previous homeowner a right of first refusal to a renewed tenancy in the park if the park is destroyed due to a fire or other natural disaster and management elects to rebuild the park in the same location. Existing law defines management to mean the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters relating to a tenancy in the park and previous homeowner to mean a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.This bill would provide that previous homeowners shall receive notice in the same manner as a current homeowner of the mobilehome park according to specified notice provisions, as applicable. The bill would also provide that previous homeowners are not obligated to pay rent during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster.The Planning and Zoning Law requires an owner of an assisted housing development, before the termination of a subsidy contract, the expiration of rental restrictions, or prepayment on an assisted housing development, to provide certain notices of the proposed change to each affected tenant household residing in the assisted housing development and affected public entities, as specified. Existing law defines affected public entities as the mayor or chair of the board of supervisors, as applicable, in which the assisted housing development is located, the appropriate local public housing authority, if any, and the Department of Housing and Community Development.This bill would, at least 12 months and at least 6 months prior to the anticipated date of closure, cessation, or change of use of a mobilehome park, require management of a mobilehome park to provide notices of the proposed change to each affected tenant, prospective tenant, and affected public entities, as provided. The bill would require the Director of Housing and Community Development to approve forms to be used by management to comply with these provisions, and require management to use the approved forms once the director has approved the forms. The bill would provide for injunctive relief to any affected public entity or affected tenant, including a resident organization, as defined, who is aggrieved by a violation of these provisions.The Planning and Zoning Law prohibits an owner from terminating a subsidy contract or prepayment of a mortgage unless the owner or its agent has provided specified entities an opportunity to submit an offer to purchase the development, as specified.This bill would prohibit management of a mobilehome park from pursuing closure, cessation, or change of use of the mobilehome park unless management has provided resident organizations and certain nonprofit organizations and public agencies an opportunity to submit an offer to purchase, according to specified procedures. The bill would require an entity to be certified by the Department of Housing and Community Development to qualify as a purchaser under these provisions, and would require the department to, among various other duties, establish a process for that certification and maintain and update a list of certified entities. The bill would require a qualified entity that elects to purchase the mobilehome park to make a bona fide offer within 270 days of the notice of the opportunity to submit an offer that, among other things, certifies under penalty of perjury that the entity has been certified by the department. By expanding the scope of the crime of perjury, this bill would impose a state-mandated local program. The bill would provide that any affected tenant, resident organization, qualified entity, or affected public entity, as specified, may enforce these provisions either in law or in equity.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason. Existing law authorizes a landlord to increase the rent provided in a lease or rental agreement, as specified, upon giving written notice to the tenant, in accordance with certain procedures.This bill would make nonsubstantive changes to those provisions.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NOYES  Local Program: NOYES 

 Amended IN  Senate  March 25, 2025

Amended IN  Senate  March 25, 2025

 CALIFORNIA LEGISLATURE 20252026 REGULAR SESSION

 Senate Bill 

No. 749

Introduced by Senator AllenFebruary 21, 2025

Introduced by Senator Allen
February 21, 2025

 An act to amend Section 827 of the Civil Code, relating to property. An act to amend Section 798.62 of the Civil Code, and to add Section 65863.15 to the Government Code, relating to housing.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

SB 749, as amended, Allen. Lease agreements. Mobilehome parks: closure, cessation, or change of use.

The Mobilehome Parks Act provides for the regulation of mobilehomes and related vehicle parks by the Department of Housing and Community Development. The Mobilehome Residency Law governs the terms and conditions of residency in mobilehome parks, and requires management of a mobilehome park to offer the previous homeowner a right of first refusal to a renewed tenancy in the park if the park is destroyed due to a fire or other natural disaster and management elects to rebuild the park in the same location. Existing law defines management to mean the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters relating to a tenancy in the park and previous homeowner to mean a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.This bill would provide that previous homeowners shall receive notice in the same manner as a current homeowner of the mobilehome park according to specified notice provisions, as applicable. The bill would also provide that previous homeowners are not obligated to pay rent during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster.The Planning and Zoning Law requires an owner of an assisted housing development, before the termination of a subsidy contract, the expiration of rental restrictions, or prepayment on an assisted housing development, to provide certain notices of the proposed change to each affected tenant household residing in the assisted housing development and affected public entities, as specified. Existing law defines affected public entities as the mayor or chair of the board of supervisors, as applicable, in which the assisted housing development is located, the appropriate local public housing authority, if any, and the Department of Housing and Community Development.This bill would, at least 12 months and at least 6 months prior to the anticipated date of closure, cessation, or change of use of a mobilehome park, require management of a mobilehome park to provide notices of the proposed change to each affected tenant, prospective tenant, and affected public entities, as provided. The bill would require the Director of Housing and Community Development to approve forms to be used by management to comply with these provisions, and require management to use the approved forms once the director has approved the forms. The bill would provide for injunctive relief to any affected public entity or affected tenant, including a resident organization, as defined, who is aggrieved by a violation of these provisions.The Planning and Zoning Law prohibits an owner from terminating a subsidy contract or prepayment of a mortgage unless the owner or its agent has provided specified entities an opportunity to submit an offer to purchase the development, as specified.This bill would prohibit management of a mobilehome park from pursuing closure, cessation, or change of use of the mobilehome park unless management has provided resident organizations and certain nonprofit organizations and public agencies an opportunity to submit an offer to purchase, according to specified procedures. The bill would require an entity to be certified by the Department of Housing and Community Development to qualify as a purchaser under these provisions, and would require the department to, among various other duties, establish a process for that certification and maintain and update a list of certified entities. The bill would require a qualified entity that elects to purchase the mobilehome park to make a bona fide offer within 270 days of the notice of the opportunity to submit an offer that, among other things, certifies under penalty of perjury that the entity has been certified by the department. By expanding the scope of the crime of perjury, this bill would impose a state-mandated local program. The bill would provide that any affected tenant, resident organization, qualified entity, or affected public entity, as specified, may enforce these provisions either in law or in equity.The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.This bill would provide that no reimbursement is required by this act for a specified reason. Existing law authorizes a landlord to increase the rent provided in a lease or rental agreement, as specified, upon giving written notice to the tenant, in accordance with certain procedures.This bill would make nonsubstantive changes to those provisions.

The Mobilehome Parks Act provides for the regulation of mobilehomes and related vehicle parks by the Department of Housing and Community Development. The Mobilehome Residency Law governs the terms and conditions of residency in mobilehome parks, and requires management of a mobilehome park to offer the previous homeowner a right of first refusal to a renewed tenancy in the park if the park is destroyed due to a fire or other natural disaster and management elects to rebuild the park in the same location. Existing law defines management to mean the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters relating to a tenancy in the park and previous homeowner to mean a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.

This bill would provide that previous homeowners shall receive notice in the same manner as a current homeowner of the mobilehome park according to specified notice provisions, as applicable. The bill would also provide that previous homeowners are not obligated to pay rent during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster.

The Planning and Zoning Law requires an owner of an assisted housing development, before the termination of a subsidy contract, the expiration of rental restrictions, or prepayment on an assisted housing development, to provide certain notices of the proposed change to each affected tenant household residing in the assisted housing development and affected public entities, as specified. Existing law defines affected public entities as the mayor or chair of the board of supervisors, as applicable, in which the assisted housing development is located, the appropriate local public housing authority, if any, and the Department of Housing and Community Development.

This bill would, at least 12 months and at least 6 months prior to the anticipated date of closure, cessation, or change of use of a mobilehome park, require management of a mobilehome park to provide notices of the proposed change to each affected tenant, prospective tenant, and affected public entities, as provided. The bill would require the Director of Housing and Community Development to approve forms to be used by management to comply with these provisions, and require management to use the approved forms once the director has approved the forms. The bill would provide for injunctive relief to any affected public entity or affected tenant, including a resident organization, as defined, who is aggrieved by a violation of these provisions.

The Planning and Zoning Law prohibits an owner from terminating a subsidy contract or prepayment of a mortgage unless the owner or its agent has provided specified entities an opportunity to submit an offer to purchase the development, as specified.

This bill would prohibit management of a mobilehome park from pursuing closure, cessation, or change of use of the mobilehome park unless management has provided resident organizations and certain nonprofit organizations and public agencies an opportunity to submit an offer to purchase, according to specified procedures. The bill would require an entity to be certified by the Department of Housing and Community Development to qualify as a purchaser under these provisions, and would require the department to, among various other duties, establish a process for that certification and maintain and update a list of certified entities. The bill would require a qualified entity that elects to purchase the mobilehome park to make a bona fide offer within 270 days of the notice of the opportunity to submit an offer that, among other things, certifies under penalty of perjury that the entity has been certified by the department. By expanding the scope of the crime of perjury, this bill would impose a state-mandated local program. The bill would provide that any affected tenant, resident organization, qualified entity, or affected public entity, as specified, may enforce these provisions either in law or in equity.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

 Existing law authorizes a landlord to increase the rent provided in a lease or rental agreement, as specified, upon giving written notice to the tenant, in accordance with certain procedures.



This bill would make nonsubstantive changes to those provisions.



## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 798.62 of the Civil Code is amended to read:798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.(7) The previous homeowner shall not transfer the right to a renewed tenancy.(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster. (b)(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.SEC. 2. Section 65863.15 is added to the Government Code, immediately following Section 65863.13, to read:65863.15. (a) For purposes of this section, the following definitions apply:(1) Affected public entities means all of the following:(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.(B) The appropriate local public housing authority, if any.(C) The Department of Housing and Community Development.(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.(B) The anticipated date of closure, cessation, or change of use.(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) The anticipated date of closure, cessation, or change of use.(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:(A) The resident organization of the mobilehome park.(B) Local nonprofit organizations and public agencies.(C) Regional or national nonprofit organizations and regional or national public agencies.(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:(i) Itemized lists of monthly operating expenses for the property.(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.(iii) The amount of project property reserves.(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.(v) The most recent rent roll for the property listing the rent paid for each unit.(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:(A) Sell the property to any buyer.(B) Maintain ownership of the property and continue its operation as a mobilehome park.(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).(C) Monitor compliance with this subdivision by owners of mobilehome parks.(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.SECTION 1.Section 827 of the Civil Code is amended to read:827.(a)(1)Except as provided in subdivision (b), in all leases of lands or tenements, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may, upon giving notice in writing to the tenant, in the manner prescribed by Section 1162 of the Code of Civil Procedure, change the terms of the lease to take effect, as to tenancies for less than one month, upon the expiration of a period at least as long as the term of the hiring itself, and, as to tenancies from month to month, to take effect at the expiration of not less than 30 days, but if that change takes effect within a rental term, the rent accruing from the first day of the term to the date of that change shall be computed at the rental rate obtained immediately prior to that change; provided, however, that it shall be competent for the parties to provide by an agreement in writing that a notice changing the terms thereof may be given at any time not less than seven days before the expiration of a term, to be effective upon the expiration of the term.(2)The notice, when served upon the tenant, shall in and of itself operate and be effectual to create and establish, as a part of the lease, the terms, rents, and conditions specified in the notice, if the tenant shall continue to hold the premises after the notice takes effect.(b)(1)In all leases of a residential dwelling, commercial real property by a qualified commercial tenant, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may increase the rent provided in the lease or rental agreement, upon giving written notice to the tenant, as follows, by either of the following procedures:(A)Delivering a copy to the tenant personally.(B)Serving a copy by mail under the procedures prescribed in Section 1013 of the Code of Civil Procedure.(2)If the proposed rent increase for that tenant is 10 percent or less of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 30 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.(3)(A)If the proposed rent increase for that tenant is greater than 10 percent of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 90 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.(B)If the proposed rent increase for that tenant is caused by a change in a tenants income or family composition as determined by a recertification required by statute or regulation, the notice shall be delivered at least 30 days before the effective date of the increase as described in paragraph (2), and subparagraph (A) of this paragraph shall not apply.(4)A landlord of a commercial real property shall include in the notice information on the provisions of this subdivision.(5)In all leases for commercial real property by a qualified commercial tenant, a rent increase shall not be effective until the notice period required by this subdivision has expired.(6)Notwithstanding any other provision of law, a violation of this subdivision by a landlord of a commercial real property does not entitle a qualified commercial tenant to civil penalties.(7)For the purposes of this subdivision, the following definitions apply:(A)Commercial real property means all real property in this state, except dwelling units subject to Chapter 2 (commencing with Section 1940) of Title 5 of Part 4 of Division 3, mobilehomes as defined in Section 798.3, and recreational vehicles as defined in Section 799.29.(B)Microenterprise has the same meaning as that term is defined in subdivision (a) of Section 18000 of the Business and Professions Code.(C)Nonprofit organization means any private, nonprofit organization that qualifies under Section 501(c)(3) of the United States Internal Revenue Code of 1986.(D)Qualified commercial tenant means a tenant of commercial real property that meets both of the following requirements:(i)The tenant is a microenterprise, a restaurant with fewer than 10 employees, or a nonprofit organization with fewer than 20 employees.(ii)(I)Subject to subclause (II), the tenant has provided the landlord, within the previous 12 months, a written notice that the tenant is a qualified commercial tenant and a self-attestation regarding the number of employees, at such time the protections under this subdivision come into place.(II)Unless the tenancy is from week to week, month to month, or other period less than a month, the tenant provided the notice and self-attestation described in subclause (I) before or upon execution of the lease, and annually thereafter, at such time the protections under this subdivision come into place.(c)If a state or federal statute, state or federal regulation, recorded regulatory agreement, or contract provides for a longer period of notice regarding a rent increase than that provided in subdivision (a) or (b), the personal service or mailing of the notice shall be in accordance with the longer period.

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. Section 798.62 of the Civil Code is amended to read:798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.(7) The previous homeowner shall not transfer the right to a renewed tenancy.(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster. (b)(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.

SECTION 1. Section 798.62 of the Civil Code is amended to read:

### SECTION 1.

798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.(7) The previous homeowner shall not transfer the right to a renewed tenancy.(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster. (b)(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.

798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.(7) The previous homeowner shall not transfer the right to a renewed tenancy.(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster. (b)(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.

798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.(7) The previous homeowner shall not transfer the right to a renewed tenancy.(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster. (b)(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.



798.62. (a) If a mobilehome park is destroyed as a result of a wildfire or other natural disaster, and management elects to rebuild the park at the same location, management shall offer a renewed tenancy in the rebuilt mobilehome park to all previous homeowners in accordance with the following:

(1) The offer of renewed tenancy shall be on substantially the same terms as the previous homeowners rental agreement that was in existence at the time of the wildfire or other natural disaster. However, management may adjust terms in the previous rental agreement to reflect costs and expenses to rebuild the park that were incurred from the time of the disaster until management received a final certificate of occupancy for all spaces in the park. These costs and expenses may include, but are not limited to, costs associated with demolition, reconstruction, and environmental remediation, as well as taxes and interest expenses.

(2) Management shall provide the previous homeowner, upon request, a statement listing the costs and expenses incurred in rebuilding the park and how the costs and expenses relate to the adjustment of terms in the rental agreement.

(3) The offer shall include an application to accept the renewed tenancy, the terms of the renewed tenancy, the deposit required to secure the renewed tenancy, and a clear statement of when the offer expires.

(4) Management shall send each previous homeowner the offer by certified mail, at least 240 days before the park is reopened, to the last postal address for the previous homeowner known to management, which may be the previous homeowners former address within the park. If management has an email address or telephone number for the previous homeowner, management shall additionally attempt to notify the homeowner of the offer by those means.

(5) A previous homeowner may accept the offer by submitting, within 60 days from the date the homeowner receives the offer, the application and required deposit to secure the renewed tenancy to management and sign a rental agreement. If the previous homeowner fails to accept the offer within this time period, then the previous homeowners right to a renewed tenancy under this section is deemed forfeited.

(6) Management shall process applications for renewed tenancy on a first-come-first-served basis.

(7) The previous homeowner shall not transfer the right to a renewed tenancy.

(b) Previous homeowners shall receive notice pursuant to Sections 65863.7 and 65863.15 of the Government Code and any notice provisions under the Mobilehome Residency Law (Chapter 2.5 (commencing with Section 798) of Title 2 of Part 2 of Division 2 of the Civil Code) and the Mobilehome Parks Act (Part 2.1 (commencing with Section 18200) of Division 13 of the Health and Safety Code), as applicable, in the same manner as a current homeowner of the mobilehome park.

(c) Previous homeowners are not obligated to pay rent for their tenancy in a mobilehome park during the time at which they are unable to live in the mobilehome park following a wildfire or other natural disaster.

(b)



(d) For purposes of this section, previous homeowner means a homeowner with a valid tenancy in a mobilehome park at the time of a wildfire or other natural disaster.

SEC. 2. Section 65863.15 is added to the Government Code, immediately following Section 65863.13, to read:65863.15. (a) For purposes of this section, the following definitions apply:(1) Affected public entities means all of the following:(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.(B) The appropriate local public housing authority, if any.(C) The Department of Housing and Community Development.(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.(B) The anticipated date of closure, cessation, or change of use.(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) The anticipated date of closure, cessation, or change of use.(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:(A) The resident organization of the mobilehome park.(B) Local nonprofit organizations and public agencies.(C) Regional or national nonprofit organizations and regional or national public agencies.(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:(i) Itemized lists of monthly operating expenses for the property.(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.(iii) The amount of project property reserves.(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.(v) The most recent rent roll for the property listing the rent paid for each unit.(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:(A) Sell the property to any buyer.(B) Maintain ownership of the property and continue its operation as a mobilehome park.(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).(C) Monitor compliance with this subdivision by owners of mobilehome parks.(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.

SEC. 2. Section 65863.15 is added to the Government Code, immediately following Section 65863.13, to read:

### SEC. 2.

65863.15. (a) For purposes of this section, the following definitions apply:(1) Affected public entities means all of the following:(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.(B) The appropriate local public housing authority, if any.(C) The Department of Housing and Community Development.(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.(B) The anticipated date of closure, cessation, or change of use.(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) The anticipated date of closure, cessation, or change of use.(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:(A) The resident organization of the mobilehome park.(B) Local nonprofit organizations and public agencies.(C) Regional or national nonprofit organizations and regional or national public agencies.(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:(i) Itemized lists of monthly operating expenses for the property.(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.(iii) The amount of project property reserves.(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.(v) The most recent rent roll for the property listing the rent paid for each unit.(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:(A) Sell the property to any buyer.(B) Maintain ownership of the property and continue its operation as a mobilehome park.(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).(C) Monitor compliance with this subdivision by owners of mobilehome parks.(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.

65863.15. (a) For purposes of this section, the following definitions apply:(1) Affected public entities means all of the following:(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.(B) The appropriate local public housing authority, if any.(C) The Department of Housing and Community Development.(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.(B) The anticipated date of closure, cessation, or change of use.(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) The anticipated date of closure, cessation, or change of use.(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:(A) The resident organization of the mobilehome park.(B) Local nonprofit organizations and public agencies.(C) Regional or national nonprofit organizations and regional or national public agencies.(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:(i) Itemized lists of monthly operating expenses for the property.(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.(iii) The amount of project property reserves.(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.(v) The most recent rent roll for the property listing the rent paid for each unit.(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:(A) Sell the property to any buyer.(B) Maintain ownership of the property and continue its operation as a mobilehome park.(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).(C) Monitor compliance with this subdivision by owners of mobilehome parks.(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.

65863.15. (a) For purposes of this section, the following definitions apply:(1) Affected public entities means all of the following:(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.(B) The appropriate local public housing authority, if any.(C) The Department of Housing and Community Development.(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.(B) The anticipated date of closure, cessation, or change of use.(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:(A) The anticipated date of closure, cessation, or change of use.(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:(A) The resident organization of the mobilehome park.(B) Local nonprofit organizations and public agencies.(C) Regional or national nonprofit organizations and regional or national public agencies.(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:(i) Itemized lists of monthly operating expenses for the property.(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.(iii) The amount of project property reserves.(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.(v) The most recent rent roll for the property listing the rent paid for each unit.(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:(A) Sell the property to any buyer.(B) Maintain ownership of the property and continue its operation as a mobilehome park.(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).(C) Monitor compliance with this subdivision by owners of mobilehome parks.(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.



65863.15. (a) For purposes of this section, the following definitions apply:

(1) Affected public entities means all of the following:

(A) The mayor of the city in which the mobilehome park is located, or, if located in an unincorporated area, the chair of the board of supervisors of the county.

(B) The appropriate local public housing authority, if any.

(C) The Department of Housing and Community Development.

(2) Affected tenant means a homeowner, as defined in Section 798.9 of the Civil Code, who has tenancy in a mobilehome park at the time notice is required to be provided pursuant to this section.

(3) Management means the owner of a mobilehome park or an agent or representative authorized to act on their behalf in connection with matters related to the mobilehome park.

(4) Offer to purchase means an offer from a qualified or nonqualified entity that is nonbinding on management.

(5) Qualified entity means an entity that the Department of Housing and Community Development has certified as a qualified purchaser pursuant to paragraph (3) of subdivision (c).

(6) Resident organization means a group of tenants who have formed a nonprofit corporation, cooperative corporation, or other entity or organization.

(b) (1) At least 12 months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:

(A) A statement that the owner intends to close, cease operations, or change the use of the mobilehome park.

(B) The anticipated date of closure, cessation, or change of use.

(C) A statement that a subsequent notice of the proposed change will be provided at least six months prior to the anticipated date of closure, cessation, or change of use.

(D) A statement that the notice of opportunity to submit an offer to purchase, pursuant to subdivision (c), has been sent to qualified entities, is attached to or included in the notice, and is posted in the common area of the mobilehome park.

(2) At least six months prior to the anticipated date of closure, cessation, or change of use, management shall provide a notice of the proposed change to each affected tenant and to the affected public entities. The notice shall contain all of the following:

(A) The anticipated date of closure, cessation, or change of use.

(B) A statement that a copy of the notice will be sent to the city, county, or city and county, where the mobilehome park is located, to the appropriate local public housing authority, if any, and to the Department of Housing and Community Development.

(C) The name and telephone number of the city, county, or city and county, the appropriate local public housing authority, if any, the Department of Housing and Community Development, and a legal services organization that can be contacted to request additional written information about an owners responsibilities and the rights and options of an affected tenant.

(D) In addition to the information provided in the notice to the affected tenant, the notice to the affected public entities shall contain information regarding the number of affected residents in the project, the number of spaces that are rent controlled or rent stabilized, and the ages and income of the affected tenants. The notice shall briefly describe the owners plans for the park, including any timetables or deadlines for actions to be taken and specific governmental approvals that are required to be obtained, the reason the owner seeks closure, cessation, or change of use, and any contacts management has made or is making with other governmental agencies or other interested parties in connection with the notice. The information contained in the notice shall be based on data that is reasonably available from existing written tenant and park records.

(3) The owner proposing the closure, cessation, or change of use shall provide additional notice of any significant changes to the notice required by paragraph (2) within seven business days to each affected tenant and to the affected public entities. For purposes of this paragraph, significant changes includes, but is not limited to, any changes to the date of closure, cessation, or change of use.

(4) This subdivision does not require management to obtain or acquire additional information that is not contained in the existing tenant and mobilehome park records, or to update any information in the mobilehome parks records. Management shall not be held liable for any inaccuracies contained in these records or from other sources, and management shall not be liable to any party for providing this information.

(5) (A) For purposes of this subdivision, service of the notice to the affected tenants shall be made by first-class mail postage prepaid.

(B) For purposes of this subdivision, service of notice to the city, county, or city and county, the appropriate local public housing authority, if any, and the Department of Housing and Community Development shall be made by either first-class mail postage prepaid or electronically to any public entity that has provided an email address for that purpose.

(6) Any management who is subject to the requirements of this subdivision shall also provide a copy of any notices issued to affected tenant households pursuant to this subdivision to any prospective tenant at the time the prospective tenant is interviewed for eligibility.

(7) The Director of Housing and Community Development shall approve forms to be used by management to comply with paragraphs (1), (2), and (6). Once the director has approved the forms, management shall use the approved forms to comply with paragraphs (1), (2), and (6).

(8) Injunctive relief shall be available to any affected public entity or affected tenant, including, but not limited to, a group of affected tenants that meets the requirements of a resident organization, who is aggrieved by a violation of this subdivision. In a judicial action brought pursuant to this paragraph, the court may award attorneys fees and costs to a prevailing plaintiff.

(c) (1) Owners of a mobilehome park shall not pursue closure, cessation, or change of use unless management has provided each qualified entity an opportunity to submit an offer to purchase the development, in compliance with paragraph (4).

(2) An entity is not eligible to be certified as a qualified entity pursuant to paragraph (3) unless it is any of the following:

(A) The resident organization of the mobilehome park.

(B) Local nonprofit organizations and public agencies.

(C) Regional or national nonprofit organizations and regional or national public agencies.

(3) (A) The Department of Housing and Community Development shall establish a process for certifying an entity listed in paragraph (2) as a qualified entity based on demonstrated relevant prior experience in California and current capacity, as capable of operating the housing and related facilities for its remaining useful life, either by itself or through an agent.

(B) The Department of Housing and Community Development shall maintain and update annually a list of entities that are certified pursuant to this paragraph.

(4) If the owner decides to pursue closure, cessation, or change of use, or otherwise dispose of the mobilehome park pursuant to this section, management shall first give notice of the opportunity to offer to purchase to each qualified entity in accordance with paragraph (5), as well as to those qualified entities that directly contact management. The notice of the opportunity to offer to purchase shall be given before or concurrently with the notice required pursuant to subdivision (b) for a period of at least 12 months. Management shall contact the department to obtain the list of qualified entities. The notice shall conform to the requirements of paragraph (5) and shall be sent to the entities by registered or certified mail, return receipt requested. Management shall also post a copy of the notice in a conspicuous place in the common area of the mobilehome park.

(5) The initial notice of a bona fide opportunity to submit an offer to purchase shall contain all of the following:

(A) A statement that each of the type of entities listed in paragraph (2), or any combination thereof, has the right to purchase the development under this subdivision.

(B) A statement that management will make available to each of the types of entities listed in paragraph (2), within 15 business days of receiving a request therefor, that includes all of the following:

(i) Itemized lists of monthly operating expenses for the property.

(ii) Capital improvements, as determined by the management, made within each of the two preceding calendar years at the park.

(iii) The amount of project property reserves.

(iv) Copies of the two most recent financial and physical inspection reports on the property, if any, filed with a federal, state, or local agency.

(v) The most recent rent roll for the property listing the rent paid for each unit.

(vi) A statement of the vacancy rate at the property for each of the two preceding calendar years.

(vii) The terms of assumable financing, if any, and proposed improvements to the property to be made by the management in connection with the sale, if any.

(C) A statement that management has satisfied all notice requirements pursuant to subdivision (a), unless the notice of opportunity to submit an offer to purchase is delivered more than 12 months before the anticipated date of closure, cessation, or change of use.

(6) If a qualified entity elects to purchase a mobilehome park, it shall make a bona fide offer to purchase the development at the market value determined pursuant to paragraph (7), subject to the requirements of this subdivision. A qualified entitys bona fide offer to purchase shall be submitted within 270 days of the notice of the opportunity to submit an offer pursuant to paragraph (4), identify whether it is a resident organization, nonprofit organization, public agency, or profit-motivated organizations or individuals, and certify, under penalty of perjury, that it is qualified pursuant to paragraph (3). If management has received a bona fide offer from one or more qualified entities within the first 270 days from the date of an owners bona fide notice of the opportunity to submit an offer to purchase, management shall notify the Department of Housing and Community Development of all such offers within 90 days and accept a bona fide offer from a qualified entity to purchase and execute a purchase agreement.

(7) The market value of the property shall be determined by negotiation and agreement between the parties. If the parties fail to reach an agreement regarding the market value, the market value shall be determined by an appraisal process initiated by managements receipt of the bona fide offer, which shall specifically reference the appraisal process provided by this paragraph as the means for determining the final purchase price. Either the owner or the qualified entity, or both, may request that the fair market value of the propertys highest and best use, based on current zoning, be determined by an independent appraiser qualified to perform mobilehome park appraisals, who shall be selected and paid by the requesting party. All appraisers shall possess qualifications equivalent to those required by the members of the Appraisal Institute and shall be certified by the Department of Housing and Community Development as having sufficient experience in appraising comparable properties in California. If the appraisals differ by less than 5 percent, the market value and sales price shall be set at the higher appraised value. If the appraisals differ by more than 5 percent, the parties may elect to have the appraisers negotiate a mutually agreeable market value and sales price, or to jointly select a third appraiser, whose determination of market value and the sales price shall be binding.

(8) If management does not receive a bona fide offer from one or more qualified entities within the 270 days specified in paragraph (6), or if after the 270 days specified in paragraph (6) all bona fide offers are withdrawn, management may do any of the following:

(A) Sell the property to any buyer.

(B) Maintain ownership of the property and continue its operation as a mobilehome park.

(C) Pursue closure, cessation, or change of use of the mobilehome park pursuant to the requirements of this section, and all other applicable laws.

(9) The Department of Housing and Community Development shall undertake the following responsibilities and duties:

(A) Maintain a form containing a summary of rights and obligations under this subdivision and make that information available to owners of mobilehome parks as well as to resident organizations, local nonprofit organizations, regional or national nonprofit organizations, public agencies, and other entities with an interest in preserving the states mobilehome parks.

(B) Upon receipt of a notice of intent under subdivision (a), make the list of qualified entities created pursuant to paragraph (3) available to the management proposing the closure, cessation, or change of use. If the department does not make the list available at any time, management agent shall only be required to send a written copy of the opportunity to submit an offer to purchase notice to the qualified entities which directly contact management and to post a copy of the notice in the common area pursuant to paragraph (4).

(C) Monitor compliance with this subdivision by owners of mobilehome parks.

(D) Refer violations of this subdivision to the Attorney General for appropriate enforcement action.

(10) (A) The provisions of this subdivision may be enforced either in law or in equity by any affected tenant, any qualified entity entitled to exercise the opportunity to purchase and right of first refusal under this section, a group of affected tenants that meets the requirements of a resident organization, or any affected public entity that has been adversely affected by an owners failure to comply with this subdivision. In any judicial action brought pursuant to this paragraph, the court may waive any bond requirement and may award attorneys fees and costs to a prevailing plaintiff.

(B) Management may rely on the statements, claims, or representations of any person or entity that the person or entity is a qualified entity as specified in paragraph (2), unless management has actual knowledge that the purchaser is not a qualified entity.

(C) If the person or entity is not an entity as specified in paragraph (2), that fact, in the absence of actual knowledge as described in subparagraph (B), shall not give rise to any claim against management for a violation of this subdivision.

(11) It is the intent of the Legislature that the provisions of this subdivision are in addition to, but not preemptive of, applicable federal laws governing the sale or other disposition of a development that would result in a discontinuance of its use as a mobilehome park.

(12) The Department of Housing and Community Development shall comply with any obligations under this subdivision through the use of standards, forms, and definitions adopted by the department. The department may review, adopt, amend, and repeal the standards, forms, or definitions to implement this subdivision. Any standards, forms, or definitions adopted to implement this subdivision shall not be subject to Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2.

SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

SEC. 3. No reimbursement is required by this act pursuant to Section 6 of Article XIIIB of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIIIB of the California Constitution.

### SEC. 3.





(a)(1)Except as provided in subdivision (b), in all leases of lands or tenements, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may, upon giving notice in writing to the tenant, in the manner prescribed by Section 1162 of the Code of Civil Procedure, change the terms of the lease to take effect, as to tenancies for less than one month, upon the expiration of a period at least as long as the term of the hiring itself, and, as to tenancies from month to month, to take effect at the expiration of not less than 30 days, but if that change takes effect within a rental term, the rent accruing from the first day of the term to the date of that change shall be computed at the rental rate obtained immediately prior to that change; provided, however, that it shall be competent for the parties to provide by an agreement in writing that a notice changing the terms thereof may be given at any time not less than seven days before the expiration of a term, to be effective upon the expiration of the term.



(2)The notice, when served upon the tenant, shall in and of itself operate and be effectual to create and establish, as a part of the lease, the terms, rents, and conditions specified in the notice, if the tenant shall continue to hold the premises after the notice takes effect.



(b)(1)In all leases of a residential dwelling, commercial real property by a qualified commercial tenant, or of any interest therein, from week to week, month to month, or other period less than a month, the landlord may increase the rent provided in the lease or rental agreement, upon giving written notice to the tenant, as follows, by either of the following procedures:



(A)Delivering a copy to the tenant personally.



(B)Serving a copy by mail under the procedures prescribed in Section 1013 of the Code of Civil Procedure.



(2)If the proposed rent increase for that tenant is 10 percent or less of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 30 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.



(3)(A)If the proposed rent increase for that tenant is greater than 10 percent of the rental amount charged to that tenant at any time during the 12 months before the effective date of the increase, either in and of itself or when combined with any other rent increases for the 12 months before the effective date of the increase, the notice shall be delivered at least 90 days before the effective date of the increase, and subject to Section 1013 of the Code of Civil Procedure if served by mail.



(B)If the proposed rent increase for that tenant is caused by a change in a tenants income or family composition as determined by a recertification required by statute or regulation, the notice shall be delivered at least 30 days before the effective date of the increase as described in paragraph (2), and subparagraph (A) of this paragraph shall not apply.



(4)A landlord of a commercial real property shall include in the notice information on the provisions of this subdivision.



(5)In all leases for commercial real property by a qualified commercial tenant, a rent increase shall not be effective until the notice period required by this subdivision has expired.



(6)Notwithstanding any other provision of law, a violation of this subdivision by a landlord of a commercial real property does not entitle a qualified commercial tenant to civil penalties.



(7)For the purposes of this subdivision, the following definitions apply:



(A)Commercial real property means all real property in this state, except dwelling units subject to Chapter 2 (commencing with Section 1940) of Title 5 of Part 4 of Division 3, mobilehomes as defined in Section 798.3, and recreational vehicles as defined in Section 799.29.



(B)Microenterprise has the same meaning as that term is defined in subdivision (a) of Section 18000 of the Business and Professions Code.



(C)Nonprofit organization means any private, nonprofit organization that qualifies under Section 501(c)(3) of the United States Internal Revenue Code of 1986.



(D)Qualified commercial tenant means a tenant of commercial real property that meets both of the following requirements:



(i)The tenant is a microenterprise, a restaurant with fewer than 10 employees, or a nonprofit organization with fewer than 20 employees.



(ii)(I)Subject to subclause (II), the tenant has provided the landlord, within the previous 12 months, a written notice that the tenant is a qualified commercial tenant and a self-attestation regarding the number of employees, at such time the protections under this subdivision come into place.



(II)Unless the tenancy is from week to week, month to month, or other period less than a month, the tenant provided the notice and self-attestation described in subclause (I) before or upon execution of the lease, and annually thereafter, at such time the protections under this subdivision come into place.



(c)If a state or federal statute, state or federal regulation, recorded regulatory agreement, or contract provides for a longer period of notice regarding a rent increase than that provided in subdivision (a) or (b), the personal service or mailing of the notice shall be in accordance with the longer period.