EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. *sb0199* SENATE BILL 199 N1 4lr1118 HB 567/23 – ENT (PRE–FILED) CF HB 13 By: Senator Waldstreicher Requested: October 23, 2023 Introduced and read first time: January 10, 2024 Assigned to: Judicial Proceedings Committee Report: Favorable Senate action: Adopted Read second time: February 12, 2024 CHAPTER ______ AN ACT concerning 1 Residential Property – Affordable Housing Land Trusts – Authority to Establish 2 Condominium Regimes 3 FOR the purpose of authorizing a condominium regime to be established on certain 4 property owned by an affordable housing land trust; and generally relating to the 5 authority to establish condominium regimes. 6 BY repealing and reenacting, with amendments, 7 Article – Real Property 8 Section 11–102(a) 9 Annotated Code of Maryland 10 (2023 Replacement Volume) 11 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 12 That the Laws of Maryland read as follows: 13 Article – Real Property 14 11–102. 15 (a) (1) The fee simple owner or lessee under a lease that exceeds 60 years of 16 any property in the State may subject the property to a condominium regime by recording 17 among the land records of the county where the property is located, a declaration, bylaws, 18 and condominium plat that comply with the requirements specified in this title. 19 2 SENATE BILL 199 (2) (i) Notwithstanding the provisions of paragraph (1) of this 1 subsection, a leasehold estate may not be subjected to a condominium regime if it is used 2 for residential purposes unless the State, a county that has adopted charter home rule 3 under Article XI–A of the Maryland Constitution, a municipal corporation, AN 4 AFFORDABLE HOUSING L AND TRUST AS DEFINED IN § 14–501 OF THIS ARTICLE, or, 5 subject to the provisions of subparagraph (ii) of this paragraph, the Washington 6 Metropolitan Area Transit Authority is the owner of the reversionary fee simple estate. 7 (ii) The Washington Metropolitan Area Transit Authority may 8 establish a leasehold estate for a condominium regime that is used for residential purposes 9 under subparagraph (i) of this paragraph if, when the initial term of the lease expires, there 10 is a provision in the lease that allows the lessee to automatically renew the lease for another 11 term. 12 (3) Notwithstanding paragraph (2) of this subsection or any declaration, 13 rule, or bylaw, a developer or any other person may not be prohibited from granting a 14 leasehold estate in an individual unit used for residential purposes. 15 SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 16 October 1, 2024. 17 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.