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HOUSE BILL 426
57
TH LEGISLATURE
-
STATE
OF
NEW
MEXICO
-
FIRST SESSION
,
2025
INTRODUCED BY
Cristina Parajón and Marian Matthews and Antonio Maestas
and Andrea Romero and Sarah Silva
AN ACT
RELATING TO PROPERTY; ENACTING A NEW SECTION OF THE MOBILE HOME
PARK ACT TO REQUIRE NOTICE BEFORE THE SALE OF A MOBILE HOME
PARK; CREATING AN OPPORTUNITY TO PURCHASE.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
SECTION 1. A new section of the Mobile Home Park Act is
enacted to read:
"[NEW MATERIAL] SALE OF A MOBILE HOME PARK--NOTICE
REQUIREMENTS--OPPORTUNITY TO PURCHASE.--
A. All notices pursuant to this section shall:
(1) be in writing;
(2) be sent by first-class certified mail with
tracking and return receipt requested;
(3) be posted on the front door of each
resident household in the mobile home park;
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(4) include the material terms, conditions and
amount of the offer; and
(5) include notice of the residents' rights as
provided in this section.
B. Before a mobile home park may be sold, the owner
shall notify each resident household of the mobile home park
and the executive director of the New Mexico mortgage finance
authority of any bona fide offer for a sale that the owner
intends to accept.
C. The residents shall have the opportunity to
purchase the mobile home park before the owner can accept the
bona fide third-party offer to purchase if at least fifty-one
percent of the residents:
(1) submit to the owner documentation to
verify that the residents have approved the purchase of the
mobile home park, including a proposed purchase and sale
agreement on substantially equivalent terms and conditions of
the bona fide third-party offer, within ninety days of receipt
of notice of the offer sent to residents;
(2) obtain a binding commitment for any
necessary financing or guarantees within an additional ninety
days after execution of the purchase and sale agreement; and
(3) close on the purchase within an additional
ninety days after the end of the ninety-day period provided in
Paragraph (2) of this subsection.
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D. An owner shall not refuse to enter into or delay
the execution or closing on a purchase and sale agreement with
residents who have made a bona fide offer to meet the price and
substantially equivalent terms and conditions of the third-
party offer. A failure by the residents to submit a purchase
and sale agreement within the first ninety-day period, to
obtain a binding commitment for financing within the second
ninety-day period or to close on the purchase within the third
ninety-day period shall terminate the residents' opportunity to
purchase. The residents and the owner may extend any of the
time periods provided in this section by agreement.
E. If the residents submit a proposed purchase and
sale agreement that the owner does not consider to be
substantially equivalent in price or in the terms and
conditions of the third-party offer, the owner shall negotiate
with the residents in good faith to determine if an agreement
can be made that would allow the residents to purchase the
mobile home park. The duty of good faith includes a duty to
make the same information available to residents that the owner
has provided or would have provided to the third-party offeror
or another prospective purchaser. If the owner rejects the
residents' proposed purchase agreement, the owner must provide
a good faith reason in writing to the residents within three
days of the date of rejection. It shall be presumptive
evidence of bad faith if an owner attempts to, or does, require
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the residents to waive any of their rights.
F. Nothing in this section shall be construed to
require an owner to provide financing to residents, except to
the extent that financing would be provided to the third-party
offeror. The residents who have the opportunity to purchase
the mobile home park as provided in this section may assign
that opportunity to purchase.
G. The opportunity to purchase created in this
section shall inure to the residents beginning on the date that
notice was received by the residents. Any new offer to sell or
purchase the mobile home park shall initiate a new effective
period for the opportunity to purchase. No opportunity to
purchase shall interfere with a government taking by eminent
domain or negotiated purchase.
H. An owner who has accepted a bona fide purchase
and sale agreement shall record an affidavit with the county
clerk of any county where the mobile home park is located
certifying compliance with the requirements of this section.
The affidavit shall include copies of the certified mail
receipts for the notice required by this section. A recorded
affidavit shall be presumptive evidence of compliance with this
section and shall attach to the deed. A failure to record an
affidavit shall be presumptive evidence of noncompliance with
this section.
I. If the residents have submitted a proposed
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purchase and sale agreement that is substantially equivalent in
its terms and conditions to an offer made by a bona fide third
party to an owner, the residents may record an affidavit with
the county clerk of any county where the mobile home park is
located certifying that an offer has been made to the owner by
the residents.
J. The provisions of this section shall apply to
all counties and municipalities, including home rule
municipalities.
K. An owner who sells a mobile home park and who
has not complied with the provisions of this section shall be
liable to the residents who possessed the opportunity to
purchase. The liability of the owner shall be in the amount of
one hundred thousand dollars ($100,000) or twenty percent of
the appraised value of the mobile home park, whichever is
greater. The liability owed to the residents by the owner
shall be a lien on the property and shall take priority over a
third-party buyer's interest. For the purposes of this
subsection, residents who possessed the opportunity to purchase
shall select a real estate appraiser licensed pursuant to the
Real Estate Appraisers Act and the owner shall be liable for
the reasonable cost of the appraisal.
L. An action to enforce the provisions of this
section may be brought by:
(1) the attorney general;
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(2) a resident or residents who possess the
opportunity to purchase; or
(3) a person who has been assigned the
opportunity to purchase.
M. Residents who prevail in an action brought to
enforce this section shall be entitled to receive reasonable
attorney fees and court costs from the owner."
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