A communication from Councillor Carlone, submitting draft language on "AN ACT TO PRESERVE AFFORDABLE HOUSING IN THE …

CAMBRIDGE THROUGH A TENANT’S RIGHT TO PURCHASE

SECTION 1. (a) For the purposes of this act, unless the context clearly requires otherwise, the following words shall have the following meanings: “Bona fide offer,” a good faith offer, not dependent upon potential changes to current zoning or conditions or contingencies relating to the potential for, or the potential extent of development of the property for residential, industrial or commercial use, made by a party unaffiliated with the owner for a fixed consideration payable upon delivery of the deed.

The owner shall have the burden of proof to establish that an offer of sale is a bona fide offer.

“Housing accommodation,” a building or buildings, structure or structures, or part thereof, rented or offered for rent for living or dwelling purposes, including, without limitation, houses, apartments, condominium units, cooperative units and other multi- family residential dwellings, but excluding a group residence, homeless shelter, lodging house, orphanage, temporary dwelling structure, transitional housing; publicly-assisted housing as defined in section 1 of chapter 40T of the General Laws, rental units in any hospital, skilled nursing facility, or health facility, public housing units managed by the local housing authority; federal public housing units that are subsidized and regulated under federal laws to the extent such applicable federal laws expressly preempt the provisions of this section, any units held in trust on behalf of a developmentally disabled individual who permanently occupies the unit, or will occupy the unit upon turning 22 years of age, or a unit that is permanently occupied by a developmentally disabled parent, sibling, child, or grandparent of the owner of that unit, and any rental unit that is owned or managed by a college or university for the express purpose of housing students, faculty, or staff.

''Immediate family member'', a spouse, child, step child, adopted child, sibling, step sibling, adopted sibling, parent, step parent, adopted parent, grandparent, or grandchild. “Notice of intended sale,” a written notice in a form approved by the City of Cambridge which shall include: (i) a certified copy of an executed purchase and sale agreement specifying the purchase price and all terms and conditions of the proposed sale, and

which shall be a bona fide offer as defined herein, and (ii) a notice of tenant’s rights provided by this act.

“Owner,” a person, firm, partnership, corporation, trust, organization, limited liability company, or other entity, or its successors or assigns, that holds title to a housing accommodation.

“Registered tenant association,” a group or entity representing at least 51 percent of the households occupying the housing accommodation which has the legal capacity to hold an interest real property, and has delivered a registration statement attesting to same, on a form approved by the City of Cambridge, to the City of Cambridge’s Office of Housing Division and the Office of the City Manager or their designee by hand or by certified mail.

Upon delivering such a statement, which must occur within 45 days after the day following the latest date of deposit in the United States mail of any notice of intended sale which complies with this act, such association shall be the sole representative of the tenants, and any prior notice of intended sale is deemed delivered to such association;

“Sale”, “Sell”, or “Sold,” any conveyance or transfer of an interest in the real property comprising part or all of the housing accommodation, excepting the following: eminent domain takings, mortgage deeds; deeds to or by the city or town in which such land is located; deeds which correct, modify, supplement or confirm a deed previously recorded; deeds between husband and wife and parent and child when no consideration is received; tax deeds; deeds releasing any property which is a security for a debt or other obligation; deeds for division of property between owners without monetary consideration; foreclosures of mortgages and conveyances by the foreclosing parties; deeds made pursuant to a merger of a corporation or by a subsidiary corporation to its parent corporation for no consideration other than the cancellation and surrender of capital stock of such subsidiary which do not change beneficial ownership; property transferred into a revocable trust for no consideration where the grantor is the current beneficiary of the trust; property transferred by the trustee of a revocable trust if the transfer would otherwise be excluded under this act if made by the grantor of the revocable trust; transfer pursuant to court order or court-approved settlement; and property transferred by devise or otherwise as a result of death.

A nonexempt transfer subsequent to any exempt transfer or transfers shall be subject to the provisions of this act. “Tenant,” a person or group of persons entitled to possess or occupy the housing accommodation pursuant to a lease or tenancy at will, the right to occupy having been established for no less than six months at the time of delivery of the notice of intended sale of a housing accommodation.

If the housing accommodation is vacant at the time of delivery of the notice of intended sale a “tenant” shall include such a person or group of persons who had resided in the unit within the time period of twelve months prior to the date on which any advertisement, listing, or public notice is first made that the housing accommodation is for sale, provided that the tenant was not evicted for cause.

(b) Notwithstanding anything to the contrary, this act shall not apply to the following types of housing accommodations: (i) a housing accommodation comprised of 2 separate units each of which is owner-occupied, and (ii) a housing accommodation comprised of 2 separate units one of which is owner-occupied, the other unit of which is occupied by an immediate family member who has resided in said unit for at least 6 months at the time of the sale.

SECTION 2. Tenant Opportunity to Purchase (a) Notwithstanding any general or special law to the contrary, in the City of Cambridge, before a housing accommodation may be sold, the owner shall give a notice of intended sale to each tenant, and to any registered tenant association, of any bona fide offer that the owner intends to accept for such sale. Such notice shall be mailed by regular and certified mail, with a simultaneous copy to the City of

Cambridge’s Housing Division and the Office of the City Manager, or their