Bill Text: NY A06364 | 2019-2020 | General Assembly | Amended


Bill Title: Sets up rules and regulations for the operation of lease-hold retirement communities to provide adequate housing for senior citizens wishing to retire and locate in a lease-hold retirement community; grants owners of homes in lease-hold retirement communities the right to sell their homes by methods common to sales of residential property; requires that owners of lease-hold retirement communities offer owners of homes the option to sign a long-term ninety-nine year lease.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-02-25 - reported referred to codes [A06364 Detail]

Download: New_York-2019-A06364-Amended.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                         6364--A

                               2019-2020 Regular Sessions

                   IN ASSEMBLY

                                      March 7, 2019
                                       ___________

        Introduced by M. of A. THIELE -- read once and referred to the Committee
          on  Aging  -- recommitted to the Committee on Aging in accordance with
          Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered
          reprinted as amended and recommitted to said committee

        AN ACT to amend the real property law, in relation to lease-hold retire-
          ment communities

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  The  real property law is amended by adding a new section
     2  238-b to read as follows:
     3    § 238-b. Lease-hold retirement community. 1. Definitions. As  used  in
     4  this section:
     5    (a) A "lease-hold retirement community" shall mean a contiguous parcel
     6  of  privately  owned  real  property containing two hundred or more lots
     7  which are leased to owners  of  year-round  homes  erected  thereon  and
     8  affixed  thereto  wherein  the  occupation  is restricted to individuals
     9  based on age pursuant to paragraph (h)  of  subdivision  three  of  this
    10  section.
    11    A  "lease-hold  retirement  community" shall not include a mobile home
    12  park, or condominium, as defined in  this  chapter,  a  continuing  care
    13  retirement  community  authorized under article forty-six or forty-six-A
    14  of the public health law, or a cooperative housing  corporation  created
    15  pursuant to the business corporation law.
    16    (b) "Home owner" shall mean one who holds title to a home.
    17    (c)  "Tenant"  shall  mean  one  who  occupies  a home in a lease-hold
    18  retirement community for thirty days or more, and  whose  occupation  of
    19  the  home  in the lease-hold retirement community is known to the lease-
    20  hold retirement community owner or operator.
    21    2. Leases. (a) Any lease-hold retirement community owner  or  operator
    22  shall  offer  every home owner the opportunity to sign a long term lease

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03207-02-0

        A. 6364--A                          2

     1  for ninety-nine years, with an option of the home owner to  cancel  said
     2  lease on ninety days written notice to said owner or operator.
     3    (b)  A  copy of such lease-hold retirement community's rules and regu-
     4  lations, if any, shall be attached to and become a  part  of  the  lease
     5  provided for by this section, as if fully set forth therein.
     6    (c)  No  rules  or  regulations  shall  be inconsistent with the lease
     7  provisions in effect at the commencement of such lease.
     8    (d) A copy of the lease shall be delivered by such lease-hold  retire-
     9  ment  community  owner  or operator to all home owners or tenants at the
    10  time of the first deposit made payable  to  said  lease-hold  retirement
    11  community owner or operator.
    12    3.  Rules  and  regulations.  (a)  The lease-hold retirement community
    13  owner or operator may promulgate rules or regulations governing the rent
    14  and use or occupation of the home lot, provided that such rules or regu-
    15  lations shall not be unreasonable, arbitrary or capricious.
    16    (b) A copy of all rules and regulations  shall  be  delivered  by  the
    17  lease-hold  retirement community owner or operator to all home owners or
    18  tenants at the time of the first deposit made payable to said lease-hold
    19  retirement community owner or operator.
    20    (c) A copy of all rules and regulations shall be posted in a conspicu-
    21  ous public location upon the grounds of the lease-hold retirement commu-
    22  nity.
    23    (d) If a rule or regulation is  not  applied  uniformly  to  all  home
    24  owners  or  tenants,  there  shall be a rebuttable presumption that such
    25  rule or regulation is unreasonable, arbitrary or capricious.
    26    (e) Any rule or regulation which does not conform to the  requirements
    27  of  this section or which has not been supplied or posted as required by
    28  this section, shall not be enforceable.
    29    (f) No rule or regulation may be added, amended, repealed  or  changed
    30  by  the  lease-hold  retirement  community owner or operator without the
    31  written consent of sixty percent of the home owners.
    32    (g) Rules and regulations shall not take  effect  until  supplied  and
    33  posted pursuant to this subdivision.
    34    (h)  Such  rules and regulations may establish a minimum age for indi-
    35  viduals to occupy a home  within  the  lease-hold  retirement  community
    36  subject to any applicable law.
    37    4.  Fees.  (a) No lease-hold retirement community home owner or tenant
    38  shall be charged a fee, charge, or assessment that is not already speci-
    39  fied in their current lease agreement, except for rent,  utilities,  and
    40  fees  for services necessary for the operation of the lease-hold retire-
    41  ment community, unless agreed to by sixty percent of  all  of  the  home
    42  owners, such as for facilities available to the homeowners and tenants.
    43    (b)  All  such charges for rent, utilities, services necessary for the
    44  operation of the lease-hold retirement community, and facilities  avail-
    45  able  to  the  homeowners  and tenants must be reasonably related to the
    46  value of the facility available or the services actually rendered.
    47    (c) A lease-hold retirement community owner  or  operator  must  fully
    48  disclose  all  charges  for  rent, utilities, services necessary for the
    49  operation of the lease-hold retirement community, and facilities  avail-
    50  able to the homeowners and tenants to all home owners at the time of the
    51  first  deposit  made  payable to said community owner or operator. A new
    52  fee, charge, or assessment that is not specified in a homeowner's  lease
    53  agreement  shall  not  be  collectable  until  the lease-hold retirement
    54  community owner or operator provides the homeowner with a  written  copy
    55  detailing such fee, charge, or assessment.

        A. 6364--A                          3

     1    (d)  Failure  on the part of the lease-hold retirement community owner
     2  or operator to fully disclose all charges for rent, utilities,  services
     3  necessary  for the operation of the lease-hold retirement community, and
     4  facilities available to the homeowners and tenants pursuant to paragraph
     5  (c) of this subdivision shall prevent the said community owner or opera-
     6  tor from collecting such charges.
     7    5.  Prohibition.  No lease-hold retirement community owner or operator
     8  shall:
     9    (a) Restrict the purchase  and/or  installation  of  any  commodities,
    10  goods  or  services  by  the  home  owner  or  agent thereof to specific
    11  vendors, including, but not  limited  to,  employees,  agents  or  other
    12  persons  acting  for or on behalf of the lease-hold retirement community
    13  owner or operator.
    14    (b) Restrict the  improvement,  including  but  not  limited  to,  the
    15  installation  of appliances, to any property of the homeowner or tenant,
    16  so long as such improvement is in compliance  with  applicable  building
    17  codes,  other  provisions  of  law, and the rules and regulations of the
    18  lease-hold retirement community.
    19    (c) Restrict the installation, maintenance or repair of  any  property
    20  of  the  home  owner  or  tenant  to specific vendors including, but not
    21  limited to, employees, agents or other persons acting for or  on  behalf
    22  of the lease-hold retirement community owner or operator.
    23    (d) Charge a fee or impose other charges on a home owner or tenant who
    24  chooses  to  install appliances and/or fixtures. This shall not restrict
    25  the ability of the lease-hold retirement community owner or operator  to
    26  collect increased utility charges resulting from the installation of any
    27  appliance or fixture.
    28    (e)  Impose  any  charge  for or restrict the ingress or egress to the
    29  lease-hold retirement community of, any person  employed,  retained,  or
    30  invited by the home owner or tenant.
    31    6. Sale of homes. (a) A lease-hold retirement community owner or oper-
    32  ator  shall  not  place restrictions on the sale of a home in the lease-
    33  hold retirement community.
    34    (b) The right to sell a lease-hold retirement community home  includes
    35  the incidental right to use any and all methods common to sales of resi-
    36  dential property.
    37    (c)  The lease-hold retirement community owner or operator shall enter
    38  into a lease agreement within a reasonable time from the  completion  of
    39  the sale pursuant to subdivision two of this section with the subsequent
    40  purchaser of a home in the lease-hold retirement community.
    41    (d)  The  lease-hold  retirement community owner or operator shall not
    42  exact a commission or fee with respect to  the  price  realized  by  the
    43  seller unless the community owner or operator has acted as agent for the
    44  said home owner in the sale pursuant to a written contract.
    45    7.  (a)  The  lease-hold  retirement  community  owner or operator may
    46  reserve the right to approve any tenants  who  lease  or  sublease  real
    47  property and any improvements thereon from a homeowner within the lease-
    48  hold retirement community.  The lease-hold retirement community owner or
    49  operator  may  only withhold approval if the proposed tenant or proposed
    50  lease or sublease is not in conformity with the  established  rules  and
    51  regulations of such lease-hold retirement community.
    52    (b)  If  a homeowner wishes to lease or sublease real property and any
    53  improvements thereon within a lease-hold retirement community:
    54    (1) The homeowner must  inform  the  lease-hold  retirement  community
    55  owner  or operator no less than thirty days prior to the proposed effec-
    56  tive date of such lease or sublease.

        A. 6364--A                          4

     1    (2) The lease-hold retirement community owner or operator may  request
     2  additional information from the homeowner within ten days. If such addi-
     3  tional  information  is  not  unduly burdensome, failure to provide such
     4  additional information will allow the  lease-hold  retirement  community
     5  owner  or  operator to withhold their approval of the proposed tenant or
     6  proposed lease or sublease.
     7    (3) If the lease-hold retirement community owner or operator does  not
     8  respond  by  approving or withholding approval of the proposed tenant or
     9  proposed lease or sublease within thirty days of the initial request  by
    10  the  homeowner,  the proposed tenant or proposed lease or sublease shall
    11  be deemed approved.
    12    8. Emergencies.  A lease-hold retirement community owner  or  operator
    13  shall  designate  a phone number that is available on a twenty-four hour
    14  basis to insure  the  availability  of  emergency  response  in  matters
    15  affecting  the  health,  safety,  well-being,  and/or general welfare of
    16  lease-hold retirement community tenants.  The telephone number shall  be
    17  posted  in  a  conspicuous  public location in the lease-hold retirement
    18  community, given in writing to each homeowner and tenant, and registered
    19  with appropriate municipal law enforcement, health and fire officials.
    20    9. Retaliation. No lease-hold retirement community owner  or  operator
    21  may  threaten  reprisal  against any of such home owners or tenants as a
    22  result of their lawful pursuits and activities.
    23    10. Refusal to furnish service. Any  lease-hold  retirement  community
    24  owner  or  operator  who  has agreed to provide hot or cold water, heat,
    25  light, power, or any other service or facility to  an  occupant  of  the
    26  lease-hold  retirement  community  shall  not willfully or intentionally
    27  fail to furnish such water, heat,  light,  power  or  other  service  or
    28  facility, or interfere with the quiet enjoyment of the leased premises.
    29    11.  Receipts.  Upon  receipt  of rent, fees, charges or other assess-
    30  ments, in the form of cash or any instrument  other  than  the  personal
    31  check  of  the tenant, it shall be the duty of the lease-hold retirement
    32  community owner or operator to provide the payor with a written  receipt
    33  containing the following:
    34    (a) The date;
    35    (b) The amount;
    36    (c) The identity of the premises and the purpose for which paid; and
    37    (d) The signature and title of the person receiving payment.
    38    12.  Remedies.  (a)  Any lease-hold retirement community home owner or
    39  tenant injured or damaged in whole or in part as a result of a violation
    40  of any of the provisions of this section may bring an action for  recov-
    41  ery  of  actual  damages  plus  reasonable attorney's fees or injunctive
    42  relief as appropriate. The remedy shall be in addition to and shall  not
    43  preclude or diminish any action that an individual may have under common
    44  law or any local, state or federal law or regulation.
    45    (b)  The  county attorney may commence an action to restrain, prevent,
    46  and/or enjoin a violation of this  section  or  a  continuance  of  such
    47  violation of this section or a continuance of such violation by a lease-
    48  hold retirement community owner or operator.
    49    §  2. Separability. If any part or provision of this act or the appli-
    50  cation thereof to a person or circumstance is adjudged  invalid  by  any
    51  court  of competent jurisdiction, such judgment shall be confined in its
    52  operation to the part or the provision or application directly  involved
    53  in  the  controversy in which such judgment shall have been rendered and
    54  shall not affect or impair the validity of the remainder of this act  or
    55  application thereof to other persons or circumstances.

        A. 6364--A                          5

     1    §  3. This act shall take effect on the first of October next succeed-
     2  ing the date on which it shall have become a  law  and  shall  apply  to
     3  sales,  actions,  or  leases  involving  lease-hold retirement community
     4  homes occurring or entered into on or after such date.
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