§ 34-45-8 Offer to sell – Rights offirst refusal. – (a) At or before the time an owner of an existing federally insured or assisteddevelopment or an owner of a development that was federally insured or assistedwithin the preceding two (2) years (1) offers to sell, lease, or otherwisedispose of a development to any person or entity other than those persons orentities listed in § 34-45-7, or prepays any obligation secured by adevelopment, in a manner which would result in either (i) a discontinuance ofthe use of the development as a federally insured or assisted housingdevelopment, or (ii) cause the termination of any use restrictions which applyto the development, or (2) records a declaration of condominium, pursuant tochapter 36.1 of this title, with respect to all or any portion of a federallyinsured or assisted development, he or she shall first provide to each personand entity listed in § 34-45-7 a written copy of a bona fide offer tosell, by registered or certified mail, return receipt requested, and post acopy of the offer of sale in a conspicuous place in common areas of thedevelopment.
(b) Not less than one year prior to terminating any contractsubject to § 34-45-5 of this chapter an owner shall first provide to eachperson and entity listed in § 34-45-7 a written copy of a bona fide offerto sell, by registered or certified mail, return receipt requested, and post acopy of the offer of sale in a conspicuous place in common areas of thedevelopment.
(c) An offer of sale made pursuant to subsections (a) and (b)must contain, at a minimum:
(1) The essential terms of the sale, which shall include, butwhich need not be limited to:
(i) The sale price, which shall be no higher than thedevelopment's fair market value, said value to be based on its higher and bestuse, without affordability restrictions, as determined by the average of two(2) independent appraisals performed by two (2) appraisers qualified to performmulti-family appraisals, with one of said appraisers to be selected from a listof appraisers developed by the corporation;
(ii) The terms of seller financing, if any, including theamount, the interest rate, and the amortization rate thereof;
(iii) The terms of assumable financing, if any, including theamount, the interest rate, and the amortization rate thereof; and
(iv) Proposed improvements to the property to be made by theowner in connection with the sale, or other economic concessions by the ownerin connection with the sale, if any.
(2) A statement that each of the persons listed in §34-45-7 has the right to purchase the development under this chapter, in theorder and according to the priorities established by subsection (c);
(3) A summary of tenants' rights and sources of technicalassistance as contained in a form prescribed by the department. If no such formhas been prescribed by the department, the owner will be deemed in compliancewith this paragraph if the statement refers to this chapter;
(4) A statement that the owner will make available to each ofthe persons listed in § 34-45-7 a floor plan of the development and anitemized list of monthly operating expenses, utility consumption rates, andcapital expenditures within each of the two (2) preceding calendar years,within seven (7) days after receiving a request therefor; and
(5) A statement that the owner will make available to each ofthe persons listed in § 34-45-7 the most recent rent roll, a list oftenants, a list of vacant units, and a statement of the vacancy rate at thedevelopment for each of the two (2) preceding calendar years, within seven (7)days after receiving a request therefor.
(d) If a person or entity other than the persons and entitieslisted in § 34-45-7 offers to purchase, lease, or otherwise acquire afederally insured or assisted development in a manner which would result ineither (1) a discontinuance of the use of the development as a federallyinsured or assisted housing development, or (2) cause the termination of anyuse restrictions which apply to the development, the owner of the developmentshall, before accepting the third-party offer, provide to each person andentity listed in § 34-45-7, by registered mail, return receipt requested,(i) written notice of the pendency and essential terms of the offer, and (ii) abona fide offer to sell the development to those persons and entities listed in§ 34-45-7 upon the same terms and conditions of the third-party offer. Anoffer of sale made pursuant to this subsection must contain, at a minimum, allof the information required of an offer of sale made under subsections (a) and(b). The right of first refusal created under this subsection shall not bedeemed to allow any of the persons or entities listed in § 34-45-7 to varythe terms of any third-party offer made to an owner or to make a counter offerto the owner.
(e) The rights of first refusal created under this sectionare created and conferred in the following order and in accordance with thefollowing priorities: (1) the tenant association of the development, firstpriority; (2) the corporation, second priority; (3) the housing authority ofthe city or town in which the development is located, third priority; and (4)the municipal government of the city or town in which the development islocated, fourth priority.
(f) No right of first refusal shall apply to a governmenttaking by eminent domain or negotiated purchase; a forced sale pursuant to aforeclosure; a transfer by gift, devise, or operation of law; or a sale to aperson who would be included within the table of descent and distribution ifthere were to be a death intestate of an owner.
§ 34-45-8 Offer to sell – Rights offirst refusal. – (a) At or before the time an owner of an existing federally insured or assisteddevelopment or an owner of a development that was federally insured or assistedwithin the preceding two (2) years (1) offers to sell, lease, or otherwisedispose of a development to any person or entity other than those persons orentities listed in § 34-45-7, or prepays any obligation secured by adevelopment, in a manner which would result in either (i) a discontinuance ofthe use of the development as a federally insured or assisted housingdevelopment, or (ii) cause the termination of any use restrictions which applyto the development, or (2) records a declaration of condominium, pursuant tochapter 36.1 of this title, with respect to all or any portion of a federallyinsured or assisted development, he or she shall first provide to each personand entity listed in § 34-45-7 a written copy of a bona fide offer tosell, by registered or certified mail, return receipt requested, and post acopy of the offer of sale in a conspicuous place in common areas of thedevelopment.
(b) Not less than one year prior to terminating any contractsubject to § 34-45-5 of this chapter an owner shall first provide to eachperson and entity listed in § 34-45-7 a written copy of a bona fide offerto sell, by registered or certified mail, return receipt requested, and post acopy of the offer of sale in a conspicuous place in common areas of thedevelopment.
(c) An offer of sale made pursuant to subsections (a) and (b)must contain, at a minimum:
(1) The essential terms of the sale, which shall include, butwhich need not be limited to:
(i) The sale price, which shall be no higher than thedevelopment's fair market value, said value to be based on its higher and bestuse, without affordability restrictions, as determined by the average of two(2) independent appraisals performed by two (2) appraisers qualified to performmulti-family appraisals, with one of said appraisers to be selected from a listof appraisers developed by the corporation;
(ii) The terms of seller financing, if any, including theamount, the interest rate, and the amortization rate thereof;
(iii) The terms of assumable financing, if any, including theamount, the interest rate, and the amortization rate thereof; and
(iv) Proposed improvements to the property to be made by theowner in connection with the sale, or other economic concessions by the ownerin connection with the sale, if any.
(2) A statement that each of the persons listed in §34-45-7 has the right to purchase the development under this chapter, in theorder and according to the priorities established by subsection (c);
(3) A summary of tenants' rights and sources of technicalassistance as contained in a form prescribed by the department. If no such formhas been prescribed by the department, the owner will be deemed in compliancewith this paragraph if the statement refers to this chapter;
(4) A statement that the owner will make available to each ofthe persons listed in § 34-45-7 a floor plan of the development and anitemized list of monthly operating expenses, utility consumption rates, andcapital expenditures within each of the two (2) preceding calendar years,within seven (7) days after receiving a request therefor; and
(5) A statement that the owner will make available to each ofthe persons listed in § 34-45-7 the most recent rent roll, a list oftenants, a list of vacant units, and a statement of the vacancy rate at thedevelopment for each of the two (2) preceding calendar years, within seven (7)days after receiving a request therefor.
(d) If a person or entity other than the persons and entitieslisted in § 34-45-7 offers to purchase, lease, or otherwise acquire afederally insured or assisted development in a manner which would result ineither (1) a discontinuance of the use of the development as a federallyinsured or assisted housing development, or (2) cause the termination of anyuse restrictions which apply to the development, the owner of the developmentshall, before accepting the third-party offer, provide to each person andentity listed in § 34-45-7, by registered mail, return receipt requested,(i) written notice of the pendency and essential terms of the offer, and (ii) abona fide offer to sell the development to those persons and entities listed in§ 34-45-7 upon the same terms and conditions of the third-party offer. Anoffer of sale made pursuant to this subsection must contain, at a minimum, allof the information required of an offer of sale made under subsections (a) and(b). The right of first refusal created under this subsection shall not bedeemed to allow any of the persons or entities listed in § 34-45-7 to varythe terms of any third-party offer made to an owner or to make a counter offerto the owner.
(e) The rights of first refusal created under this sectionare created and conferred in the following order and in accordance with thefollowing priorities: (1) the tenant association of the development, firstpriority; (2) the corporation, second priority; (3) the housing authority ofthe city or town in which the development is located, third priority; and (4)the municipal government of the city or town in which the development islocated, fourth priority.
(f) No right of first refusal shall apply to a governmenttaking by eminent domain or negotiated purchase; a forced sale pursuant to aforeclosure; a transfer by gift, devise, or operation of law; or a sale to aperson who would be included within the table of descent and distribution ifthere were to be a death intestate of an owner.
§ 34-45-8 Offer to sell – Rights offirst refusal. – (a) At or before the time an owner of an existing federally insured or assisteddevelopment or an owner of a development that was federally insured or assistedwithin the preceding two (2) years (1) offers to sell, lease, or otherwisedispose of a development to any person or entity other than those persons orentities listed in § 34-45-7, or prepays any obligation secured by adevelopment, in a manner which would result in either (i) a discontinuance ofthe use of the development as a federally insured or assisted housingdevelopment, or (ii) cause the termination of any use restrictions which applyto the development, or (2) records a declaration of condominium, pursuant tochapter 36.1 of this title, with respect to all or any portion of a federallyinsured or assisted development, he or she shall first provide to each personand entity listed in § 34-45-7 a written copy of a bona fide offer tosell, by registered or certified mail, return receipt requested, and post acopy of the offer of sale in a conspicuous place in common areas of thedevelopment.
(b) Not less than one year prior to terminating any contractsubject to § 34-45-5 of this chapter an owner shall first provide to eachperson and entity listed in § 34-45-7 a written copy of a bona fide offerto sell, by registered or certified mail, return receipt requested, and post acopy of the offer of sale in a conspicuous place in common areas of thedevelopment.
(c) An offer of sale made pursuant to subsections (a) and (b)must contain, at a minimum:
(1) The essential terms of the sale, which shall include, butwhich need not be limited to:
(i) The sale price, which shall be no higher than thedevelopment's fair market value, said value to be based on its higher and bestuse, without affordability restrictions, as determined by the average of two(2) independent appraisals performed by two (2) appraisers qualified to performmulti-family appraisals, with one of said appraisers to be selected from a listof appraisers developed by the corporation;
(ii) The terms of seller financing, if any, including theamount, the interest rate, and the amortization rate thereof;
(iii) The terms of assumable financing, if any, including theamount, the interest rate, and the amortization rate thereof; and
(iv) Proposed improvements to the property to be made by theowner in connection with the sale, or other economic concessions by the ownerin connection with the sale, if any.
(2) A statement that each of the persons listed in §34-45-7 has the right to purchase the development under this chapter, in theorder and according to the priorities established by subsection (c);
(3) A summary of tenants' rights and sources of technicalassistance as contained in a form prescribed by the department. If no such formhas been prescribed by the department, the owner will be deemed in compliancewith this paragraph if the statement refers to this chapter;
(4) A statement that the owner will make available to each ofthe persons listed in § 34-45-7 a floor plan of the development and anitemized list of monthly operating expenses, utility consumption rates, andcapital expenditures within each of the two (2) preceding calendar years,within seven (7) days after receiving a request therefor; and
(5) A statement that the owner will make available to each ofthe persons listed in § 34-45-7 the most recent rent roll, a list oftenants, a list of vacant units, and a statement of the vacancy rate at thedevelopment for each of the two (2) preceding calendar years, within seven (7)days after receiving a request therefor.
(d) If a person or entity other than the persons and entitieslisted in § 34-45-7 offers to purchase, lease, or otherwise acquire afederally insured or assisted development in a manner which would result ineither (1) a discontinuance of the use of the development as a federallyinsured or assisted housing development, or (2) cause the termination of anyuse restrictions which apply to the development, the owner of the developmentshall, before accepting the third-party offer, provide to each person andentity listed in § 34-45-7, by registered mail, return receipt requested,(i) written notice of the pendency and essential terms of the offer, and (ii) abona fide offer to sell the development to those persons and entities listed in§ 34-45-7 upon the same terms and conditions of the third-party offer. Anoffer of sale made pursuant to this subsection must contain, at a minimum, allof the information required of an offer of sale made under subsections (a) and(b). The right of first refusal created under this subsection shall not bedeemed to allow any of the persons or entities listed in § 34-45-7 to varythe terms of any third-party offer made to an owner or to make a counter offerto the owner.
(e) The rights of first refusal created under this sectionare created and conferred in the following order and in accordance with thefollowing priorities: (1) the tenant association of the development, firstpriority; (2) the corporation, second priority; (3) the housing authority ofthe city or town in which the development is located, third priority; and (4)the municipal government of the city or town in which the development islocated, fourth priority.
(f) No right of first refusal shall apply to a governmenttaking by eminent domain or negotiated purchase; a forced sale pursuant to aforeclosure; a transfer by gift, devise, or operation of law; or a sale to aperson who would be included within the table of descent and distribution ifthere were to be a death intestate of an owner.
