California Government Code 62120.7 – An authority causing the rehabilitation, development, or construction …
An authority causing the rehabilitation, development, or construction of replacement dwelling units, other than single-family residences, pursuant to Section 62120, or pursuant to a replacement housing plan as required by Section 62120.5, or pursuant to provisions of a revitalization plan required by Section 62103, primarily for persons of low income, as defined in § 50093 of the Health and Safety Code, shall give preference to those developments that are proposed to be organized as limited-equity housing cooperatives, when so requested as part of the public review, provided the project is achievable in an efficient and timely manner.
The limited-equity housing cooperatives shall, in addition to the provisions of § 817 of the Civil Code, be organized so that the consideration paid for memberships or shares by the first occupants following construction or acquisition by the corporation, including the principal amount of obligations incurred to finance the share or membership purchase, does not exceed 3 percent of the development cost or acquisition cost, or of the fair market value appraisal by the permanent lender, whichever is greater.
Terms Used In California Government Code 62120.7
- Appraisal: A determination of property value.
- Authority: means the Community Revitalization and Investment Authority created pursuant to this division. See California Government Code 62000
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- Plan: means a community revitalization and investment plan and shall be deemed to be the plan described in §. See California Government Code 62000
(Added by Stats. 2015, Ch. 319, Sec. 2. (AB 2) Effective January 1, 2016.)