CA AB569

Exempts limited-equity housing cooperatives and workforce housing cooperative trusts from subdivided land transaction requirements if they meet specified conditions, including compliance with a regulatory agreement that ensures adequate protection of cooperative members' rights.

Authorizes the sale or lease of individual interests in stock cooperatives and limited-equity housing cooperatives subject to blanket encumbrances if prospective purchasers receive notice under Civil Code Section 1133, a public report accounts for the encumbrance, and governing documents establish financing reserves ranging from two to eight months of debt service payments based on sales milestone percentages.

Exempts stock cooperatives with bylaws automatically designating all members and shareholders as directors from Davis-Stirling Common Interest Development Act election procedures for directors.

Modifies Business and Professions Code Sections 11003.4 and 11013.1 and adds Section 11013.6 to provide these regulatory changes for cooperative housing arrangements.

States no reimbursement is required under Article XIII B of the California Constitution because costs result from changes to criminal penalties and definitions.