HB 23-1190 Summary

• Grants local governments a right of first refusal to purchase multifamily residential properties (15+ units in urban counties, 5+ units in rural counties) at prices matching third-party offers, for conversion to long-term affordable housing.

• Requires property owners to notify local governments within 14 days of a triggering event demonstrating intent to sell and provide purchase price and terms; local governments have 30 days to make an offer and 60-90 days to close.

• Defines long-term affordable housing as properties where rents do not exceed applicable area median income levels (80% in urban, 120% in rural, 140% in rural resort counties) for a minimum of 100 years, with rent increases capped at inflation or 3 percentage points, whichever is greater.

• Exempts certain sales including transfers to family members, trusts, government entities, foreclosures, and new construction (issued certificate of occupancy within 30 years), plus sales to nonprofit affordable housing providers committing to below-market rents.

• Establishes enforcement through the Attorney General's office with statutory penalties of not less than $50,000 or 30% of purchase price (whichever is greater) for violations; sunsets August 1, 2028.