S.F. No. 4123 Summary

• Prohibits corporate entities, real estate developers, and residential building contractors from purchasing or obtaining interest in class 1a property and converting it into a single rental unit.

• Defines "corporate entity" to include partnerships, corporations, limited liability companies, pension funds, and investment funds, but excludes nonprofit corporations, family trusts, and family limited liability companies with five or fewer related members.

• Allows the Minnesota Housing Finance Agency commissioner to grant exemptions if the exemption aligns with the bill's purpose and does not impact affordable housing availability.

• Requires the commissioner to review exemptions annually and withdraw them if criteria are no longer met, with a report submitted to housing policy committees by October 1 each year.

• Authorizes the attorney general to enforce the prohibition through district court action, with violating entities given one year to divest properties or face forced public sale via foreclosure proceedings.