Landowners; sale of certain property by locality.

Plain English Breakdown

The official source material does not provide details on the sale price setting process or how local governments will determine property eligibility.

Sale of Certain Property by Localities

This law allows local governments to sell certain undeveloped property in subdivisions without homeowners' associations for at least 20 years directly to nearby landowners before a public auction.

What This Bill Does

• Allows local governments to offer tax delinquent property located within an undeveloped common area of a subdivision to adjacent landowners if the subdivision has not had a homeowners' association for at least 20 years and is not part of a designated right-of-way by the locality.
• Requires localities to give notice to adjacent property owners before offering such property for sale.
• Gives local governments the option to sell tax delinquent property directly to nearby landowners prior to any public auction.
• Permits local governments to waive liens, past taxes, penalties, and interest on the property being sold.

Who It Names or Affects

• Local governments that manage real estate in subdivisions.
• Landowners who own property adjacent to undeveloped common areas in certain subdivisions without homeowners' associations for at least 20 years.

Terms To Know

Undeveloped common area

A part of a subdivision that is not built on or used for specific purposes, often intended for shared use by residents.

Homeowners' association (HOA)

An organization in a planned community responsible for managing and maintaining common areas and enforcing rules among homeowners.

Limits and Unknowns

• The bill does not specify what happens if multiple adjacent landowners want to buy the property.
• It is unclear how local governments will determine which properties qualify under this law.
• There are no details on how the sale price of the property will be set.

Official Summary Text

Sale of certain property by locality to adjoining landowners.
Provides that, in addition to the option available under current law, in any instance in which a parcel of real estate is (i) located within an undeveloped common area in a subdivision, (ii) located in a subdivision without a homeowners' association for 20 years or more and not located within a designated right-of-way by the locality, and (iii) tax delinquent, a locality may, after giving notice to adjacent property owners, choose to offer for sale such property, in whole or in part, to adjacent property owners prior to any public auction of such property. Current law requires a parcel of real estate to be (a) located within an undeveloped common area in a subdivision, (b) located in a subdivision with a homeowners' association that has been previously dissolved, and (c) tax delinquent to be offered for sale to adjacent property owners prior to a public auction.

Current Bill Text

A BILL to amend and reenact §
15.2-1800.3
of the Code of Virginia, relating to sale of certain property by locality to adjoining landowners.

Be it enacted by the General Assembly of Virginia:

1. That §
15.2-1800.3
of the Code of Virginia is amended and reenacted as follows:

§
15.2-1800.3
. Sale of certain property by locality to adjoining landowners.

In any instance in which a parcel of real estate is (i) located within an undeveloped common area in a subdivision
,
;
(ii) located in a subdivision
(a)
with a homeowners' association that has been previously dissolved
or (b) without a homeowners' association for
20
years or more and not located within a designated right-of-way by the locality
;
and (iii) tax delinquent, a locality may, after giving at least 30 days of notice to adjacent property owners, choose to offer for sale such tax delinquent property in whole or in part to adjacent property owners prior to any public auction of the tax delinquent property. The locality may waive any liens associated with the property in order to facilitate the sale and may further waive payment of any past taxes, penalties, and interest with regard to any new owner.