Manuf. housing purchases

AN ACT Relating to preserving manufactured housing communities by 1
limiting purchases by certain entities; amending RCW 19.86.140; 2
adding a new chapter to Title 19 RCW; creating a new section; and 3
prescribing penalties. 4
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:5
NEW SECTION. Sec. 1. The legislature finds that manufactured 6
housing plays a key role in the availability of affordable 7
homeownership opportunities in Washington state. The legislature also 8
finds that it has taken steps to help preserve the availability and 9
affordability of rental lots for manufactured homeowners, who are 10
often senior or low-income households. However, the legislature 11
further finds that acquisition of local manufactured housing 12
communities by large investment and business entities is driving 13
local landlords out of business while displacing homeowners with 14
significant increases in rent and fees. Therefore, the legislature 15
intends to prohibit large investment and business entities from 16
purchasing more of the state's existing manufactured housing 17
communities so that our state's residents and families can afford to 18
buy and live in manufactured homes in existing communities.19
H-1004.1
HOUSE BILL 1768
State of Washington 69th Legislature 2025 Regular Session
By Representatives Lekanoff, Bernbaum, Scott, Parshley, Eslick,
Pollet, and Reed
Read first time 01/31/25. Referred to Committee on Housing.
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NEW SECTION. Sec. 2. (1)(a) A business entity may not purchase, 1
acquire, or otherwise obtain an interest in another manufactured 2
housing community or lot if it has an interest in at least:3
(i) Five manufactured housing communities; or 4
(ii) 200 manufactured housing lots in one or more manufactured 5
housing communities. 6
(b) An investment entity may not purchase, acquire, or otherwise 7
obtain an interest in a manufactured housing community or lot.8
(2) A business or investment entity is not subject to the 9
prohibitions in subsection (1) of this section if the entity is:10
(a) An eligible organization as defined in RCW 59.20.030; or11
(b) Acquiring an ownership interest in a manufactured housing 12
community or lot through the development of a new manufactured 13
housing community or lot. 14
(3) The legislature finds that the practices covered by this 15
section are matters vitally affecting the public interest for the 16
purpose of applying the consumer protection act, chapter 19.86 RCW. A 17
violation of this section is not reasonable in relation to the 18
development and preservation of business and is an unfair or 19
deceptive act in trade or commerce and an unfair method of 20
competition for the purpose of applying the consumer protection act, 21
chapter 19.86 RCW. 22
(4) A seller of a manufactured housing community or lot is not 23
liable for any violation of this section. 24
(5) For the purposes of this section: 25
(a) "Business entity" means any association, company, firm, 26
partnership, corporation, limited liability company, limited 27
liability partnership, or other legal entity, and that entity's 28
successors, assignees, or affiliates. "Business entity" does not 29
include an investment entity. 30
(b) "Investment entity" means: 31
(i) A real estate investment trust as defined by any state or 32
federal statute; or 33
(ii) An entity that manages funds pooled from investors and owes 34
a fiduciary to those investors. 35
(c) "Manufactured housing community" means any real property 36
which is rented or held out for rent to others for the placement of 37
two or more mobile homes, manufactured homes, or park models for the 38
primary purpose of production of income, except where such real 39
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property is rented or held out for rent for seasonal recreational 1
purpose only and is not intended for year-round occupancy.2
(d) "Manufactured housing lot" or "lot" means a portion of a 3
manufactured housing community designated as the location of one 4
mobile home, manufactured home, or park model and its accessory 5
buildings, and intended for the exclusive use as a primary residence 6
by the occupants of that mobile home, manufactured home, or park 7
model. 8
Sec. 3. RCW 19.86.140 and 2024 c 256 s 2 are each amended to 9
read as follows: 10
Every person who shall violate the terms of any injunction issued 11
as in this chapter provided, shall forfeit and pay a civil penalty of 12
not more than $125,000. 13
Every person who violates RCW 19.86.030 or 19.86.040 shall pay a 14
civil penalty of up to three times the unlawful gains or loss avoided 15
as a result of each violation. 16
Every person who violates RCW 19.86.020 shall forfeit and pay a 17
civil penalty of not more than $7,500 for each violation: PROVIDED, 18
That nothing in this paragraph shall apply to any radio or television 19
broadcasting station which broadcasts, or to any publisher, printer 20
or distributor of any newspaper, magazine, billboard or other 21
advertising medium who publishes, prints or distributes, advertising 22
in good faith without knowledge of its false, deceptive or misleading 23
character. 24
Every person who violates section 2 of this act shall pay a civil 25
penalty of not more than $100,000 for each violation and sell the 26
property in violation to an independent third party within one year 27
of the date that the court enters the judgment.28
For unlawful acts or practices that target or impact specific 29
individuals or communities based on demographic characteristics 30
including, but not limited to, age, race, national origin, 31
citizenship or immigration status, sex, sexual orientation, presence 32
of any sensory, mental, or physical disability, religion, veteran 33
status, or status as a member of the armed forces, as that term is 34
defined in 10 U.S.C. Sec. 101, an enhanced penalty of $5,000 shall 35
apply. 36
For the purpose of this section the superior court issuing any 37
injunction shall retain jurisdiction, and the cause shall be 38
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continued, and in such cases the attorney general acting in the name 1
of the state may petition for the recovery of civil penalties.2
With respect to violations of RCW 19.86.030 and 19.86.040, the 3
attorney general, acting in the name of the state, may seek recovery 4
of such penalties in a civil action. 5
By December 1, 2022, and every five years thereafter, the office 6
of the attorney general shall evaluate the efficacy of the maximum 7
civil penalty amounts established in this section in deterring 8
violations of the consumer protection act and the difference, if any, 9
between the current penalty amounts and the penalty amounts adjusted 10
for inflation, and provide the legislature with a report of its 11
findings and any recommendations in compliance with RCW 43.01.036.12
NEW SECTION. Sec. 4. Section 2 of this act constitutes a new 13
chapter in Title 19 RCW.14
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