Calif. Court Ruling Affects Coastal MHCs

MHProNews has been informed by attorney Robert Coldren about a 6-1 decision handed down by the California Supreme Court Nov. 28, 2012. The court held that an MHC being converted to resident ownership within the Coastal Zone (defined as within 1,000 yards from the mean high tide line) is considered a “development.” As such, it must comply with state law, including the Mello Act, which seeks to preserve affordable housing for persons with low to moderate incomes. Further, the court ruled that local jurisdictions can enforce state laws such as the Coastal Act and the Mello Act. It remains to be seen what impact this will have on MHCs in the long run.

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