§ 6237a. Mobile home park closures

(a) At least 18 months prior to the closure of a mobile home park or any mobile home lot that will result in the eviction of a resident or a leaseholder or removal of a mobile home, a park owner shall give notice of the closure to each affected resident or leaseholder and to the Commissioner by certified mail. Upon request, the Commissioner may waive some or all of the 18-month notice period if the closure is necessary to ensure the health, safety, or welfare of park residents. No evictions may be commenced during the 18-month closure period except for nonpayment of rent or a substantial violation of the lease terms.

(b) Prior to issuing a closure notice pursuant to subsection (a) of this section, a park owner shall first issue a notice of intent to sell in accordance with section 6242 of this title that discloses the potential closure of the park. However, if the park owner sends a notice of closure to the residents and leaseholders without first providing the mobile home owners with a notice of intent to sell under section 6242 that discloses the potential closure of the park, then the park owner shall retain ownership of the land for five years after the date the closure notice was provided. If required, the park owner shall record the notice of the five-year restriction in the land records of the municipality in which the park is located. The park owner may apply to the Commissioner for relief from the notice and holding requirements of this subsection if the Commissioner determines that strict compliance is likely to cause undue hardship to the park owner or the leaseholders, or both. This relief shall not be unreasonably withheld.

(c) When a park owner gives notice of intent to sell pursuant to section 6242 of this title, any previous notice of closure and any evictions commenced pursuant to the closure notice are void.

(d) A park owner who gives notice of intent to sell pursuant to section 6242 of this title shall not give notice of closure until after:

(1) at least 45 days after giving notice of intent to sell; and

(2) if applicable, the Commissioner receives notice from the mobile home owners and the park owner that negotiations have ended following the 120-day negotiation period provided in subdivision 6242(c)(1) of this title.

(e) A park owner who closes a mobile home park within five years of providing closure notice by selling the land on which the park was located without complying with subsection (b) of this section shall be liable to the State in the aggregate amount of $10,000.00 or 50 percent of the gain realized by the park owner from the sale, whichever is greater, unless the Commissioner has granted relief from strict compliance pursuant to subsection (b) of this section.

(f) A park owner may bring an action for possession upon the expiration of the 18-month closure notice. The only defense to an action for possession in the case of a park closure is improper notice. (Added 2007, No. 176 (Adj. Sess.), § 59; amended 2011, No. 137 (Adj. Sess.), § 2, eff. May 14, 2012; 2015, No. 97 (Adj. Sess.), § 30.)