Section 2 of this bill provides, with certain exceptions, that: (1) the total aggregate number of units of residential real property in this State that may be purchased in any 1 calendar year by corporations, limited-liability companies and any affiliates of such entities must not exceed 100 units; and (2) a corporation, limited-liability company or affiliate of such an entity is prohibited from purchasing any unit of residential real property in this State if, as a result of the purchase, the total aggregate number of units of residential real property purchased in this State during the current calendar year by any corporations, limited-liability companies and affiliates of such entities would exceed 100 units. Section 2 also requires the Securities Division of the Office of the Secretary of State to create and maintain a registry of corporations, limited-liability companies and any affiliates of such entities that purchase or own residential real property in this State. Section 2 requires, with certain exceptions, a corporation, limited-liability company or any affiliate of such an entity to register with the Securities Division each time before the entity purchases any unit of residential real property in this State. Section 2 exempts from that requirement a corporation, limited-liability company or affiliate of such an entity that owns less than 10 units of residential real property in this State. Section 2: (1) authorizes the Secretary of State to charge a fee to each such corporation, limited-liability company or affiliate of such an entity; and (2) requires the Secretary of State to adopt regulations necessary to carry out the provisions of section 2. For the purposes of section 2, the term “corporation” does not include a family trust company or a housing authority. Section 3.5 of this bill authorizes the Attorney General, upon the request of the Secretary of State, to bring an action against an entity that violates or proposes to violate the provisions of section 2 to obtain an injunction or other equitable relief appropriate to ensure compliance with or enforce the provisions of section 2. Existing law sets forth the requirements for recording certain documents that relate to real property. (NRS 111.312) Section 5 of this bill prohibits a county recorder from filing a deed for a unit of residential real property purchased by a corporation, limited-liability company or affiliate of such an entity unless the entity submits to the county recorder for recording, concurrently with the deed to be recorded, a copy of the certificate of registration for that purchase issued by the Secretary of State pursuant to section 2. Section 5 requires a county recorder to provide to the Secretary of State upon request certain information relating to the requirement imposed by section 2. Section 4 of this bill requires the Secretary of State to adopt regulations establishing requirements for the form and contents of any instrument that creates a life estate. Section 5 prohibits a county recorder from recording a document that is such an instrument unless the document complies with those requirements.

Statutes affected:
As Introduced: 111.312
Reprint 1: 111.312
Reprint 2: 111.312
BDR: 111.312