The bill H.306 aims to prohibit deed restrictions or covenants on properties zoned for commercial or industrial uses if such restrictions prevent or effectively prevent the use of the property for its intended commercial or industrial purposes. Specifically, the bill amends 27 V.S.A. § 545 to include new provisions that invalidate any deed restrictions or covenants added after July 1, 2025, that would restrict the use of commercial or industrial properties. Additionally, the bill clarifies that existing property interests held by qualified organizations or state agencies, including conservation easements and housing subsidy covenants, will not be affected by these new restrictions.

Furthermore, the bill establishes an effective date of July 1, 2025, for these changes to take place. This legislative move is intended to enhance the usability of commercial and industrial properties in Vermont, ensuring that they can be developed and utilized in accordance with their zoning designations without undue restrictions.

Statutes affected:
As Introduced: 27-545