(310 ILCS 60/3) (from Ch. 67 1/2, par. 1153)
Sec. 3. Definitions. As used in this Act:
(a) "IHDA" means the Illinois Housing Development Authority.
(b) (Blank).
(c) (Blank).
(d) "Owner" means the person, partnership, or corporation that
holds title to an assisted housing development.
(e) "Assisted housing" or "assisted housing development" means a rental
housing
development, or a mixed use development that includes rental housing, that receives government assistance under any of the following
programs:
(1) New construction, substantial rehabilitation, |
| moderate rehabilitation, property disposition and loan management set-aside programs, or any other program providing project-based rental assistance, under Section 8 of the United States Housing Act of 1937, as amended.
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(2) The Below-Market-Interest-Rate Program under
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| Section 221(d)(3) of the National Housing Act.
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(3) Section 236 of the National Housing Act.
(4) Section 202 of the National Housing Act.
(5) Programs for rent supplement assistance under
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| Section 101 of the Housing and Urban Development Act of 1965, as amended.
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(6) Programs under Section 514 or 515 of the Housing
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(7) Section 42 of the Internal Revenue Code.
(f) "Tenant" means a tenant, subtenant, lessee, sublessee or other
person entitled to possession, occupancy or benefits of a rental unit
within the assisted housing.
(g) "Tenant Association" means an association, corporation or other
organization that represents at least a majority of the tenants in the
assisted housing building.
(h) "Prepayment" means the payment in full or refinancing of the
federally insured or federally held mortgage indebtedness prior to its
original maturity date, or the voluntary cancellation of mortgage
insurance, on an assisted housing development described in paragraph
(2), (3), or (4) of subsection (e) that would have the effect of
removing the affordability restrictions applicable to the assisted housing development under the programs described in paragraph (2), (3), or (4) of subsection (e).
(i) "Termination" means:
(1) the expiration or early termination of an
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| assisted housing development's participation in a federal subsidy program for assisted housing described in paragraph (1) of subsection (e), or
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(2) the expiration or early termination of an
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| assisted housing development's affordability restrictions described in Section 42(g) of the Internal Revenue Code for assisted housing described in paragraph (7) of subsection (e), when that event results in an increase in tenant rents, a change in the form of subsidy from project-based to tenant-based, or a change in use of the assisted housing development to a use other than rental housing.
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(j) "Affected public entities" means: the mayor of the city in
which the assisted housing development is located or, if the
development is located in an unincorporated area, the chairperson of
the county board; the public
housing authority in whose jurisdiction the assisted housing development is located, if any; and IHDA.
(k) "Affordability restrictions" means limits on rents that owners may charge for occupancy of a rental unit in assisted housing and limits on tenant income for persons or families seeking to qualify as tenants in assisted housing.
(Source: P.A. 93-727, eff. 7-14-04.)
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(310 ILCS 60/4) (from Ch. 67 1/2, par. 1154)
Sec. 4. Notice of intent to sell.
(a) An owner may not sell or otherwise dispose of
assisted housing, complete prepayment, or complete a termination
unless, not less than 12 months before the prepayment, termination, sale, or
disposal, the owner submits to all tenants of the assisted
housing and to all affected public entities a notice of intent to
complete prepayment, complete termination, sell, or otherwise dispose
of the property.
(a-5) Every notice required under subsection (a) must include the address
of
the
assisted housing, characteristics of the property including the number of
units, and the
names and addresses of the owners. The notice must also include the date on
which
the
owner intends to sell, lease, complete prepayment, complete termination, or otherwise dispose of the property, as well as a detailed list of affordability restrictions applicable to the property.
IHDA shall adopt rules concerning the content, format, delivery, and
publication of such
notices.
(b) Within 60 days after the date of the owner's notice pursuant to
subsection (a), the tenants may notify the owner that they have formed a
Tenant Association meeting the requirements of this Act and shall designate
the name of its representative or representatives in the notice.
The Tenant Association may enter into an agreement with a not-for-profit
corporation or private purchaser in which the not-for-profit
corporation or private purchaser agrees to represent the residents and
maintain the development in a manner that preserves the housing development's
existing affordability restrictions or that would qualify the housing development as affordable housing as defined in the Illinois Affordable Housing Act. The agreement must set forth the minimum length of time that the affordability restrictions will be in effect. The Tenant Association and individual tenants in the assisted housing shall each have the right to bring an action for specific performance or other injunctive relief for enforcement of the agreement, and the agreement must contain provisions to this effect along with such other remedies for breach as the Tenant Association and the not-for-profit corporation or private purchaser may agree. Once such an agreement is entered into, the
not-for-profit corporation or private purchaser shall assume all rights and
responsibilities attributed to the Tenant Association under this Act.
(Source: P.A. 93-727, eff. 7-14-04.)
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(310 ILCS 60/5) (from Ch. 67 1/2, par. 1155)
Sec. 5. Offer for sale to Tenant Association. Within 60 days after the
Tenant Association has complied with the
requirements of Section 4, the owner shall, before selling, leasing, completing prepayment, completing termination, or
otherwise disposing of the
property, provide to the Tenant Association a
bona fide offer for sale of the property which shall contain the essential
terms of the sale, including, at a minimum, the following: the
sales price; the terms of seller financing, if any, including the amount,
the interest rate, and amortization rate thereof; the terms of assumable
financing, if any, including the amount, the interest rate, and the
amortization rate thereof; and proposed improvements, if any, to the
property to be made by the owner in connection with the sale.
(Source: P.A. 93-727, eff. 7-14-04.)
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