Bulletin: OR2021002

Date:
January 18, 2021
To:
All Oregon Issuing Offices
RE:
UNDERWRITING - Tenants Right to Purchase Manufactured Dwelling Park or Houseboat Marina

Dear Associates:

It is the policy of the State of Oregon to encourage facility tenants to participate in the housing marketplace by ensuring that technical assistance, financing opportunities, notice of sale of facilities and the option to purchase facilities are made available to tenants who choose to participate in the purchase of a facility. In 2015 the legislature separated the existing statutes pertaining to the sale of mobile home park dwellings and floating home marinas into separate statutes; in 2019 they were combined again. The sale of a Facility, defined as a manufactured dwelling park or marina containing four or more homes/floating homes, is subject to statutes ORS 90.842 to 90.850. 

Per the statute an owner of a facility shall give written notice of the owner’s interest in selling the facility before the owner markets the facility for sale or when the owner receives an offer to purchase that the owner intends to consider, whichever occurs first. 

Notice must be given to:

(a) All tenants of the facility; or

(b) A tenants committee, if there is an existing committee of tenants formed for purposes including the purchase of the facility and with which the owner has met in the 12-month period immediately before delivery of the notice.

(c) The Housing and Community Services Department. 

ORS 90.842 addresses the content of the owner’s notice and the procedures for the tenants to pursue a purchase of the facility. ORS 90.848 addresses exemptions to facility transfer requirements. ORS 90.850 provides for the recording of an affidavit of compliance with the notice requirements. 

An exception for the tenants right to purchase the facility should appear in a title report or commitment that concerns a sale of a manufactured home park or floating home marina with four or more homes/floating homes. Please see sample exception below. The exception may be cleared by recording an Affidavit of Compliance as set out in ORS 90.850. 

Manufactured Home Parks: 

The rights of tenants or a tenants’ committee to purchase a manufactured dwelling park, under ORS 90.842 to 90.850.  

NOTE: The Company will require the recording of an affidavit of compliance, as provided for in ORS 90.850. An appropriate form of affidavit is available upon request. 

Floating Home Marinas: 

The rights of tenants, a tenants’ association or a marina purchase association to purchase a houseboat marina, under ORS 90.842 to 90.850.  

NOTE: The Company will require the recording of an affidavit of compliance, as provided for in ORS 90.850. An appropriate form of affidavit is available upon request.

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
OR Affidavit for Manufactured Dwelling Park or Floating Home Marina Sale