In recent years, City leaders in New Brighton have undertaken significant discussion on ways to balance the interests of the City, multi-family building owners, and tenants at the time of an ownership transition. New owners oftentimes need to make improvements to buildings to enhance the operation and attractiveness of a property, and the costs for these upgrades are typically passed on to the residents in the form of increased rents. From a tenant's perspective, ownership changes can result in swift and significant amendments to their housing contracts including re-screenings, increased rents, or material changes to the terms of a lease; any of which can have a dramatic impact on the lives of our residents. Ordinance 878, recently approved by the City of New Brighton, establishes a baseline framework of requirements to ensure all interests during an ownership transition are protected.
City Interest: Guarantees that organizations committed to preserving affordable housing have the opportunity to fulfill their mission when buildings with at least 20% affordable units are put up for sale.
Tenant Interest: Ensures that tenants of multi-family buildings in the City receive advanced notice of a potential sale, and establishes thresholds under which tenants are eligible to receive relocation assistance from a building owner if certain actions are taken or if the required notice(s) are not provided.
Owner Interest: Levels the playing field for all sellers and buyers by establishing a clear and consistent framework under which updates to buildings and changes to rent can be implemented.
Below you will find a copy of Ordinance 878 which outlines the specific standards that must be met leading up to, during, and following an ownership transition. This Ordinance was published and went into effect on October 30th, 2020. Any building acquisition after this date is subject to these notification requirements.