SB1350 SD2

THE SENATE	S.B. NO.	1350
TWENTY-FOURTH LEGISLATURE, 2007		S.D. 2
STATE OF HAWAII

A BILL FOR AN ACT

SECTION 1. Section 201H-47, Hawaii Revised Statutes, is amended by amending subsection (c) to read as follows:

"(c) The corporation may waive the restrictions prescribed in subsection (a) or (b) if:

(1) The purchaser wishes to transfer title to the real property by devise or through the laws of descent to a family member who would otherwise qualify under rules established by the corporation; [or]

(2) The sale or transfer of real property is to an immediate family member of the purchaser who would otherwise qualify under rules established by the corporation; provided that:

(A) The purchaser designates an immediate family member; and

(B) The immediate family member is offered the right of first refusal upon the death of the purchaser;

provided further that as used in this paragraph, "immediate family member" means any grandparent, parent, sibling, spouse, reciprocal beneficiary, or child of the purchaser;

[~~(2)~~] (3) The sale or transfer of the real property would be at a price and upon terms that preserve the intent of this section without the necessity of the State repurchasing the real property; provided that, in this case, the purchaser shall sell the unit or lot and sell or assign the property to a person who is a "qualified resident" as defined in section 201H-32; and provided further that the purchaser shall pay to the corporation its share of appreciation in the unit as determined in rules adopted pursuant to chapter 91, when applicable[.]; or

(4) The sale or transfer is of real property subject to a sustainable affordable lease as defined in section 516-1."

SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 3. This Act shall take effect upon its approval.