Bill Text: IL HB5584 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Mobile Home Landlord and Tenant Rights Act. Creates a process if a mobile home park owner attempts to change the use of a mobile home park. Requires the park owner to submit a relocation plan for tenants who may be dislocated by the change and also creates a process for the tenants through their homeowners organization to buy the park. Provides that the change of use that is sought may not be approved until the park owner submits a relocation plan. Requires relocation assistance for a mobile home park with more than 10 sites to be paid to each household equaling the amount of rent for the premises, excluding taxes and utilities, paid for the 12 months immediately preceding the date the tenant vacates the premises. Exempts certain sales of the mobile home park to include, but not be limited to, foreclosure, sale to a park owner's family member, or a sale between joint tenants or tenants in common. Provides that if a park owner receives an offer to buy the park, acceptance of that offer shall be conditioned on the purchaser filing an affidavit, recorded in the land records in the county in which the property is located, affirming that: (i) the purchaser will allow continued use of the land as a mobile home park for 5 years after closing; and (ii) rent for a lot on the property will not increase by more than 10% per year for the first 3 years after the sale is complete. Provides that a purchaser's failure to file this affidavit starts a process for the homeowners association of the tenants to have an opportunity to buy the mobile home park under this Act under terms substantially similar to the proposed sale price of the mobile home park. Makes other changes.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2024-04-05 - Rule 19(a) / Re-referred to Rules Committee [HB5584 Detail]

Download: Illinois-2023-HB5584-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB5584 Introduced , by Rep. Hoan Huynh SYNOPSIS AS INTRODUCED:
765 ILCS 745/3 from Ch. 80, par. 203
765 ILCS 745/25.1 new
765 ILCS 745/25.2 new
765 ILCS 745/25.3 new
765 ILCS 745/25.4 new
765 ILCS 745/25.5 new
765 ILCS 745/25.6 new
Amends the Mobile Home Landlord and Tenant Rights Act. Creates a process if a mobile home park owner attempts to change the use of a mobile home park. Requires the park owner to submit a relocation plan for tenants who may be dislocated by the change and also creates a process for the tenants through their homeowners organization to buy the park. Provides that the change of use that is sought may not be approved until the park owner submits a relocation plan. Requires relocation assistance for a mobile home park with more than 10 sites to be paid to each household equaling the amount of rent for the premises, excluding taxes and utilities, paid for the 12 months immediately preceding the date the tenant vacates the premises. Exempts certain sales of the mobile home park to include, but not be limited to, foreclosure, sale to a park owner's family member, or a sale between joint tenants or tenants in common. Provides that if a park owner receives an offer to buy the park, acceptance of that offer shall be conditioned on the purchaser filing an affidavit, recorded in the land records in the county in which the property is located, affirming that: (i) the purchaser will allow continued use of the land as a mobile home park for 5 years after closing; and (ii) rent for a lot on the property will not increase by more than 10% per year for the first 3 years after the sale is complete. Provides that a purchaser's failure to file this affidavit starts a process for the homeowners association of the tenants to have an opportunity to buy the mobile home park under this Act under terms substantially similar to the proposed sale price of the mobile home park. Makes other changes.
LRB103 38689 JRC 68826 b
A BILL FOR
HB5584 LRB103 38689 JRC 68826 b
AN ACT concerning civil law.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 1. This Act may be referred to as the Manufactured
Housing Modernization Act of 2024.
Section 5. The Mobile Home Landlord and Tenant Rights Act
is amended by changing Section 3 and by adding Sections 25.1,
25.2, 25.3, 25.4, 25.5, and 25.6 as follows:
(765 ILCS 745/3) (from Ch. 80, par. 203)
Sec. 3. Definitions. Unless otherwise expressly defined,
all terms in this Act shall be construed to have their
ordinarily accepted meanings or such meaning as the context
therein requires.
(a) "Person" means any legal entity, including but not
limited to, an individual, firm, partnership, association,
trust, joint stock company, corporation or successor of any of
the foregoing.
(b) "Manufactured home" means a factory-assembled,
completely integrated structure designed for permanent
habitation, with a permanent chassis, and so constructed as to
permit its transport, on wheels temporarily or permanently
attached to its frame, and is a movable or portable unit that

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is (i) 8 body feet or more in width, (ii) 40 body feet or more
in length, and (iii) 320 or more square feet, constructed to be
towed on its own chassis (comprised of frame and wheels) from
the place of its construction to the location, or subsequent
locations, at which it is connected to utilities for
year-round occupancy for use as a permanent habitation, and
designed and situated so as to permit its occupancy as a
dwelling place for one or more persons, and specifically
includes a "manufactured home" as defined in subdivision (53)
of Section 9-102 of the Uniform Commercial Code. The term
shall include units containing parts that may be folded,
collapsed, or telescoped when being towed and that may be
expected to provide additional cubic capacity, and that are
designed to be joined into one integral unit capable of being
separated again into the components for repeated towing. The
term excludes campers and recreational vehicles. The words
"mobile home" and "manufactured home" are synonymous for the
purposes of this Act.
(c) "Mobile Home Park" or "Park" means a tract of land or 2
contiguous tracts of land that contain sites with the
necessary utilities for 5 or more mobile homes or manufactured
homes. A mobile home park may be operated either free of charge
or for revenue purposes.
(d) "Park Owner" means the owner of a mobile home park and
any person authorized to exercise any aspect of the management
of the premises, including any person who directly or

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indirectly receives rents and has no obligation to deliver the
whole of such receipts to another person.
(e) "Tenant" means any person who occupies a mobile home
rental unit for dwelling purposes or a lot on which he parks a
mobile home for an agreed upon consideration.
(f) "Rent" means any money or other consideration given
for the right of use, possession and occupancy of property, be
it a lot, a mobile home, or both.
(g) "Master antenna television service" means any and all
services provided by or through the facilities of any closed
circuit coaxial cable communication system, or any microwave
or similar transmission services other than a community
antenna television system as defined in Section 11-42-11 of
the Illinois Municipal Code.
(h) "Authority having jurisdiction" means the Illinois
Department of Public Health or a unit of local government
specifically authorized by statute, rule, or ordinance to
enforce this Act or any other statute, rule, or ordinance
applicable to the mobile home park or manufactured home
community.
(i) "Managing agent" means any person or entity
responsible for the operation, management, or maintenance of a
mobile home park or manufactured home community.
(j) "Homeowners organization" means an incorporated or
unincorporated organization, including a cooperative housing
corporation that: (i) represents the interests of the tenants

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in mobile home park; (ii) is open to all tenants residing in
the park; (iii) is controlled by the members of the
organization; and (iv) is comprised of tenants who lease or
rent at least 75% of the lots in the park.
(Source: P.A. 98-749, eff. 7-16-14; 98-1062, eff. 1-1-15;
99-78, eff. 7-20-15.)
(765 ILCS 745/25.1 new)
Sec. 25.1. Mobile home park relocation.
(a) When a mobile home park owner submits an application
for a change in the land use of a park, the owner shall submit,
as part of the application, a relocation plan for park tenants
who will be dislocated as a result of the change.
(b) If a mobile home park owner does not submit a
relocation plan for the park tenants or does not comply with
the terms of an approved plan, the mobile home park owner is in
default of the plan and the application for change of land use
submitted under subsection (a) of this Section may not be
approved until the owner submits and complies with a plan.
(c) A relocation plan for park tenants shall include:
(1) A complete list of park tenants, including
household sizes, addresses, and contact information for
them;
(2) A relocation calendar or timeline and written
monthly updates on the progress of the relocation;
(3) If the plan is for closing a park with more than 10

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sites, a budget reflecting the amount of relocation
assistance allocated by the mobile home park owner to be
given to each household as described in subsection (h) of
this Section;
(4) A description of the requirement that a tenant
provide written notice of the tenant's intention to vacate
the park and the timetable for the owner to pay relocation
assistance, as provided under subsection (h-5) of this
Section;
(5) A list of area mobile home parks with vacancies;
and
(6) A list of area companies that relocate mobile
homes.
(d) If a mobile home park owner undertakes a reasonable,
good faith inquiry to obtain the information required under
subsection (c) and the information in the relocation plan is
based on the owner's reasonable, good faith inquiry, the owner
shall not incur any liability and may not be estopped from
obtaining possession of the premises because of a failure to
provide accurate information in the relocation plan.
(e) A relocation plan may not require, as a condition of
approval by the authority having jurisdiction of the plan or
the change in land use submitted under subsection (a) of this
Section, that:
(1) Relocation assistance be paid unless the mobile
home park owner sends a notice of park closure to each

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tenant;
(2) The amount of relocation assistance exceeds
the
amount described in subsection (h) of this Section;
(3) Except as provided in subsection (h) of this
Section, any amount of relocation assistance be paid to a
tenant before possession of the premises is returned to
the owner; or
(4) The park owner assures the relocation of any
tenant.
(f) If any park owner rescinds a notice of park closure,
the owner is not required to pay relocation assistance after
the date the notice of rescission is sent to the tenants.
(g) A park owner is not required to pay relocation
assistance to any potential tenant who, after receiving
written notice of the application for change in land use or
written notice of park closure, signs an agreement to rent
premises in the park.
(h) If a mobile home park with more than 10 sites is
closed, the relocation assistance paid to each household shall
equal the amount of rent for the premises, excluding taxes and
utilities, paid for the 12 months immediately preceding the
date the tenant vacates the premises.
(h-5) The relocation assistance shall be paid in the
following manner:
(1) One-half of the relocation assistance shall be
paid to a tenant within 30 days after the mobile home park

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owner receives written notice of:
(A) The tenant's intention to vacate the park; and
(B) The date on which the tenant will return
possession of the premises to the park owner; and
(2) One-half of the relocation assistance shall be
paid to a tenant within 30 days after the tenant returns
possession of the premises to the owner.
(i) If a tenant fails to return possession of the premises
by removing the mobile home from the premises on or before the
date specified in the tenant's notice of intention to vacate,
the tenant shall forfeit the balance of any relocation
assistance due unless the park owner agrees in writing to a
different date.
(j) The local governing body of the county or municipal
corporation in which a mobile home park is located may provide
additional relocation assistance to tenants.
(k) A mobile home park owner is not responsible for any
payments made under subsection (j).
(765 ILCS 745/25.2 new)
Sec. 25.2. Applicability; exemptions.
(a) The requirements of this Act apply separately to each
substantially different offer to sell or to purchase a mobile
home park.
(b) This Act does not apply to the potential sale of a
mobile home park if:

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(1) A mortgagee, grantee, or other secured party has
foreclosed on the mobile home park and the mortgagee,
grantee, or secured party is selling the mobile home park:
(A) At a foreclosure sale; or
(B) After purchasing the mobile home park at a
foreclosure sale;
(2) The park owner is selling the mobile home park to:
(A) A family member of the park owner; or
(B) A trust whose beneficiaries are family members of
the park owner;
(3) The park owner is a partnership, limited liability
company, or similar business entity and the sale is to one
or more of the partners or members of the business entity;
(4) The conveyance of an interest in the mobile home park
is incidental to the financing of the mobile home park;
(5) The sale of the mobile home park is between joint
tenants or tenants in common;
(6) The sale of the mobile home park is a result of the
exercise of the power of eminent domain;
(7) The sale of the mobile home park involves a merger,
recapitalization, or similar transaction where:
(A) At least one of the park owners before the
transaction remains an owner after the transaction;
and
(B) The park owner files an affidavit, recorded in the
land records in the county in which the property is

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located, affirming that the park owner will allow
continued use of the land as a mobile home park for at
least 6 months after the date the transaction is
finalized; or
(8) The sale of the mobile home park involves:
(A) A like-kind exchange; or
(B) A sale of more than one home in the park to a
single purchaser.
(765 ILCS 745/25.3 new)
Sec. 25.3. Purchase of a mobile home park.
(a) If a park owner receives an offer to purchase the park,
acceptance of that offer shall be conditioned on the purchaser
filing an affidavit, recorded in the land records in the
county in which the property is located, affirming that:
(1) The purchaser will allow continued use of the land
as a mobile home park for 5 years after the date the
purchase is finalized; and
(2) Rent for a lot on the property will not increase by
more than 10% per year for the first 3 years after the date
the purchase is finalized.
(b) If the purchaser fails to file an affidavit in
accordance with subsection (a) of this Section, acceptance by
the park owner of the offer to purchase the park shall be
conditioned on the park owner:
(1) Providing notice of the terms of the offer or the

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contract that the park owner has conditionally accepted
to:
(A) Each tenant in the mobile home park;
(B) The Illinois Housing Development Authority;
and
(C) The authority having jurisdiction; and
(2) Providing the tenants with the opportunity to
purchase the mobile home park in accordance with Section
25.4 of this Act.
(c) The notice required under subsection (b) of this
Section shall:
(1) Be posted in a public area of the mobile home park;
(2) Be sent by registered or certified mail to the
homeowners organization; and
(3) Include the following information:
(A) The price and material terms and conditions of
the offer that the park owner has conditionally
accepted for the sale of the mobile home park with
copies of any documents evidencing the price and terms
and conditions;
(B) A statement indicating that the tenants,
through a homeowners organization, may purchase the
mobile home park by submitting an offer within 60 days
of the mailing date of the notice, containing
substantially similar material terms to the offer that
the park owner has conditionally accepted; and

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(C) The list of organizations and county housing
agencies required under subsection (g) of Section
25.4.
(4) The price and terms and conditions stated in the
notice to the tenants must be universal and applicable to
all potential buyers and may not be specific to the
tenants or their assignees.
(5) Within 10 days after the date on which the park
owner provides notice required under this Section, the
park owner shall make available to the homeowners
organization the same information that the park owner
provided or would have provided to other prospective
purchasers.
(6) The park owner is not liable to any party to a real
estate transaction for a violation of this Section.
(765 ILCS 745/25.4 new)
Sec. 25.4. Allowance for homeowners organization to
purchase the park.
(a) On notice of the intent to sell a mobile home park in
accordance with Section 25.3 of this Act, a homeowners
organization may offer to purchase the mobile home park by:
(1) Providing documentation to the park owner
indicating that at least 75% of the members of the
homeowners organization who reside in the mobile home
park, with one vote per home, have voted to purchase the

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mobile home park;
(2) Notifying the park owner of the intent to purchase
the mobile home park; and
(3) Submitting to the park owner a proposed agreement
to purchase the mobile home park that includes terms
substantially similar to the terms included in the sales
notice provided under Section 25.3
of this Act.
(b) The homeowners organization shall send the notice of
intent to purchase the mobile home park and the proposed
agreement required under subsection (a) of this Section to the
park owner by registered or certified mail.
(c) If the homeowner organization submits a proposed
agreement to purchase the mobile home park in accordance
within the 60-day period identified in this Section, the park
owner shall consider the offer in good faith, which shall
include a duty not to act to scuttle the proposed agreement,
not to arbitrarily or capriciously refuse to proceed with
negotiations, and not to engage in misconduct or dishonesty in
the negotiations.
(c-5) After the expiration of the 60 days identified in
this Section, a park owner may not be required to consider
additional offers from the homeowners organization.
(d) If the mobile home park owner and the homeowners
organization enter into an agreement for the sale of the
mobile home park, unless the parties agree to an alternative
period of time, the homeowners organization shall have not

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more than 105 days after the date of the agreement to obtain
financing and close on the purchase.
(e) If the homeowners organization does not obtain
financing for the purchase or the parties fail to close on the
purchase within the time period prescribed in subsection (d)
of this Section, the park owner has complied with the owner's
obligations under this Section.
(f) A homeowners organization may assign its rights under
this Act to a local government, housing authority, nonprofit
with expertise relating to housing, or the State or an agency
of the State, for the purpose of continuing the use of the
property as a mobile home park that will provide affordable
housing.
(g) The Illinois Housing Development Authority shall
maintain on its website a list of organizations and county
housing agencies available to assist tenants with financing
for the purchase of a mobile home park.
(765 ILCS 745/25.5 new)
Sec. 25.5. Notice of affidavit. A park owner who files an
affidavit under Section 25.2 of this Act or a purchaser who
files an affidavit as required under Section 25.3 of this Act
shall, not more than 30 days after the date of the sale:
(1) Provide notice of the affidavit to each tenant in
the mobile home park by first-class mail; and
(2) Post a copy of the affidavit in a public area of

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the mobile home park.