Maryland Code § RP-14-501

Section RP-14-501
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(a) In this subtitle the following words have the meanings indicated.
(b) "Affordable housing land trust" means an entity that:
(1) Provides affordable housing to low-income families and
moderate-income families through an affordable housing land trust agreement; and
(2) Is organized or managed by:
(i) A nonprofit organization exempt from taxation under §
501(c)(2), (3), or (4) of the United States Internal Revenue Code; or
(ii) A unit or instrumentality of the State or a political
subdivision of the State.
(c) "Affordable housing land trust agreement" means an agreement
between an affordable housing land trust and a purchaser of real property owned by
the affordable housing land trust, or for which the affordable housing land trust has
a proprietary or reversionary interest, that:
(1) Grants the affordable housing land trust a preemptive right to
purchase or repurchase the property, including any improvements on the property;
(2) Contains language restricting the transfer, lease, sublease,
assignment, or occupancy of the property with regard to:
(i) Potential transferees, sublessees, assignees, or occupants;
and
(ii) The price at which the property may be transferred; or

(3) Imposes other conditions on the use or transfer of the property
that would trigger a reversionary interest and that are designed to ensure that the
property remains available and affordable to low-income families and moderate-
income families.
(d) "Family" means a household consisting of one or more individuals.
(e) "Low-income family" means a household with an income that does not
exceed 80% of the area median income for a household of the same size.
(f) "Moderate-income family" means a household with an income that does
not exceed 140% of the area median income for a household of the same size.
(g) "Nonprofit status" means the recognition by the Internal Revenue
Service that an affordable housing land trust is exempt from taxation under §
501(c)(2), (3), or (4) of the Internal Revenue Code.

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