Section 14-501 - Definitions.

§ 14-501. Definitions.
 

(a)  In general.- In this subtitle the following words have the meanings indicated. 

(b)  Affordable housing land trust.- "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.- "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.- "Family" means a household consisting of one or more individuals. 

(e)  Low-income family.- "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.- "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.- "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. 
 

[2010, chs. 609, 610.]