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ARIZONA STATE SENATE

Fifty-Sixth Legislature, Second Regular Session

 

FACT SHEET FOR h.b. 2009

 

subdivisions; acting in concert

Purpose

Limits, to within a 10-year period, restrictions on acting in concert to unlawfully divide a parcel of land into six or more lots or sell or lease six or more lots by using a series of owners or conveyances.

Background

A subdivision or subdivided land is improved or unimproved land divided or proposed to be divided for the purpose of sale or lease, whether immediate or future, into six or more lots, parcels or fractional interests, including: 1) a stock cooperative; 2) lands divided or proposed to be divided as part of a common promotion plan; and 3) residential condominiums. Leasehold offerings of one year or more are exempt from the classification of subdivision or subdivided lands (A.R.S. § 32-2101).

A county board of supervisors (county BOS) must approve any land divisions of five or fewer lots, parcels or fractional interests, any of which is 10 acres or smaller in size, if the land division meets outlined requirements, including that the applicant must sign an affidavit or similar document under oath acknowledging that the applicant is aware that the county where the land division occurred or the Arizona Department of Real Estate (ADRE) may investigate and enforce the prohibition against acting in concert to unlawfully divide a parcel of land into six or more lots or parcels.

A person or group of persons may not act in concert to attempt to avoid the requirements to divide a parcel of land or sell subdivision lots by using a series of owners or conveyances or by any other method that ultimately results in the division of lands into a subdivision or the sale of subdivided land (A.R.S. §§ 11-831 and 32-2181).

There is no anticipated fiscal impact to the state General Fund associated with this legislation.

Provisions

1.   Deems it unlawful for a person or group of persons acting in concert to, within a 10-year period, attempt to avoid subdivision laws by acting in concert to divide a parcel of land into six or more lots or sell or lease six or more lots by using a series of owners or conveyances.

2.   Deems it unlawful for a person or group of persons acting in concert to, within a 10-year period, attempt to avoid subdivision laws by acting in concert to divide a parcel of land or sell six or more subdivision lots by using a series of owners or conveyances or by any other method that ultimately results in the division of the lands into a subdivision or the sale of subdivided land.

3.   Makes technical changes.

4.   Becomes effective on the general effective date.

House Action

LARA             1/29/24      DP    5-4-0-0
3rd Read          2/14/24               31-27-0-0-2

Prepared by Senate Research

February 29, 2024

RA/SDR/cs