By: Creighton (Senate Sponsor - Nichols) H.B. No. 3518

(In the Senate - Received from the House May 7, 2007; May 8, 2007, read first time and referred to Committee on Intergovernmental Relations; May 18, 2007, reported favorably by the following vote: Yeas 3, Nays 0; May 18, 2007, sent to printer.)

A BILL TO BE ENTITLED

AN ACT

relating to the extension of, addition to, or modification of existing restrictive covenants in certain residential subdivisions.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 204.003, Property Code, is amended to read as follows:

Sec. 204.003. PROVISIONS OF RESTRICTIVE COVENANTS PREVAIL IN CERTAIN CIRCUMSTANCES. (a) An express designation in a document creating restrictions applicable to a residential real estate subdivision that provides for the extension of, addition to, or modification of existing restrictions by a designated number of owners of real property in the subdivision prevails over the provisions of this chapter.

(b) Notwithstanding Subsection (a), for a residential subdivision described by Subsection (c), the provisions of this chapter prevail over an express designation in a document described by Subsection (a) if:

(1) the designated number of owners of real property in the subdivision required for approval of an extension of, addition to, or modification of the document is more than 75 percent; or

(2) the designation prohibits the extension of, addition to, or modification of an existing restriction for a certain time period and that time period has not expired.

(c) Subsection (b) applies to a residential subdivision that is located in a county described by Section 204.002(a)(3) other than a gated community with private streets.

SECTION 2. This Act takes effect September 1, 2007.

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