SECTION 1. Title 11,
Property Code, is amended by adding Chapter 213 to read as follows:
CHAPTER 213. MODIFICATION
OR TERMINATION OF RESTRICTIONS BY PETITION IN REAL ESTATE DEVELOPMENTS WITH
CERTAIN AMENITIES
Sec. 213.001.
DEFINITIONS. In this chapter:
(1) "Amenity
property" means real property the use of which is restricted by a
dedicatory instrument to use as a golf course or country club.
(2) "Council of
owners" has the meaning assigned by Section 81.002 as it relates to an
existing condominium in a development.
(3) "Dedicatory
instrument" means the governing instrument that:
(A) restricts amenity
property to use as amenity property;
(B) designates real
property in the development, other than amenity property, as a beneficiary
of the restriction described by Paragraph (A); and
(C) addresses the
establishment, maintenance, and operation of amenity property.
(4)
"Development" means:
(A) amenity property; and
(B) all real property
designated as beneficiary property in the dedicatory instrument.
(5) "Owner"
means a person, or the person's personal representative, who holds record
title to:
(A) a lot or parcel of
real property in a development; or
(B) a unit or apartment
of a condominium in the development.
(6) "Petition
circulator" means a person authorized to circulate a petition under
Section 213.004.
(7) "Property
owners' association" means an incorporated or unincorporated
association that:
(A) is designated as the
representative of the owners of lots or parcels of real property in a
development;
(B) has a membership
primarily consisting of those owners; and
(C) manages or regulates
all or part of the development for the benefit of those owners.
(8) "Restriction" and "restrictive covenant"
have the meanings assigned by Section 209.002.
(9) "Unit owners'
association" means an association of unit owners organized under
Section 82.101 for a condominium in a development.
Sec. 213.002. FINDINGS
AND PURPOSE.
Sec. 213.003.
MODIFICATION OR TERMINATION BY PETITION. In
addition to any procedure to modify or terminate a restriction provided in
the dedicatory instrument, a restriction on the use of an amenity
property may be modified or terminated by petition in accordance with this
chapter.
Sec. 213.004. PETITION
CIRCULATOR.
Sec. 213.005. CONTENTS OF
PETITION.
Sec. 213.006. CIRCULATION
PROCEDURE. (a) A petition circulator shall deliver a copy of the petition
to:
(1) owners of:
(A) each lot or parcel of
real property in the development; and
(B) each unit or
apartment of each condominium, if any, in the development; and
(2) each property owners'
association, unit owners' association, and council of owners in the
development.
(b) The petition
circulator may deliver a copy of the petition in any reasonable manner,
including:
(1) by regular mail or
certified mail, return receipt requested, to the last known address of the
owner or entity described by Subsections (a)(1) and (2);
(2) personal delivery to
the owner or entity described by Subsections (a)(1) and (2);
(3) at a meeting of
owners in the development called for the purpose of voting on the petition;
(4) at a regular meeting
of a property owners' association, unit owners' association, or council of
owners; or
(5) at a special meeting
of a property owners' association, unit owners' association, or council of
owners called for the purpose of voting on the petition.
(c) If the petition
circulator acts in good faith in determining ownership and delivering
copies of the petition as required by this section, an owner's lack of
receipt of a copy of the petition does not affect the application of a
modification or termination of a restriction under this chapter to the
amenity property.
Sec. 213.007. VOTE ON
PROPOSAL. (a) The modification or termination of the restriction is
adopted if at least 66 percent of
the total number of the lots and
parcels of land and the units and
apartments of condominiums in the development vote in favor of the
modification or termination of the restriction.
(b) An owner may cast a
vote only by delivering to the petition circulator a signed statement that
includes:
(1) the owner's name, the
legal description or street address of the owner's property, and the
owner's mailing address;
(2) a statement that the
owner holds record title to the property;
(3) if more than one
person owns an interest in the property, the name and mailing address of
each co-owner; and
(4) a statement
indicating whether the owner is in favor of or against the modification or
termination proposed by the petition.
(c) An owner may vote
only in favor of or against the modification or termination as proposed in
the petition.
(d) If more than one
person owns an interest in a lot or parcel of land or a unit or apartment
of a condominium, the owners may cast only one vote for that lot, parcel,
unit, or apartment. Except as otherwise provided by this subsection, the
vote of multiple owners in favor of or against the modification or
termination may be reflected by the signatures of a majority of the
co-owners who return a signed statement. The vote of owners who are
married may be reflected by the signature of only one of those owners.
(e) A person whose only
property interest in a lot or parcel of land or unit or apartment of a
condominium is that of a contract purchaser, lienholder, or mineral
interest holder may not cast a vote for that property under this chapter.
(f) A vote may be counted
only if the vote is received before the deadline stated in the petition as
required by Section 213.005(b).
(g) The signed statement
of an owner conclusively establishes that:
(1) the petition was
received by the owner in accordance with Section 213.006; and
(2) the statement
accurately reflects the vote of the owner.
Sec. 213.008.
CERTIFICATION OF RESULTS BY RECORDED AFFIDAVIT.
Sec. 213.009. NOTICE.
The recording of the affidavit required by Section 213.008 constitutes
notice that the restriction is modified or terminated.
Sec. 213.010. EFFECTIVE
DATE OF MODIFICATION OR TERMINATION.
Sec. 213.011.
DOCUMENTATION AVAILABLE.
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SECTION 1. Title 11,
Property Code, is amended by adding Chapter 213 to read as follows:
CHAPTER 213. MODIFICATION
OR TERMINATION OF RESTRICTIONS BY PETITION IN REAL ESTATE DEVELOPMENTS WITH
CERTAIN AMENITIES
Sec. 213.001.
DEFINITIONS. In this chapter:
(1) "Amenity
property" means real property the use of which is restricted by a
dedicatory instrument to use as a golf course or country club.
(2) "Council of
owners" has the meaning assigned by Section 81.002 as it relates to an
existing condominium in a development.
(3) "Dedicatory
instrument" means a governing instrument that:
(A) restricts amenity
property to use as amenity property;
(B) designates real
property in the development, other than amenity property, as a beneficiary
of a restriction described by Paragraph (A); and
(C) addresses the
establishment, maintenance, and operation of amenity property.
(4)
"Development" means:
(A) amenity property; and
(B) all real property
designated as beneficiary property in the dedicatory instrument.
(5) "Owner"
means a person, or the person's personal representative, who holds record
title to:
(A) a lot or parcel of
real property in a development; or
(B) a unit or apartment
of a condominium in the development.
(6) "Petition
circulator" means a person authorized to circulate a petition under
Section 213.005.
(7) "Property owners'
association" means an incorporated or unincorporated association that:
(A) is designated as the
representative of the owners of lots or parcels of real property in a
development;
(B) has a membership
primarily consisting of those owners; and
(C) manages or regulates
all or part of the development for the benefit of those owners.
(8) "Restrictions" means one or more restrictive
covenants contained or incorporated by reference in a properly recorded
map, plat, replat, declaration, or other instrument filed in the real
property records or map or plat records. The term includes any amendment
or extension of the restrictions.
(9) "Restrictive covenant" means any covenant,
condition, or restriction contained in a dedicatory instrument, whether
mandatory, prohibitive, permissive, or administrative.
(10) "Unit owners'
association" means an association of unit owners organized under
Section 82.101 for a condominium in a development.
Sec. 213.002. FINDINGS
AND PURPOSE.
Sec. 213.003.
MODIFICATION OR TERMINATION BY PETITION. (a) Except as provided by Subsection (b), a restriction on the
use of an amenity property may be modified or terminated by petition in
accordance with this chapter.
(b) This chapter does not apply if:
(1) a dedicatory instrument includes a procedure to modify or
terminate a restriction on the use of an amenity property on approval of
the owners of 100 percent of, as applicable, the lots or parcels of land
and units or apartments of condominiums in the development; or
(2) a restriction on the use of an amenity property may be
modified or terminated under the procedures of Chapter 81, 82, 201, or 209.
Sec. 213.004. PREREQUISITES FOR CIRCULATION. A petition may not
be circulated under this chapter unless:
(1) for a continuous period of at least 36 months, the amenity
property has not been in operation, has not been maintained, or has been
operated or maintained in a dilapidated or substandard condition; and
(2) if zoning regulations apply to the amenity property, the owner
of the amenity property has received all required zoning approvals for any
proposed redevelopment of the amenity property.
Sec. 213.005. PETITION
CIRCULATOR.
Sec. 213.006. CONTENTS OF
PETITION.
Sec. 213.007. CIRCULATION
PROCEDURE. (a) A petition circulator shall deliver a copy of the petition
to:
(1) all owners of:
(A) each lot or parcel of
real property in the development; and
(B) each unit or
apartment of each condominium, if any, in the development; and
(2) each property owners'
association, unit owners' association, and council of owners in the
development.
(b) The petition
circulator may deliver a copy of the petition in any reasonable manner,
including:
(1) by regular mail or
certified mail, return receipt requested, to the last known address of the
owners or entities described by Subsections (a)(1) and (2);
(2) personal delivery to
the owners or entities described by Subsections (a)(1) and (2);
(3) at a meeting of
owners in the development called for the purpose of voting on the petition;
(4) at a regular meeting
of a property owners' association, unit owners' association, or council of
owners; or
(5) at a special meeting
of a property owners' association, unit owners' association, or council of
owners called for the purpose of voting on the petition.
(c) If the petition
circulator acts in good faith in determining ownership and delivering
copies of the petition as required by this section, an owner's lack of
receipt of a copy of the petition does not affect the application of a
modification or termination of a restriction under this chapter to the
amenity property.
Sec. 213.008. VOTE ON
PROPOSAL. (a) The modification or termination of the restriction is
adopted if the owners of at least 75 percent of the total number, as applicable, of the lots or parcels of land and the units or apartments of condominiums in the
development, including the owner of the
amenity property, vote in favor of the modification or termination
of the restriction.
(b) An owner may cast a
vote only by delivering to the petition circulator a signed statement that
includes:
(1) the owner's name, the
legal description or street address of the owner's property, and the
owner's mailing address;
(2) a statement that the
owner holds record title to the property;
(3) if more than one
person owns an interest in the property, the name and mailing address of
each co-owner; and
(4) a statement
indicating whether the owner is in favor of or against the modification or
termination proposed by the petition.
(c) An owner may vote
only in favor of or against the modification or termination as proposed in
the petition.
(d) If more than one
person owns an interest in a lot or parcel of land or a unit or apartment
of a condominium, the owners may cast only one vote for that lot, parcel,
unit, or apartment. Except as otherwise provided by this subsection, the
vote of multiple owners in favor of or against the modification or
termination may be reflected by the signatures of a majority of the
co-owners who return a signed statement. The vote of owners who are
married may be reflected by the signature of only one of those owners.
(e) A person whose only
property interest in a lot or parcel of land or unit or apartment of a
condominium is that of a contract purchaser, lienholder, or mineral
interest holder may not cast a vote for that property under this chapter.
(f) A vote may be counted
only if the vote is received before the deadline stated in the petition as
required by Section 213.006(b).
(g) The signed statement
of an owner conclusively establishes that:
(1) the petition was
received by the owner in accordance with Section 213.007; and
(2) the statement
accurately reflects the vote of the owner.
Sec. 213.009.
CERTIFICATION OF RESULTS BY RECORDED AFFIDAVIT.
Sec. 213.010. NOTICE.
(a) The recording of the affidavit required by Section 213.009 constitutes
notice that the restriction is modified or terminated.
(b) Notwithstanding Subsection (a), the petition circulator must
deliver to each person who resides within 200 feet of the boundary of the
amenity property a copy of the affidavit. The affidavit may be delivered
by regular mail, by certified mail, return receipt requested, or by
personal delivery.
Sec. 213.011. EFFECTIVE
DATE OF MODIFICATION OR TERMINATION.
Sec. 213.012.
DOCUMENTATION AVAILABLE.
Sec. 213.013. EXPIRATION. This chapter expires September 1, 2021.
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