N.J. Stat. Ann. § 46:8C-1 et seq. § 46:8C-12.2
Landowner to consider resident homeowner group offer
Operative Text
5. a. If the resident homeowners, by and through a resident homeowner group, make an offer to the landowner to purchase the private residential leasehold community, whether in response to a notice sent pursuant to subsection a. of section 2 of P.L.1991, c.483 (C.46:8C-11) or subsection a. of section 3 of P.L.1991, c.483 (C.46:8C-12) or otherwise, and whether or not the proposed price, terms, and conditions are identical to those proposed by the landowner or in a third party’s offer, the private residential leasehold community landowner shall consider the resident homeowner group’s offer and negotiate with the resident homeowner group in good faith. b. A landowner shall not accept or conditionally accept an offer for the sale of a private residential leasehold community unless its price, terms, and conditions are universal and applicable to all potential buyers, nor shall a landowner accept or conditionally accept an offer that contains any provision which would penalize the landowner for entering into an agreement for sale of the community to the resident homeowners or their assignee pursuant to P.L.1991, c.483 (C.46:8C-10 et seq.). L.2025, c.362, s.5.
Under N.J.S.A. 46:8C-12.2, when a resident homeowner group submits an offer to purchase a private residential leasehold community, the landowner is required to consider that offer and negotiate in good faith, regardless of whether the group's proposed price or terms match those of the landowner or any third-party buyer. The provision also bars a landowner from accepting any offer for sale unless its price, terms, and conditions apply equally to all potential buyers. Additionally, a landowner may not accept an offer that includes any clause penalizing the landowner for choosing to sell to the resident homeowners or their assignee.
Plain English — not legal advice.
Under N.J.S.A. 46:8C-12.2, operators of private residential leasehold communities who receive a purchase offer from a resident homeowner group are generally expected to engage with that offer and participate in good-faith negotiations, even if the group's terms differ from those of other prospective buyers. Compliant landowners structure any sale process so that the price, terms, and conditions are uniformly available to all potential purchasers. Landowners also review any third-party offers carefully to ensure those offers contain no provisions that would penalize the landowner for ultimately selling to the resident homeowner group or its assignee.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
N.J.S.A. 46:8C-12.2 establishes that resident homeowners, acting through a recognized group, have a right to have their purchase offer considered and to receive good-faith negotiations from the landowner when a private residential leasehold community is being sold. If a landowner appears to be accepting offers with non-universal terms or with penalty clauses designed to discourage a sale to residents, that conduct may conflict with this provision. Resident homeowners who believe their group's rights under § 46:8C-12.2 are being disregarded may wish to consult a tenant-rights organization or legal aid resource familiar with New Jersey's leasehold community laws to understand available options.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 14, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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