Oregon Revised Statutes Chapter 458 § 458.467 — Disposition of lands; covenants attached to lands

Disposition of lands; covenants attached to lands. (1)(a) The state, through the Oregon Department of Administrative Services, may sell, transfer, or lease for an initial period not to exceed 99 years all real property designated as home start lands under ORS 458.462 to housing developers for the purpose of facilitating the development of affordable housing on home start lands. Except where the department is exchanging real property, the consideration for the sale, transfer or lease may be any combination of cash and real property. (b) A lease agreement entered under this section may be renewed after the initial period for a period not to exceed 99 years. Nothing in this subsection obligates or requires the state to renew a lease agreement entered under this section. (2) The authority to lease property granted by this section includes authority to lease property not owned or controlled by the state as of the effective date of the lease agreement. Leases described in this subsection shall be conditioned on the subsequent acquisition of the interest covered by the lease. (3) Before the department sells, transfers or leases real property under this section, the department shall cause the real property to be appraised, by an appraiser registered under ORS 308.010 or licensed or certified under ORS 674.310, in accordance with rules adopted by the department. (4) Property sold, transferred or leased under this section must be subject to an affordable housing covenant as described in ORS 456.270 to 456.295 that makes the property, including each lot or parcel created from the property by division of land: (a) Developable only for housing that will be made available for homeownership, for a period of not less than 30 years from the date of the first sale to a homeowner, to moderate or low income households at a sales price that is affordable to those households; (b) Developable only for housing units that, for a period of not less than 30 years from the date of sale to a homeowner, are subject to a shared equity ownership model under a community land trust and made available for homeownership to moderate or low income households at a sales price that is affordable to those households; or (c) Developable only for rental housing that will be made available for rent, for a period of not less than 30 years from the date the rental housing is first occupied, to moderate and low income households at a rent that is affordable to those households. (5) If more than one housing developer is interested in real property available for sale, transfer or lease under this section, the department shall conduct a bidding process that includes consideration of the entity most capable of delivering services and housing options to conform with the purposes of ORS 197A.447 and