AB2020 allows the transfer of equity or excess reserves between rental housing developments under certain conditions.

AB2020 amends the Health and Safety Code to permit the transfer of equity or excess reserves from one rental housing development to another, both subject to a department regulatory agreement. This transfer can occur if the developments are owned by the same sponsor, public agency, or governmental entity. The bill ensures that such transfers do not impair any residual receipts, surplus cash, or other payment rights owed to other lenders or entities.

AB2020 allows the transfer of equity or excess reserves between rental housing developments under certain conditions.

AB2020 amends the Health and Safety Code to permit the transfer of equity or excess reserves from one rental housing development to another, both subject to a department regulatory agreement. This transfer can occur if the developments are owned by the same sponsor, public agency, or governmental entity. The bill ensures that such transfers do not impair any residual receipts, surplus cash, or other payment rights owed to other lenders or entities.