Code of the District of Columbia

Subchapter IV-A. District’s Opportunity to Purchase.


§ 42–3404.31. District’s opportunity to purchase certain housing accommodations.

(a) Before an owner of a housing accommodation may sell a housing accommodation comprised of 5 or more units, the owner shall provide to the Mayor, on behalf of the District, and the Mayor shall have, an opportunity to purchase the housing accommodation in the same manner, except as otherwise provided by this subchapter, as the opportunity to purchase is provided to a tenant under subchapter IV of this chapter.

(b) The Mayor may assign the opportunity to purchase pursuant to § 42-3404.36.

(c) The Mayor shall have the same remedies and rights to enforce owner compliance with this chapter as a tenant or tenant organization would have against an owner for violation of this chapter.


(Sept. 10, 1980, D.C. Law 3-86, § 431; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)

Delegation of Authority

Delegation of Rulemaking Authority under the District’s Opportunity to Purchase Amendment Act of 2008, see Mayor’s Order 2010-157, October 8, 2010 ( 57 DCR 9556).


§ 42–3404.32. Limitations on the District’s opportunity to purchase.

(a) The District’s opportunity to purchase shall be subordinate to the right of a tenant.

(b) To exercise its right under this subchapter, the Mayor shall provide a written statement of interest to the owner and tenant within 30 days of the Mayor’s receipt of the copy of offer of sale required by § 42-3404.03.

(c)(1) The Mayor shall not exercise the opportunity to purchase provided by this subchapter unless at least 25% of the rental units in the housing accommodation are affordable units.

(2) For the purposes of this subsection, the term “affordable unit” means a rental unit in a housing accommodation for which the existing monthly rent, including utilities, paid by the tenant is equal to or less than 30% of the monthly income of a household with an income of 50% of the area median income, as set forth in the periodic calculation provided by the United States Department of Housing and Urban Development, adjusted for the household size.


(Sept. 10, 1980, D.C. Law 3-86, § 432; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)

Section References

This section is referenced in § 42-3404.33 and § 42-3404.34.


§ 42–3404.33. Limitations on the District as purchaser of a housing accommodation.

(a) If the District, or an assignee, purchases a housing accommodation pursuant to this subchapter, the District shall remain subject to all provisions of this chapter as owner of the housing accommodation.

(b)(1) The Mayor, or an assignee of the Mayor, shall maintain affordable rents in the housing accommodation so that unit rents for tenants living in the housing accommodation on the date that the offer of sale was issued will not be greater than the unit rent on the date of the offer of sale or 30% of an existing tenant’s household income, whichever is less.

(2) For the purposes of this subsection, household income shall be calculated pursuant to 24 C.F.R. § 5.609.

(3) Tenants shall be notified in writing as to the manner in which the Mayor, or an assignee of the Mayor, calculates household income and rent.

(4) The Rent Administrator shall consider a challenge to a rent amount or income calculation upon a petition filed by a tenant. The petition shall be heard and determined according to the procedures in the Rent Stabilization Program established pursuant to subchapter II of Chapter 35 of this title [§ 42-3502.01 et seq.].

(5) Notwithstanding the rent amounts established pursuant to this section, nor any other law, no tenant in an affordable unit shall be required to pay a rent increase of more than 10% per year.

(6) Income restrictions may be imposed upon the housing accommodation by the Mayor, or an assignee of the Mayor; provided, that an existing tenant shall be exempt from any income restrictions.

(c)(1) The Mayor, or an assignee of the Mayor, shall maintain any unit in the housing accommodation that was an affordable unit, as defined in § 42-3404.32(c)(2), on the date that the offer of sale was issued as affordable for as long as the housing accommodation remains a housing accommodation owned by the District.

(2) For any rental unit that becomes vacant:

(A) If the monthly rent, including utilities, paid by the tenant was equal to or less than 30% of the monthly income of a household with an income of 60% of the area median income, as set forth in the periodic calculation provided by the United States Department of Housing and Urban Development, adjusted for the household size, that unit shall remain affordable for a tenant with an income at or below 60% of the area median income; or

(B) If the monthly rent, including utilities, paid by the tenant was equal to or less than 30% of the monthly income of a household with an income of 30% of the area median income, as set forth in the periodic calculation provided by the United States Department of Housing and Urban Development, adjusted for the household size, that unit shall remain affordable for a tenant with an income at or below 30% of the area median income.

(3) Vacancies in affordable units shall be filled and maintained so that the division of affordable units in the housing accommodation is no less than one-third affordable for households at 30% of area median income, one-third affordable for households at 60% of area median income, and one-third affordable for households at 80% of area median income.

(d) If any unit in the housing accommodation was not an affordable unit as defined in § 42-3404.32(c)(2), on the date the offer of sale was issued, the Mayor, or an assignee of the Mayor, shall develop an affordability plan to explore all means whereby the number of affordable units in the housing accommodation may be increased. The Mayor, or an assignee of the Mayor, shall take all practicable steps to increase the number of affordable units in the housing accommodation.


(Sept. 10, 1980, D.C. Law 3-86, § 433; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)

Section References

This section is referenced in § 42-3404.36.


§ 42–3404.34. Procedure for District to effectuate purchase.

(a) The Mayor shall have not less than 150 days from the date of the owner’s receipt of the Mayor’s written statement of interest, issued pursuant to § 42-3404.32(b), to negotiate a contract for sale.

(b) For every day of delay in providing information by the owner as required by this chapter, the negotiation period shall be extended by one day.

(c) If a tenant organization is formed and delivers an application for registration to the Mayor pursuant to § 42-3404.11, the Mayor shall have 15 days, in addition to the time provided for in subsection (a) of this section, to negotiate a contract of sale.

(d) The Mayor shall have up to 60 days after the date of execution of a contract of sale to complete settlement.

(e) If the owner provides any extension of time to a tenant under this chapter, the Mayor shall automatically receive the same extension of time. The owner shall provide written notification to the Mayor of any extensions of time provided to the tenant.


(Sept. 10, 1980, D.C. Law 3-86, § 434; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)


§ 42–3404.35. Rights of tenants not abrogated.

No provision of this subchapter shall abrogate the rights of tenants or tenant organizations under this chapter.


(Sept. 10, 1980, D.C. Law 3-86, § 435; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)


§ 42–3404.36. Assignment of District rights.

The Mayor may assign the opportunity to purchase provided under this subchapter to a person that:

(1) Demonstrates the capacity to own and manage, either by itself or through a management agent, the housing accommodation and related facilities for the remaining useful life of the housing accommodation; and

(2) Agrees to obligate itself and any successors in interest to maintain the affordability of the assisted housing development as required by § 42-3404.33.


(Sept. 10, 1980, D.C. Law 3-86, § 436; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)

Section References

This section is referenced in § 42-3404.31.


§ 42–3404.37. Rules.

Within 60 days of December 24, 2008, the Mayor, pursuant to subchapter I of Chapter 5 of Title 2, shall issue rules to implement the provisions of this subchapter.


(Sept. 10, 1980, D.C. Law 3-86, § 437; as added Dec. 24, 2008, D.C. Law 17-286, § 2, 55 DCR 11989.)