Community Development Department
Reference: ASSIGNMENT OF THE CITY OF BRIGHTON’S RIGHT OF FIRST REFUSAL AND RIGHT OF FIRST OFFER TO PURCHASE MULTIFAMILY HOUSING
To: Mayor Gregory Mills and Members of City Council
Through: Michael P. Martinez, City Manager
Prepared By: Shawn Weiman, Affordable Housing Coordinator
Date Prepared: December 4, 2025
PURPOSE
To present a resolution authorizing the City Manager to enter into an Intergovernmental Agreement with the Brighton Housing Authority (BHA) assigning the City’s right of first refusal and right of first offer to purchase qualifying multi-unit property.
BACKGROUND
House Bill 24-1175 grants local governments the right of first refusal and the right of first offer to purchase qualifying multi-unit property located within the local government’s jurisdiction for the purpose of providing long-term affordable or mixed-income housing. The bill gives local governments the option to assign those rights to the local housing authority, if one exists in the municipality’s jurisdiction.
The bill’s corresponding legislation has two parts: A right of first refusal by which a jurisdiction or assignee has the right to purchase existing affordable housing, and a right of first offer that provides the right to purchase non-affordable housing prior to it being listed for sale with the provision that it be converted to affordable housing.
STAFF ANALYSIS & RECOMMENDATION
The City does not currently own or operate affordable housing developments and does not foresee providing these services in the future. The City would likely waive its rights to purchase the for-sale properties and, therefore, desires to assign its rights to the BHA.
If agreed to, the assignment will fully assign the City’s rights as described in the act to the BHA, and the BHA will be required to comply with the applicable provisions of the right of first refusal and right of first offer that includes adhering to timelines and reporting requirements upon receiving a notification of intent to sell.
There is no direct fiscal impact related to assigning the City’s rights under this agreement. The City does not purchase property for affordable housing and does not have the same resources as the BHA to purchase the properties addressed in the act. The BHA would be under no obligation to consider, make an offer on, or purchase any for-sale property of which they were notified under the house bill requirements.
Staff therefore recommend assigning these rights to the BHA.
OPTIONS FOR CITY COUNCIL CONSIDERATION
The City Council may:
1. Approve the resolution entering into the assignment agreement;
2. Deny the resolution entering into the assignment agreement, in which case the City will retain the right of first refusal and right of first offer to purchase, and City Staff will be responsible for compliance with HB24-1175;
3. Approve the resolution entering into the assignment agreement with changes; or
4. Continue the item to be heard at a later, specified date if it is determined that additional information and/or time is needed to consider the resolution.
ATTACHMENTS
• Resolution Approving the Assignment Agreement
• Assignment Agreement
• Draft PowerPoint Presentation