TOPA empowers tenants with options when the property they live in is going to be sold. Tenants can purchase the property or assign rights to a qualified organization (QO), such as a community land trust, nonprofit housing developer or cooperative. Tenants will be able to explore different ownership options (limited equity homes, condos, cooperatives, etc.) as well as choose to remain renters at an affordable rate. 

Right of first offer & refusal – TOPA will create legal rights for tenants to make the first offer to purchase the property they live in when the owner decides to sell. Alternatively, tenants can assign their rights to a QO to make an offer. If tenants waive their rights, QOs have an opportunity to make an offer on the property, for the purpose of stabilizing housing for the tenants and preserving the property as permanently affordable. If a seller rejects the initial offer from tenants/QO and subsequently receives a third-party contract on the market, then tenants/QO (whoever made the initial offer) have the right to match the offer and purchase the property.  

Extended timelines – Alameda County is one of the least affordable housing markets in the country. The rapid rate of home sales coupled with cash offers, results in bidding wars that privileges all-cash investors over buyers who use conventional financing. TOPA levels the playing field with timelines that make it possible for tenants and QOs to organize, negotiate a contract, secure financing, and close a deal. (See timelines and timeline FAQs)

Technical assistance – If tenants decide to make an offer, they will work with a Supportive Partner (such as a tenant rights nonprofit, legal service provider, etc.)  to understand the steps for completing a purchase or assigning rights. Supportive Partners will help tenants understand financing and ownership options.

Permanent affordability - Many tenant TOPA purchases will happen with subsidy that requires that TOPA buyers keep the property affordable for generations to come.  And when qualified organizations are the TOPA buyer, TOPA requires that they commit to keeping properties purchased through TOPA permanently affordable for future generations, regardless of the funding source. TOPA will lead to the creation of more permanently affordable housing in a place that is experiencing an affordable housing shortage.*

*Note: This reflects proposed changes to the policy; see “Proposed Changes to the TOPA Policy.”