Nevada Senate fails to advance limit on corporate home purchases; leaders move to reconsider

CARSON CITY, Nev. — The Nevada Senate on May 26 failed to secure the two-thirds vote needed to advance Senate Bill 391, a measure that would limit corporate investorsto 100 residential units purchased in a calendar year and require the Securities Division of the Office of the Secretary of State to create and maintain a registry of such entities.

The bill failed to receive the required two-thirds majority after a roll call produced 13 "yes" votes and 8 "no" votes, and President declared SB 391 "dead" for lack of the supermajority. Later in the day, Senator Cannizzaro moved to reconsider that vote; the motion to reconsider carried, and Cannizzaro's subsequent motion to take SB 3 91 from general file and place it on the secretary's desk also carried.

Supporters said the bill is intended to protect first-time homebuyers and communities from large-scale corporate purchases that they said reduce opportunities for individual buyers. Senator Neal described the bill as limiting, "with certain exceptions, the total aggregate number of units of residential property in the state that may be purchased in 1 calendar year. It limits that number to 100." He also said the measure would require the form and contents for instruments filed with a registry maintained by the securities division.

Opponents warned of constitutional and practical problems. Senator Hanson, who said he ultimately voted no, argued the policy rationale but raised constitutional concerns and practical limits on enforcement. "The American dream, which everybody knows is to own a home, is being taken away…