On Jul. 1, AZ LEG enacted bill to limit foreign interests in property.
AZ LEG approved Bill SB 1082 which bars a foreign adversary nation or its agent from having, purchasing or acquiring substantial interest in real property in AZ.
Amends Arizona revised statutes to add AZ LEG 33-4-3-33-443 on land ownership.
Overview
Prohibits foreign principles from designated countries from purchasing, owning, or acquiring by grant or device or having a substantial interest in real property in Arizona.
Outlines requirements for enforcement and prescribes related exceptions and classifies making false report of a violation to the prohibition as class 1 misdemeanor.
AG authorized to begin an action in Superior Court in county where the real property is located if there is reasonable suspicion that the foreign nation holds real property.
If found to be in violation, Court is directed to enter a divestment order, state the court's findings, and direct board of supervisors (BOS) to sell the real property.
Specifies manner in which any proceeds derived from the sale of the property at issue, remaining after paying taxes, interests, penalties, fees and costs are to be distributed.
Title insurer, title agent, escrow agent or real estate licensee may not be held liable for any violation of the prohibition, will not be basis for any claim against title INS claims.
Allows a foreign principle to purchase, own or acquire by grant or devise state land with certain parcel size, locations and if foreign person has US visa or asylum status.
Members of foreign principles can acquire real property or any interest in real property by devise or descent, if sells, transfers or divests from the real property within 1 year.
Legislative History
On Jan. 22, 2025, bill was introduced in Senate; on Feb. 12, 2025, passed Senate.
On Jun. 17, 2025, bill was introduced in House; on Jun. 24, 2025, passed in House.
On Jun. 25, 2025, bill returned to Senate; on Jun. 27, 2025, concurred House bill.
On Jun. 27, 2025, bill transmitted to governor; on Jul. 1, 2025, bill signed by governor.
Effectiveness
Ch. 253 effective 90 days after legislature adjourns sine die, Sep. 26, 2025.
Regulators
AZ LEG
Entity Types
Bank; CNSM; IB; Ins; MG Orig
Reference
Ch. 253, Bill SB1082, 7/1/2025; Citation: AZ LEG 33-4-3-33;
Functions
Compliance; Financial; Legal; Operations
Countries
United States of America; Cross-Border
Category
State
N/A
Products
Banking; Corporate; Insurance; Loan; Mortgage; Title Insurance
