The California Health & Safety Code Receivership Remedy: Not Just for Residential Properties!

Here on the Griswold Law Blog, we use the terms “Health & Safety Code Receiver” and “Real Property Receiver” quite a bit in our articles about the different types of situations where a court-appointed receiver can provide a remedy for problematic structures (i.e. abandoned properties or slumlord-owned properties).  However, receivers can be appointed by the Court to rehab non-residential properties as well.  Two example scenarios are explained below:

  • SUBSTANDARD HOTELS:  If you travel frequently, chances are you have experienced a hotel stay that you felt was not worth the price of the stay.  Much like slumlord-owned properties, the owners of bad hotels most likely allow their properties to fall into severe disrepair as an attempt to save money in the short-term.  These same hotels many times end up being abandoned eye-sores in communities.  This is a situation where a court-appointed health and safety receiver could provide a solution.
  • ABANDONED COMMERCIAL PROJECTS:  There are many reasons why development of commercial projects can fall through, leaving behind half-built or vacant structures with no clearly defined purpose for the future. This is especially true due to the current real estate climate and the difficulty to obtain real estate project financing.  Compared to an abandoned residential property, it can be complex to determine who is “responsible” for the property’s abandonment since it is likely that there could be multiple investors/developers involved.  Rehabilitation may need to include environmental testing to make sure the area can be cleared of hazardous waste or contaminants and the structures may need substantial construction before they can be ready to serve a new purpose.

Attorney Richardson “Red” Griswold is commonly appointed as a Health & Safety Code Receiver for dilapidated properties. Mr. Griswold also acts as the Director of the California Receivership Group, LLC, San Diego Division. Please contact Griswold Law at (858) 481-1300 or for more information about receiverships.

For further reading on this topic, be sure to check out our recent articles on the Health & Safety Receivership remedy for hoarding, abandoned residential properties, and slumlord-owned properties.  In addition, feel free to browse the complete list of articles related to court-appointed receivers.

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