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Nationwide commercial property foreclosures are up significantly since 2023. According to a recent report released by ATTOM in February of this year, the end of 2024 saw a significant year-over-year increase with 725 commercial properties going into foreclosure. California led the charge with 257, which amounted to a 90% increase from the previous month and a 104% jump compared to December of 2023. With foreclosure comes the risk of a property becoming vacant or abandoned. This can eventually cause problems for cities, who run the risk of those vacant commercial properties becoming taken over by squatters or converting into hotbeds for crime.

A common problem we see across the region is a city’s frustration with commercial nuisance properties. When left in a neglected state, these substandard properties pose a risk to communities because of lingering or worsening hazardous conditions. They also become hotbeds for crime, attracting squatters and illegal activity that compromises feelings of safety and security. Health & Safety Code § 17920.3 “Any building or portion thereof, regardless of zoning designation or approved uses of the building, including any dwelling unit, guestroom or suite of rooms, or the premises on which the same is located, in which there exists any of the following listed conditions to an extent that endangers the life, limb, health, property, safety, or welfare of the occupants of the building, nearby residents, or the public shall be deemed and hereby is declared to be a substandard building…” Link to

Receivers are often appointed by courts to revitalize and potentially oversee the sale of nuisance properties. What Is a Nuisance Property? Nuisance properties are those that are in some form of distress due to being neglected or abandoned. These properties often present health and safety concerns, code violations, and even neighborhood blight. Signs of a nuisance property can include: Abandonment Severe disrepair Dilapidation Safety code violations Criminal activity

Nuisance properties are a problem across all communities–decreasing property values, increasing crime rates, and posing a risk to the health and safety of property occupants and others in the neighborhood.

Dealing with a nuisance property can be incredibly frustrating and stressful. Court-appointed receivers are an incredible resource for individuals, businesses, and municipalities who need to address unsafe nuisance properties in their communities.

A nuisance property is a problem for neighborhoods, including both the closest neighbors and the community as a whole.