As it relates to specific receivership examples, cities and counties in California often use health and safety receiverships to abate nuisance conditions. A few reasons cities and counties might use the health and safety receivership remedy are when a property is abandoned, occupied by a hoarder, the site of criminal activity, or the owner passed away without any heirs. If typical code enforcement efforts by a City or County are unsuccessful then a receiver can be appointed to abate the dangerous conditions. The Receiver then borrows money from lenders with Court approval to abate the nuisance conditions and then decides to do one of the following with the property.
- Sell the property as-is to a responsible owner with conditions
- Demolish the property and sell the vacant lot
- Fully rehabilitate and sell the property
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