Public Improvement Districts Texas Legislative Update

Effective September 1, 2021, the Texas legislature enacted new, increased notice requirements for purchasers of land lying within a public improvement district (PID). These notices are now required to be given to purchasers of multiple lots, in addition to end-buyers.

Sellers must give notice twice during the purchase process, and both notices should be signed by the purchaser:

• First, the notice must be given prior to the execution of a binding sales contract. The notice may be given separately from the contract or may be given as an addendum to or paragraph in the contract. VIEW FIRST NOTICE FORM
• Second, the notice must be given at closing. This notice must be notarized and recorded in county property records. VIEW SECOND NOTICE FORM

Please note: Failure to give this notice may result in a suit for damages or for return of the property to the seller in addition to attorney’s fees, costs associated with the purchase of the property, and interest.

View the legislation creating these heightened notice requirements.

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Contact:

Sarah Landiak | 214.745.5432 | slandiak@winstead.com
 

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