POWAY ROYAL MOBILEHOME OWNERS ASSOCIATION v. CITY OF POWAY Part II
Allegations that city breached a promise to mobilehome owners and tenants by requiring tax exempt bond financing for purchase of mobilehome park thus excluding owners' association from purchasing the park since it could not qualify and that it deprived the association of a true opportunity to purchase the park because it set the selling price above the park's fair market value failed to state a cause of action based on promissory estoppel, since city could not legally be bound by such alleged promises in absence of legal formalities, the existence of which were not alleged. Allegations that city's notice of intent to sell park violated notice requirements of the Mobilehome Residency Law because "it was a sham" in that the city had no intent to "sell the park on true, real and non illusory terms" and that the notice breached the implied covenant of good faith and fair dealing in the leases between the city and tenants since the leases incorporate the terms of the Mobilehome Residency Law failed to state a cause of action because city was not required by statute or contract to offer to sell the park to tenants on any particular terms. Summary judgment procedures do not apply to validation actions. Hearing held pursuant to Tax Equity and Fiscal Responsibility Act of 1982 on city's plan to privatize mobilehome park through tax-exempt bond financing was legally inadequate where evidence was not provided at the hearing that IRS requirements had been met, and city did not give the public an adequate opportunity to comment on the matter of low income housing, the provision of which is the purpose of financing the private project with tax-exempt bonds.
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