USA – FLORIDA Law and Practice Contributed by: Eduardo M. Soto and Fabio Giallanza, Weiss Serota Helfman Cole + Bierman, P.L
Real Estate Players Adapt to Current Trends The use of artificial intelligence in property screening and due diligence is becoming increasingly preva - lent, particularly by lenders and real estate investors. Several players are introducing real estate tokenisa - tion structures for property investments, particularly targeting foreign investors. It remains to be seen if, by building a successful track record, tokenised real estate platforms will achieve the scale of REITs or Several recent and proposed reforms could materially affect real estate investment, ownership and develop - ment in Florida and nationally. At the state level, Governor Ron DeSantis has advanced proposals aimed at eliminating real property taxes on homesteaded primary residences, potentially through a constitutional amendment requiring voter approval in 2026. While still under legislative con - sideration, this initiative could meaningfully increase the attractiveness and valuation of owner‑occupied single‑family homes, likely placing upward pressure on residential prices while shifting a greater share of the tax burden to non‑homestead residential, com - mercial and investment property. The proposal’s fiscal impact on local governments remains a central point of debate, but it has gained political momentum and remains a live issue in the current legislative cycle. At the federal level, the Trump administration issued an executive order entitled “Stopping Wall Street from Competing with Main Street Homebuyers”, seeking to curb institutional investors’ acquisition of single- family homes by limiting access to federal financing, guarantees, securitisation and government asset dispositions, while expressly calling on Congress to codify broader restrictions (Executive Order, 20 January 2026, White House). Any permanent prohi - bition would require congressional action and would almost certainly face significant constitutional scru - tiny, including challenges based on interstate com - merce, due process and equal protection principles. As a result, near‑term impacts are expected to be indi - rect, though increased regulatory and antitrust review of large‑scale acquisitions is likely. large institutional investors. 1.3 Proposals for Reform
On the development side, Florida continues to expand and refine the Live Local Act, with recent amendments (commonly referred to as “Live Local 4.0”) extending “by‑right” affordable and workforce housing develop - ment to qualifying church‑owned and other religious institution properties, as well as certain public lands, notwithstanding underlying zoning (House Bill 1389, 2026 Legislative Session). These changes significantly broaden the pool of developable land, reduce entitle - ment risk and are already influencing multi-family and mixed‑use development strategies across the state. Florida law recognises several categories of real prop - erty interests that may be acquired, ranging from full ownership interests to more limited possessory or use rights. Fee estates represent the broadest category of own - ership interests. The most common is the fee simple estate, which conveys full ownership of land, includ - ing the rights to possess, use, transfer and devise the property indefinitely, subject only to governmental regulations and private encumbrances. Fee simple is presumed under Fla. Stat. § 689.10 unless a deed expressly provides otherwise. More limited fee estates may also be created, such as defeasible fees, includ - ing fee simple determinable estates or estates subject to a condition subsequent, under which ownership may terminate or be divested upon the occurrence of a specified event. Florida law places statutory limits on the duration of certain reversionary interests, with specific exceptions for public or charitable transfer - ees. 2. Sale and Purchase 2.1 Categories of Property Rights Leasehold estates grant a right of possession and use for a defined period without transferring owner - ship. Leaseholds arise from commercial or residential leases and are governed primarily by contract law. Tenants acquire exclusive possessory rights for the lease term, while the landlord retains the underlying fee estate. Leasehold interests may range from short- term leases to long-term ground leases that function economically similar to ownership.
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