Civil Code section 8700
(a)
This chapter applies if any of the following conditions is satisfied:(1)
The owner of the fee interest in property contracts for a work of improvement on the property with a contract price greater than five million dollars ($5,000,000).(2)
The owner of a less than fee interest in property, including a leasehold interest, contracts for a work of improvement on the property with a contract price greater than one million dollars ($1,000,000).(b)
For the purpose of this section:(1)
The owner of the fee interest in property is not deemed to be the owner of a less than fee interest by reason of a mortgage, deed of trust, ground lease, or other lien or encumbrance or right of occupancy that encumbers the fee interest.(2)
A lessee of real property is deemed to be the owner of a fee interest in the real property if all of the following conditions are satisfied:(A)
The initial term of the lease is at least 35 years.(B)
The lease covers one or more lawful parcels under the Subdivision Map Act, Division 2 (commencing with Section 66410) of Title 7 of the Government Code, and any applicable local ordinance adopted under that act, in their entirety, including, but not limited to, a parcel approved pursuant to a certificate of compliance proceeding.
Source:
Section 8700, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=CIV§ionNum=8700. (accessed May 19, 2025).