Section 1.

Enacts Article 4, “Prohibit Adversarial Foreign Government of Certain Lands,” to GS Chapter 64, as follows. Titled the NC Farmland and Military Protection Act. Contains findings of the General Assembly pertaining to State protection of military and farmlands. Defines adversarial nation as China, Iran, North Korea, and Russia. Sets forth ten other defined terms, including prohibited foreign party (meaning any of the five types of parties, including a citizen or resident of an adversarial nation or a foreign government formed within an adversarial nation, but excluding entities that engaged in the described activities with the Committee of Foreign Investment in the US). Defines military installation as Fort Bragg, Pope Army Airfield, Marine Corps Base Camp Lejeune, New River Marine Corps Air Station, Cherry Point Marine Corps Air Station, Military Ocean Terminal at Sunny Point, the United States Coast Guard Air Station at Elizabeth City, Naval Support Activity Northwest, Air Route Surveillance Radar (ARSR-4) at Fort Fisher, and Seymour Johnson Air Force Base, in its own right and as the responsible entity for the Dare 22 County Bombing Range, and any facility located within the State that is subject to the installations' oversight and control.

Enacts GS 64-63, prohibiting a prohibited foreign party from purchasing, acquiring, leasing, or holding any interest in the following: (1) agricultural land; (2) land situated within a 25-mile radius of a military installation; and (3) land situated underneath special use airspace, designated by the Federal Aviation Administration (FAA) (defined). Permits a prohibited foreign party that is a resident alien of the US to hold the land described above, upon the same terms as a US citizen during the continuance of their residence in the State. Prevents a prohibited foreign party from acquiring any interest in the above specified land, except for a de minimus direct interest (defined as any ownership of land resulting from ownership of registered equities in a publicly traded company owning the land and if the ownership interest in the company is either of the following: (1) less than 5% of any class of registered equities or less than 5% in the aggregate in multiple classes of registered equities; or (2) a noncontrolling interest in an entity controlled by a company that is both registered with the US Securities and Exchange Commission as an investment adviser under the Investment Advisers Act of 1940, as amended, and is not a foreign entity).

Bars another person from acting to hold land as an agent, trustee, or other fiduciary for a prohibited foreign party. Specifies that a prohibited foreign party is in violation of the act for as long as they continue to hold the specified land. Directs violating prohibited foreign parties to sell, transfer, or otherwise divest from the land within three years after acquiring the land. Directs the Attorney General (AG) to commence a court action for the sale of land if the prohibited foreign party owner does not divest from the land. Provides for proceeds of the sale to be distributed to lien holders in order of priority, then reasonable costs to the State, and finally the balance to the prohibited foreign party owner. Provides for recording by AG of the specified matters. Deems persons in violation of GS 64-63 to be guilty of a Class 2 misdemeanor. Provides for the establishment of resident alien status as an affirmative defense.  

Authorizes a prohibited foreign party that acquired an interest in the land described above prior to the act’s effective date to continue to hold their interest in the land but cannot expand their interest in that land. Requires registration of the land with the Secretary of State (Secretary) and the AG. Provides for a registration form with specified information. Provides for civil penalty for failure to register of at least $1,000 for each day the registration is late. Directs that the unpaid balance constitutes a lien against the land. Provides for an affidavit executed by any purchase of the described land above attesting their compliance with GS 64-63. Clarifies that failure to obtain or maintain the affidavit does not affect the title or insurability of the title for the land or subject any nonparty to the purchase to civil or criminal liability, unless a nonparty to the purchase has actual knowledge that the transaction will result in a violation of this section. Directs the Real Estate Commission to establish the form affidavit.

Clarifies that title to agricultural land is not invalid or subject to divestiture due to a violation of GS 64-63 by any former owner or any other person holding or owning a former interest in the agricultural land. Makes it a Class 2 misdemeanor for a person to knowingly sell an interest in agricultural land in violation of GS 64-63.

Section 2.

Enacts GS 161-14.04, requiring the register of deeds to mandate that the parties as grantor and grantee on the instrument provide information sufficient to establish their current citizenship, residential status, or for non-individual entities, the state or nation where the entity is organized under, prior to the recording of a deed or other document conveying an ownership interest in land. Provides for indexing of citizenship and residential status.

Section 3.

Contains severability clause.

Section 4.

Effective December 1, 2025.