What will new units sold with the intent of being installed on a permanent foundation be subject to?

New units sold with the intention of being installed on a permanent foundation will be subject to local property tax, reflecting their status as real property once installed. When a modular unit is affixed to a foundation, it typically loses its classification as personal property and is taxed accordingly as real estate. This change in classification means the unit is no longer considered movable and, therefore, falls under the jurisdiction of local property tax regulations.

On the other hand, the unit is not subject to HCD registration in this scenario. HCD registration generally applies to manufactured homes and similar units that remain classified as personal property. Since the question specifies the intent for permanent installation, the requirement for HCD registration becomes inapplicable. Thus, the correct answer acknowledges only the local property tax obligation, which is a key factor to consider for new units meant to be permanently installed.