IMPARTIAL ANALYSIS BY THE CITY ATTORNEY
OF MEASURE II


     

            This measure would amend the City Charter to authorize the conversion of rental housing to condominiums, stock cooperatives and other forms of common ownership and to give tenants living in converted properties the opportunity to purchase their units.  The types of rental housing covered by these procedures would include apartment buildings, mobilehome parks, and other residential rentals, including single family homes in zoning districts other than R-1.  The conversion procedures would not be available for a particular property if an eviction had occurred pursuant to the Ellis Act within the preceding five years or if an eviction for owner occupancy had occurred within the preceding two years.  

            Applications to convert rental housing could be filed with the City by an owner, a tenant group in the process of purchasing the housing, or a tenant group which had already purchased.  The application would include, among other things, the sales price for each unit, plans for parking and common area usage, any repairs or alterations to be completed before sales of units, and a plan for allocating costs and expenses.  Tenants occupying two-thirds of the units or spaces would need to co-sign an owner’s application.  A tenant group’s application would require the signatures of tenants occupying half the units or spaces. 

            Tenants who did not purchase units in converted buildings would receive an irrevocable 99 year lease addendum which would continue their tenancies, maintain local rent controls, and protect them against evictions under the Ellis Act and evictions for owner occupancy.  Other “good cause” evictions permitted under Santa Monica’s Rent Control Law would be permitted.  Senior citizen tenants would have specified rights to name successor tenants. 

            The measure would also establish procedures and time limits for the City’s processing of conversion applications.  Resale controls and conversion fees in excess of specified amounts would be prohibited.  Converted buildings would be governed by building standards in effect at the time of their conversion approval.  Specific provisions would legalize and govern converted bootleg units.  Finally, violations would be subject to both civil remedies and criminal penalties. 

             The measure also contains a provision of general applicability which is not limited to converted properties.  This provision would establish that any residential building, converted or not, which was destroyed by fire, earthquake, or other act of nature could be rebuilt in its old form irrespective of current building standards.   That is, the building could be rebuilt within the previous building envelope, in the same architectural style, and with up to the same number of units as legally existed prior to the destruction irrespective of any planning and zoning laws in effect at the time of the reconstruction.  Only current building and safety codes would apply to the reconstruction.  Substantial modifications in architectural style would be subject to review by the City’s Architectural Review Board. 

PREPARED BY:      Marsha Jones Moutrie
Barry Rosenbaum 

WORD COUNT: 484

 

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