SR 06:263 - Laserfiche WebLink

Provides a right of first refusal for tenant purchases. (17.04.050 (Ell)) Provides current tenants with purchase and financing discounts. (17.04.050 (E/2-4)) Provides tenants displaced by the conversion with relocation assistance including all moving expenses within a 25-mile radius, access to professional real estate services for assistance with identifying available units, and payment of deposits for utilities. (17.04.050 (F/I-4)) Requires a public hearing by the City Council as part of the conversion process. (17.04.070) Includes findings that must be made for approval to convert including a city wide rental unit vacancy rate greater than 5%, an affordable housing plan that satisfies the City's Inclusionary Zoning Ordinance, and the development is appropriate for a condominium project. (17.04.090) Requires that at least 25% of all units in the development must be affordable to very low, low, and/or moderate income families. (IZO 17.44.020). This percentage is consistent with the City Housing Element Program 13.8 that establishes an affordability target of25% for all new housing. The above language was recommended by staff and the Housing Commission, however, the Planning Commission's recommendation calls for the removal of the moderate income option meaning all affordable units are required to be low and/or very low income. Consistent with the City Inclusionary Zoning Ordinance, project owners will be required to submit an affordable housing proposal that will be reviewed by the Housing Commission. Note that the Condominium Conversion Ordinance does not include specific affordability language but simply refers to the IZO which does include the required language. Staff selected this arrangement since it helps retain affordability requirements within the IZO rather than incorporating them in numerous documents. As indicated, the revised ordinance is intended to address concerns regarding loss of affordable housing, to assure an appropriate public process for conversion and to comply with building standards. In preparing the revisions, staff consulted with other cities that have recently amended ordinances and with City legal staff. As a result, in its current form, the ordinance addresses Housing Commission, Planning Commission and staff goals. It should be noted that there is not a singular model ordinance used by cities and in fact, many cities approach this issue differently. Somewhat unique to the proposed ordinance is the requirement that 25% of all units be affordable after conversion. As the Council is aware, the City Inclusionary Zoning Ordinance requires 15% and 20% affordability for new multiple family and single family housing respectively. While staff could have applied this level of affordability to condo conversions, the 25% requirement was selected due to consistency with the Housing Element and the fact that multifamily rental housing SR 06:263 Page 4