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HomeMy WebLinkAboutOrd 1197�f�: �? � r d.•. �s ORDINANCE NO. 11 97 AN. ORDINA14CE. ESTABLISHING CONDO14INI I CONVERSION APPLICATION PROCEDUPa S AND REQUIREAENTS, PURCHASE RESTRICTIONS,' AND TENANT PROTECTIONS The.CITY COUNCIL of the City of Burlingame does ORDAIN 3 as follows: Section 1. Section 26.30.025 is amended to read as follows: "26.30.425 Conversion permit. Any developer, builder or other person seeking to convert an existing structure to a condominium shall first apply for and obtain from the Planning Commission a condominium conversion permit pursuant to Chapters 26.32 and 26.33. Applications for condominium conversion permits shall be evaluated and processed pursuant to the procedural requirements set forth for conditional permits in Title 25 of this code." Section 2. Chapter 26.32, concerning condominium conversions, is hereby added to the Burlingame Municipal Code to read as follows: "CHAPTER 26.32 CONDOMINIUM CONVERSION PERMITS 26.32.010 Purpose The City of Burlingame finds and determines that condominiums differ from apartments in numerous respects and, for the benefit of public health, safety and welfare, such projects should be treated differently from apart- ments. The City Council therefore states its express intent to adopt condominium conversion regulations for 1/26/81 11 1 the protection of displaced tenants and the purchasers of condominiums. The purposes of this chapter are there- fore: (a) To establish criteria for conversion of the existing multiple family rental housing to condominiums, community apartments, stock cooperatives and any other subdivision which is a conversion of existing rental housing; (b) To reduce the impact of such conversions on residents in rental housing who may be required to relocate due to the conversion of apartments to condominiums by providing for procedures for notification and adequate time and assistance for such relocation; (c) To assure the purchasers of converted housing have been properly informed as to the physical conditions of the structure which is offered for purchase; (d) To insure that converted housing achieves a high degree of appearance, quality and safety and is consistent with the goals of the City; (e) To provide a reasonable balance of ownership and rental housing in Burlingame and a variety of choices of tenure, type, price and location of housing; and (f) To maintain a supply of rental housing for elderly and low and moderate income persons. 25.32.020 Permit required. No person, firm, corporation, partnership or other entity shall convert existing dwelling units to a condomin- ium subdivision, community apartment or stock cooperative without first having said conversion approved by the Planning Commission or the City Council on appeal. Said permit is in addition to any other requirement of this code. 2 26.32.430 Application requirements. No application for a condominium conversion project shall be accepted for any purpose unless the application includes the following: (a) A site plan with at least the following details shown to scale: (1) The location, height, gross floor arca and pro- posed uses for each existing structure to remain and for each proposed new structure; (2) The location, use and type of surfacing for all open storage areas; (3) The location and type of surfacing for all driveways, pedestrian ways, vehicle parking areas and curb cuts; (4) The location, height and type of materials for walls or fences; (5) The location of all landscaped areas, the type of landscaping and method of irrigation; (6) The location and description of all recreational facilities; (7) The location, size and number of parking spaces to be used in conjunction with, each condominium unit; (S) The location, type and size of all drainage pipes and structures; (9) The location and type of all on-site and nearest off-site fire hydrants; (10) A lighting plan for the project; (11) The location, type and size of all on-site and adjacent overhead utility lines; and (12) A grading plan showing existing contours, building pad elevations and percent slope for all driveways and parking areas. (b) Fully dimensional elevation plans for typical structures, showing the architectural features and type of material of construction_ 26,32.040 Physical elements report. A report on the physical elements of all structures and facilities shall also be submitted with the application. 3 The report shall include, but not be limited to, the following: (a) A report detailing the structural condition of all elements of the property including foundations, electrical, plumbing, utilities, walls, ceilings, windows, recreational facilities, fire protection, sprinklers, alarms, mechanical equipment, parking facilities and appliances, including all appliances installed in each unit. Such report shall be prepared by a registered civil or structural engineer, or licensed architect. Regarding each such element, the report shall state, to the best knowledge or estimate of the applicant, when such element was built, the condition of each element, when said element was replaced, the approximate date upon which said element will require replacement, the cost of replacing said element, and any variation to the physical condition of said element from the current zoning and from the building code in effect on the date of the report. The report shall identify any defective or unsafe elements and set forth the proposed corrective measures to be employed. (b) A report containing acoustical test data which indicates the noise attenuation characteristics of existing party walls and ceilings. The data for such report shall include a sampling of at least ten percent (101) of the dwelling units involved, but in no case fewer than two dwelling units, and shall be compiled by a qualified person experienced in the field of acoustical testing and engineering. (c) A report from a licensed structural pest control operator, approved by the City, on each structure and each unit within the structure. 4 (d) A report on any known soil and geological conditions regarding soil deposits, rock formations, faults, groundwater and landslides in the vicinity of the project and a statement regarding any known evidence of soils problems relating to the structures. Reference shall be made to any previous soils reports for the site and a copy submitted with said report. (c) A statement of repairs and improvements to be made by the subdivider necessary to refurbish and restore the project to achieve a high degree of appearance and safety. 25.32,050 Additional submittals. The following shall also be submitted with the application: (a) A declaration of the convenants, conditions and restrictions which would be applied on behalf of any and all owners of condominium units within the project_ The declaration shall include, but not be limited to, the conveyance of units, the assignment of parking, an agree- ment for common area maintenance including facilities and landscaping (together with an estimate of any initial assessment fees anticipated for such maintenance), descrip- tion of a provision for maintenance of all vehicular access areas within the project, and an indication of appropriate responsibilities for maintenance of all utility lines and services for each unit. The declaration shall include all provisions required pursuant to Section 26.33.010- (b) Specific information concerning the demographic characteristics of the project, including but not limited to tine following: (1) Square footage and number of rooms in each unit; 5 (2) Rental rate history for each type of unit for previous. five years; (3) Monthly vacancy rate for each month during preceding two years; (4) Makeup of existing, .tenant households, including family size, length of residence, age of tenants, and whether receiving federal or state rent subsidies; (5) Proposed sale price of units; (6) Proposed homeowners association fee; (7) Financing available; and (8) Names and addresses of all tenants. When the developer can demonstrate that such information is not available, this requirement may be modified by the Planning Department. (c) Signed copies from each tenant of the notice of intent to convert required by Chapter 25.33. The developer shall submit evidence that a certified letter of notifica- tion was sent to each tenant for whom a signed copy of said notice is not submitted. (d) Signed consent to the conversion by the tenants in at least fifty percent (501) of the units. (e) Any other information which, in the opinion of the Planning Department, will assist in determining whether the proposed project will be consistent with the purposes of this chapter. 26.32.060 Acceptance of reports. The final form of the site plan, physical elements report and other • submitted documents shall be as approved by the City. The reports in their accepted form shall remain on file with the Planning Department for review by any interested persons. 6 26.32.070 Copy t❑ Meyers. The developer shall provide each purchaser with a copy of all reports required by Section 26.32.040 (in their final form) prior to said purchaser executing any purchase agreement or other contract to purchase a unit in the project, and said developer shall give the purchaser sufficient time to review said reports. Copies of the reports shall be made available at all times at the sales office and shall be posted at various locations, as may be required by the City, at the project site. 26.32.080 Physical standards for condominium conversions. (a) Adequate Rhysical condition. To achieve the purpose of this chapter, the Planning Commission shall require that all condominium conversions conform to the Burlingame Municipal Code in effect at the time of tenta- tive map approval, including all building and fire codes, except as otherwise provided in this chapter. All violations of the city codes must be corrected prior to the approval of the final map, or, upon approval of the Planning Commission, funds shall be adequately escrowed or bonded to assure completion of such corrective work prior to the closing of escrow of any unit in the project_ (b) Specific physical standards__ In addition to any other requirements, the following specific standards and requirements shall be met: (1) Fire prevention - smoke detectors: Each living unit shall be provided with approved detectors of products of combustion other than heat con- forming to the latest U.B.C. standards. (2) Sound transmission: (i) Shock mounting of mechanical equipment: All permanent mechanical equipment, such as motors, compressors, pumps and compactors which are de- termined by the Building Inspector to be a source 7 of structural vibration or structure -borne noise shall be shock mounted with inertia blocks or bases and/or vibration isolators in a manner approved by him. (ii) Noise standards: Thestructure shall con- form to all exterior and exterior sound trans- mission standards of the Uniform Building Code. In such cases where present standards cannot reasonably be met, the Planning Commission may require the applicant to notify potential buyers of the noise deficiency currently existing within these units. (3) Utility meterin (i) The consumption of gas and electricity within each unit shall be separately metered so that the unit owner can be separately billed for each utility. A water shut-off valve shall be provided for each unit or for each plumbing fixture. The Planning Commission may find at the time of ap- proval that individual metering of gas and elec- tricity is impractical and excessively expensive and waive those requirements. Each unit having individual meter(s) or heater(s) shall have access to its own meter(s) and heater(s) which shall not require entry through another unit. (ii) Each unit shall have its own parcel, or access thereto, for all electrical circuits which serve the unit. (4) Private storage space: Each unit shall have at east two hundred ( 0) cubic feet of enclosed weather -proofed and Lockable private storage space in addition to guest, linen, pantry and clothes closets customarily provided. Such space may be provided in any location approved by the Planning Department, but shall not be divided into two or more locations. In cases where the developer can demonstrate that this standard cannot reasonably be met, this standard may be modified by the Planning Commission. (5) Laundr facilities: Either a laundry area in eachunit or common laundry areas shall be pro- vided; provided such facilities shall consist of not less than one automatic washer and dryer for each common five units or fraction thereof. In such cases where the developer can demonstrate that this standard cannot reasonably be met, this standard may be modified by the Planning Commission. (6) Landsca e maintenance: All landscaping shall be restored as necessary and maintained to achieve a high degree of appearance and quality. (7) Condition of equipment anal appliances: The U_e_v_e1­o-p_e_r_­s`Ha1l provide written certification ° to the buyer of each unit at the close of escrow that any dishwashers, garbage disposals, stoves, refrigerators, hot water tanks and air conditioners. f } 8 that are provided are in operable working con- dition as of the close of escrow. At such time as the homeowners association takes over manage - me -at of the development, the developer shall provide written certification to the association that any pool and pool equipment (filter, pumps, chlorinator) and any appliances and mechanical equipment to be owned in common by the association is in operable working .condition. (8) Refurbishing and restoration: All main buildings, structures, fences, patio enclosures, carports, accessory buildings, sidewalks, driveways, land- scaped areas, and additional elements as required by the Planning Department shall be refurbished and restored as necessary to achieve a high degree of appearance, quality and safety.' 26.32.090 Hearing. At the time of the hearing on the tentative Snap, the Planning Commission shall also hold a hearing on the con- version permit. Notice of the hearing shall be given to all tenants of the proposed conversion and posted on the property. 26.32.100 flearinz considerations. At the hearing on the application for conversion of existing apartments to condominiums, the Planning Cormiiscion shall consider the following: (a) Whether or not the amount and impact of the dis- placement of tenants, if the conversion is approved, would be detrimental to the health., safety or general welfare of the community. (b) The role that the apartment structure plays in the existing housing rental. market. Particular emphasis should be placed on the evaluation of rental structures to determine if the existing apartment complex is serving low and moderate income households, or special groups of tenants such as elderly or handicapped. (c) Whether or not lower cost home ownership opportunities will be increased by the conversion of apartments to condominiums _ A (d) Whether tenants will have substantial difficulty in obtaining comparably priced housing. 26.32.110. Findings. The Planning Commission shall not issue a permit for condominium conversion unless the Planning Commission finds that: (a) All provision of this chapter are met; (b) The proposed conversion is consistent with the Burlingame General Plan. (c) The proposed conversion will conform to the Burlingame Municipal Code in effect at the time of tentative map approval except as otherwise provided in this chapter or specifically excepted by the Planning Commission_ (d) she overall design and physical condition of the condominium conversion achieves a high degree of appearance, quality and. safety. 25.32.120 Purchase by tenants re txired. The final map shall not be approved by the city unless satisfactory evidence is provided that at least thirty percent (307.) of the tenants have signed agree- ments to purchase units." Section 3_ Chapter 25.33, concerning purchase restrictions and tenant protections in condominium conversions .is hereby added to the Burlingame Municipal Code to read as �; follows : "CHAPTER 25.33 PURCHASE RESTRICTIONS AND TENANT PROTECTIONS 26.33.010 Purchase restrictions. The following purchase restrictions shall apply EN to all cgndorrti,nium conversions and shall be contained in the declaration of covenants, conditions and restrictions: (1) Designated units, at least teal percent (10%) or a minimum of one unit, shall be reserved for sale to and occupancy by persons sixty-two (62) years of age or older. Such units shall thereafter be sold and occupied only by persons sixty-two (62) years or older. If pur- chasers are a husband and wife, only one person need be sixty-two (62) years; surviving spouses shall be allowed continuing ownership and occupancy regardless of age. Initial sales prices of such units shall be at least twenty percent (20%) less than sales prices to the general public. Subsequent sale of such units shall be only to persons sixty-two (62) years of age or older and at a price of at least twenty percent (20%) less than the sales prices of comparable units, as determined by the average sales price of the three most recent sales of such type of unit within the preceding year; if such sales do not exist, the fair market value shall be determined by an appraiser employed jointly by the buyer and seller. Such percentage shall be increased or decreased by the percentage of the ownership element of the Housing Item of the Consumer Price Index for the San Francisco -Oakland area for the years between sales. All association fees, dues and charges for such units shall be reduced at least twenty percent (20%) for such units. (2) All initial purchasers of units shall occupy such units for at least two years after purchase unless the owners association allows an exception; exceptions shall be granted only on the basis of death, hardship or other extraordinary circumstance. 11 (3) Any person violating the above provisions shall forfeit to the owners association all rents or other compensation received during a period of violation; if rents are not received, the association shall determine the appropriate amount of rental. All rents so owed or amounts determined shall be a debt or obligation of the unit owner to the association and shall be collected by appropriate legal procedures. (4) Any discounts, rebates or other incentives to initial purchasers shall he indicated on the deed to the unit and shall be reflected in all subsequent sales of the unit in a dollar amount equal to the original discount, rebate or incentive. (5) The City of Burlingame shall be authorized to enforce the provisions of any of the above conditions, and for such purposes shall be allowed full and complete access to all records and looks of the association and of the developer. (6) All deeds to such units shall specifically include and describe these restrictions on sales and occupany. 26.33.020 Tenant trovisions. The following shall apply to all conversions of residential units to condominiums: (1) Notice of intent: A Notice of Intent to Convert shall be delivered to each tenant. The form of notice shall be on a form prepared by the Planning Department and shall inform tenants of all rights provided under this section. (2) Tenant's right to purchase: As provided in Government Code Section 66427(b), any present tenant or tenants of any unit shall be given a non -transferable 12 right to first refusal to purchase the unit which they occupy at a price no greater than the price offered to the general public_ The right of first refusal shall extend to at least sixty (60) days from the date of issu- ance of the Subdivision. Public deport or from the commence- ment of sales, whichever date is later. Persons occupying units designated for sale to persons over sixty-two (62) years of age who do not so qualify shall be given the right of first refusal on another unit comparable to that which they occupy. (3) Vacation of units: Each non -purchasing tenant not in default under the obligations of the rental agree- ment or lease under which he occupies his unit shall have not less than one year from the approval date of the conversion permit or final subdivision map, whichever is later, to find substitute housing and relocate. The develop- er shall notify each tenant immediately prior to the time of final map approval of the anticipated date required to vacate. the unit and when the one-year period will begin. Evidence of receipt of such a notice by each non -purchasing tenant shall be submitted prior to approval of the final map_ Any non -purchasing tenant aged sixty-two (62) years or older shall be given at least on additional .Cour (4) years in which to find suitable replacement housing. (4) Increase in rents: A tenant's rent shall not be increased for one year from the time of filing of the application for the conversion permit, and thereafter no more than once each year until the unit is sold or until the subdivision is denied or withdrawn. Any increase shall not exceed one-half (1/2) of the Residential Rent Item of the most recent Consumer Price Index, San Francisco - Oak land SMSA . 13 (5) Termination by tenant: The developer shall permit a tenant to terminate any lease or rental agree- ment without any penalty whatsoever after notice has been given of the intention to convert if such tenant notifies the developer in writing thirty (30) days in advance of such termination. (6) Alternative accommodations: The developer shall provide alternative accommodations, including moving expenses, whenever the tenant is displaced or his unit is rendered uninhabitable by remodeling or other conversion procedures. (7) ?Moving expenses: The developer shall provide moving expenses not to exceed four (4) times the monthly rent to any tenant household living in any unit prior to tentative map approval as provided in this section. A tenant commencing occupation of a unit atter tentative map approval shall not be entitled to moving expenses. Eligible tenants will receive the actual moving expenses at the time they relocate, except when the tenant has given notice of his intent to move prior to receipt of notification from the developer of his intention to convert. (S) Notice to new tenants: After submittal of the tentative map, any prospective tenants shall be notified in writing of the intent to convert prior to leasing or renting any unit." Section 4. This ordinance :shall be published as required by law. K 14 I, EVELYN H. HILL, City Clerk of the City of Burlingame, do hereby certify that the foregoing Ordinance was introduced at a regular meeting of the Burlingame City Council held on the day of February, 1981, and was adopted thereafter at a regular meeting held on the day of 1981, by the following vote: AYES: C0UWCILD+ N: NOES; COUNCIL14EN : ABSENT: COUNCILMEN; City Clerk 15