Chapter 20.505 — CONDOMINIUM CONVERSIONS

This Chapter establishes procedures for condominium conversions in order to:

• A. Promote home ownership opportunities to economic segments normally unable to afford comparable owneroccupied housing on the market, thus encouraging more participation in the various economic and social benefits associated with home ownership;

• B. Guide and regulate the conversion of existing residential units to condominiums, planned unit developments, or community apartments in a manner that:

  1. Ensures that converted rental units meet reasonable physical standards and promote the general upgrading of the surrounding neighborhood;

  2. Ensures a reasonably balanced housing mix and the maintenance of an adequate supply of rental stock;

  3. Provides for the mitigation of adverse impact of eviction for residents of rental units being converted; and

  4. Provides for the mitigation of displacement of elderly or handicapped tenants who may be required to move from the housing area due to a shortage of replacement rental housing.

(Ord. 1017, 2013)

• A. This Chapter establishes requirements for applications for the conversion of an existing structure to a condominium, consistent with the requirements of the Subdivision Map Act (Government Code Section 66411 et seq.).

  1. Commercial condominiums/conversions are not regulated by the City, but are instead subject to the requirements of the California Department of Real Estate.

  2. Requirements for applications for the creation of a condominium or other common interest residential development (including a community apartment project, planned development, or stock cooperative, as provided by California Civil Code Section 1351 ) simultaneously with the construction of a new structure are in Municipal Code Title 19 (Subdivisions). Under Government Code Section 66426 , a condominium conversion is treated as a subdivision subject to the provisions of the Subdivision Map Act and this Zoning Code.

• B. Development standards for condominium conversions are in Section 20.400.100 (Condominium Conversions).

(Ord. 1017, 2013)

• A. Approval requirements. A conversion shall require the approval of all of the following, which shall be processed concurrently:

  1. Subdivision map in compliance with Municipal Code Title 19 (Subdivisions), which shall be either a parcel map for projects of four dwelling units or fewer; or a tentative map and final map for projects of five dwelling units or more;

  2. Conditional Use Permit in compliance with Chapter 20.550 (Conditional Use Permit); and

  3. A Site Plan and Design Review in compliance with Chapter 20.530 (Site Plan and Design Review).

• B. Application requirements. An application for a condominium conversion shall be filed with the Director on the forms provided by the Department, and shall include all additional information and materials required by the Department. The application shall be accompanied by the fee established by the City's Fee Resolution to cover the cost of processing the application and accompanying documents.

• C. Director's review of application.

  1. Upon receipt of the condominium conversion permit application and all required reports, the Director shall submit copies of the reports to all necessary City departments for review and comments.

  2. The Director shall review the appraisal report submitted by the subdivider and may require its revision or resubmission, if it is found to be inadequate in providing the required information.

  3. The Director shall cause an inspection to be made of all buildings and structures in the existing development. An inspection report shall be prepared by the department identifying all items found to be in violation of building code requirements.

  4. The Fire Chief shall cause an inspection to be made of the project to determine the sufficiency of fire protection systems serving the project and shall prepare and submit a report to the Department.

  5. The Director shall cause an inspection to be made to ascertain conformance of the project with zoning code requirements applicable to the project, and may submit copies of application documents to other divisions for their review and comments, and shall prepare and submit a report to the Commission.

• D. Notice, hearing, and decision. Following review by the Director, a public hearing shall be conducted by the applicable review authority in compliance with Chapter 20.625 (Public Hearings).

  1. Notice. Notification of the hearing shall be mailed to existing tenants of the project at least 10 days before the hearing date.

  2. Findings. The Council may approve an application for a condominium conversion if it can make all of the following findings:

     • a. The conversion is consistent with the General Plan or any applicable specific plan;

     • b. The location of the conversion and the conditions under which it would be operated or maintained will not be detrimental to the public health, safety, and welfare;

• c. The conversion will not result in a major displacement of existing tenants unable to find comparable housing and satisfies the requirements of Government Code Section 66427.I (regarding notice to tenants); and

  - d. The conversion complies with the development standards in Section **20.400.100** (Condominium Conversions). 
  

  3. Permit denial. Any pattern of unjust evictions or any unreasonable rent increase or pattern of unreasonable rent increases in the proposed project within 18 months prior to application for a Conditional Use Permit to convert to a condominium may be grounds for denial of the permit.

• E. Certificate of Occupancy. In addition to the required Conditional Use Permit, every condominium conversion project shall require the issuance of a Certificate of Occupancy by the Building Department. No certificate shall be issued until the Conditional Use Permit is issued and there has been compliance with all Zoning Code requirements.

• F. Post-decision procedures.

  1. Expiration - extension - revisions. The expiration, extension, or revision of a Condominium Conversion Permit shall be governed by the provisions of Municipal Code Title 19 (Subdivisions) regarding the expiration, extension, or revision of a tentative map.

  2. Resubmittal of application after denial. The resubmittal of an application for a Conditional Use Permit to convert to a condominium within one year of denial shall require the consent of the Commission.

• G. Tenant and buyer protection. The following shall pertain to all tenants of any proposed condominiums:

  1. Notice of intention to convert. Each tenant shall be given a minimum of 120 days' written notice of intention to convert by the developer before termination of tenancy due conversion or proposed conversion. The provisions of this subsection shall not alter or abridge the rights or obligations of the parties in performance of their covenants, including but not limited to the provision of services, payment of rent, or the obligations imposed by Civil Code Sections 1941.1 and 1941.2 .

  2. Notice of public hearing. The City shall notify in writing and through the United States Postal Service all tenants in any building being proposed for conversion no less than 10 days prior to the public hearing before the Commission regarding the Conditional Use Permit to convert to a condominium. Additionally, posting in three conspicuous places on the proposed site shall be conducted 10 days before the public hearing.

  3. Tenant's right to purchase. As provided in Government Code Sections 66427.I(d) and 66459, the present tenant(s) of any unit to be converted shall be given an exclusive right to purchase the unit occupied at a price no greater than the price offered to the general public. The exclusive right to purchase shall be irrevocable for a period of 60 days after the issuance of the final public report of the California Department of Real Estate unless the tenant gives prior written notice of his or her intention not to exercise the right.

rted shall be given an exclusive right to purchase the unit occupied at a price no greater than the price offered to the general public. The exclusive right to purchase shall be irrevocable for a period of 60 days after the issuance of the final public report of the California Department of Real Estate unless the tenant gives prior written notice of his or her intention not to exercise the right.

4. Additional conditions. The City shall have the right to impose conditions over and above those provisions of this Chapter upon any application for a Conditional Use Permit to convert to a condominium.

• (Ord. 1017, 2013)