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HomeMy WebLinkAbout1315ORDINANCE NO. 131:5(1996 SERIES) AN ORDINANCE OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO AMENDING THE CONDOMINIUM DEVELOPMENT AND CONVERSION REGULATIONS TO REQUIRE AFFORDABLE HOUSING AND TO ALLOW EXCEPTIONS TO THE SOLAR WATER HEATING REQUIREMENT. WHEREAS, Housing Element Program 1.22.16 calls for the City to revise its condominium regulations to discourage or prevent the conversion of affordable rental units to condominium units unless permanent affordable guarantees, such as deed restrictions, are incorporated into the conversion; and WHEREAS, Housing Element Program 1.22.12 calls for the periodic review of planning and building regulations for possible changes to assist in the production of affordable housing while not conflicting with other General Plan policies, or to remove regulations that are no longer needed; and WHEREAS, the Planning Commission held a hearing on October 9, 1996 to discuss amendments to the City's Condominium Development and Conversion Regulations and recommended that the City Council amend Chapter 17.20 of the San Luis Obispo Municipal Code to implement these Housing Element programs; NOW THEREFORE, BE IT ORDAINED by the City Council of the City of San Luis Obispo as follows: SECTION 1. The City Council has determined that the proposed amendments are not a project as defined by Section 15378 of the California Environmental Quality Act because they involve the enactment or amendment of zoning regulations and will not result in a physical change in the environment, and consequently, are exempt from further environmental review. SECTION 2. Chapter 17.82 of the San Luis Obispo Municipal Code is hereby amended as shown in Exhibit A. SECTION 3. A synopsis of this ordinance, approved by the City Attorney, together with the names of the Council Member voting for and against, shall be published at least five days prior to its final passage, in the Telegram- Tribune, a newspaper published and circulated in this City. This ordinance shall go into effect at the expiration of thirty (30) days after its final passage. INTRODUCED AND PASSED TO PRINT by the Council of the City of San Luis Obispo at a meeting held on the 19 day of November on motion of Council Member Roalman ,seconded by Council Member Smith and on the following roll call vote: 01315 Ordinance No. 1315 (1996 Series) Page 2 AYES: Council Members Smith, Roalman, Mayor Settle NOES: Council Member Romero, Vice Mayor :Williams ABSENT: None ATTEST: Bonnie m 0, /70, Aell — K '7Y Clerk APPROVED AS TO FORM: jh/Lxondo.ord Mayor Allen K. Settle Chapter 17.82 RESIDENTIAL CONDOMINIUM DEVELOPMENT AND CONVERSION Sections: 17.82.010 Purpose and intent. 17.82.020 Definitions. 17.82.030 Applicability of other laws. 17.82.040 Provisions to govern condominium conversion projects. 17.82.050 Application requirements. 17.82.060 Acceptance of report. 17.82.070 Copy of reports to buyers. 17.82.080 Tenant provisions. 17.82.090 Hearing -- Notification. 17.82.100 Application -- Required findings. 17.82.110 Property improvement standards for condominium conversions. 17.82.120 Conversion limit procedure. 17.82.130 New project regulations -- Standards to govern. 17.82.140 Property improvement standards for new condominium projects. 17.82.150 Affordable Housing Requirements. 17.82.160 Exceptions. 17.82.010 Purpose and intent Condominiums, community apartments and stock cooperatives provide for ownership of separate dwellings, or equity coupled with a right of exclusive occupancy, as well as common areas within multiple- family housing normally managed and maintained by an owner's association. This mix of individual and common ownership and the potential problems of converting existing apartments make special regulations necessary. The city has determined that condominiums differ from apartments in some respects and, for the benefit of public health, safety and welfare, such projects should be treated differently from apartments. These regulations are intended to: A. Establish requirements and procedures for the conversion of existing rental housing to residential condominiums and other forms of occupant ownership; B. Provide for compliance with the housing element of the general plan; C. Assure that purchasers of converted apartments are aware of the condition of the structure which is offered for purchase; D. Provide design and property improvement standards for condominium projects, both new and converted. (Ord. 984 ss 2 (part), 1983: prior code ss 9850) E. Minimize the loss of affordable housing stock as a result of condominium conversions. 17.82.020 Definitions The following words and phrases shall have the indicated meanings: Ordinance No. 1315 (1996 Series) Page 2 A. "Applicant" means the owner of real property proposed to be subdivided, or his authorized representative. B. "Affordable housing" means housing which rents or sells at prices which conform to the City's "Affordable Housing Standards" issued by the Community Development Director, as provided by SLOMC 17.90.090. C. "Community apartment" means an apartment development in which an undivided interest in the land is coupled with the right of exclusive occupancy of an apartment located thereon. For the purposes of this chapter, community apartments will be subject to the same regulations as condominium projects. D. "Condominium conversion" means the conversion of property from occupancy under its existing tenancies or estates to occupancy under condominium, community apartment or stock cooperative interests. E. "Condominium project" means the entire parcel of real property, including all structures thereon, subdivided or to be subdivided for the purpose of constructing or converting existing structures to condominium units. F. "Design." Design of a project shall include: 1. Driveway location, grades and widths; 2. Drainage and utilities, including size, alignments and grades thereof, 3. Location and size of all required easements and rights of way; 4. Fire protection devices; 5. Lot size and configuration; 6. Traffic access; 7. Parking; 8. Land to be dedicated for park or recreational purposes; 9. Landscaping, 10. Structures; and 11. Other specific requirements in the plan and configuration of the entire project as may be necessary or desirable to insure conformity to or implementation of the general plan or any adopted specific plan. G. "Stock cooperative" means a corporation which is formed or availed of primarily for the purpose of holding title to, either in fee simple or for a term of years, improved real property, if all or substantially all of the shareholders of such corporation receive a right of exclusive occupancy in a portion of the real property, title to which is held by the corporation, which right of occupancy is transferable only concurrently with the transfer of the share or shares of stock in the corporation held by the person having such right of occupancy. For the purposes of this chapter, stock cooperatives will be subject to the same regulations as condominium projects. (Ord. 984 ss 2 (part), 1983: prior code ss 9851) 17.82.030 Applicability of other laws. All condominium projects shall be subject to all applicable provisions of the Subdivision Map Act and Titles 15,16 and 17 of this code, and all other applicable state and local laws and ordinances. (Ord. 984 ss 2 (part), 1983: prior code ss 9852) Ordinance No. 1315 (1996 Series) Page 3 17.82.040 Provisions to govern condominium conversion projects. The procedures and standards contained in this chapter shall govern condominium projects. (Ord. 984 ss 2 (part), 1983: prior code ss 9853) 17.82.050 Application requirements. The following shall be provided at the time of application for condominium conversion: A. Property condition report. The application shall be accompanied by a property condition report including at least the following: 1. A report detailing the condition of all elements of the property including foundations, ventilation, utilities, walls, roofs, windows, mechanical equipment, appliances which will be sold with the units, common facilities and parking areas. The report shall state, to the best knowledge of the applicant, and for each element: the date of construction, the condition, the expected useful life, the cost of replacement, and any variations from the zoning regulations in effect when the last building permit was issued for the subject structure(s). The report shall identify all defective or unsafe elements or those which may impair use and enjoyment of the property, and explain the proposed corrective measures to be used. The report shall be prepared by or under the supervision of a registered civil or structural engineer, licensed general contractor or architect; 2. A report from a licensed pest- control operator describing in detail the presence and effects of any wood destroying organisms; 3. A report of any known soil or geological problems. Reference shall be made to any previous soil reports for the site. B. Site plan. The application shall be accompanied by a site plan which shall include at least the following: 1. The location, number of stories, number of all dwellings, and proposed uses for each 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, method of irrigation, and a statement specifying private or common maintenance; 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 unit; 8. The location, type, and size of all drainage pipes and structures; 9. Existing contours, building pad elevations and percent slope for all driveways and parking areas; C. Evidence of delivery of notice of intent to convert. The application shall be accompanied by signed copies from each tenant of the notice of intent to convert as specified in Section 17.82.080A. The applicant shall submit evidence that a certified letter of notification was sent to each tenant for whom a signed copy of the notice is not . Ordinance No. 1315 (1996 Series) Page 4 submitted. D. Other information. The application shall be accompanied by any other information which in the opinion of the director of community development will assist in determining whether the proposed project will be consistent with the purposes of these regulations. (Ord. 984 ss 2 (part), 1983: prior code ss 9853.1) 17.82.060 Acceptance of Report The community development director shall establish the final form of the reports required by Section 17.82.050. Approved reports shall remain on file with the community development department for review by interested persons. (Ord. 984 ss 2 (part), 1983: prior code ss 9853.2) 17.82.070 Copy of reports to buyers. Each prospective purchaser shall be provided with a copy of all reports in their final form, except the signed notices of intent to convert, prior to entering escrow. Copies of the report shall be available at the sales office and the project site. (Ord. 984 ss 2 (part), 1983: prior code ss 9853.3) 17.82.080 Tenant provisions A. Notice of intent to convert. Applicant shall give each tenant a written notice of intent to convert at least one hundred eighty days before termination of tenancy due to conversion. The notice shall contain at least the following: 1. Name and address of current owner; 2. Name and address of proposed subdivider; 3. Approximate date on which the unit is to be vacated by non - purchasing tenants; 4. Tenant's right to purchase, 5. Statement of no rent increase; and statement of proposed sales prices and terms. B. Tenant's right to purchase. Pursuant to Government Code Section 66427.1(d), applicant shall give any present tenant a nontransferable right of first refusal to purchase the unit occupied. This right of first refusal shall extend at least ninety days from the date of issuance of the subdivision public report or commencement of sales, whichever date is later. C. Vacation of units. Each non - purchasing tenant not in default under the provisions of the rental agreement or lease under which he occupies his unit, shall have the right to remain not less than one hundred eighty days from the date of receipt of notification of intent to convert. D. No increase in rents. A tenants rent shall not be increased during the one hundred eighty day period provided in subsection C of this section. E. Notice to new tenants. After submittal of the tentative map, prospective tenants shall be given a written notice of intent to convert prior to leasing or renting any unit. (Ord. 984 ss 2 (part). 1983: prior code ss 9853.4.) Ordinance No. 1315 (1996 Series) Page 5 17.82.090 Hearing -- Notification. Prior to acting on applications, the planning commission and council shall each hold a public hearing, notice of which shall be given tenants of the proposed conversion and posted on the property at least ten days beforehand. (Ord. 984 ss 2 (part), 1983: prior code ss 9853.5) 17.82.100 Application -- Required findings. An application for condominium conversion shall not be approved until these findings are made: A. All provisions of these regulations have been or will be met; B. The proposed conversion is consistent with the general plan; C. That there exist facts adequate to support the findings required under Sections 66473.5 and 66474 of the Government Code; D. !!.*.'-..`That: (1) affordable housing units at risk will be offered at rents or sales prices affordable to low- or moderate - income persons, or (2) an equivalent number of new units comparable in affordability and amenities to those being converted are being created as part of the new project; or that low- or moderate - income persons will not be displaced by the proposed conversion. 17.82.110 Property improvement standards for condominium conversions. A. Building and zoning regulations. Conversion projects shall substantially comply with the city's building and housing codes and zoning regulations in effect on the date the conversion project is approved. B. Fire safety. 1. Smoke detectors. Each living unit shall be provided with approved smoke detectors mounted on the ceiling or wall at a point centrally located in the area giving access to rooms used for sleeping purposes. C. Fire protection systems. All fire hydrants, fire alarm systems, portable fire. extinguishers and other fire protection appliances shall be maintained in operable condition at all times and shall comply with current city standards. D. Utility metering. The consumption of gas, electricity and water within each unit shall be separately metered and there shall be circuit breakers and shutoff valves for each unit. E. Storage. Each dwelling unit shall have provision for at least two hundred cubic feet of enclosed, weatherproof, and lockable private storage space, exclusive of cabinets and closets within the unit. This space shall be for the sole use of the unit owner. The minimum opening shall be two and one half feet by four feet and the minimum height shall be four feet. F. Laundry facilities. A laundry area shall be provided in each unit, or in common laundry space. Common facilities shall consist of at least one washer and dryer for each ten units or fraction thereof. G. Parking. The number of parking spaces shall be as provided in the zoning regulations. Spaces for the exclusive use of occupants of each unit shall be so marked. Visitor parking and special stopping zones, if any, shall also be marked. H. Refurbishing and restoration. All structures, common areas, sidewalks, driveways, Ordinance No. 1315 (1996 Series) Page 6 landscaped areas and facilities, if defective, shall be refurbished and restored to a safe and usable condition. All deficiencies shall be corrected prior to recordation of a final map. I. Minimum project size. Condominium conversion shall not be allowed for projects consisting of less than ten residential units. J. Private open space. There shall be provided with each unit a minimum of two hundred fifty square feet of qualifying private open space for projects in the R -1 or R -2 zones, and a minimum of one hundred square feet for projects in the R -3 or R -4 zones. To qualify, open space must be private and directly accessible from the unit it serves, and must have a minimum dimension in every direction of ten feet for open space provided at ground level or six feet for open space provided on a balcony or elevated deck and must be located outside the street yard required by the zoning regulations. K. Common open space. There shall be provided in each project a minimum of one hundred square feet of qualifying common open space per unit for projects in the R -3 or R -4 zones. To qualify, open space shall have a minimum dimension in every dimension of ten feet for open space provided at ground level or six feet for open space provided on a balcony or elevated deck, and must be located outside the street yard required by zoning regulations. Common open space need not be located with each unit. There is no minimum common open space requirement for projects in the R -1 and R -2 zones. L. Total open space. There shall be provided in each project a minimum of one thousand square feet per unit of qualifying private and common open space for projects in the R -1 zone, seven hundred fifty square feet per unit for projects in the R -2 zone, and four hundred square feet per unit for projects in the R -3 or R -4 zones. M. Common recreation facilities. There shall be provided in each project in the R -3 or R- 4 zones a minimum of twenty square feet per unit of common indoor recreation facilities, or forty square feet per unit of improved outdoor recreation facilities. Common recreation facilities shall be available for, and limited to, the use of the project's tenants and their guests. Common recreation facilities must be located outside the street yard required by zoning regulations. N. Open space and recreation facilities in nonresidential zones. Requirements for open space and recreational facilities for projects in nonresidential zones shall be set by the council at the time the project is reviewed. O. Installation of clotheslines. Tenants shall not be prohibited from installing clotheslines in private open areas which are substantially screened from common view. (Ord. 984 ss 2(part), 1983: prior code ss 9853.7) 17.82.120 Conversion limit procedure. A. Annual limit. The city shall not approve conversion projects in any one calendar year resulting in more units being converted than one -half the number of multi - family rental dwellings added to the city's housing stock during the preceding year. The number of multi - family rental units added in one year shall be determined as follows: From January 1 st through December 31 st, the total number of multi - family rental units given a final building inspection and occupancy permit minus the number of such units demolished, removed from the city, or converted to nonresidential use. B. Filing period. Applications for conversion may be filed during the month of January Ordinance No. 1315 (1996 Series) Page 7 and February only. No action shall be taken on applications during this period. C. Project ranking. 1. If applications on file at the end of the filing period would, when approved, convert more dwelling units than allowed under subsection A of this section, the planning commission shall rank the applications according to the following criteria: a. The fractions of tenants not objecting to conversion; b. Time given tenants to relocate, in addition to the minimum requirement; c. Credit of tenants' rent or deposits toward purchase price; d. Provision of individual open space with each dwelling; e. Provision of additional storage space beyond minimum requirement; f. Provision of additional parking beyond minimum requirement; g. Provision of additional open space or recreation facilities beyond minimum requirement; h. Provision of units which low- income and moderate - income families can afford; i. Provision of solar water heating or equivalent energy savings. 2. The planning commission's evaluation shall be a recommendation to the council, which may act on conversion projects based on its own findings, within the numerical limits established under subsection A of this section. D. Time limits for actions. The results of the planning commission's evaluation shall be transmitted to the council by April 1st. The council shall approve, approve subject to conditions, or deny each conversion application by May 1 st. If the applications on file at the end of the filing period would not exceed the year's limit, they shall be forwarded directly to the council, which shall act on the applications by April 1 st. E. Maps. Maps are required by the California Subdivision Map Act need not be prepared until an application for conversion has been approved. Maps shall be processed as provided in the city's subdivision regulations set out in Title 16 of this code. The tentative map application shall be accompanied by the declaration of covenants, conditions and restrictions, articles of incorporation, bylaws and contracts for the maintenance, management or operation of any part of the condominium conversion project, which would be applied on behalf of any and all owners of the condominium units within the project. In addition to the requirements of Civil Code Section 1355 and any requirements which might be imposed by the city consistent with these regulations, the organizational documents shall include provisions concerning the conveyance of units; the assignment of parking; an agreement for common area maintenance, including facilities and landscaping, an estimate of initial fees anticipated for such maintenance, an indication of responsibilities for maintenance of all utility lines and services for each unit. The covenants, conditions and restrictions document shall include a reference to attached, updated property condition report. (Ord. 984 ss 2 (part), 1983: prior code ss 9853.8) 17.82.130 New project regulations -- Standards to govern. The standards contained in Section 17.82.140 shall govern new condominium projects. Ordinance No. 1315 (1996 Series) Page 8 (Ord. 984 ss 2 (part), 1983: prior code ss 9854) 17.82.140 Property improvement standards for new condominium projects. A. Private Open Space. There shall be provided with each unit a minimum of two hundred fifty square feet of qualifying private open space for projects in the R -1 or R -2 zones, and a minimum of one, hundred square feet for projects in the R -3 or R -4 zones. To qualify, open space must be private and directly accessible from the unit it serves, and must have a minimum dimension in every direction often feet for open space provided at ground level or six feet for open space provided on a balcony or elevated deck, and must be located outside the street yard required by zoning regulations. B. Common open space. There shall be provided in each project a minimum of one hundred square feet of qualifying open space per unit for projects in the R -3 or R -4 zones. To qualify, open space shall have a minimum dimension in every direction of ten feet for open space provided at ground level or six feet for open space provided on a balcony or elevated deck, and must be located outside the street yard required by zoning regulations. Common open space need not be located with each unit. There is no minimum common open space requirement for projects in the R -1 and R -2 zones. C. Total open space. There shall be provided in each project a minimum of one thousand square feet per unit of qualifying private and common open space for projects in the R -1 zone, seven hundred fifty square feet per unit for projects in the R -2 zone, and four hundred square feet per unit for projects in the R -3 or R -4 zones. D. Common recreation facilities. There shall be provided in each project in the R -3 or R- 4 zones a minimum of twenty square feet per unit of common indoor recreation facilities, or forty square feet per unit of improved outdoor recreation facilities. Common recreation facilities shall be available for, and limited to, the use of the project's tenants and their guests. Common recreation facilities must be located outside the street yard required by zoning regulations. E. Open space and recreation facilities in nonresidential zones. Requirements for open space and recreational facilities for projects in nonresidential zones shall be set by the council at the time the project is reviewed. F. Storage. Each dwelling unit shall have provision for at least two hundred cubic feet of enclosed, weatherproof and lockable private storage space, exclusive of cabinets and closets within the unit. This space shall be for the sole use of the unit owner. The minimum opening shall be two and one half feet by four feet and the minimum height shall be four feet. G. Laundry facilities. A laundry area shall be provided in each unit, or in common laundry space. Common facilities shall consist of at least one washer and dryer for each ten units or fraction thereof. H. Energy conservation. Solar water hearing shall be provided for each unit, and appropriate easements shall be provided for collector locations. The community development director may waive the requirement for solar water heating in cases where the chief building official has determined that equivalent energy savings will be obtained by other means. Tenants shall not be prohibited from installing clotheslines in private open areas which are substantially screened from common view. Ordinance No. 1315 (1996 Series) Page 9 17.82.150 Affordable Housing Requirements. Developers of condominium conversion projects shall prevent the displacement of low- and /or moderate income persons by: 1) offering to sell converted units to low- or moderate - income tenants at risk of displacement, at prices which meet the city's affordable housing standards. This offer shall run concurrently with the first right of refusal period described in section 17.82.80 (B) above; or 2) Including affordable rent guarantees, such as deed restrictions, as a condition of project approval. Such guarantees shall enable low- and moderate - income households, at their option, to continue renting their unit, after conversion, for a specified period to be negotiated by the developer and City prior to occupancy, but not less than three (3) years; or 3) Providing an equivalent number of off -site, affordable housing for the low- or moderate income households at risk of displacement, either by: a) remodeling or converting vacant, substandard or non - conforming buildings or uses within the City; or by: b) building new units within the City. New or remodeled units shall be comparable in size and amenities to the converted condominium units; or 4) Paying an in -lieu housing fee, to the approval of the City Council. 17.82.160 Exceptions. Upon request by a subdivider, the council may approve exceptions to property improvement standards and /or affordable housing requirements for condominium conversion projects. The nature of the exception shall be described in public notices for council hearing on the condominium map. The council may act on the request only after a public hearing. In order to approve an exception for other than the affordable housing requirement, the council must find that: A. There are circumstances of the site, such as size, shape or topography, distinct from land in the same zoning, or compliance would not be practical because of the location or site design; B. The variance will not constitute a grant of special privilege; an entitlement inconsistent with the limitations upon other properties in the vicinity with the same zoning; and C. No feasible alternative to authorizing the exception would satisfy the intent of the city policies and regulations. (Ord. 052 ss 2, 1985; Ord. 984 ss 2 (part), 1983: prior code ss 9855) For exceptions to the affordable housing requirement, the Council must only find that: D. The project will not materially reduce the City's affordable housing stock and will not displace low- or moderate- income households. WL:condoreg.doc ��1��= U ' �' ��� �� � ��� �' ° � Ordinance No. 1315 (1996 Series) FINALLY PASSED this 3rd day of December, 1996, on motion of Council Member Williams, seconded by Council Member Smith, and on the following roll call vote: AYES: Council Members Roalman, Smith and Mayor Settle NOES: Council Members Romero and Williams ABSENT: None ATTEST: i' EVE Mayor Allen K. Settle