IMG_6926

Short Term Rentals

We have one step forward and two steps back:
The good news is that the City Council voted July 7th to demand enforcement of the existing law prohibiting short term rentals if an owner has three or more units offered as vacation rentals in Berkeley. BTU is sending updated info about the owners we complained about last summer – and we would like you to send any information about big landlords breaking the law to the City Council, and to us, too!
The bad news is that the Council majority may be selling tenants out for some tax revenue so they can cut a deal with megacorps like AirBnB. After promises from Bates and Capitelli to continue the ban on short term rentals of units that are not someone’s home, they voted to “have staff consider the possibility of grandfathering in permits for accessory dwelling units currently being rented out on a short-term basis.” In other words, if you own a duplex and are following the law, you are screwed, but people who have been breaking it might be allowed to legalize their small business.

“After debating some of the finer points about what the city’s ordinance should look like — particularly after a preliminary vote in June — officials agreed to have staff do further research before ratifying the overall law. In the meantime, however, officials want to begin immediately to address the issue of owners with multiple units who are flouting the rules. “It’s currently against the law and it will continue to be against the law,” Worthington said. “Therefore there’s no reason to delay.”
http://www.berkeleyside.com/2016/07/11/berkeley-council-votes-to-crack-down-on-short-term-rentals-of-multiple-units-by-same-owner/comment-page-1/

Durant Demolition Granted
(with Unknown Mitigation)

We have mostly a success story on our continuing opposition to the demolition of 18 rent controlled units on Durant. This is because while the BTU/ASUC appeal was going through a ridiculous year-long city process, the Council passed a new version of the demolition ordinance which requires a mitigation fee for the loss of rent control.

However, the Council did not set the fee. State law says you have to show a direct relationship between the level of a mitigation fee and the damage to society that the money is meant to offset. Council first commissioned a “nexus study” on demolition of rent controlled units several years ago, but they say they still don’t have it back. Some activists think they are waiting until after the election to make an unpopular vote.
BTU plans to demand that the fee be as high as the study says it needs to be to provide for one-for-one replacement of rent controlled units with real affordable housing.

2631 Durant In Daily Cal
“We don’t inherently oppose tearing-down and replacing the building,” Lewis said in an email of the project that would add 38 housing units to the city of Berkeley. “However, we do oppose incentivizing landlords to destroy habitable, low-cost housing in order to try to make a profit.”
http://www.dailycal.org/2016/07/13/lawsuit-prolongs-struggle-2631-durant-ave-complex/

Berkeley Demolition Appeal in SF Chronicle
Berkeley’s approval of demolition increases worries over rent – San Francisco Chronicle

Lawsuit on Durant Demolition
Developer Orloff claims there is an inherent “right to develop.”
“…plaintiffs fault Berkeley for “its enactment of legislation that illegally and unconstitutionally requires property owners to transfer massive sums of money to the City and tenants in order to exercise an essential right of property ownership: the right to develop property.” They seek, among other relief, a declaration from the court that the ordinance violates the Fifth Amendment of the Constitution and its Due Process Clause, and is therefore invalid.The city, in its motion to dismiss, argues that there is a definite nexus between mitigation fees and the public purpose of mitigating the loss of affordable housing…”
http://www.eastbaytimes.com/breaking-news/ci_30145194/berkeley-landlord-sues-city-over-demolition-fees

In Other News

2017 Berkeley Budget Cuts Homeless Services
The City took money from long-established programs to pay for a new “hub” for homeless intake.
http://www.dailycal.org/2016/07/04/several-berkeley-nonprofit-homeless-services-partially-defunded-by-2017-city-budget/

Evictions from Unpermitted Units in SF
“Though S.F. has proven to be an inhospitable place for renters the last several years, the circumstances surrounding this eviction are particularly startling. It seems that Malliett’s new landlords—Mathieu Verbeeck, a VP of product development at Mubi, and Catherine Crevels, a marketing manager at Intuit—are testing out a novel strategy for ejecting tenants. They contend that Malliett and her daughter are causing a “nuisance” by living in a unit that lacks the proper permits. The Board of Supervisors has…”
http://www.modernluxury.com/san-francisco/story/tech-workers-evict-kindergarten-teacher-mission-apartment-using-appliances

Where Do Renters Evicted from SF Move?
http://antievictionmappingproject.net/relocation.html

San Jose Needs a Demolition Mitigation
https://www.theguardian.com/technology/2016/jul/07/silicon-valley-largest-eviction-rent-controlled-tenants-income-inequality

First Time Buyers Screwed Too
The only cities that fared worse than Oakland and Berkeley were Miami Beach, Florida (299) and Newark, New Jersey (300).”
http://sanfrancisco.cbslocal.com/2016/07/18/oakland-berkeley-ranked-worst-u-s-cities-for-first-time-home-buyers/

Short Term Rentals held over by Berkeley City Council until Thursday July 7. BTU will post an update in a couple of days regarding the Mayor’s last-minute introduction of a proposed contract with Airbnb.

Durant Demolition approved under new demolition law which calls for mitigation of the loss of rent controlled housing through a fee to fund new low-income housing – however, the fee has not been set yet! Also, that developer has filed a lawsuit against the new version of the law.

Two Competing Landlord Taxes on Berkeley Ballot
Depending on the business license tax rate increase, the CSAH measure would fund 40 to 70 units annually, while BRHC’s would pay for just 12, Barton added. The measures also differ on exemptions. The apartment owners’ measure raises taxes on every rental housing unit currently taxed.

Gulbransen says the lack of exemptions makes their measure more equitable. The CSAH measure exempts tax increases on low-rent units housing tenants living under rent control since 1998, units rented under federally subsidized programs and permanently affordable inclusionary units in newer buildings.
http://www.mercurynews.com/breaking-news/ci_29928806/berkeley-voters-could-face-dueling-robin-hood-tax

But in California, the profits from ever-increasing land values aren’t shared for the public good. They’re collected by landlords in the form of higher rents…. But a broad-based coalition of Berkeley renters, affordable-housing activists, political leaders, and even some landlords are trying to revive the idea of a land tax. And they want to dedicate the millions it could raise to affordable housing.”
http://www.eastbayexpress.com/oakland/berkeley-city-council-approves-ballot-measure-to-tax-landlords-and-create-affordable-housing-fund/Content?oid=4818958

The additional tax would raise an additional $5 million a year from landlords over the current $3.5 million, for a total of $8.5 million a year, according to estimates by the Committee for Safe and Affordable Housing, which supports the measure. Apartments rented to Section 8 tenants, apartments with tenants in occupancy since before 1999, and certain other properties, would be exempt from the tax increase; there also would be a hardship exemption. The measure would prohibit passing the business tax increase along to most tenants. Proceeds of the tax increase would facilitate 45 affordable housing units per year.
http://www.eastbaytimes.com/breaking-news/ci_29974957/berkeley-council-oks-funding-measures-november-ballot

Rent Board Candidate Igor Tregub
Igor is also a member of the BTU Steering Committee.
http://www.dailycal.org/2016/05/26/igor-tregub-files-run-rent-stabilization-board/

UCB Report: Market Rate Housing Doesn’t Prevent Gentrification
http://www.eastbayexpress.com/SevenDays/archives/2016/05/27/uc-berkeley-report-lao-wrong-about-market-rate-housing-panacea
see also
https://news.berkeley.edu/2016/05/23/researchers-stress-role-of-subsidized-housing-in-easing-affordability-crisis/

Council Talks About Housing Plan
Proposals approved for implementation or further study ran the gamut from financial incentives and taxes, to rezoning, red tape-cutting, beefing up the city’s Affordable Housing Trust Fund and protections against eviction. Many will be the subject of a larger council discussion on housing tentatively scheduled for early fall.
http://www.eastbaytimes.com/breaking-news/ci_29919572/berkeley-backs-package-steps-address-housing

Jesse Arreguin Discusses Housing Policy
http://www.dailycal.org/2016/05/31/berkeley-city-must-take-comprehensive-approach-to-housing-crisis/

UC Students Have Trouble Accessing Rights
http://www.dailycal.org/2016/06/20/housing-struggles/

San Francisco Tenant Takes On Costa Hawkins in the Media
http://mediaoneservices.com/mary-catherine-wiederhold-and-neil-hutchinson-62816/

Affordable Housing Bond on Alameda County Ballot
http://www.ebho.org/2012-02-07-00-50-21/regional-policy-a-land-use/alameda-county-housing-bond

Concord Wants Rent Control!
The full City Council is scheduled to discuss the rental situation in Concord and the policy options available to the council on July 26.”
http://www.eastbaytimes.com/concord/ci_30066419/rent-control-hot-topic-concord

Berkeley Council Invites Mostly Developers to Discuss Affordable Housing Options:
Former Planning Director Mark Rhoades, now a developer himself, was a featured speaker at the February 16 Council forum.
http://www.berkeleyside.com/2016/02/17/berkeley-considers-ways-to-build-more-affordable-housing/

Several speakers who work for, or consult with, developers said Berkeley’s public process is to blame for rising building costs.
http://www.dailycal.org/2016/02/17/city-council-discusses-problems-solutions-affordable-housing-crisis-work-session-tuesday/

Berkeley has built only 206 below-market rentals since 2012
Berkeley has approved only 206 below-market rentals since 2012

8% Affordable Housing Will Not Address Crisis
“With those units, plus all of the projects at various stages of the use permit application process as well as those under construction, the totals since 2012 come out to 206 affordable units out of 2,787 total units, or 8 percent (see ABAG slide above).
…There was consensus among the experts that the city needs to expedite housing construction by facilitating funding and cutting red tape. But not all of them bought into the oft-cited notion that building lots of luxury housing will put a significant dent in the affordable housing shortage… Several lamented what they saw as the loss of economic and ethnic diversity in a city where skyrocketing residential rents are out of reach of most working people, many of them minorities. The rising rents represent “a major transfer of income from tenants to real estate investors,” and they vastly exceed what a landlord needs to profitably operate and maintain a building, said former Berkeley Housing Director Steve Barton, one of the presenters on Tuesday.”
http://www.dailydemocrat.com/general-news/20160217/berkeley-forum-seeks-ways-to-speed-construction-of-affordable-housing/2

Landlord Tax Could Fund Affordable Housing
http://www.dailycal.org/2016/02/24/city-council-approves-poll-to-residents-about-potential-ballot-measures/

Trying to Stop Berkeley Eviction Cases from Moving to Far-Away Court:
http://www.eastbayexpress.com/oakland/tenant-advocates-decry-court-move/Content?oid=4679640

Students Ask University to Step Up
The ASUC Student Housing Committee published this editorial in the Daily Californian calling for the University to produce more student housing and scrap plans for a private hotel on UC land in downtown Berkeley.
Despite plans to increase enrollment by at least 1,500 new students at UC Berkeley over the next few years, the campus only has plans to create 725 net new beds over the next five years; by contrast, the campus is increasing enrollment by 750 students next year alone… Furthermore, the university plans to build this project — and future projects — as a P3, or public-private partnership. As a P3, such a residence hall would be on university land but operated by a private company, a situation known as privatization. As a result, students would simultaneously lack the protections of local laws — such as rent control and eviction protections — while also paying more for rent to a private company.”
http://www.dailycal.org/2016/02/23/university-must-build-public-residence-hall-downtown/

Students Hold Rally
http://www.dailycal.org/2016/02/28/campus-students-rally-affordable-student-housing-friday/

Equity Residential Sells 1,800 Rent Controlled Units
Equity Residential, also Berkeley’s largest landlord, sold its units in East Palo Alto to Abu Dhabi Investment Authority, a foreign investment firm. Equity is also selling all of its units in Berkeley.
http://www.bizjournals.com/sanjose/news/2016/02/16/exclusive-east-palo-altos-woodland-park-apartments.html

Oakland: Short Term Rentals Tax to Support Affordable Housing
This from the East Bay Housing Organizations (EBHO):
“As the result of months of EBHO members’ advocacy and efforts, on February 2nd, Oakland City Council allocated $350,000/year of the Transient Occupancy Tax revenue from short-term rentals to the Affordable Housing Trust Fund for each of the two years in the current budget cycle.
Allocating TOT revenue, which is the occupancy tax paid by hotels and other tourist accommodations, from these short-term accommodations to the Affordable Housing Trust Fund will help mitigate the impact of the short-term rental industry as the City begins to explore policy solutions addressing this issue.  The TOT being allocated is from revenues the City receives over and above the $500,000/year allocated in the ’15-’17 budget, so it is not impacting other City priorities. As you read in EBHO’s report, The Impact of Short Term Rentals on Affordable Housing in Oakland, the City has an undisclosed contract with Airbnb to collect TOT.”

San Francisco: Fire Leads to Demolition, Evictions
San Francisco guarantees rent-controlled tenants who are displaced by a fire the right to return to their units after repair at their previous rent, though few do. But with the demolition, that protection no longer applies: New buildings are not subject to rent control because of state law and are not bound by the right of return. No-fault evictions on the basis of demolition are also allowed under city law. “
http://missionlocal.org/2016/02/sf-orders-demo-of-burned-mission-st-building-tenants-may-lose-right-to-return/

Although February 16th will be the Berkeley City Council’s special work session on Housing Policy, several issues are going to City Council on Tuesday February 9th as well.

The Relocation Ordinance was revised a few years ago to make sure that when renters are displaced because of substantial habitability issues, the property owner must help them afford a temporary relocation. When the law was revised, discussions centered on seismic retrofits, so the law contemplates mostly planned relocations for substantial rehabilitation of apartments.

However, there have been many large apartment buildings which have had fires in the last several years, and renters found accessing their rights to relocation funding to be challenging.

Now, the City Manager has brought revisions to the law to the City Council. That’s good news – 2/3rds of the amendments are common-sense clean-up issues.

However, there is one pesky change: Instead of requiring landlords to carry insurance which would fund the relocation payments Berkeley requires, the new law will require displaced tenants, many of whom have lost everything in a fire, to use their insurance money for relocation before they get funding from the owner.

BTU’s Letter to Council on Relocation: Relocation Ordinance Letter

Changes to the Demolition Ordinance are also on the agenda for the 9th, but BTU thinks our burdened City leaders will probably not have time to discuss this important issue at this meeting. We expect the issue to be held over. But just in case, we sent this to the Council regarding changes which would allow developers to tear down rent controlled units:

demolition-letter

City Council Relocation Ordinance Item #3: http://www.ci.berkeley.ca.us/Clerk/City_Council/2016/02_Feb/Documents/2016-02-09_Item_03_Amending_the_Relocation.aspx

City Council Demolition Ordinance Item #28: http://www.ci.berkeley.ca.us/Clerk/City_Council/2016/02_Feb/Documents/2016-02-09_Item_28_Zoning_Amendments.aspx

There are also several Affordable Housing Items from Kriss Worthington which have been held over at meeting after meeting since October of last year that may actually be discussed on Tuesday.
see: https://www.berkeleytenants.org/?p=1434

Nifty Berkeley Video https://youtu.be/97bt87Xm4FU
Click the photo to play nifty Berkeley video (YouTube)

2016 Tenant Convention
Your tenants union has convened other progressive leaders to begin planning the 2016 convention to elected a pro-tenant slate for Rent Board. If you are interesting in running for election to the Board, or in helping to plan the annual gathering, drop us a line or keep an eye on the tenant convention webpage: http://berkeleytenantsconvention.net/

Developers Forum Shows Possible Bias from Zoning Commissioner
Housing policy wonks in Berkeley were all abuzz after a Berkeleyside article about a forum on development – because none of them heard about this forum until the article. The Urban Land Institute, one of those nonprofits that pays their top executives $300,000 – $400,000 a year, sponsored the forum. The institute’s website proudly displays their “corporate partners”: developers, real estate firms, and the banks that lend them money. One Zoning Commissioner was a presenter:
Cities also have a financial bias against housing; they prefer retail and office buildings that generate taxes, rather than housing that demands schools and services, she said. One of the biggest issues are the legal challenges to large projects, said Pinkston. Environmental reviews are used to delay development rather than to actually consider the impact of a project on a community, she said. Extra litigation adds to the cost of building housing, which pushes up rents, she said. Every time a housing project is delayed because of litigation, it contributes to climate change, said Pinkston.”
http://www.berkeleyside.com/2016/01/25/housing-forum-a-good-development-climate-in-berkeley/

Affordable Housing Worksession February 16
On December 1st the Berkeley City Council held a special session to discuss affordable housing, but ran out of time before having any substantial discussion. Their next session about affordable housing will be Tuesday, February 16th. They invited the Berkeley landlord political action committee, BRHA, to make a presentation in December, and while we never expected them to invite Berkeley Tenants, we are wondering why the Rent Board is not presenting at this session.
http://www.contracostatimes.com/breaking-news/ci_29194783/berkeley-studies-affordable-housing-options
see also
http://www.berkeleydailyplanet.com/issue/2015-11-28/article/43948?headline=Recommendations-for-Special-Berkeley-City-Council-Work-Session-on-Affordable-Housing-December-1-2015–Rob-Wrenn

Kriss Worthington Helps Stop Eviction
Councilman Kriss Worthington said Monday that the CEO of The John Stewart Company, which manages the government-subsidized William Byron Rumford Sr. Plaza residential complex in South Berkeley, has agreed to drop eviction proceedings. In exchange, tenant Michael Pachovas must promise to file his annual recertification papers, along with some income and medical documentation.”
http://www.contracostatimes.com/breaking-news/ci_29464781/berkeley-deal-works-stave-off-eviction-disabled-senior

Artists Warehouse Shut Down By Oakland
The building was previously managed by Madison Park Financial, a real estate company owned by John Protopappas, a close friend of Mayor Libby Schaaf. Madison Park Financial withdrew from managing 1919 Market Street last year and was replaced by a company called 1919 Bayside, which is run by San Francisco real estate entrepreneur Danny Haber. …last year another company run by Haber, The Negev, was sued in San Francisco over alleged wrongful evictions to push out rent-controlled tenants and use their apartments for tech bunk houses.”
http://www.eastbayexpress.com/SevenDays/archives/2016/01/28/dozens-of-renters-lose-homes-as-city-closes-1919-market-street-warehouse-in-oakland

Residents Get 72 Hours to Move
Singer said the company will abide by all the laws in regards to tenants’ rights to return to the complex upon completion of the renovation and units will be priced at whatever market rate the law allows.”
http://www.ktvu.com/news/83415325-story

…And It’s Already for Lease?
http://www.loopnet.com/Listing/16491858/1919-Market-Street-Oakland-CA/

When Landlords Lie
“A landlord can continue to serve you with sixty-day notices, even if they’re bogus, take you trial, bleed you of money, and there’s nothing you can do,” he said. “We need to fix this system.”
http://www.eastbayexpress.com/oakland/when-landlords-lie/Content?oid=4665115

Alameda Landlord In the Hot Seat
Don Lindsey, who is one of Alameda’s most powerful landlords and is a leader among property owners strongly opposed to rent control on the Island, is under investigation by the California Bureau of Real Estate for alleged financial improprieties. A state investigator is accusing Lindsey of failing to provide proper accounting for various tenants’ fees”
http://www.eastbayexpress.com/SevenDays/archives/2016/01/07/alamedas-landlord-in-chief-accused-of-wrongdoing

Everyone Really Wants Rent Control!
“Renter protections are being considered in three cities within days.”
https://www.indybay.org/newsitems/2016/01/23/18782155.php

By Which Time All the Poor People Will Be Gone?
The council members did approve setting up an advisory committee to hash out the landlord-tenant issues that brought this issue to the forefront. That committee will report back to City Council in one year.”
http://www.pacificatribune.com/news/city-votes-against-rent-control-plan/article_7e8b57ea-c9df-11e5-854c-df2627484ca4.htm

File Dec 24, 2 04 50 PMCode Enforcement Item Passes at City Council
Jesse Arreguin’s item asking for changes to Berkeley’s Rental Housing Safety Program passed on the consent calendar after being postponed for several meetings. Of course, the item doesn’t yet set policy, it just asks for a report back from the City Manager regarding costs for proactive rental housing inspections and other proposed improvements.
Berkeley City Council also passed Arreguin’s item to have Berkeley staff look into the feasibility of creating a “small sites program” to help nonprofits – such as student co-ops – purchase small multi-family buildings.
District 7 Council Member Kriss Worthington’s item requesting our state representatives to work to increase the California housing tax credit for low income residents also passed on consent, but several other housing items Worthington had introduced for an October meeting were held over for a fourth time and will be heard January 12th.

Rental Housing Safety Program Item:
http://www.ci.berkeley.ca.us/Clerk/City_Council/2015/12_Dec/Documents/2015-12-01_Item_28_Revising_the_Rental.aspx
more info:
https://www.berkeleytenants.org/?p=1456

Related: More Library Gardens Balcony Lawsuits
As well as blaming contractors involved in the construction, lawyers claim the company which managed the Library Gardens apartment complex did not want to spend money on remedial work or investigations as it was motivated to maximise profits.”
http://www.independent.ie/irish-news/berkeley-tragedy/berkeley-lawsuit-claims-red-flag-warning-ignored-34300516.html
“Some of the Irish students who witnessed the Berkeley balcony collapse but who were not injured are expected to file lawsuits over their emotional distress, according to a new court filing in California.”
http://www.irishtimes.com/news/ireland/irish-news/berkeley-witnesses-expected-to-file-lawsuits-over-incident-1.2459187

Students Getting Involved!
BTU has added many student members this year, including two recent graduates and one current student who now serve on the steering committee of your Berkeley Tenants Union. The Associated Students of the University of California joined with BTU in appealing the demolition on Durant, and the ASUC has also formed a Student Housing Committee to create a Housing Action Plan to address how the housing emergency is impacting students.
“The committee is considering several potential solutions to address the campus’s housing shortage, such as constructing additional buildings in the courtyards of Unit 1 and Unit 2 and earmarking parts of the university budget to building more affordable housing…The committee also discussed plans for a Housing and Tenants’ Rights Week, tentatively scheduled from Feb. 8-13, and a possible large public event to bring awareness to student-housing issues.”
http://www.dailycal.org/2015/12/11/asuc-student-housing-committee-discusses-housing-tenant-rights/

In Other News 

Fire Highlights Problems With Relocation Law
At issue was Berkeley’s Relocation Ordinance, written in 2011 and designed to support tenants who are temporarily forced out of their rental units. It applies most often to planned renovations that displace tenants — as well as to relocation due to fire or code enforcement, except in the case of an earthquake or other natural disaster. Under the ordinance, tenants are entitled to “relocation payments from the property owner to mitigate the costs associated with a temporary move,” until they can move back into the unit.”
http://www.berkeleyside.com/2015/12/10/tenants-scramble-to-relocate-after-dwight-way-fire/

Oakland Ellis Evictions
With no-fault evictions on the rise, Oakland is considering a relocation fee that will be higher than San Francisco’s or Berkeley’s.
http://www.eastbayexpress.com/SevenDays/archives/2015/12/07/ellis-act-evictions-on-the-rise-in-oakland

Lafayette Wants Rent Control
This summer, the Bay Area suburb of Lafayette backed down on a city moratorium on rent increases when controversial landlord Sack Properties agreed to limit increases to 10%. However, tenants say the owner added on new charges and fees instead of raising the rents. Now renters are back before the City Council asking for protections.
“He outlined the many charges and fees: water charges, marked-up garbage costs, pet rent, parking rent, mandatory renters insurance, questionable language in new leases that give the landlord the right to evict tenants for anything deemed to be an excessive mess, and a $3,000 charge for an early break of the lease.
A parade of concerned tenants spoke to the council about all of these issues, emphasizing the serious inconsistencies in utility charges, and lack of transparency.”
http://www.lamorindaweekly.com/archive/issue0920/Tenants-Criticize-Landlord-Practices-Again.html

Redwood City Wants Rent Control
Across Redwood City, the median rent price for two-bedroom apartments increased from $2,500 to $3,800 since 2012, according to the real estate website Zillow. Minimum wage and other full time workers are unable to afford those rents. They end up having to move out of the area and in sometimes quitting their local jobs.”
http://ww2.kqed.org/news/2015/12/21/redwood-city-renters-officials-face-off-as-housing-crisis-intensifies

Zoning Board remand will be February 25th
Zoning Board remand will be February 25th

Berkeley Tenants and the students of the ASUC filed an appeal last summer to stop the demolition of 18 rent-controlled units on Durant. Berkeley’s City Council finally heard the appeal on December 1st, but just sent the decision back to the Zoning Board with instructions for the volunteer board to pay close attention to several issues in the appeal as well as a lengthy economic report submitted by the Rent Board.
Both the ASUC and BTU had dozens of speakers present to highlight various aspects of the problem, and emphasize that this would be a far-reaching policy decision for the Council, not just about this one project. The Council seemed particularly swayed by a letter from a former student tenant. But in the end, there wasn’t even that much deliberation, and no decision, just a remand.

On the one hand, BTU is pleased that the Council did not uphold approval of the project, because this would be the first time in history that our city would agree that a developer can’t make a profit by rehabilitating an older building instead of tearing it down. On the other hand, it would be nice to see our elected leaders stand up for affordable student housing. BTU had hoped the Council might chastise the developer for encouraging damage to his own building in order to claim he could not afford to fix it.

It is not yet known when the ZAB (Zoning Board) will hear the appeal. In the meantime, the 4×4 Committee, which is where the Rent Board meets with the City Council, discussed changes to allow more demolitions while protecting tenants and creating affordable housing.

“In approving the demolition permit, the ZAB agreed with the owner’s financial projections that it could not make a fair rate of return on its investment if it were to rehabilitate the building in its existing configuration — a notion contested by Pamela Webster, Lisa Stephens and Matthew Lewis in an appeal on behalf of the Associated Students of the University of California. The trio noted, moreover, that the owner allowed the building to deteriorate by keeping it vacant and inviting the Berkeley Fire Department to do training exercises there in late 2014, which involved cutting holes in the roof.…
Dozens of speakers warned that upholding the demolition permit would set a dangerous precedent. They warned that it would encourage landlords to pay exorbitant prices for rent-controlled buildings and let them go to waste while expecting the city to guarantee them a good return by allowing them to tear down the buildings and build larger ones with market-rate apartments.”
http://www.contracostatimescom/breaking-news/ci_29192392/berkeley-council-sends-permit-demolish-rent-controlled-building

For More About the Demolition Ordinance:
https://www.berkeleytenants.org/?page_id=773

Zoning Board Approved Kennedy Bait-and-Switch
A while ago, infamous Berkeley developer Patrick Kennedy (Panoramic) got approval for a residential hotel which was to house folks making less than 120% of area median. The other day, Zoning allowed him to change the project to tiny studio apartments (300 square feet) with no parking. Kennedy will make two of the 22 units at 2711 Shattuck affordable to 120% AMI, and two affordable to folks making 50% of Area Median Income. The other 18 will be market rate. Commissioner Denise Pinkerton was particularly vocal, condemning other ZAB members for calling for more affordable units.
http://www.berkeleyside.com/2015/12/14/berkeley-zoning-board-approves-new-units-on-telegraph-shattuck/

Videos From the November 22 Housing Teach-In:
https://www.youtube.com/playlist?list=PLS2O9Gttsg5cwvAjJi-VMccKBLLu3-Iun

teach-In

Media Estimates 180-plus Attended Teach-In November 22

“Audience members lined the walls, balcony and sat on the floor for the “teach-in,” organized by the Ad Hoc Committee for a Progressive Berkeley in conjunction with eight other advocacy and tenants’ rights organizations.”
http://www.berkeleyside.com/2015/11/24/20k-a-month-for-berkeley-house-skyrocketing-rental-prices-draw-crowd-to-housing-affordability-teach-in/comment-page-1/

“Among the ideas discussed, Stephen Barton, panelist and former deputy director of the city’s Rent Stabilization Program, proposed an affordable housing tax that taps into the excess profits landlords receive from rent. Revenue from the tax would be used to aid the development of below-market-price housing.”
http://www.dailycal.org/2015/11/23/community-members-meet-affordable-housing-teach/

“Areas included housing for teachers and firefighters; those sleeping in doorways; workers who can’t pay escalating rents; seniors whose fixed income is less than even small rent increases allowed under rent control; students stuffed five or more into two-bedroom apartments; and very low income tenants with federal housing vouchers that no local landlord will accept.”
http://www.insidebayarea.com/breaking-news/ci_29160259/berkeley-panel-urges-community-activism-address-housing-crisis

“The city is an increasingly unaffordable place for low- and moderate-income households and for students, which is threatening the city’s valued diversity,” according to the Berkeley Progressive Alliance, which is sponsoring the event. Co-sponsors include Sustainable Berkeley Coalition, Berkeley Citizens Action, Berkeley Tenants Union, California Public Interest Research Group (CALPIRG), the Berkeley NAACP, Black Student Union of Berkeley City College and the Better Berkeley Working Group.There will be a panel composed of former Berkeley Housing Director Stephen Barton; affordable housing activist Moni Law; Rick Lewis, executive director at Bay Area Community Land Trust; Berkeley Student Cooperative President Austin Pritzkat; and Katherine Harr of the Berkeley Tenants Union.”
http://www.contracostatimes.com/breaking-news/ci_29145519/berkeley-affordable-housing-teach-explore-solutions-skyrocketing-rents

A Similar Message at City-Sponsored Panel
“Christina Murphy, with the Friends of Adeline Corridor, spoke from the audience, saying in her work as housing case manager at the Berkeley Drop-in Center, she sees a growing number of seniors and people working three jobs without housing.” People going to Cal live in their cars,” she said, arguing the solution is a windfall profit tax on landlords, a proposal the city council will address.” People are building in our town and not putting in the money they should,” she said.”
http://www.contracostatimes.com/bay-area-news/ci_29124916/berkeley-few-prospects-affordable-housing-panel-says

Public Finds City-Sponsored Panel Lacking Solutions
“No mechanism was described whereby the people would gain a seat at the planning tables, at which they could actually shape the course of things to come. But still, it was called “participation.” The issues involved, from the neighborhood’s perspective, in these prior meetings, were clear. Affordable housing, no dislocation, no evictions; at several meetings, that was summed up as a call for a moratorium on market rate housing until the need for affordable had been satisfied. Somehow, none of that appeared in this A-H 101 session.”
http://www.berkeleydailyplanet.com/issue/2015-11-20/article/43940?headline=State-of-Emergency-101—Steve-Martinot

Broken Elevator Illustrates Need for Code Enforcement
The elevator at Acton Courtyard – owned by Equity Residential and exempt from the Rent Ordinance because it is recent construction – was broken for 14 days, despite Berkeley codes which require repair within 24 hours. Disabled residents were trapped in their homes or unable to access their units.
Changes to Berkeley’s code enforcement will be discussed at Council December 1.
http://www.berkeleyside.com/2015/11/24/broken-elevator-strands-disabled-berkeley-tenants/comment-page-1/

No Place for Students
The UC system is adding 10,000 students and Mayor Bates says Berkeley might get 4,000 of those. Currently, UCB houses only 8,244 of their 37,581 students. Now, students say a proposed city law regarding Group Living Accomodations will make it harder for student co-ops to provide affordable housing and build community. Meanwhile, private dorms like Casa Cedar and The Berk are charging students $1000-$1400 a month TO SHARE a room.
http://m.eastbayexpress.com/oakland/where-are-students-supposed-to-go/Content?oid=4588970

Oakland to Increase Rent Board Fee
“The city needs to triple the existing fee that funds the program, from $30 to $110 per every rental unit, or it will be unable to enforce its rent adjustment rules and resolve tenant landlord disputes. However, both landlord and tenant advocates are opposing the proposed fee increase, on the grounds that it’s excessive.”
http://www.eastbayexpress.com/oakland/eviction-and-rent-hike-complaints-skyrocket-in-oakland/Content?oid=4580708

Tony Thurmond’s Housing Town Hall
“Some solutions proposed, such as increasing the impact fees levied on building developers, were quite popular among the audience. Acknowledging others that were not, such as adding an annual tax to cable subscriptions to fund affordable housing, Thurmond requested at the onset that the audience members ‘boo quietly’ if they wished to.”
http://www.dailycal.org/2015/11/15/assembly-member-holds-town-hall-on-affordable-housing-shortages-talks-solutions/

SF Mission Home For Sale at Discount
It’s kind of sad that selling your house for only $650K makes the news, but what this woman did for her Mission District community is still cool.
http://sfist.com/2015/11/25/woman_sells_mission_apartment_for_2.php

History Lesson
This good tenant attorney blog gives a little etymology.
http://crowandrose.com/2009/06/they-dont-call-em-landlords-for-nothing-2/

…And the Fun Never Ends
Councilman Arreguin may bring back necessary changes to the demolition ordinance at the December 15 City Council meeting.

Durant-Project
Other apartment buildings will be at risk if the Durant demolition is permitted.

Mayor Bates would like to us to give up, and stay out of important City business. Berkeley City Council has two meetings on Tuesday December 1st, and both agendas are packed with issues concerning housing, renters, and poverty. The meetings will be held at Longfellow instead of old City Hall: 1500 Derby, at Sacramento Street.
The already burdensome agendas now also include items held-over and postponed from the last couple of meetings, including several issues which tenants have already waited hours to see discussed:

Demolition Appeal (7 pm) Item 24
SUMMARY: Allowing the demolition presents dangerous precedents: This would be the first time Berkeley has allowed an owner to claim he can’t make a fair return on a rehabilitated building. The developer invited the Berkeley Fire Department to tear out walls and cut holes in the roof!! To grant this project as requested is to condone willful destruction of housing.
ACTION: Come to the hearing on December 1st and hold signs showing support.
More Info: https://www.berkeleytenants.org/?p=1477
Berkeley Citizens Action: BCA-letter-111715

Rental Housing Safety (7 pm) Item 28
SUMMARY: Landlords are letting their housing fall apart. Besides proactive inspections and confidential complaints, this would also make mold and mildew a public nuisance, and require landlords to actually turn in the self-inspection they are supposed to do each year.
ACTION: Take a photo of unsafe conditions and send to Council by November 30.
More Info: https://www.berkeleytenants.org/?p=1456
Wellstone Democratic Club: Wellstone-letter-111715

Affordable Housing (5:30 pm) Items 2a, 2b, 2c, 2d, 2e
SUMMARY: Common-sense measures to make city funding for affordable housing easier.
ACTION: You already signed the petition, but did you ask your friends?
http://petitions.moveon.org/sign/fund-affordable-housing-2.fb48?source=c.fb&r_by=9240326
More Info:
Sierra Club Letter: Sierra Club 10-27 Berkeley City Council Items on Affordable Housing
Daily Cal: http://www.dailycal.org/2015/11/08/housing-advisory-commission-talks-assessment-of-affordable-housing-mitigation-fee-predevelopment-funding/
Cool Map: http://ww2.kqed.org/pop/map-where-can-you-find-an-affordable-one-bedroom-near-bart-san-francisco-bay-area-oakland

See You Tuesday December 1!
Longfellow Middle School, 1500 Derby

Also on the 5:30pm Agenda:
Below Market Rate Housing Report; Housing Trust Fund Status Update; Use of Predevelopment Funds by Nonprofit Housing Builders; Report from Berkeley Housing Authority.
http://www.ci.berkeley.ca.us/Clerk/City_Council/2015/12_Dec/City_Council__12-01-2015_-_Special_Meeting_Agenda.aspx

Also on the 7:00pm Agenda:
Accessory Dwelling Units; Appointment to Human Welfare Commission; Police Crowd Management Policies; Lien for Noncompliance with Seismic Mitigations 1734 University; 2nd Reading of Anti-Homeless Laws.
http://www.ci.berkeley.ca.us/Clerk/City_Council/2015/12_Dec/City_Council__12-01-2015_-_Regular_Meeting_Agenda.aspx

 

Update from the Windfall Profits Tax Special Workshop November 17:

FundAffordableHoudingThe City Council gave the new landlord PAC, the Berkeley Rental Housing Association, a seat at the table for their very own PowerPoint on how it must be somebody else’s job to fund affordable housing. However, the Council seemed receptive at the workshop since the measure has what passes for bipartisan support, Berkeley-style: both Arreguin and Capitelli want to fund affordable housing through a reasonable increase in the business license fee. Only Mayor Bates asked aggressive questions which betrayed his ignorance of the process of crafting Council ballot measures.

Contra Costa Times Covers Landlord Tax
Satellite Affordable Housing Associates Executive Director Susan Friedland said $4 million annually would mean construction of 40-to-50 affordable units every year given that nonprofit housing developers must get about 25 percent of their funding from local sources to leverage other funds….Barton proposed a number of exemptions, including one- and two-unit and nonprofit-owned properties; rent-controlled properties with pre-1999 tenants (before vacancy decontrol allowed landlords to set rents of rent-controlled units as high as the market will bear when units are vacated); low-and-moderate income landlords; and units with federally subsidized tenants.”
http://www.contracostatimes.com/breaking-news/ci_29134727/berkeley-tax-proposed-fund-low-income-housing

Affordable Housing Panel November 14
Amy Davidson, community project coordinator for the City of Berkeley, said it takes $500,000 to develop one unit of affordable housing and then discussed the city’s $28,000 fee for developers with a complete lack of irony.
http://www.contracostatimes.com/bay-area-news/ci_29124916/berkeley-few-prospects-affordable-housing-panel-says

This 18-unit OCCUPIED building on Durant has applied for a demolition permit.
This 18-unit building on Durant has applied for a demolition permit.

BTU Appealed This Demolition — City Council November 17

The proposed demolition at 2631 Durant includes 18 rent controlled units which have traditionally been 100% occupied by students and were occupied until May 2014. This is the building next door to the Art Museum and across from the dorms near College on Durant.

One of the most sensational aspects of this application is that developer Cliff Orloff claims he cannot get a fair rate of return because of the costs if he rehabilitates the existing building – but Orloff invited the Berkeley Fire Department to conduct trainings in his building, and when they were done there were holes in the roof and very few interior walls, according to a Building Inspector report that is part of the City record.

The other extremely disturbing aspect of tonight’s hearing is public perception that the process may have been manipulated:

1) City packed the Zoning agenda with two controversial issues – demolition of 2631 Durant and the EIR for 2211 Harold Way, the first downtown high-rise. This will limit discussion time for both projects.

2) City scheduled a different public meeting at virtually the same time on another aspect of Harold Way. Many BTU members want to speak at both meetings but cannot endure 4 or more hours of meetings just to have their one or two minutes to comment at each.

3) CITY STAFF SENT AT LEAST ONE LETTER FROM A CONCERNED CITIZEN TO THE DEVELOPER well before this correspondence was available to the public or even to ZAB Commissioners. (see Supplemental Communications Page 5) Having communications before the rest of the public seems to give the developer more time to refute or refine arguments than the time any other member of the public would have to comment on correspondence.

4) This building was 100% student occupied but the hearing is scheduled when students are away – see the letter from ASUC External Affairs linked below.

BTU is asking folks to come tonight, hold signs, and speak against demolition of rent controlled units as well as in favor of increased affordable housing requirements from downtown high-rise builders.

BTU Letter to ZAB About Durant

ASUCMariumZABCommunication

Communication from the Public Forwarded to Developer, Page 5
http://cityofberkeley.info/uploadedFiles/Planning_and_Development/Level_3_-_ZAB/2015-06-25_ZAB_Supplemental%20Item_Rd1_2631%20Durant.pdf

Link to All City Documents Regarding this Application:
http://cityofberkeley.info/Planning_and_Development/Zoning_Adjustment_Board/2631_Durant.aspx