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LUTM:PB:DKW:DB/AP162STM.PCWORD.PLAN Santa Monica, California
council Mtg: October 8, 1991
TO: Mayor and city Council
FROM: city staff
SUBJECT: certification of statement of Official Action for
Appeal of Tenant Participating Conversion 162, vesting
Tentative Tract Map 50717, 848 Pacific Street
INTRODUCTION
This report transmits for City Council certification the
statement of Official Action for the appeal of the above listed
Tenant Participating Conversion to allow the conversion of a
6-unit apartment building to condominiums.
BACKGROUND
After a public hearing and careful review of the record and staff
recommendations, the City Council denied the appeal and approved
the proposed Tenant Participating Conversion on September 10,
1991-
RECOMMENDATION
It is respectfully recommended that the City Council approve the
attached Statement of Official Action which contains findings and
conditions of approval of Tenant Participating Conversion 162.
Prepared by: Drummond Buckley, Assistant Planner
Paul Berlant, Director of Land Use and
Transportation Management
Attachment: A. statement of Official Action dated 09/10/91.
6-/'
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CITY COUNCIL
STATEMENT OF OFFICIAL ACTION
PROJECT
NUMBER: TPC 162, VTTM 50717
LOCATION: 848 Pacific street
APPLICANT: Tucciarone, McHose, Hibbs
CASE PLANNER: Drummond Buckley, Assistant Planner
REQUEST: Conversion of 6-unit apartment building to
condominiums
CITY COUNCIL ACTION
9/10/91 Date.
X Approved based on the following findings and
subject to the conditions below.
Denied.
Other.
EFFECTIVE DATE(S) OF ACTION(S) :
9/10/91 TPC 162
9/10/91 VTTM 50717
EXPIRATION DATE(S) OF ANY PERMITS GRANTED:
9/10/93 TPC 162
9/10/93 VTTM 50717
LENGTH IN MONTHS OF ANY POSSIBLE EXTENSION OF EXPIRATION DATE(S)
9/10/96 TPC 162
9/10/96 VTTM 50717
TENANT-PARTICIPATING CONVERSION FINDINGS
1. This Tenant-Participating Conversion Application meets the
requirements of Article XX of the City Charter of the city
of Santa Monica along with all mandatory requirements of
the Subdivision Map Act of the State of California.
[reference Sec. 2004 (a), Article XX]
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2. The Tenant-Participating conversion Application has been
deemed complete and accepted for filing. At the time of
filing it met the requirements of section 2002 of Article
XX of the City Charter for a complete application. The
subject application:
( a) Identifies the building, its owner and its tenants and
contains a declaration that such building is a
Qualifying Building, the specific details of which are
incorporated into these findings by reference.
(b) Sets forth, for each tenant occupied unit, the follow-
ing sales information, which is incorporated into
these findings by reference:
1) The maximum sales price for each unit.
2) The minimum down payment for each unit.
3) If seller financing is offered, the minimum
amount to be financed, the maximum rate of inter-
est and the minimum term of the loan offered by
the seller.
(c) Sets forth, for each unit, the following common area,
maintenance and budget information, which is incorpo-
rated into these findings by reference:
1) The plan for the assignment and use of all park-
ing spaces.
2) The plan for the use of all common area
facilities.
3) The occupancy and management plans and policies.
4) A list of all repairs and alterations, if any,
which will be performed before the close of the
first escrow.
5) The plan for allocating costs and expenses for
the building.
6) A prepared monthly maintenance budget based upon
actual maintenance expenses for at least the pre-
ceding two years plus a reserve fund which states
the monthly maintenance assessment for each unit.
7) The procedures for the allocation and use of such
reserve funds.
(d) Contains a declaration with the following information:
1) That there has been a building inspection report
of the accessible portions of the entire build-
ing, including but not limited to, the roof,
walls, floors, heating, air conditioning, pI umb-
ing, electrical systems or components of a simi-
lar or comparable nature, and recreational
facilities of the building prepared by a Building
Inspection Service or similar agency within the
preceding three (3) months.
2) That, for each tenant occupied unit, a written
statement setting forth any substantial defects
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or malfunctions identified in the building in-
spection report regarding the unit and the common
areas has been delivered to the unit or a tenant
occupying the unit.
3) That, for each tenant occupied unit, a copy of
the complete building inspection report has been
delivered to the unit or a tenant occupying the
unit.
4) No eviction has occurred pursuant to Government
Code Section 7060 et seg. (the Ellis Act) within
a five (5) year period prior to the filing of an
application for Tenant-Participating Conversion.
S} No eviction has occurred pursuant to Section 1806
(h) of the Charter (relating to eviction for pur-
poses of owner occupancy or occupancy by relative
of the owner) within a two (2) year period prior
to the filing of an application for Tenant-
participating Conversion.
6) In obtaining the signatures of cosigning tenants
and intending to purchase tenants, I/we, as
owner(s) of the building described in this ap-
plication, neither offered nor agreed to pay mon-
ey or other financial consideration to par-
ticipating tenants if the tenants would release
all rights that they had to purchase a rental
unit in the building.
(e) That the form of tenant ownership for which the
application is submitted will be a Condominium.
( f) Is signed by cosigning tenants occupying 66.7% (not
less than two-thirds) of all the residential units in
the building. (If there is more than one tenant in a
unit, the signature of only one tenant is required.)
(g) Identifies the cosigning tenants and the units occu-
pied by such tenants and lists all other tenants known
to the owner in the building and the units they
occupy.
(h) Contains a declaration that the signature of each
cosigning tenant was obtained only after the delivery,
in writing, to such tenant of the information required
in subsections (a) (b) ( c) (d) and (e) of this
Section.
(i) contains a declaration that all lawful notices have
been given of the application for conversion.
(j ) Has attached to the application statements of Tenant
Intent to Purchase, signed by Intending to Purchase
Tenants occupying 50% (not less than fifty percent) of
the total number of residential units in the building.
(If there is more than one tenant in a unit, the sig-
nature of only one tenant is required.)
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(k) That, for each tenant occupied unit, a Tenant Intent
to Purchase has been delivered to the unit or a tenant
occupying the unit.
3. The following procedures have been followed in the pro-
cessing of this Tenant-participating Conversion
Application:
(a) A Tenant-Participating Conversion Application was ac-
cepted for filing by the city and meets the require-
ments of Section 2002 of Article XX of the City
Charter.
(b) The Tenant-Participating Conversion Application was
filed by the owner on 4-17-91, not less than forty
(40) days prior to the filing of the application for
the tentative Subdivision/parcel map on 7-10-91.
(c) within five (5) days of the filing of the Tenant-
Participating Conversion Application, the City sent
notice to every tenant in the building stating that a
Tenant-Participating Conversion Application had been
filed and that any objections thereto may be filed
with the City within twenty-five (25) days from the
date of the notice.
(d) Upon the filing of the application for the required
tentative subdivision/parcel map, the Tenant-
Participating Conversion Application and required map
were scheduled for hearing and processed in accordance
with the procedures for the processing of subdivision
maps.
TENTATIVE MAP FINDINGS
1. The proposed subdivision, together with its provisions for
its design and improvements, is consistent with the ap-
plicable general and specific plans as adopted by the City
of santa Monica. [Reference california Government Code
Sec. 66473.5 and Santa Monica Municipal Code Sec. 9362
(a) ]
2 . The owner (s) and each tenant on the subj ect property
received copies of this staff report and recommendation at
least three days prior to this public hearing.
3. Notification of this hearing has been in conformance with
Section 9360 of the Santa Monica Municipal Code.
4. Each of the tenants of the proposed condominium proj ect
has received, pursuant to Government Code Section 66452.9,
written notification of intention to convert at least 60
days prior to the filing of the tentative map pursuant to
Section 66452. Each such tenant, and each person applying
for the rental of a unit in such residential real proper-
ty, has, or will have, received all applicable notices and
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rights now or hereafter required by the Subdivision Map
Act. Each tenant has received or will receive 10 days
written notification that an application for a public re-
port will be, or has been, submitted to the Department of
Real Estate, and that such report will be available on
request. The written notices to tenants shall be deemed
satisfied if such notices comply with the legal require-
ments for service by mail.
5. Each of the tenants of the proposed condominium proj ect
has been, or will be, given written notification within 10
days of approval of a final map for the proposed
conversion.
6. Each of the tenants of the proposed condominium proj ect
has been, or will be, given 180 days written notice of
intention to convert prior to any termination of tenancy
due to the conversion or proposed conversion. This will
not alter or abridge the rights or obligations of the
parties in performance of their covenants, including, but
not limited by Sections 1941, 1941.1, and 1941.2 of the
Civil Code, and set forth herein as conditions of
approval.
7. Each of the tenants of the proposed condominium proj ect
has been, or will be, given notice of an exclusive right
to contract for the purchase of his or her respective unit
upon the same terms and conditions that such unit will be
initially offered to the general public or terms more
favorable to the tenant. The right will run for a period
of not less than 90 days from the date of issuance of the
subdivision public report pursuant to section 11018.2 of
the Business and Professions Code, unless the tenant gives
prior written notice of his or her intention not to exer-
cise the right. This will not alter or abridge the rights
or obligations of the parties set forth herein as condi-
tions of approval.
S. This proj ect has been found to be categorically exempt
from the California Environmental Quality Act of 1970
(Section 15301) and from the city of Santa Monica Guide-
lines for Implementation of the California Environmental
Quality Act (Article 5.a) as a Class 1 exemption.
Note: Individual findings required for approval of non-Tenant-
Participating Conversions specified in Santa Monica Municipal
Code Sec. 9122F either are inconsistent with or redundant with
the requirements of Article XX and therefore are not applicable
to or necessary for approval of Tenant-Participating Conversions.
CONDITIONS
1. The owner shall agree to each condition imposed in connec-
tion with the approval of a Tenant-Participating Conver-
sion Application. Written consent shall be filed prior to
the approval of the required final parcel/subdivision map
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and shall be in a form approved by the City Attorney. The
filing of such written consent shall constitute an agree-
ment, with the city of Santa Monica and each Participating
Tenant, binding upon the owner and any successors in
interest, to comply with each and every condition imposed
in connection with approval of this Tenant-Participating
Conversion Application. The City and any Participating
Tenant shall have the right to specific enforcement of
this Agreement in addition to any other remedies provided
by law.
2. The owner shall offer and continue to offer the exclusive
right to purchase each rental unit in the building to the
Participating Tenant thereof upon the terms set forth in
the application, without change, for a period of not less
than two (2) years from the date of final approval by the
California Department of Real Estate or the date the first
unit in the building is offered for sale, if no approval
by the California Department of Real Estate is required.
Unless a participating tenant has already provided the
owner with written acceptance of the offer, the Tenant
Sale Price may be adjusted according to any change re-
flected in the Price Index [as defined in section 2001(j)
of Article XX of the City Charter] occurring during the
proceeding year. Upon the written acceptance of the offer
by the Participating Tenant at any time within the two
year period, escrow shall open wi thin thirty (30) days
from the written acceptance by the Participating Tenant.
Unless otherwise agreed by the parties, the period of the
escrow shall not exceed sixty (60) days.
3. No Participating Tenant shall at any time after the ap-
proval of this Tenant-Participating Conversion Application
be evicted for the purpose of occupancy by the owner, oc-
cupancy by any relative of the owner, or for demolition of
the unit. In the event the Participating Tenant does not
exercise his or her right to purchase within the time
period set forth, the owner may transfer the unit without
any price restriction to the Participating Tenant or any
other person. However, in the event such transfer is to
someone other than the participating Tenant, the transfer
shall be expressly made subject to the rights of the Par-
ticipating Tenant to continue to occupy the unit as pro-
vided for in Article XX of the city Charter. The provi-
sions of California Government Code Section 7060 et seq.
("The Ellis Act") shall not be used to evict any non-
purchasing Participating Tenant.
4. Each unit shall at all times remain subject to all terms
and conditions of Article XVIII of the city Charter, ex-
cept Section 1803 (t), before, during and after any Ten-
ant-Participating Conversion. If any unit is rented, the
maximum allowable rent for each unit shall be no greater
than the maximum allowable rent allowed under Article
XVIII of the City Charter.
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5. Prior to the approval of the required final parcell
subdivision map for the Tenant-Participating conversion,
each participating tenant shall be informed in writing, in
a form approved by the city, of his or her rights under
Article XX of the City Charter.
6. All non-purchasing Participating Tenants who are senior
ci tizens or disabled on the date of filing the Tenant-
Participating Conversion Application and who personally
occupied a rental unit in this qualifying building con-
tinuously for at least six (6) months immediately preced-
ing the date of the filing of this Tenant-Participating
Conversion Application shall have a right without time
limitations to occupy their units sUbject to the provi-
sions of Article XVIII of the City Charter and shall be
given the non-assignable right to continue to personally
reside in their unit as long as they choose to do so sub-
ject only to just cause evictions provided that the evic-
tion is not for the purpose of occupancy by the owner,
occupancy by any relative of the owner, or for demolition
of the unit. In addition I should the maximum allowable
rent provision of Article XVIII of the city Charter no
longer apply, the rent for each such unit may be adjusted
annually to allow an increase of no more than the increase
in the Price Index [as defined in section 2001(j) of Arti-
cle XX of the City Charter] plus a reasonable pro rata
share of capital replacements for the building common
areas or agreed to capital improvements for the unit.
Within sixty (60) days after the approval of this Tenant-
participating Conversion Application, any senior citizen
Participating Tenant who is entitled to the protections of
this provision may designate in writing the name of one
person who is entitled to continue living in the rental
uni t under the same terms as the senior citizen if the
senior citizen predeceases him or her and if the person
designated is residing in the unit at the time of the
death of the senior citizen. The person designated by the
senior citizen must be a lawful occupant of the unit, at
least fifty-five (55) years of age on the date of the
filing of this Tenant-Participating Conversion
Application.
All other non-purchasing Participating Tenants who per-
sonally occupied a rental unit in this qualifying building
continuously for at least six (6) months immediately pre-
ceding the date of filing of this Tenant-Participating
Conversion Application shall have a right without time
limitations to occupy their units subject to the provi-
sions of Article XVI!! of the city charter and shall be
given the nonassignable right to continue to personally
reside in their unit subject only to just cause eviction
for a period of five (5) years from the date the first
unit is offered for sale. No eviction shall be allowed
during this time period except for just cause provided the
eviction is not for the purpose of occupancy by the owner,
occupancy by any relative of the owner, or demolition of
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the unit. In addition, during this time period, should
the maximum allowable rent provisions of Article XVIII of
the city Charter no longer apply, the rent for each unit
may be adjusted annually to allow an increase of no more
than the increase in the Price Index (as defined in Sec-
tion 2001 (j) of Article XX of the City Charter] plus a
reasonable pro rata share of capital improvements for the
building's common areas or agreed to capital improvements
for the unit.
All rights under this condition shall expire upon the ter-
mination of the landlord-tenant relationship between the
owner and the participating tenant entitled to the protec-
tions of this condition.
For purposes of this condition, "just cause" means one of
the reasons set forth in subdivisions (a) through (g) of
Section 1806 of the City Charter.
7. The requirements of these conditions shall be set forth in
the Declaration of Covenants, Condi tions , and Restric-
tions, or equivalent document, and shall specifically name
the Participating Tenants in each unit entitled to the
benefits and protections of Article XX of the City
Charter. The City Attorney shall review and approve for
compliance with Article XX the Covenants, Conditions, and
Restrictions, or equivalent documents, prior to the ap-
proval of the required final parcel/subdivision map. To
the extent applicable, the requirements of Article XX
shall be made a part of the rental agreement with the Par-
ticipating Tenants.
8. The owner shall pay the Tenant-Participating Conversion
Tax in the manner required by section 2008 of Article XX
of the city Charter.
The Tenant-Participating Conversion Tax shall be paid by
the owner to the City Treasurer on each Tenant-
Participating Conversion unit in an amount equal to twelve
(12) times the monthly maximum allowable rent for the unit
at the time the tax is due and payable. If there is no
monthly maximum allowable rent, the tax shall be computed
on the basis of the monthly fair rental value of the unit.
The Tenant-Participating Conversion Tax shall be due and
payable at the time of approval of the required final par-
cel/subdivision map. Payment of the tax may be deferred
until sale of the unit by the owner executing a lien in
the form approved by the city. Upon payment of the tax,
or upon a determination that a unit is exempt from the tax
in accordance with subdivision (d) of Section 2008 a
release of lien shall be filed by the City with respect to
each unit for which the tax has been paid or which has
been determined to be exempt from the tax.
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9. The Declaration of covenants, Conditions, and Restric-
tions, or equivalent document, shall contain a non-
discrimination clause in substantially the following form:
"No unit owner shall execute or file for record any in-
strument which imposes a restriction upon the sale, leas-
ing or occupancy of his or her unit on the basis of sex,
race, color, religion, sexual orientation, ancestry, na-
tional origin, age, pregnancy, marital status, family com-
position, or the potential or actual occupancy of minor
children. The association shall not discriminate on the
basis of sex, race, color, religion, sexual orientation,
ancestry, national origin, age, pregnancy, marital status,
family composition, A.I.D.S., or the potential or actual
occupancy of minor children."
10. Approval of the Tenant-participating Conversion Applica-
tion shall expire if the required final parcel/subdivision
map is not approved within the time period set forth in
Condition 11.
11. The tentative parcel/subdivision map shall expire 24
months after approval, except as provided in the provi-
sions of California Government Code section 66452.6 and
sections 9380-9382 of the Santa Monica Municipal Code.
During this time period, the final map shall be presented
to the City of Santa Monica for approval. If the tenta-
tive map is a vesting tentative map pursuant to California
Government Code Section 66474.2, the provisions of Santa
Monica Municipal Code section 9325 also shall apply.
12. The applicant shall comply with all requirements set forth
in Government code Section 66427.1, including notification
of tenants regarding application for a public report to
the Department of Real Estate and notification of tenants
regarding approval of a final map for the conversion.
13. The developer/applicant shall provide the Engineering De-
partment of the city of santa Monica with one Dizal Cloth
print reproduction and microfilm of each sheet of the
final map after recordation.
14. The effective date of this action shall be ten (10) calen-
dar days from the date of Planning commission determina-
tion or, if appealed per section 9366 (SMMC), at such time
as a final determination is made by the City council.
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15. For information purposes, the following persons are iden-
tified in the application as participating tenants:
George C. McHose, Ceclia Jensen, Larry and Charlene
Wallace, Cindy Telvin.
VOTE
Ayes: Abdo , Genser, Holbrook, Katz, Olsen, vas~ez, Zane
Nays: None
Abstain: None
Absent: None
NOTICE
If this is a final decision not subject to further appeal under
the City of Santa Monica comprehensive Land Use and Zoning Or-
dinance, the time within which judicial review of this decision
must be sought is governed by Code of civil Procedure Section
1094.6, which provision has been adopted by the City pursuant to
Municipal Code Section 1400.
I hereby certify that this statement of Official Action accurate-
ly reflects the final determination of the city council of the
City of Santa Monica.
c;~ ~ ;;t~ October 9, 1991
-Signature f di:l-te
Clarlce E. Dykhouse, Clty Clerk
Please Prlnt Name and Title
I hereby agree to the above conditions of approval and
acknowledge that failure to comply with such conditions shall
constitute qrounds for potential revocation of the permit
approval.
Applicant's Signature
Print Name and Title
PC2jtpl62sta
DKH:bz
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