SR-12-B (26)
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CA:RMM:rmsor
City Council Meeting 11-15-83
Santa Monica, California
STAFF REPORT
TO:
Mayor and City Council
FROr-t:
CIty Attorney
SUBJECT:
Findings and Conditions in Connection with
Approval of Tentative Tract Map Number 37984,
Conditional Use Permit Number 358, and Development
Review Number 207 (63l-705 Bay Street)
At its meeting on November 8, 1983, the City Council
approved Tentative Tract Map Number 37984, Conditional Use Permit
Number 358, and Development Review Number 207 and directed the
City Attorney to return on November 15, 1983, with findings and
conditions.
RECOMMENDATION
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It is respectfully recommended that the City Counc~l make
the following findings, decision, and conditions in connection
with Tentative Tract Map Number 37984, Conditional Use Permit
Number 358. and Development Review Number 207:
FINDINGS
1. The subject property is a sixteen (16) unit apartment
building located at 631-705 Bay Street, Santa Monica, California.
The subJect property is zoned R-2. The huilrting IS commonly
known as La Belle Monlque.
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2.
B1IIie Z.
So r re 1
("Sorrel") purchased the subject
property on July 31, 1964.
3. Commencing in the latter part of 1978, Sorrel commenced
the
process of "renovating" the subject property.
Sorrel
refinanced
the sUbJect property on numerous occasions and
performed substantial improvements to the building.
4. In January 1979, Sorrel gave eviction notices to nIL
tenants of the subject property.
5. On Apr11 10, 1979, the electorate of the City of Santa
Monica added Article XVIII to the Santa Monica City Charter
ent1tled "Santa Mon1ca Rent Control Charter Amendment ("Rent
Control Law) . "
The Rent Control Law regulated,
amonq other
th1nqs,
the circumstances under which tenants could be lawfully
eV1cted and the circumstances under which landlords could remove
rent
controlled apartments from the market by demolit1on,
conversion and other means.
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6. In conjunction with the renovations to the suoJect
property,
Sorrel filed Petition For Rent Increase 0079 on August
29,
1979,
seeking rent increases for all units pursuant to the
standards and procedures set forth in Section 1805 of the Santa
Monica C1ty Charter.
7. On December 17,
1979, the Santa Monica Rent Control
Board granted rent increases for all units ranging hetween $332
and
S487
per
un1t.
The Board also granted cond1t1onal
authorlzat10n for rent 1ncreases based upon $163;000 1n proposed
capital improvements.
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8. On August 1,
1980, Sorrel f~led an applicat10n for
Removal Perm~t No. 059R pursuant to Section l803(t) of the Santa
Monica City Charter.
On May 28, 1981,
the Rent Control Board
denied Removal Perm1t No. OS9R based upon findings that the
removal of these controlled rental un1ts would adversely affect
the supply of affordable housing in the City and that Sorrel
could make a fair return by mainta1ning the units as rental
apartments.
9. On January 7,
1981,
Sorrel filed Petition For Rent
Increase 0471 seeking additional rent increases for all the units
at the subject property. On May 28, 1981, the Rent Control Board
denied any rent lncreases.
10. On August 25, 1981, Sorrel filed a Petltion For Writ Of
Mandate 1n Los Angeles Super10r Court, B1l11e Z. Sorrel v. Rent
Control Board, et al.; LASC Case No. C 379899. On January 14.
1982, Judge John L. Cole lssued an Alternatlve Writ of Mandate in
the case.
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11. On June 9,
1982, Sorrel filed a petition for relief
pursuant to Chapter 11 of the United State Bankruptcy Code; Case
No. LA 82-09514-RO.
12. On August 3 and 25, 1982, a trial was conducted in Case
No. C 379899 in Department 88 of Los Anqe1es Superior Court,
Judge Leon Savitch presiding. On January 31, 1983, Judge Savitch
aranted a peremptory wrlt of mandate compellinq the Rent Control
Board to set aSlde lts prior decision in Petition For Rent
Increase 0471 and remanded the case for further proceedings
pursuant to the recently adopted Regulation 4100.
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13. On March 31,
1983, the Rent Control Board filed a
Not1ce of Appeal in the case. On April 19, 1983, Sorrel filed a
Not1ce of Cross-Appeal in the case.
14. Pursuant to the court ordered remand, Sorrel refiled a
new Petlt10n For Rent Increase 1-0665 in conJunction with a new
applicatlon for Removal Permit 103R-B. On June 2, 1983, the Rent
Control Board voted to arant Removal Permit l03R-B. The Rent
Control Board adopted f1ndings of fact and conclusions of law in
support of this determination in a Not1ce Of Decision Of Rent
Control Board.
15. Sorrel flIed a Notice of Intent to Convert the subject
property with the Santa Monica Planning Department on July IS,
1983.
Sorrel also flled an applicat10n for Tentative Tract Map
Number 37984, Conditional Use Permit Number 358, and Development
Rev1ew Number 207.
16. On
October
17,
1983,
the Santa Monlca Planning
Commission
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denied the application for Tentative Tract Map Number
37984, Conditional Use Permlt Number 358, and Development Review
Number 207. The denial was based upon the fact that the proposed
conversion was inconsistent with Proqram 25 of the Housing
Element of the General Plan as adopted on January 25, 1983.
Program 25 of the Housing Element limits the conversion of rental
un1ts to market rate condomlniums until the number of rental
units demolished or converted in 1978 and 1979 are replaced. The
Planning Commission found that the units removed in 1978 and 1979
had not heen rep1acen as of October 17, 1983.
Sorrel filed a
timely appeal of this decision.
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17.
On November B,
1983,
the City Councl1 considered
Sorrelts appeal.
The City Council voted to grant the appeal
thereby reversing the actions of the Planning Commission and
approving Tentat1ve Tract Map Number 37984,
Conditional Use
Permit Number 358, and Development Review Number 207.
18. Although
Tentative
Tract
Map
Number 37984 is
inconslstent wlth the Housing Element of the General Plan, and
although under normal Clrcumstances the tentative map would be
requlred to be disapproved under the Subdivision Map Act, the
City Council determines that approval of tentative map is
approprlate for the following reasons:
a. Prior to the adoption of the Housing Element,
Sorrel
incurred suhstantlal expenses to obtain a removal permit
from the San~a Monica Rent Control Board for the purpose of
condomlnlum
conversion.
A removal permit is a condltion
precedent to obtalning the right to convert an apartment building
to condominlums in the City of Santa Monica.
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h. Sorrel is the only landlord who sought a removal
permlt for purposes of condominium converson prior to the
adoption of the Cityls Housing Element.
c. All of Sorrells tenants consent to the conversion
and deSlre to purchase thelr units.
d.
The
converslon
will
not
result
in
the
dlsplacement of tenants.
Because of the singularly unique
circumstance in WhlCh Sorrel is placed, the dec1sion with respect
to Sorrel wlll have no precedent and will not encourage the
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displacement
of
tenants in other build1ngs through other
conversion activity.
e. Because application of the newly adopted Housing
Element to Sorrel would possibly result in an unconstitutional
application to Sorrel since Sorrel faces 10s9 of the property and
may not, 1n the determination of the Rent Control Board, earn a
fa1r return if the unit remains a rental unit, the City Council
hel1eves 2n this one instance the Housing Element should not be
applied. The City Council believes that it is unlikely to
encounter such a unique situation in the future and that all
future applicants will be required to comply with the Housing
Element.
19. Conditional Use Permit Number 35B is consistent with
Municipal Code Section 9122 1n that the proposed building meets
the standards for conVerS1on set forth in Mun1cipal Code Section
9l22F.
20. Development Review Number 207 is consistent ~with
Ordinance Number 1251 (CCS) and will not preJudice the ability of
the City to adopt a land use element.
DECISION
Based upon the foregoing findings, the City Council of the
C1ty of Santa Monica approves Tentative Tract Map Number 37984,
Conditional Use Permit Number 358, and Development Review Number
207 subject to the following condit1ons:
1. In accordance with Municipal Code Section 9l22E(3),
condominium agreements shall contain, but not be limited to,
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adequate
provlsions
for
maintenance, repair, and upkeep:
provisions that in the event of destruction or abolishment,
reconstructlon shall be in accordance with codes in effect at the
tlrne of such reconstruction; and provisions for dedication of
land or estahl1shment of easements for street widen1ng or other
publ1c purpose.
2. The CC&R's shall include aqreement by the subdiv1der
that the following shall be guaranteed by the subdivider:
a. Common area items, including but not limited to,
the roof, plumhing, heating, air-conditioning,
and electrical
systems, unt11 one (1) year elapses from the date of the sale of
the last individual unit sold.
b. Items provided or installed within individual
unlts
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the
sUbdlvider,
including but not limited to,
appliances.
f1xtures, and faCllities, for a period of one (1)
year from the date of close of escrow of each individual unit.
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3. The CC&R's shall prov1de that the non-subdivider owners
have the rlght to select or change the management group or the
homeowner assoclatlon ninety (90) days after sale or transfer of
title of fifty-one percent (51%) of the units: the subdivider
agrees not to change the CC&R's submltted to obtain approval of a
project without the consent of the Planning Commission: and
subsequent owners agree to make no changes in the CC&R1s imposing
non-d1scriminat1on
restr1ctions without the consent of the
Plannlng Commisslon.
4. The
subdivider
shall subm1t an estimate of and
quarantee the maintenance costs for a period of twelve (12)
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months beginning at the close of escrow on the first _"t.,r..,.l~v ('t-"}:)
,.,,1""1............1....10'
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ftl3''''' .,...."I..r """"'" ....1-...e!I.
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fi~~ units sold,
the subdivider to be responsible for all costs of normal
maintenance in excess of the esti~ate.
5. No tenant of the subject property on the date of
approval of the tentative map shall be evicted, except for good
cause, until written notice of not 1es8 than one (1) year from
the date of tentative approval has been g~ven to all tenants to
locate alternative housing.
6. Parklng shall be assigned to and travel with each unit
at a ratio not less than one space per unit and all tandem spaces
shall
be assigned to the same unit as the independently
accessible
space compr1s~ng the other half of the tandem
arrangement, such assignment to be included in the CC&Rs.
7. Each tenant, and each person applying for the rental of
a un~t in such residential real property, has, or will have,
rece1ved all applicable notices and rights now or herea~ter
required by the Subdivision Map Act,
including the notice
required by Government Code Section 66452.8. Each tenant shall
receive 10 days' written notification that an application for a
publ~c report will be, or has been, submitted to the Department
of Real Estate, and that such report will be available on
reques t.
The wr1tten notices to tenants shall be deemed
sat1sfied if such notices comply with the legal requ1rements for
serv~ce by mail.
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8. Each of the tenants of the proposed condominium has
been, or will be, given written notification within 10 days of
approval of a final map for the proposed conversion.
9. Each of the tenants of the proposed condominium has
been, or will be, given lAO days. written notice of intention to
convert prior to termination of tenancy due to the conversion or
proposed conversion. ThiS requirement shall not alter or abrid~e
the rights or obllgations of the parties in performance of thelr
covenants,
including, but not llmited to, the provision of
services, payment of rent or the obligations imposed by Sections
1941, 1941.1, and 1941.2 of the Civil Code.
10. Each of the tenants of the proposed condominium has
been, or w111 be, given notlce of an exclusive right to contract
for the purchase of hlS or her respective unlt upon the same
terms and condltions that such unlt will be initially offered to
the general publlC or terms more favorable to the tenant. The
right
shall
run for a period of not
,
less than 90 days from~the
date of lssuance 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
exerClse the right.
11. Prior to submittal of the final map, the subdivider
shall certify that the structural, electrical,
fire and life
safety systeMS of the structure are in a condltion of qood repair
and maintenance.
12. Prlor
to
the submittal of the final map, the
subd1vider shall certify that the plumbing 15 in sound cond~tion,
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that all hot water heaters are insulated, that all pip~s for
circulating hot water are 1nsulated unless the Building Officer
determines that such insulation is infeasible, that the property
has adequate and protected trash areas, and that the property has
ind~vidual gas and electr1c meters unless the Building Officer
determines that indiv1dual metering is inadvisable or
impractical.
13. The CC&Rs shall contain a non-discrimination clause in
substantially the following form:
No unit owner shall execute or file for
record
any
instrument
which imposes a
restriction upon the sale, leasing or
occupancy of h1S or her unit on the baS1S of
sex,
race,
color,
religion,
ancestry,
national origin, age, pregnancy, marital
status, family composition, or the potential
or actual occupancy of minor children. A ~
condomin1um
association
shall
not
discriminate on the basis of sex,
race,
color,
religion, ancestry,
national origin,
age,
pregnancy,
marital
status,
family
actual
composit1on, or the potential or
occupancy of minor children.
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14. The CC&Rs shall be approved by the City Attorney for
compliance w1th the conditions set forth above.
PREPARED BY:
Robert M. Myers, City Attorney
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RESOLUTION NO.
6865
(CCS)
(C~ty Counell Serles)
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA MONICA
ACCEPTI~G AND APPROVING SUBDIVISION
~~p OF TRACT ~O. 37984
THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES
RESOLVE AS FOLLOWS:
SECTIO~ 1. That the Map of Tract No. 37984 In
the C1ty of Santa Mon1ca be and the same hereby accepted
and approved.
SECTION 2. That the City Clerk hereby 25 author~zed
and d~rected to endorse upon the face of 5ald Map thlS
order authent~cated by the Seal of the C~ty of Santa Monlca.
SECTION 3. That the Clty Clerk shall certlfy to the
adopt~on of th15 Resolutlon, and thenceforth and thereafter
the same shall be ln full force and effect.
APPROVED AS TO FO&~:
fL.:r-1).L. J~- lo^-"\.. \~'t---
Robert M. Myers V
Clty Attorney
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Adopted and approved this 22nd day of May. 1984.
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Mayor
I hereby certify that the foregoing Resolution No. 6865(CCS)
was duly adopted by the City Council of the City of Santa Monica
at a meeting thereof held on May 22, 1984 by the following
Council vote:
Ayes:
Councilmembers: Conn, Epstein, Jennings. Press.
Reed, Zane and Mayor Edwards
Noes:
Councilmembers: None
Absent:
Counci1members: None
Abstain:
Councilmembers: None
ATTEST:
(lL-,1 >>z4j~
Ci ty Clerk .