HomeMy WebLinkAboutAgenda Statenent 1978/11/14 item 15 CITY OF CHULA VISTA
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COUNC I L AGENDA STATEME��1T Item No. �;�.
PUBLIC MEETING� For meeti ng of ��� ����'��
a. Consideration of amendment to Municipal Code to establish standards for
condominium development or conversion
ITFM TITLE b, Ordinance /��� - Amending Chapter 15.56 of the Chula Vista Municipal Code
relating to proposed condominium projects and to the conversion of
dwelling units to independent ownership by conversion to condominiums
SUBMITTED BY Director of Planning �
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ITEM EXPLANATION (4/5TH'S VOTE REQUIRED YES NO X )
A. BACKGROUND
l . The City Council , on September 5, 1978, considered the Planning Department's
report on the matter of residential condominium conversions and a draft ordinance for the
regulation thereof. Council , after suggesting revisions to said draft ordinance, referred
it to the Planning Commission for public hearing, consideration and recommendation.
2. The contents of the Planning Department's report to Council are embodied in the
analysis section of this report and the supporting survey information is attached hereto
as Exhibit B. The suggestions of the Council are incorporated in the text of the proposed
ordinance (Exhibit A of Planning Commission Resolution PCA-79-2).
The original proposal would have subjected condominiums created by conversion to more
restrictive requirements than those created in accordance with an initial plan of condo-
minium ownership. This illogical disparity has been eliminated in the proposed ordinance
which is no longer confined to condominium conversions but embodies a regulatory plan for
all residential condominium projects.
3. The following evaluation and the proposed legislation have been prepared in con-
junction with the City Attorney, the Director of Building and Housing, and the Fire Chief.
4. The Environmental Review Coordinator conducted an Initial Study (IS-79-19) on the
proposed ordinance and recommended that the Planning Commission and City Council find that
the adoption of said ordinance will not have a significant impact on the environment and
adopt the Negative Declaration.
5. The Planning Commission, on October 25, 1978, found that the proposed ordinance will
have no significant environmental impact and adopted the Negative Declaration on IS-79-19.
DMP:hm EX HIBITS �continued on supplemental a e}
Agreement Resolution Ordinance X Piat Notification List
Res.PCA-79-2
Other S rve s no si�NVIRONMENTAL DOCUMENT: Attached X Submitted on
� u es o•�.C. Meeti n of 10 25 7
FINANCIAL IMPACT �
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STAFF RECOMMENDATION
Concur with Planning Commission recommendation,
BOARD/COMMISSION RECOMMENDATION
On October 25, 1978 the Planning Commission (with one vacancy and one member absent)
voted 5-0 to certify the Negative Declaration on IS-79-19, and voted 3-2 to recommend
adoption of the amendment to Chapter 15.5b in accordance with Resolution PGA-79-2.
COUNCIL ACTION "'�""" '"'" "-°�
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AGEN�A ITEM N0. �,8a
Meeting of 11/7/78
Supplemental page No. 2
B. ANALYSIS
1 . Statement of the issues and problems.
a. The cities of California are confronted by a surge of condominium conversions.
While these conversions are not ordinarily a problem, their coalescence with Califor-
nia's increasing housing shortage has caused much concern.1
b. Condominium conversions tend to be especially troublesome to renters on fixed
or moderate incomes. These people are often unable to find acceptable new apartments,
and unable to purchase the condominium unit which they presently occupy. This problem
could become most acute in Chula Vista, where the vacancy factor has plunged below 1%,
and the price and rental of new housing is steadily rising.2
c. Another concern is founded upon the expectations and entitlement of condominium
purchasers. While tenants of apartments have traditionally accepted their places of
residency as temporary, this acceptance does not extend to condominium projects. Owners
of condominium units understand that they hold fee title to their air space, and an
undivided interest in the underlying, overall fee. As homeowners, they expect the
amenities, quality-of-life, privacy, and convenience which is usually associated with
home ownership. These expectations, however, cannot be realized by the mere conversion
of a rental unit to an ownership unit.
2. Several California cities have undertaken the regulation of condominium conversions.
Some cities have concentrated on the physical design and environmental standards of the
involved buildings and building sites, but others, following the direction of Menlo Park
and Palo Alto, have oriented their controls toward the alleviation of the social predicament
of tenants. Exhibit B embodies analytical precis of the "condominium conversion plans" of
several cities throughout the state.
3. Exhibit B clearly indicates that some jurisdictions are attempting to ease the
plight of renters caught between the condominium conversion-low vacancy rate pincers.
Unfortunately, these efforts could create greater problems in the process. They could
preclude moderate and middle income people from the enjoyment of home ownership and prevent
property owners from partitioning their real estate for the purpose of sale. This preclu-
sion of home ownership is certainly socially significant, but the prevention of the sale
of land could be worse--a refutation of the individual ' s fundamental rights. Since the
statute of Quia Emptores, enacted in 1290, the free alienation of land has been a corner-
stone of individual liberty. To understand the issues at hand, it must be realized that
a condominium conversion is neither a change in land use, nor a change in land occupancy.
It does not even necessarily increase the number of involved parcels of land. A condominium
conversion merely changes the nature, character, and extent of holding or owning real
property, and is therefore a legal , not city planning concept. Neither the increase nor
the decrease of condominium conversion activity will directly increase or decrease the
supply of housing. On the other hand, the said activity would correspondingly increase
or decrease the number of units available for �wnership.
4. In light of the factors discussed in the preceding paragraphs, and the probability
that Chula Vista's low vacancy factor will endure for a long time, the P1anning Department
is of the opinion that the best interests of the people of Chula Usita would not be served
by a long-term prohi6ition of condominium conversions. The shortage of housing weighs
heavily upon the people of California, and certainly must be resolved.
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As a general rule, the profit picture with respect to residential rentals lacks
�uster and vitality. However, the potential gain available through the sale of
apartment units, during Southern California's chronic housing shortage, is probably
the primary impetus behind the condominium-conversion thrust.
2The City of Chula Vista, between 1972 and the present, processed the conversion of
226 rental units to condominium units. There is presently pending official proposals
for the conversion of an additional 220 apartment units. By way of reference, there
are 11,300 rental units within Chula Vista at this time.
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Ai�cNDA ITEM N0. 8,8a
Meetir�g of 11/7/78
Supplemental page No. 3
5. The State Legislature has not provided substantial guidance for the solution of
the problems discussed in this report. These problems,, however, are statewide in
significance and scope, and require state addressment.3
f, The Planning Department does feel that local government can effectively protect
the interests of future condominium buyers. Under the proposed ordinance, regulations
which are designed to promote the privacy, convenience, and comfort of condominium owners
are proposed. Since compliance with the requirements of this ordinance would entail sub-
stantial costs, the conversion of moderate-income apartment houses might be dissuaded.
7. The proposed ordinance has undergone several changes since its review by the City
Council . While it was originally submitted as an interim ordinance, it now takes the form
of an amendment to the Chula Vista Municipa7 Code. Furthermore, the proposed ordinance
has been reconciled with the standard procedures of the Building and Housing Department.
This reconciliation should facilitate the administration of the proposed ordinance, as well
as relieve the City Council of the burden of considering administrative appeals related
thereto. The proposed ordinance properly places appellate review within the jurisdiction
of the Board of Appeals and Advisors.
The proposed ordinance also revises the prior proposal 's substantive requirements.
The required storage area per condominium unit, for example, has been reduced from 512
cubic feet to 256 cubic feet. The ordinance calls for individual water heaters, in the
absence of a system controlled by a homeowners ' association.
8. The proposed ordinance repeats State legislation on certain matters of substan-
tial importance to existing tenants of residential developments proposed for condominium
conversion. Tenants, according to the ordinance, must be given 120 days notice of their
land7ord's intent to termina�e their tenancies, and a 60 day right of first refusal to
purchase their dwe1ling units. Furthermore, the proposed ordinance calls for the property
owner' s establishment of a firm price for the involved dwelling units as a condition
precedent to the commencement of the running of these 120-day and 60-day periods.
9. Where applicable, the proposed ordinance now requires owners to notify prospective
purchasers of condominium units that their prpjects were created by conversion, and that
their constituent dwelling units were previously occupied by rental tenants. This require-
ment is consumer oriented, and is designed to provide prospective purchasers with threshold
information upon which they can predicate �heir decisions.
10. The expansion o� the purview of the ordinance to condominium projects which are
originally planned as such, and not created by conversion, constitutes a significant
difference between the original draft and the present one. Without this expansion, the
proposed storage area requirements would not 6e applicable to new condominium projects.
Tt shou1d be noted that proposed Sections 15.56.030, 15.56.040, and 15.56.050 are applicable
on1y to condominium projects created by conversion.
3The condomin�,um concept was spawned by the k�oman Civil Law, but was tradi.tionally
regarded as l�ei.ng re�ugnant to the common law, 'I'he modern condomin�;um concept was
intxoducecl into California by statute in the early 196Q's, and may� be properly
regarded as a State creation..
The State has de�ined, authorizedq and governed the platting o,f condominium projects.
Certainly, for reasons of statewa:de uniformity and historical cont�.nuity, the State
should prov'ide the guidelines fo� the creation o�' condominiums by conversion,
The State, fu�thermore, could underwrite low in�erest loans to the existing tenants
of condominium projects created by conve�sion. These loans could �'ollow the precedent
established by� the "Cal-Vet!' and �he California Housing Finance Agency loans, and be
financed by State revenue bonds,
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PROJECT TITLE: Condominium Conversion Regulations
Project Location: City of Chula Vista
Project Proponent: City of Chula Vista
CASE N0. IS-79-19 DATE: Sept. 26 , 1978
A. Background ,
The City CounciZ , on September S, 1978 considered the Planning
Department' s report on the matter of residential condominium conversions,
a draft ordinance for the regulation thereof. Council , after suggesting
revisions to the said draft ordinance, referred it to the City
Planning Commission for public hearing, consideration, and recommendation.
The suggestions of Co�ancil are incorporated in the text of the draft
ordinance (Exhibit A} ,
The original proposal would have subjected condominiums created by
conversion to more restrictive requirements than those created in
accorda+nce with an ini�ial plan of condominium ownership. This
illogical disparity has been eliminated in the present draft, and
the proposed ordinance i,s no longer confined to condominium con-
versions. The said proposed ordinance now embodies a regulatory
plan for alI residential condominium projects .
B. Project Descri tion
The proposed ordinar,ce (which is on file and available for public
review at the Chula Vista Planning Dept. ) �aould regulate the creation
or conversion. of existing 'multiple family dwellings into condominiums.
The regulations include the following:
l. Fire protection
2. Uniform Building Code & Housing Code requirements.
3. Storage areas
4 . Off-street parking
5 . Security lighting �
6 . Architectural Design Review
7 . Utility . Services •
. 8. Compliance Survey
� 9. Notification requirements .
Anyone desiring to comment on the ordinance or this Negative
Declaration should contact the Planning Dept.
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C. Compatibilitv with zoning and plans
The proposed ordinance with not effect Title 19 (zoning text) nor
will it require any change in the General Plan. The project is
designed to regulate the conversion of multiple family dwellings
into condominium units and to enhance their Iiving environment.
D. Findings of insignificant impact
1. The project involves an amendment to Chapter 15 .56 of the
Municipal Code'and will not involve any specific property,
therefore will not endanger any species of wildlife or vegetation.
2. The project is consistent with the long term goals of
the General Plan and will not achieve short term to the dis-
advantage of long term environmental goals .
3. There are no impacts anticipated which could interact
to create a cumulative adverse effect on the environment.
. 4. Requirements set forth in the proposed ordinance will
regulate the conversion of multiple family dwellings into
condominium units and enhance the living environment.
T:c Initi�l Stuc_� ap�lication and evaluation forms documenting the "
finclincs or no sir,niFicant impact are attached.
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�:1VIR0`::- .;T«L REVIES•1 COORDI:IF,TOR
E`I 3 (re��. S/77) �
RESOLUTION ��0. PCA-79-2
RESOLUTION OF THE CITY PLANNIfJG COMF1ISSION RECOMMENDING TO
THE CITY COUNCIL THE ADOPTIOP� OF AMENDMENTS TO CHAPTER 15.56
OF THE CHULA VISTA �tUNICIPAL CODE RELATING TO PROPOSED CONDO-
MINIUM PROJECTS APlD TO TNE CONVERSION OF D4JELLING UNITS TO
INDEPENDENT 06dNERSHIP CREATED BY COfdVERSION TO CO�JDOMINIUMS
IN CONJUPJCTION WITH THE APPROVAL OF SUBDIVISIOPd AND PARCEL MAPS
RELATED THERETO
WHEREAS, due to a substantial increase in the number of requests for construction
of condoninium projects and the conversion of Pxisting apartment buildings to condominiums,
the City ;ouncil directed that consideration be given to adopting amendments to the
Municipal Code to regulate such development or conversion, and
WHEREAS, on S�ptember 26, 19?8 the Environmental Review Committee considered the
impact of such proposed �mendments and issued a Negative Declaration on IS-79-19, and
WNEREAS, the City Planning Commission set the time and place for a public hearing
to consider amendments to the Municipal Code relating to condominium development and
conversion of dwelling units to condominiums, and
WHEREAS, a hearing was held at sai.d time and place, namely 7:OQ p.m„ October 11
and October 25, 1978 in the Counci1 Chamber, City Hall , before the Planning Commission
and said hearing was thereafter closed, and
��HEREAS, the Commission found that enactment of the proposed amendments will not
have a significant environmental impact and adapted the Negative Declaration on IS-79-19.
NOW, TNEREFORE, BE IT RESOLVED AS FOLLOWS:
1 . From facts presented to the P1anning Commission, the Commission finds that
public necessity, convenience, general welfare and good zoning practice require the
enactment of amendments to Chapter 15.56 of the hlunicipal Code as sta�ed in Exhibit A
attached hereto.
2. The Planning Commisslon recommends to the City Council that said amendments
be adopted.
3. That this resolution be transmitted to the City Council .
PASSED AND APPROVED BY THE CITY PLANNING C0�-1MISSION OF CHULA VISTA, CALIFORNIA, this
25th duy of October, 1978 by the following vote, to-wit:
AYES: Commissioners R. Johnson, Williams and G. Johnson
NOES: Commissioners 0'Neill and Pressutti
ABSEfdT: Commissioner Smith
Acting Ch irman
ATTEST:
_�c�r�,-�rr� '/l��a"C�!� �-'_v.�
Secretary
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