The requirements of this chapter for the conversion of existing multi-unit rental housing to condominiums are intended to:
A. 
Reduce the impact of conversions on residents in rental housing who may be required to relocate due to the conversion of apartments to condominiums;
B. 
Ensure that the purchasers of converted housing have been properly informed of the physical condition of the structure offered for purchase;
C. 
Ensure that converted housing achieves high quality appearance and safety, is consistent with the goals of the general plan, and complies with the density requirements of the general plan;
D. 
Attempt to provide an opportunity for housing ownership of all types, for all levels of income and in a variety of locations; and
E. 
Attempt to maintain a supply of rental housing for low and moderate income persons and families.
(Ord. 1598)
Conditional use permit approval pursuant to Chapter 11.5.20: Development Permits shall be required to convert existing dwelling units to a condominium subdivision.
(Ord. 1598)
As used in this section, the date of conversion for condominium conversions shall mean the date that the final map for the project is approved by the council.
(Ord. 1598)
In addition to the application requirements in Chapter 11.5.10: General Procedures, Section 11.5.10.010: Application Forms and Fees, the application for a condominium conversion shall include the following.
A. 
Physical Elements Report. The applicant shall provide a physical elements report, which shall include the following.
1. 
Property Condition. A report detailing the condition and estimating the remaining useful life of each element of the project proposed for conversion:
a. 
Roofs;
b. 
Foundations;
c. 
Exterior paint;
d. 
Paved surfaces;
e. 
Mechanical systems;
f. 
Electrical systems;
g. 
Plumbing systems, including sewage systems;
h. 
Swimming pools;
i. 
Sprinkler systems for landscaping;
j. 
Utility delivery systems;
k. 
Central or community heating and air conditioning systems;
l. 
Fire protection systems including automatic sprinkler systems, alarm systems or standpipe systems; and
m. 
Structural elements.
The report shall be prepared by a licensed architect or by a registered civil or structural engineer other than the owner. A replacement cost shall be provided for any element with a useful life of less than 5 years;
2. 
Structural Pest Control Report. A structural pest control report prepared by a licensed structural pest control operator in compliance with Business and Professions Code 8516; and
3. 
Building History. A building history report including the following information:
a. 
The date of construction of all elements of the project.
b. 
A statement of the major uses of the project since construction.
c. 
The date and description of each major repair or renovation of any structure or structural element since the date of construction. For the purposes of this subsection, the term "major repair" means any repair for which an expenditure of more than $50,000.00 was made.
Failure to provide information required by paragraphs 3.a through 3.c, above, shall be accompanied by a declaration, given under penalty of perjury, setting forth reasonable efforts undertaken to discover the information and reasons why the information cannot be obtained.
B. 
Additional Information Required. The application shall also include the following information:
1. 
Rental rate history for each type of unit for the previous 5 years;
2. 
Makeup of existing tenant households, including family size, length of residence, age of tenants, and whether any tenants are receiving federal or state subsidies:
3. 
Proposed sale price of unit;
4. 
Proposed homeowner's association fees;
5. 
Names and addresses of all tenants; and
6. 
Evidence that a certified letter of notification of intent to convert was sent to each tenant for whom a signed copy of the notice is not submitted.
Failure to provide the above information shall be accompanied by declaration given under penalty of perjury setting forth reasonable efforts undertaken to discover the information and reasons why the information cannot be obtained.
C. 
Covenants, Conditions and Restrictions. A draft "Covenants, Conditions and Restrictions" (CC&Rs) document shall be submitted for review and approval by the department of development services and the city attorney. At a minimum, the document shall address the formation of a "community association" or "homeowners association" that will be responsible for the maintenance of common areas, disclosure of management agreements, allocation of off-street parking for residents and guests, and operating and maintenance budgets.
(Ord. 1598)
In addition to the public hearing notice requirements in Chapter 11.5.10: General Procedures, notice of the hearing shall be mailed to each tenant at least 10 days prior to the public hearing on the conditional use permit application. Notice of the hearing shall also be posted on the property at least 10 days prior to the hearing.
(Ord. 1598)
The conversion of an existing condominium shall require compliance with the following standards prior to a unit being offered for sale.
A. 
Compliance with other Codes, Standards and Policies.
1. 
Each residential building shall comply with the minimum standards of city and state housing codes as of the date of conversion.
2. 
Each building shall on the date of conversion comply with the exit and occupancy requirements and the height and area requirements for the type of construction and occupancy involved as set forth in the California Building Code.
3. 
Each building as of the date of conversion shall comply with all applicable requirements of this zoning code, the municipal code, and the goals and policies of the general plan, except where the building is nonconforming in compliance with Chapter 11.4.40: Nonconforming Uses, Structures, and Lots.
4. 
Multiple units proposed for condominium conversion shall conform to all applicable standards of the zoning code, including, but not limited to, height, setbacks, parking and minimum floor area, but excluding density. Condominium conversions shall observe the following standards for density.
a. 
RMD-18 District: 2,500 sq. ft. of land per dwelling unit.
b. 
RHD-20 District: 2,178 sq. ft. of land per dwelling unit.
c. 
RHD-33 District: 1,350 sq. ft. of land per dwelling unit.
d. 
RHD-46 District: 960 sq. ft. of land per dwelling unit.
e. 
For the purpose of calculating density all fractional numbers of units where the fractional portion is greater than 0.5 may be rounded to the next highest number.
f. 
Proposed condominium conversions for which a final tract map has been filed with the County of Orange on or before September 1, 1987, shall have the right to rebuild the number of units legally existing at the time of approval, subject to minor use permit pursuant to Chapter 11.5.20: Development Permits, only to consider the possibility of increasing the number of on-site parking spaces subject to the availability and location of space on the site and the constraints imposed by the existing structure(s).
5. 
Each condominium project shall comply with all applicable provisions of the Subdivision Map Act (Government Code 66410 et seq.).
B. 
Utility Metering.
1. 
The consumption of water, gas, and electricity within each unit shall be separately metered so that the unit owner can be separately billed for each utility. A water shutoff valve shall be provided for each unit and plumbing fixture. Each unit shall have access which shall not require entry through another unit to its own meter and heater.
2. 
Each unit shall have its own panel or access thereto for all electrical circuits which serve the unit.
C. 
Condition of Equipment and Appliances. The applicant shall provide written certification to the buyer of each unit on the initial sale after conversion that any dishwashers, garbage disposals, stoves, refrigerators, hot water tanks, and air conditioners that are provided are in proper working condition as of the close of escrow. At such time as the homeowner's association takes over management of the development, the applicant shall provide written certification to the association that any pool and pool equipment and any appliances and mechanical equipment to be owned in common by the association are in proper working condition.
D. 
Refurbishing and Restoration. All main buildings, structures, fences, patio enclosures, carports, accessory buildings, sidewalks, driveways, landscaped areas, irrigation systems, and additional elements as required by the conditional use permit shall be refurbished and restored as necessary to achieve high quality appearance and safety. The building official shall provide recommendations, based on a physical inspection of the premises, regarding recommended refurbishing and restoration as part of the conditional use permit consideration.
E. 
Common Attic Area. All common attic areas over individual dwelling units shall be separated by sound-rated assemblies from the top of wall to bottom of roof sheathing over all common or party walls, and the appropriate access to each attic space shall be provided in compliance with the California Building Code.
(Ord. 1598)
A. 
Notice of Intent. A notice of intent to convert shall be delivered to each tenant's dwelling unit. Evidence of delivery shall be submitted with the conditional use permit application for conversion. The form of notice shall be as approved by the director and shall contain not less than the following:
1. 
Name and address of current owner;
2. 
Name and address of the proposed subdivider;
3. 
Approximate date on which the conditional use permit application is to be filed;
4. 
Approximate date on which the tentative map is proposed to be filed;
5. 
Approximate date on which the final map or parcel map is to be filed;
6. 
Approximate date on which the use is to be vacated by non-purchasing tenants;
7. 
Tenant's right to purchase;
8. 
Tenant's right of notification to vacate;
9. 
Tenant's right of termination of lease;
10. 
Statement of limitations on rent increase;
11. 
Provision for special cases; and
12. 
Provision of moving expenses.
B. 
Tenant's Right to Purchase. As provided in Government Code 66427.1.D, any present tenant of any unit shall be given a nontransferable right of first refusal to purchase the unit occupied at a price no greater than the price offered to the general public. The right of first refusal shall extend for at least 90 days from the date of issuance of the subdivision public report or commencement of sales, whichever date is later.
(Ord. 1598)
Each non-purchasing tenant not in default under the obligations of the rental agreement or lease under which he or she occupies his or her unit shall have not less than 180 days from the date of receipt of notification from the owner of his or her intent to convert, or from the filing date of the final subdivision map, whichever date is later, to find substitute housing and to relocate. Once notice of intent to convert is served to a tenant, any existing long-term lease agreement may be rescinded by the tenant without penalty. Notification of such termination shall be submitted in writing to the landlord 30 days prior to the termination of the lease.
(Ord. 1598)
From the date of approval of the tentative map until the date of conversion, no tenant's rent shall be increased more frequently than once every 6 months, and at a rate not greater than 50% of the rate of increase in the Consumer Price Index (all items, Los Angeles-Long Beach), on an annualized basis, for the same period. This limitation shall not apply if rent increases are provided for in leases or contracts in existence prior to the filing date of the tentative map.
(Ord. 1598)
The subdivider shall provide moving expenses of 2.0 times the monthly rent, but in no case less than $3,000.00, to any tenant who relocates from the building to be converted after approval of the condominium conversion by the city, except when the tenant has given notice of his or her intent to move prior to receipt of notification from the subdivider of his or her intent to convert.
(Ord. 1598)
After submittal of the application to convert, any prospective tenants shall be notified in writing of the intent to convert prior to leasing or renting any unit and shall not be subject to the provisions of Section 11.4.80.020: Application Requirements and Section 11.4.80.025: Public Hearing Notice of this chapter.
(Ord. 1598)
For a condominium conversion, the original owner shall provide each purchaser with a copy of all reports, in their final, acceptable form, along with the Department of Real Estate White Report, prior to the purchaser's completing an escrow agreement or other contract to purchase a unit in the project, and the developer shall give the purchaser sufficient time to review the reports. Copies of the reports shall be made available at all times at the sales office and shall be posted at various locations, as approved by the director, at the project site.
(Ord. 1598)
A written agreement shall be filed with the department of development services that no tenant shall be unreasonably disturbed by building, remodeling or sales activity. Such agreement shall also provide that except in an emergency situation, tenants shall be granted 2 days notice prior to required access for repairs, improvements, or showing to prospective buyers or mortgagees.
(Ord. 1598)