The City of San Leandro finds that the conversion of larger multi-tenanted industrial or commercial properties into smaller ownership units is beneficial to encourage property improvements and to allow ownership opportunities for smaller businesses. In adopting this chapter, the City seeks to protect the welfare of existing tenants of such property and ensure that the overall property is maintained in optimum conditions in both appearance and in structural integrity. In this chapter, the City addresses the special attributes of nonresidential condominium conversions and adopts condominium conversion standards that will protect the community, existing tenants, and the purchasers of condominium units. Specifically, the purpose of this chapter is to ensure that any conversion of a nonresidential building or complex is preceded by adequate notice to existing tenants and surrounding property owners and businesses, and to provide a review process to address such items as parking, building appearance, property maintenance, lighting, security and signage.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
This chapter is enacted for the following reasons:
A. 
To establish procedures and standards for the conversion of existing nonresidential establishments to condominium ownership;
B. 
To reduce the impact of such conversions on tenants by providing for procedures for notification;
C. 
To assure that purchasers of converted nonresidential units have been properly informed as to the physical condition of the structure that is offered for purchase; and
D. 
To ensure that converted nonresidential units have a high standard of appearance, building quality, and safety.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
As used in this chapter, terms and phrases shall have the meaning respectively ascribed:
Nonresidential Building(s).
A nonresidential (commercial, industrial or other) building(s) or complex in which individual units are rented or leased rather than owned separately.
Condominium.
An individual interest in common in a portion of real property, coupled with a separate interest in space called a unit.
Tenant or Existing Tenant.
A person or persons renting or leasing a nonresidential unit as of the date of the mailing by certified mail to the tenant the notice of intention to convert.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
In addition to the applicable subdivision requirements and procedures set forth in Chapter 7-1 of the San Leandro Municipal Code, a nonresidential condominium conversion shall be subject to the additional requirements of this Code. Such conversions must obtain a Zoning Permit pursuant to Chapter 5.04 Zoning Permits Required; Environmental Review; Fees and Deposits. Any tentative map or parcel map that proposes to convert a Nonresidential Building or Buildings to Condominiums shall be accompanied by an application for a Zoning Permit pursuant to this chapter.
The following procedures and regulations shall apply to Zoning Permit applications for nonresidential condominium conversion:
A. 
Department Review. The Zoning Enforcement Official (ZEO) shall review applications for nonresidential condominium conversions as an administrative approval for a Zoning Permit. A publicly noticed administrative hearing may be conducted, at the discretion of the ZEO, should the ZEO determine that a particular application raises significant City policy issues.
B. 
Application for Conversion Required. No person shall convert or cause the conversion of a nonresidential building to a condominium without submittal of an application and approval of a Zoning Permit for the condominium conversion application by the Zoning Enforcement Official, or, upon referral, by the Planning Commission.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
The applicant shall submit all the information required for a Zoning Permit application, and a parcel map pursuant to this Code and San Leandro Municipal Code Chapter 7-1 Subdivision Ordinance. An application for approval of a parcel map for the nonresidential condominium subdivision shall be accompanied by the following items:
A. 
Plans. A full plot plan, floor plans, and elevations of the project showing proposed building alterations and site improvements, including the location and sizes of existing and proposed structures, parking layout and access areas. Plans shall also include information on sewer, water and storm drains, areas and improvements to be commonly owned and maintained, and any other related information required by the City. Digital photographs may be substituted for elevations at staff's discretion.
B. 
Allocation of Parking and Signage. A proposal to include:
1. 
Square footage of each unit, and the type of business for each existing tenant;
2. 
A proposal for allocation of parking, based on the parking requirements of the Zoning Code; and
3. 
A proposal for allocation of signage, based on the sign requirements of the Zoning Code and any existing master sign program.
C. 
Property Evaluation Reports. Property evaluation reports detailing the structural conditions, useful life and any apparent deferred maintenance on the property which may include, but is not limited to, foundations, electricity, plumbing, utilities, walls, ceilings, windows, frames, fire protection, and drainage facilities. Such report shall also describe the condition of refuse disposal facilities, fountains, stone and brickwork, and exterior lighting.
The reports may recommend appropriate actions, including, but not limited to:
1. 
Correction of City code violations;
2. 
Achievement of conformance with current provisions of City codes;
3. 
Rehabilitation of the structures, common areas, and other related facilities to substantially new condition;
4. 
An increase in the energy and noise insulating qualities of the structures to that substantially required by current provision of the City codes.
The City may, as a condition of approval to be completed prior to approval of a Final Map or Building Permit, require additional reports to determine the existing conditions on the property related to termite infestation, exterior paint, HVAC equipment, soils, roofing, landscaping and irrigation.
The cost of all reports shall be paid by the applicant, and the persons preparing the reports shall be approved by the City. The reports shall include information on what improvements, if any, shall be accomplished by the developer and at what point in the conversion proceedings such improvements shall be completed. All improvements cited in the reports, whether required or voluntary, may be considered conditions of approval to the extent specified in the condominium conversion approval.
Acceptance of Reports. The final form of the property evaluation reports and other documents required under this chapter shall be approved by the Zoning Enforcement Official.
Copy to Buyers. The reports and other documents required under this chapter in their accepted form shall remain on file with the department for review by the public. The subdivider shall provide each purchaser with a copy of the reports in their final, accepted form.
City Inspection and Fees. The City retains the right to inspect the structures and facilities for verification of the property evaluation reports. Costs of such inspections shall be borne by the developer through a deposit with the City.
D. 
Tenant Notification. The applicant shall submit evidence that a certified letter of notification was sent to each tenant 60 days prior to the filing of an application for a Zoning Permit and tentative or parcel map pursuant to this chapter, with a statement that all tenants have been notified of the following:
1. 
Name, address, and telephone number of the current owner and/or applicant and of any person designated by the applicant as the person to be contacted for further information;
2. 
The approximate dates on which the application for a Zoning Permit and tentative or parcel map are proposed to be filed;
3. 
The approximate date on which the unit is to be vacated by non-purchasing tenants;
4. 
The anticipated price range and terms of sale for each type of unit;
5. 
The proposed property owners' association fees;
6. 
A copy of the applicable condominium conversion regulations;
7. 
The address and telephone number of the City of San Leandro Community Development Department;
8. 
That an application is proposed to be filed for a Zoning Permit authorizing the conversion of such building, and a brief description of the conversion process, including City and state approval required; and
9. 
Notification to tenants that, upon filing an application, the building and selected units may be inspected by City representatives.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
The following standards apply to commercial/industrial condominium conversions. These standards must be satisfied before the final map or parcel map is approved.
A. 
Compliance with Zoning, Building, Mechanical, and Fire Codes. The existing buildings and other improvements shall conform to the applicable standards of the City Zoning, Building, and Fire Code in effect at the time the original building permit was issued. All proposed improvements related to the condominium conversion shall comply with current code requirements.
B. 
Parking Requirements. The project shall conform to all applicable parking requirements of Chapter 4.08 Off-Street Parking and Loading Regulations, unless a parking exception is approved pursuant to Chapter 4.08 Off-Street Parking and Loading Regulations of the Zoning Code.
C. 
Energy Conservation. The structures in public and common areas shall conform to all energy conservation standards of the City of San Leandro Building Code. Where present standards cannot reasonably be met, the City may require the applicant to notify potential buyers of the energy conservation deficiencies currently within the public and common areas.
D. 
Fire Protection. Each unit shall be provided with a fire-warning system conforming to the City of San Leandro Building Code standards in type and locations.
E. 
Utilities: Location, Metering, and Alternative Energy.
1. 
Location. No common gas or electrical connection or service shall be allowed. Easements for gas and electric lines shall be provided in the common ownership area where lateral service connections shall take place. Gas, electric, and water services to each unit shall be located completely within the lot lines or ownership space of each unit or within common tenant areas.
2. 
Undergrounding. All new or existing utilities across property frontage shall be installed or connected underground, if the project is located on a street which is on the City's Utility Underground Master Plan.
3. 
Metering. Each unit shall be separately metered for gas, electricity, and water, unless the applicant proposes that the Property Owners' Association will be responsible for these.
F. 
Refurbishing and Restoration. All main buildings, structures, fences, accessory buildings, sidewalks, driveways, landscaped areas, and additional elements as required by the Zoning Enforcement Official shall be refurbished and restored as necessary to achieve a high standard of appearance, quality, and safety. The refurbishing and restoration is subject to the review and approval by the Zoning Enforcement Official.
G. 
Landscape Maintenance. All landscaping and irrigation shall be restored or new landscaping shall be installed to achieve a high degree of appearance and quality. Provisions shall be made in the Covenants, Conditions and Restrictions for continuing maintenance of all landscaped areas. Existing landscaping and irrigation systems are subject to review and approval by the Community Development Department. If new landscaping is proposed, the design of all landscaping and irrigation is subject to review and approval of the Zoning Enforcement Official.
H. 
Trash Enclosures and Solid Waste Disposal. All trash enclosures, trash bins, recycling bins and disposal schedules for solid waste shall be subject to the review and approval of the Environmental Services Division.
I. 
Covenants, Conditions, and Restrictions (CC&Rs). Prior to issuance of a Final Map, applicant shall prepare and submit for review and approval of the City all rules and regulations which would be applied on behalf of the owners of condominium units within the project. The CC&Rs shall include, but not be limited to: a description of the authority of the Property Owners' Association; the resale of units; the assignment of parking and storage areas; a description of all land or building area to be owned in common; and an agreement for common area maintenance, together with an estimate of any initial assessment fees anticipated for such maintenance, and an indication of appropriate responsibilities for the maintenance of all utility lines and services for each unit.
J. 
Contingency or Reserve Fund. The intent of the City in requiring the creation of a contingency or reserve fund for condominium conversions is to provide a surety for unexpected or emergency repairs to common areas in the interest of the economic, aesthetic, and environmental maintenance of the community, as well as to protect the general welfare, public health, and safety of the community. The applicant shall ensure that each unit is obligated to pay an assessment to allow for the proper maintenance of the common areas, along with a contingency to address extraordinary repairs, replacements, and maintenance. Formation of a Property Owners' Association and levying of regular and special assessments shall conform to Civil Code Section 1366.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
Applications for condominium conversions shall include the following procedures as they relate to notification of current tenants and adjacent property owners.
Notice of an application for a Zoning Permit shall be mailed by the City to property owners and business establishments within a 300-foot radius of the subject site, not less than 10 days prior to action on the application by the Zoning Enforcement Official. Additionally, such notice shall be mailed by the City to each tenant of the proposed project.
If an administrative hearing, or a public hearing if the case is referred to the Planning Commission, is proposed, the time, date and location shall be included in the notice.
Upon review of the application and any correspondence received from those sent notice of the application, the Zoning Enforcement Official may take action on the application without holding an administrative hearing. The Zoning Enforcement Official has the discretion to hold an administrative hearing or refer the case to the Planning Commission, should a determination be made that a particular application raises significant City policy issues.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
The Zoning Enforcement Official may approve, or conditionally approve, the Zoning Permit if it determines that the following requirements are met:
A. 
That all the provisions of the Subdivision Map Act, this Code, and other applicable provisions of the Municipal Code are met;
B. 
That the proposed conversion is consistent with the General Plan Land Use Map and any applicable policies;
C. 
That the proposed conversion will conform to the provisions of this Code in effect at the time of approval, except as otherwise provided in this section; and
D. 
That the overall design and physical condition of the condominium conversion will achieve a high standard of appearance, quality, useful life, and safety.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
A. 
If, upon conclusion of an administrative review or hearing on the Zoning Permit, the Zoning Enforcement Official (ZEO) determines that a particular application raises significant City policy issues, the ZEO may refer the application to the Planning Commission along with his/her recommendations, including an identification of the impacts or issues which the ZEO believes should be considered by the Planning Commission.
B. 
Upon referral from the Zoning Enforcement Official, the Planning Commission may either accept the recommendation of the Zoning Enforcement Official or hear and decide the matter in accordance with the provisions of this chapter.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
Decisions of the Zoning Enforcement Official may be appealed to the Planning Commission in accord with Chapter 5.20 Appeals. Decisions of the Planning Commission may be further appealed to the City Council, in accord with Chapter 5.20 Appeals.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)
It shall be unlawful for any person to evict or cause to be evicted any tenant where the dominant purpose of such eviction is retaliation against the tenant for the exercise or attempted exercise of any right granted under this chapter or for the peaceful and lawful opposition by such tenant to the proposed conversion of the multiple-unit rental project within which such tenant occupies a tenant space.
(Ord. 2005-025 § 2; Ord. 2020-002 § 4)