An application to convert multifamily rental housing units ("apartments") to nonrental multifamily housing units ("condominiums") shall be supported by a vacancy survey, funded by the applicant. The survey shall include information pertaining to the number and percentage of apartments within the City that are available to rent and occupy at the time of the survey. The survey shall include the following information:
A. Data on the number of rental apartment units, which are vacant, newly constructed, or occupied or otherwise unavailable by rent level and number of bedrooms. Units in newly constructed apartment complexes, which have not been available for rent to the public for six months or more, shall be included in the survey, but shall not be used in calculating the vacancy rate unless the complex has an occupancy rate of 90 percent or more at the time of the survey.
B. Data on the number of senior-only rental apartment units, which are vacant, newly constructed, occupied or otherwise unavailable, by rent level and number of bedrooms. Senior-only rental apartment units with restricted or controlled rents shall be included in the survey but shall not be used in calculating the vacancy rate because: (1) such rents would lower the median rent levels for market-rate units, (2) the purpose of the survey is to determine the climate of the rental market in order to respond to requests to convert apartments to condominiums, and (3) the long-term affordability agreements that encumber such units prevent the units from being converted to condominiums.
C. The survey shall be conducted and prepared by a person or entity that is qualified to conduct and perform such surveys. The applicant may submit the names of such persons or entities to the Director of Community Development who shall select and approve the person or entity. The Director of Community Development shall notify the applicant of the cost of the survey. The applicant shall pay such cost to the City prior to when the survey is conducted.
D. The results of the survey shall be presented to the Planning Commission upon consideration of the condominium conversion entitlement process.
E. If the vacancy percentage is found to be less than three percent, there shall be deemed to exist a "severe rental housing shortage" in the City. The applicant, however, may submit a request to the Director of Community Development that another survey be conducted at the applicant's expense in order to confirm that a severe rental housing shortage exists in the City.
F. No application for a conversion of existing multifamily rental housing shall be approved if a "severe rental housing shortage" is deemed to exist. In approving an application for a conversion, the decision maker shall find that the conversion will not result in, or contribute to, a severe rental housing shortage, and that the conversion will promote the orderly growth and development of the City.
(Ord. 1972, Repealed and Replaced, 02/22/2022)