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Home My WebLink Aboutminutes.apz.19770823RECORD OF PROCEEDINGS 100 Leaves FgIM 50 L. I. XOECK EL 0. 0. B L. G0. S ecial Meeting Planning and Zoning Commission August 23, 1977 The Planning and Zoning Commission held a special meeting on August 23, 1977 at 5:00 PM in the City Council Chambers. Members present were Chic Collins, John Schuhmacher, Tom Isaac, Olaf Hedstrom, Donald Ensign, Frank Baranko, and Joan Klar. Also present were Brian Goodheim, consultant, and Karen Smith from the Planning Office. condominiumization Brian Goodheim capsulized the process through which the condominiumization Policy policy has traveled during the past year. The first memo on the subject was from City Attorney Sandy Stuller on August 30, 1976. It discussed the conversion of apartments to condominiums. It was a reaction to New Jersey legislation which states that a condominiumizer either has to sell to tenants, rent to tenants or find alternative housing for tenants. Goodheim's first study was on March 11, 1977. It was a profile on renters and new tenants as a result of condominiumization. Since then several other studies on the results of condominiumization have been conducted and the results compiled. Several effects can be noted from the studies: locals replace locals and there is some tenant speculation. The long term fear is rental market will disappear. More detailed information was needed on the purchaser versus the former tenant so a study was conducted with a 25 percent return rate. The P&Z can go two ways: 1) with no regulatation. There can be a free market and economics will determine condominiumization. 2) with regulation. Regulation can be implemented through general criteria which would be a goal statement and an evaluation process for proposals. Or it could be based on more specific criteria such as sales prices and six month lease requirements. The criteria which is suggested to City Council should be on a general basis and should follow: 1) evidence that illustrates that there will be a minimal tenant displacement as a result of the conversion; 2) evidence that the conversion will not be exclusionary; 3) evidence that future prices of unit resales will not become exclusionary; 4) evidence that tenants who cannot purchase their units are relocated to similarly affordable housing if they so desire; 5) and evidence that future occupancy of these units will be made available to local employees of moderate incomes. A specific condominiumizer could approach all the tenants and propose that the entire building be deed covenanted and sold to only local employees. The units could be sold to businesses for their employee housing. condominiumization is not bad. It allows the person to accrue equity instead of paying rent. The property is usually upgraded. Home ownership is beneficial to the community. The only protection needed is against speculation, Smith stated that Nuttall could not find price controls legal. General objectives are legal. The applicant should be allowed alternative ways to meet the goals established by P&Z. Collins said that none of the criteria would be absolute. Gideon Kauffman, local attorney, said that there is a problem with F employee housing. condominiumization will not help the problem. There are two types of locals - moneyed and unmoneyed. One local cannot be favored over another. Most employees cannot get financing. Baranko suggested setting up a scoring system for applicants with general guidelines much as the Growth Management Plan is set up. Ensign agreed with Kauffman. condominiumization is only one aspect of the employee housing problem. Employee housing itself must be looked at and addressed. There are an enormous number of questions to be ~ answered. `~ Goodheim said that P&Z should rely on their judgement and City Council when proposals are presented. 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BRADFORD FUBL~BNING 00., OENVBR R E C O R D O P P R O C E E D I N G S Special Meeting Planning and Zoning Commission August 23, 1977 Isaac said that there should be a general statement of goals. A multi family guilding should remain in the same economic strata. Criteria should be listed from which the developer must select certain goals. It will be a problem encouraging employers to buy housing for employees although it is a nice goal. Ensign said that there are interested employers. Many of them have trouble keeping employees because of the housing situation. Baranko wanted specific criteria included in an ordinance. Leases ought to be weighed. Hedstrom wanted a list of specific possibilities that the developer can consider. Baranko thought the business community should become involved in some way. Schuhmacher was not sure what the problem was. The City should not purchase condominiums. The P&Z does not really know the effects of condominiumization. Rent and price controls are not the solution to employee housing. condominiumization does involve anything that drastic. Employers should display some responsibility for their employees housing. Klar said that research does show some sort of impact. There should be a long range plan. General guidelines are needed and can be refined as problems arise. P&Z should not become too involved in regulating condominiumization. A survey should be sent to businesses to determine their level of interest in employee housing. The P&Z could be of help by being a distribution center of sorts for information. Ensign thought that a Housing Authority should be appointed which knows something about housing. It should be involved in making the policy. Shaffer stated that Ensign was accurate. The government only has to give the public sector the space to make employee housing or controlled housing. It could be done by the City through bonds, etc. Goodheim said that firstly condominiumization should be allowed on a case by case basis where long and short term impact is shown. Secondly the Housing Authority should consist of members from different sectors of the community. It must be a non-overregulated authority. By the next meeting Smith, Nuttall and I shall put together a general statement and a list which you can talk about. Smith said that it could be passed by formal motion on September 6 so City Council can have it by September ]2. Isaac moved to adjourn the meeting, seconded by Klar. All in favor; the meeting adjourned at 7:00 PM. ~~r~7 a ~i.J`vL ~ //// ~ ill, Deputy City Clerk