12/10/1980 Meeting (2) - Laserfiche WebLink

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V. STAFF REPORT ON ISSUES RAISED BY OAK PARK DEVELOPMENT (memo distributed) Mr. Henry stated that staff is asking for guidance regarding the issue raised by . the Oak Park residents. It seems that nothing can be done about conver.sion of this rental property into a subdivision but perhaps something can be done for future projects. He introduced Jim Croteau of the Planning Department to provide further information. Mr. Croteau stated that Oak Patch PUD was approved by the Planning Commission in 1971 for 73 units. It was built and occupied in 1972 and has been used as a rental since then. On November 11, 1980, the Planning Director granted approval for tentative subdivision of the Oak Park PUD. The earliest that they could be sold would be in February or March of 1981. The PUD ordinance was adopted in 1968. The architect, engineer, and landscape architect must certify the development in a PUD. , A variety of issues were raised when the condominium conversion process was brought before the council. Structure types and age of development for those proposed for conversion--Willamette Towers and Patterson Towers--and maintenance including structure, roof, elevators, and other common elements, such as heating and cooling equipment, were considered. A moratorium was imposed until a decision was reached. Also, the tenants in these two structures were primarily elderly and had fairly long tenure as well as the rent levels being below the average of what tenants would be paying for a comparable unit. Additionally, condominium conversion is a State-regulated process and there is no local control. After six months of study, evidence was forwarded to the City Council which enacted the ordinance requiring certain tenant and purchaser protections, . and adequate notice for a tenant of a building proposed for condominium conver- sion. Also, special assistance is to be given to special category tenants--the elderly, handicapped, and low-income. The council approved a yearly reporting process to monitor the rate of conversion from rental to condominium units. There would be no limitation or ceiling on conversion; but if the rate increased significantly, future action could be taken to limit the rate. The formula for determining the rate of conversion does not include conversion of PUD's through a subdivision process. Condominium conversion provides purchaser protection. Planned unit developments have the requirement of a design team which fulfills many of the same concerns. The State legislature will be considering similar tenant and purchaser protection for conversion of this type and he would recom- mend holding off until the status of this is known. The first area of tenant protection requires relocation assistance for special category tenants. Although PUD's will contain some special category tenants, it does not appear that with average or above average rent structures they will contain a high percentage of special category tenants. Advance notice is lacking to tenants of a planned unit development proposed for subdivision although it is required for condominium conversion. Staff would recommend that this advance notice be given. At the onset of the subdivision process notice should be given in order to give tenants time to make decisions regarding purchasing or finding alternate housing. . MINUTES--Eugene City Council December 10, 1980 Page 6