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Salem council approves condo-conversion ordinance after heated debate, 7-3
Summary
The Salem City Council approved new rules meant to slow condo conversions, requiring relocation benefits and notice; the measure passed on second reading 7-3 after extensive public and council debate about impacts on longtime owners and renters.
Salem City Council voted 7-3 on July 17 to approve an ordinance tightening rules for condominium conversions, adopting relocation benefit and notice requirements intended to give tenants more time and support when a rental building is converted.
The ordinance, moved for second passage by Councillor Hapworth, requires relocation assistance to tenants and establishes procedural guardrails for conversions. Supporters said the changes will help renters avoid sudden displacement; opponents said the measure will unfairly burden small property owners.
The ordinance’s proponents framed it as a tool to protect housing stability. Counsillor Hapworth said the measure ‘‘doesn’t prevent condo conversions, but it does set some guardrails to make sure that when those conversions happen, we give tenants time, notice, and financial support so they’re not left scrambling.’’ Councillor Cohen, who supported expedited passage, said the policy had been years in the making and that waiting longer would delay protections for renters.
Opponents said the rule could punish long-term, small-scale owners. Councillor Harvey called the ordinance ‘‘a form of extortion’’ for owners who want to access equity in their properties and argued it disproportionately affects homeowners who are not large investors.
A roll-call tally recorded seven votes in favor and three opposed. The roll call as read at the meeting recorded: Councillor Varela — yes; Councillor Stott — yes; Councillor Mercillo — yes; Councillor Markel — yes; Councillor Jurislow — no; Councillor Havi — no; Councillor Hapworth — yes; Councillor Davis — yes; Councillor Cohen — yes; Councillor Prozniewski — no. The council announced the second-passage adoption: seven yeas, three nays.
The ordinance emerged after multi-year work by the Affordable Housing Trust Fund and city staff, including public meetings and a Home Rule petition to the state. Council members said the ordinance is intended to slow investor-driven conversions that raise rents and displace renters, while allowing conversions under defined conditions.
Supporters said the relocation benefit language was amended in committee to simplify payment timing: relocation benefits will be paid within 10 days after a tenant vacates. Critics asked whether the ordinance would unduly harm small owners who rely on rental income and noted unanswered questions about implementation.
The council rejected a motion to return the ordinance to committee, with several members saying the measure had already had extensive public review. Council leaders said they will monitor implementation and consider amendments if needed after the ordinance is in effect.
For now, the city moves forward with the newly adopted conversion rules; staff and city legal advisers will handle implementation details and next steps.
The ordinance and roll-call vote are part of the public record of the July 17 council meeting.
