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Commission orders sequencing and tenant protections after city finds dozens of unpermitted Bayview units
Summary
After inspections found 49 unpermitted units across 12 Bayview properties, the commission took discretionary review and approved staff's sequencing plan tied to legalization and ADU options, while the city attorney presented deposition evidence alleging owner misconduct; staff and the mayor's office committed to placement assistance for affected households.
The Planning Commission on Nov. 16 took discretionary review and approved staff recommendations for several Bayview properties where city inspections found unauthorized unit conversions.
Planning staff described a task‑force investigation that found 49 existing units across 12 properties where the official record showed 15 lawful units. The department said existing programs (the unit‑legalization program under Planning Code §207.3 and recent ADU rules) could legalize up to 22 additional units, but 12 units have no path to legalization under current code and would be removed unless otherwise addressed.
Deputy City Attorney Nick Cola told commissioners his office has a pending lawsuit against the property owners (Judy Wu and Trent Xu, operating as Transzoo) and presented deposition evidence alleging the owners intentionally concealed conversions, used laundry‑installation permits to obtain plumbing and gas hookups that were later converted to kitchens, and arranged for tenants to file discretionary review applications while reimbursing application fees. Cola said the city will pursue remedies and recover costs.
Planning staff recommended taking discretionary review on six properties and approving the legalization plans with the addition of ADUs where eligible; for two properties they recommended approving without DR because no ADU option exists for those sites.
The Mayor's Office and the Department of Homelessness and Supportive Housing described relocation sequencing and housing search assistance for affected households. Emily Cohen said the city will contract with Brilliant Corners to provide housing search and placement services for the HUD‑VASH households and provide landlord incentives and flexible moving assistance; staff pledged not to issue legalization permits until comparable housing offers have been made for tenants at risk of displacement.
Tenants and veteran occupants spoke at the hearing, many asking to remain in place; speakers described positive relations with the owner and concern about relocation. Neighborhood residents and some community groups urged strict enforcement and documentation that tenants will not be displaced into substandard SROs.
After discussion the commission voted to take discretionary review and approve staff recommendations for the properties identified in the staff report, with conditions requiring sequencing and coordination with the mayor's office and DHSH for tenant placement. Commissioners emphasized there must be enforceable, documented relocation offers before permits are issued.
