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City explains expedited condo-conversion rules and $20,000 per-unit fee; public questions timing and notice
Summary
Staff briefed the commission on the expedited condominium conversion (ECP) legislation, which includes a $20,000 base fee per unit and phased eligibility rules; staff reported 182 applications to date and about $4 million collected, while neighborhood representatives urged more transparency and time to review.
The Planning Commission received an informational presentation Dec. 5 on recent changes to condominium conversion and subdivision rules under the expedited conversion program (ECP). Staff and the City and County surveyor outlined how the new legislation, effective July 29, changed eligibility and fee structures for converting tenant‑in‑common (TIC) buildings into condominiums.
Bruce Storrs, City and County surveyor, explained the main points of the legislation: a base fee of $20,000 per unit payable on conversion that is directed to the Mayor’s Office of Housing; phased eligibility tied to owner‑occupancy dates and prior participation in recent condominium lotteries; and a ten‑year moratorium on future lottery conversions for new TICs. Storrs said, "dollars 20,000 is the base fee," and described deferral and waiver processes for applicants who cannot pay immediately; he reported that, "last time I checked a couple of weeks ago, it was just a hair under $4,000,000" collected to date and that the department had received 182 project applications.
Commissioners asked clarifying questions about which TICs are eligible this year vs. in future years, how ownership‑occupancy cutoffs shift through 2019, and whether the moratorium applies universally to future entrants. Staff explained the staggered schedule: the earliest eligible groups had longer owner‑occupancy requirements and were phased in first, with later groups subject to later cutoffs (the eligibility date slides forward in later years through April 15, 2019).
Speakers from the public and commissioners expressed concern about consistency with the general plan and the potential loss of rent‑controlled housing. Commissioner Wu and others observed that many ECP applications appear on the consent calendar and may leave commissioners and the public limited time to review materials before vote.
What’s next: Staff will continue processing ECP applications under the new rules and clarified that appeals and waivers (including fee reductions) can be taken to the Board of Supervisors; the commission asked staff to provide additional clarifications on general‑plan consistency findings for these conversions when future cases appear on the calendar.
