Important note: Information in this article was accurate in 2004. The state of the art may have changed since the publication date.
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San Francisco Examiner - November 12, 2004
Adriel Hampton, Staff Writer
Faced with an outpouring of concern over a proposed law that would sharply limit the conversion of apartment buildings into condominiums, Mayor Gavin Newsom said Wednesday he would oppose the measure.
The plan by Supervisor Chris Daly, backed by tenant activists and the AIDS Housing Alliance, aims to reduce speculative evictions they say are driving out long-term tenants who are elderly, sick or disabled. But many homeowners testified at a Monday hearing they are being unfairly penalized.
The complaints got the mayor's attention.
"I have heard from many young families over the past week that are fighting to stay in San Francisco and are concerned that this legislation will scuttle their dreams," Newsom said in a letter to the Board of Supervisors.
The loudest outcry came from owners of tenants-in-common, a popular method for middle-class residents to buy affordable homes. They argue that Daly's plan to force two-unit buildings into the annual condo lottery of 200 units will stop them from moving from TIC ownership -- where two or more people share title to apartment buildings -- to full homeownership.
Noe Valley residents Ed Deibert and Paul Bird bought a two-unit TIC in July and now fear they could be stuck with a joint mortgage far longer than they'd planned.
"We don't want to be in a mortgage with each other forever," said Deibert.
Daly has "obviously a good and altruistic idea, but the execution is atrocious," Bird said.
At a Monday hearing, Daly said the board has a strong record of approving new housing, but he doesn't want to see occupied buildings "cannibalized" by buyers looking to throw out sick tenants for a quick buck. The board is scheduled to vote on the plan Tuesday.
Mike Sullivan, chair of the moderate advocacy group Plan C, helped organize about 50 people to speak Monday and believes there's room to accomplish the goal of reducing bad evictions while still encouraging homeownership.
Sullivan said he's open to an amendment proposed by Supervisor Matt Gonzalez that would force two-unit buildings into the condo lottery only when there was evidence of prior eviction of elderly, disabled or infirm tenants, but would also like all TICs that have no tenants to avoid the lottery.
"I think what we ought to focus on is discouraging [harmful evictions] in the future, while expanding opportunities for middle-class people to be homeowners," he said.
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