Landlords

The sordid saga of Airbnb — a $10 billion “outlaw middleman” — continues

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SF-based Airbnb is making news again this week, from the San Francisco Chronicle following up our stories about how landlords are sending eviction notices to tenants who are breaking their leases and local laws in using the short-term rental services to national outlets trumpeting Airbnb’s estimated $10 billion in valuation, which is more than some of the biggest hotel chains.

But nobody seems to be calling out how those two things are connected, except perhaps in ValleyWag’s passing but spot-on reference to the SF-based company as an “outlaw middleman.” That’s a good label for a scofflaw company that is making buckets of money by openly flouting tenant and tax laws in San Francisco, New York City, and other cities around the world.

Meanwhile, as the City Attorney’s Office continues preparing to take legal action against Airbnb, new companies are popping up to make it even easier for residents to illegally monetize their rent-controlled apartments, such as AirEnvy.com, which encourage people to “profit from your home or apartment by renting out unused space through a full service management marketplace.”

The company charges people 18 percent to manage their Airbnb rentals, checking guests in and out, cleaning up, and whatnot. And most of its testimonials are from San Franciscans, such as Rob, who writes, “I used to spend hours managing my Airbnb, exchanging keys with guests, and cleaning. Now, Airenvy does all that for me.”

Breaking local laws against short-term rentals has never been easier! All this infuriates Janan New of the San Francisco Apartment Association, who tells the Guardian that more than 1,100 rent-control apartments are listed on Airbnb at any time, and she’s been working with landlords to identify and evict such tenants.

Yet she denies that many landlords are using Airbnb to get around rent-control laws — such short-term rentals are also usually illegal, even for owners — and told us, “If people are breaking the law on our side, I want to know who it is.”

And as this highly lucrative clusterfuck continues, Board of Supervisors President David Chiu is still mired in his year-long efforts to create a legislative remedy for all of this. But Airbnb seems to be taking its local political problems seriously, this week hiring David Owen — a well-connected former legislative aide to Chiu’s predecessor, Aaron Peskin — away from Platinum Advisors to work on public policy for the company.

Stay tuned, folks, there’s lots more to come on an issue that the Guardian started covering years ago when few were paying attention to how an illegal business model was being used to create a multi-billion-dollar company.   

AirBNB apartment advertised for “XXX Freakfest” orgy

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A Manhattan comedian put his apartment up for rent on SF-based AirBNB, only later to find his renter advertising out his apartment for an orgy, Gawker reported Friday. While hilarious, the incident highlights key points in the New York attorney general’s litigation againts AirBNB. And the San Francisco City Attorney may soon look into them as well.

The problem? Cities have no data on how AirBNB rentals are being used. Usually the concern is over landlords renting through AirBNB at the expense of evicted long-term tenants. In this case, the tenant asked comedian Ari Teman if it was alright to have family over for a wedding. It turns out he meant to use the apartment for much wilder aims.  

Teman walked through the lobby of his building, just before leaving for a trip, only to overhear his new tenant say “they’re shutting us down,” according to Gawker. Suspicious, Teman Googled his tenant’s phone number and found a Tweet advertising a “BBW panty raid” party. 

For the unitiated, BBW stands for Big Beautiful Women. Talk about the wrong time to leave. One wonders if Teman was just bummed he missed out on all the fun. He needn’t have worried, as the next advertisement listed was for a “XXX Freak Fest” — in Teman’s own apartment.

The damage to his apartment may also have gotten him miffed. His furniture was damaged and overturned, and bags of condoms and loads of liquor were strewn about his apartment. 

The tenant, who Gawker identified as “David,” said an agreement between he and Teman specified he could have up to 50 guests, which Teman denies. 

To its credit, AirBNB put up Teman in a hotel while his apartment is cleaned, changed his locks, and ponied up $23,817, all within 24 hours, Gawker reported.

The best part? Afterwards, the now infamous company Taiwanese Animators already has a 3D animated cartoon up about the incident. Though we will say, the video is a bit problematic by primarily featuring black actors in the overweight roles. What’s with that!?

But really, this is another example of the troubles around lax regulation of AirBNB which hopefully will be ironed out soon. The NYPD cleared the apartment, which costs New York City a chunk of change. That’s money that isn’t paid for by AirBNB, because hosts have so far skirted paying hotel taxes. The same is true in San Francisco. 

As we’ve reported previously, New York Attorney General Eric Schneiderman issued a subpoena to Airbnb last October, demanding information on New York City’s 15,000 hosts and 25,000 listings.

So far, San Francisco hasn’t pursued AirBNB with the same zeal. Maybe all we need to do is throw a few AirBNB hosted sex parties. 

SF bans water bottles

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San Francisco continues to lead the way in the nation’s environmental policy, with the Board of Supervisors on March 4 voting unanimously to bar the city from buying plastic water bottles and to ban distribution of plastic water bottles smaller than 21 ounces on city property starting Oct. 1. The ban excludes city marathons and other sporting events.

"We all know with climate change, and the importance of combating climate change, San Francisco has been leading the way to fight for our environment," Board President David Chiu, who authored the legislation, said at the hearing. "That’s why I ask you to support this ordinance to reduce and discourage single-use, single-serving plastic water bottles in San Francisco."

Chiu held up a water bottle at the board meeting, a quarter of the way full with oil, to illustrate how much oil is used in the production and transport of plastic water bottles. He also reminded San Franciscans that the current fad of buying bottled water only started in the 1990s when the bottled water industry mounted a huge ad campaign that got Americans buying bottled water.

Somehow, Chiu noted, "for centuries, everybody managed to stay hydrated." (Francisco Alvarado)

Mass action against Keystone XL

Nine environmental activists were arrested in San Francisco for marching through the financial district and entering One Spear Tower on March 3, the building that houses local offices of the State Department, to express opposition to the proposed Keystone XL pipeline.

A day earlier, a mass protest against the oil pipeline was staged outside the White House in Washington, D.C. Roughly 200 protesters were arrested after using plastic zip ties to lock themselves to the White House fence.

Meanwhile, thousands more have made a vow — at least in the sense of clicking to add their name to a petition — to engage in peaceful civil disobedience if President Barack Obama grants ultimate approval for the oil infrastructure project, which would transport 830,000 barrels of crude oil from Canada to the Gulf Coast.

Nonprofit Credo Action has created an online petition urging people to get ready to respond with peaceful civil disobedience if the pipeline wins final approval. (Rebecca Bowe)

City weighs lawsuit over Airbnb

The San Francisco City Attorney’s Office is finally preparing to take action against the illegal short-term housing rentals facilitated by Airbnb, something we’ve been hearing that the Examiner also reported on March 6 ("SF landlords could face legal fight over rentals on Airbnb, other services"), an action that would address the company’s apparent stall tactics.

Despite a business model that violates a variety of San Francisco laws — most notably zoning, planning, and tenant regulations — and Airbnb’s flagrant flouting of a two-year-old city ruling that it should be collecting and paying the city’s transient occupancy tax (see "Into thin air," Aug. 6), the City has appeared unwilling or unable to enforce its laws or address these issues.

"We’re aware of multiple housing allegations, including some that community leaders have brought to us," City Attorney’s Office spokesperson Matt Dorsey told the Guardian, confirming that the office is considering taking legal action to enforce local laws governing short-term housing rentals but refusing to provide details.

Board of Supervisors President David Chiu took on the problem over a year ago, working with the company and its critics to develop compromise legislation that would legalize and tax the activities of Airbnb and its hosts, but the multi-layered legal and logistical challenges in doing so have so far proven too much for the otherwise effective legislator.

"My staff has held meetings with Planning staff and its enforcement team to discuss enforcement and related challenges. We’ve also been in touch with the City Attorney’s Office on these issues," Chiu told the Guardian, saying he and his staff have recently been focused on other tenants and secondary unit legislation, but they "plan to refocus on our shareable housing efforts soon." (Steven T. Jones)

Blaming pedestrians

ABC7 News Investigative Team’s new "investigative report" on pedestrian safety stirred controversy last week as street safety advocates called out the video for its insensitivity towards pedestrian deaths and lax attitude towards unsafe drivers.

Streetsblog SF and others in San Francisco said the report engaged in "victim blaming."

ABC7’s pedestrian safety coverage comes on the heels of a number of high-profile traffic collision deaths, including that of 6-year-old Sofia Liu, killed on New Year’s Eve. Since then, the Walk First program to create safer streets has garnered more attention, culminating in Mayor Ed Lee’s announcement today to partially fund safety improvements to the city’s most dangerous intersections, to the tune of $17 million — improvements that languished due to funding gaps since the program was announced in April.

But making all the needed improvements though would cost $240 million, according to city estimates, and that funding has yet to be identified. Suffice to say, the traffic enforcement debate still rages in San Francisco, with emphasis on the word ‘rage.’

"We’ve seen ‘blame the pedestrians’ from police and in the media," Leah Shahum, executive director of the San Francisco Bike Coalition, said at a pedestrian safety hearing in January. Police Chief Greg Suhr that night apologized for his officers’ lax enforcement of drivers, and focus on pedestrians, and pledged to change policies to focus on drivers going forward.

It’s too bad ABC 7’s I-Team didn’t get that memo.

"In San Francisco, simply stepping off the curb can be deadly," ABC reporter Dan Noyes narrates in their video report. The word ‘deadly’ is capped off with a Hollywood-style musical flourish, like a horror movie moments before the big scare.

"Pedestrians are making mistakes over and over again," Noyes narrates. The video cuts to pedestrian after pedestrian looking at cell phones, jaywalking, or otherwise engaging in unsafe behavior. It’s fair to say the piece, headlined "I-Team investigates what’s causing pedestrian deaths," places responsibility of pedestrian safety squarely on the shoulders of pedestrians. (Joe Fitzgerald Rodriguez)

High-speed challenges

The California High Speed rail project has been facing resistance that threatens to derail the project. Not only has public support for the $68 billion project wavered in recent years, now the project faces a legal battle that could delay the project before the first rail is laid.

On March 4, Sacramento County Superior Court Judge Michael Kenny ruled that a lawsuit brought on by King County can go to trial. The lawsuit raises questions about the legality of using 2008’s voter-approved Prop 1A funding, $9.95 billion worth of bonds, to upgrade and electrify Caltrain’s tracks and incorporate them into the high speed system.
Another concern was that the proposed high-speed system would not be able to pull through with its promise of a 2 hour 40 minute nonstop ride from downtown San Francisco to Los Angeles’ Union Station if the high speed system had to share tracks with Caltrain.

The lawsuit also threatens to leave San Francisco’s new $4.5 billion Transbay Terminal without its planned underground high speed rail station, which could be disastrous for that project as well.

None of this seems to faze Rod Diridon, executive director of the Mineta Transportation Institute based out of San Jose State University and former founding board member of the California High-Speed Rail Authority Board. He told the Guardian: "I think that [the project] will happen now. I think that our wonderful governor and our legislative leaders are going make it happen now…. If it was delayed it would only be a matter of time before it came back." (Francisco Alvarado)

Ammiano and Leno seek to reform the Ellis Act and slow SF evictions [UPDATED]

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State lawmakers from San Francisco are launching a two-pronged attack on the Ellis Act, which real estate speculators are increasingly using to evict tenants from rent-controlled apartments and cash in on a housing market that’s been heated up by demand from high-paid employees of the booming tech sector.

Assemblymember Tom Ammiano today introduced Assembly Bill 2405, which would allow the San Francisco voters or the Board of Supervisors to declare a mortorium on Ellis Act evictions when the city’s state-mandated affordable housing goals aren’t being met.

Sen. Mark Leno is also planning to introduce his own Ellis Act reforms by today’s legislative deadline for introducing new bills. He’s been working on a reform package with Mayor Ed Lee, but Leno is keeping the details under wraps under Monday at 9am when the pair will hold a press conference outside a Chinatown apartment building to announce their proposal.

Both proposals face an uphill battle in Sacramento given that San Francisco is one of only a couple jurisdictions in the state that have rent control, which Ellis Act was designed to undermine by allowing landlords to get out of the rental business and remove apartments for the market. And the real estate industry industry is expected to strongly oppose the reforms.

“It will, of course, be very difficult, but Mr. Ammiano has been talking about this for months and he’s committed to doing something,” his Press Secretary Carlos Alcala told the Guardian.   

UPDATE 2/24] Leno and Mayor Lee — flanked by other supporters of the legislation, including Sups. David Campos and David Chiu, rival candidates to succeed Ammiano — this morning announced the introduction of Senate Bill 1439. It would authorize San Francisco to prohibit those who buy rental properties to invoke the Ellis Act and evict tenants for at least five years, and only allow only one Ellis Act eviction for the life of each property. 

“The original spirit of California’s Ellis Act was to allow legitimate landlords a way out of the rental business, but in recent years, speculators have been buying up properties in San Francisco with no intention to become landlords but to instead use a loophole in the Ellis Act to evict long-time residents just to turn a profit,” Leno said.

Ammiano’s press release follows, followed by Leno’s:

 

Ammiano Introduces Bill to Stem Evictions from Affordable Housing

 

SACRAMENTO – Assemblymember Tom Ammiano today introduced AB 2405 to empower local jurisdictions to stop the erosion of affordable housing stock.

 

“San Francisco is seeing a terrible crisis,” Ammiano said. “The people who have made our city the diverse and creative place that it is are finding it harder and harder to stay in San Francisco. The rash of Ellis Act evictions has only made it worse.”

Ellis Act evictions are permitted under certain circumstances when a property owner is taking a rent-controlled unit out of the rental market. However, some owners have been abusing these provisions and improperly evicting tenants from rent-controlled units. The problem is not restricted to San Francisco, although the city is going through a particularly critical loss of affordable housing.

AB 2405 would allow local jurisdictions – by means of a Board of Supervisors or public vote – to enact a moratorium on Ellis Act evictions when the local housing element is not met. Also, the bill would hide no-fault evictions from tenant records or credit checks in unlawful detainer cases, and would place Ellis Act unlawful detainer cases on civil court calendars.

“Experience shows you can’t build your way out of an affordable housing crisis,” Ammiano said. “We have to do what we can to preserve what affordable housing we have. This is one piece of that effort.”

New Legislation Closes Ellis Act Loophole for San Francisco

Senator Mark Leno Joins Mayor Ed Lee, Tenant Advocates, Labor Groups and Business Leaders

to Stop Speculative Evictions in San Francisco

 

SAN FRANCISCO – Senator Mark Leno today joined San Francisco Mayor Ed Lee, other elected officials, tenant advocates, labor groups and business leaders to introduce legislation closing a loophole in the Ellis Act that allows speculators to buy rent-controlled buildings in San Francisco and immediately begin the process of evicting long-term renters. Aiming to mitigate the negative impacts of a recent surge in Ellis Act evictions in San Francisco, Senate Bill 1439 authorizes San Francisco to prohibit new property owners from invoking the Ellis Act to evict tenants for five years after the acquisition of a property, ensures that landlords can only activate their Ellis Act rights once, and creates penalties for violations of these new provisions.

 

“The original spirit of California’s Ellis Act was to allow legitimate landlords a way out of the rental business, but in recent years, speculators have been buying up properties in San Francisco with no intention to become landlords but to instead use a loophole in the Ellis Act to evict long-time residents just to turn a profit,” said Senator Leno, D-San Francisco. “Many of these renters are seniors, disabled people and low-income families with deep roots in their communities and no other local affordable housing options available to them. Our bill gives San Francisco an opportunity to stop the bleeding and save the unique fabric of our City.”

 

Ellis Act evictions in San Francisco have tripled in the last year as more than 300 properties were taken off the rental market. This spike in evictions has occurred simultaneously with huge increases in San Francisco property values and housing prices. About 50 percent of the city’s 2013 evictions were initiated by owners who had held a property for less than one year, and the majority of those happened during the first six months of ownership.

 

“We have some of the best tenant protections in the country, but unchecked real estate speculation threatens too many of our residents,” said Mayor Lee. “These speculators are turning a quick profit at the expense of long time tenants and do nothing to add needed housing in our City. These are not the landlords the Ellis Act was designed to help, and this legislation gives San Francisco additional tools needed to protect valuable housing and prevent further Ellis Act speculator evictions, which has already displaced working families and longtime San Franciscans. This carve out is a good policy for San Francisco, and I thank Senator Leno for being a champion on this issue. Together we have built a large coalition of renters, labor and business leaders to fight this battle in Sacramento to support middle income and working families here in our City.”

 

“Rents in San Francisco are at an all-time high. My former neighbors and I, working families and seniors, were displaced from the place we called home for several decades,” said Gum Gee Lee. “Those that have yet to receive an Ellis Act notice continue to live in fear, fear that they too will be evicted from their homes. For seniors such as myself who rely on public transportation and access to social and health services within our community, Ellis evictions cut our lifeline, our independence to thrive. For working class families such as my former neighbors from Jackson Street, they continue to struggle to survive in San Francisco. San Francisco is our home.”

 

Enacted as state law in 1985, the Ellis Act allows owners to evict tenants and quickly turn buildings into Tenancy In Common (TIC) units for resale on the market. In San Francisco, the units that are being cleared are often rent controlled and home to seniors, disabled Californians and working class families. When these affordable rental units are removed from the market, they never return.

 

Senate Bill 1439 will be heard in Senate policy committees this spring.

Chiu and others get stung for support from speculators and evictors

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Our colleagues down the hall at the San Francisco Examiner seem to have spoiled tonight’s [Thu/30] fundraiser for David Chiu’s Assembly race by reporting this hour that the host, attorney Steven MacDonald, is on a housing activists’ blacklist for representing landlords in controversial Ellis Act evictions.

Reporter Chris Roberts quotes Chiu campaign manager Nicole Derse pleading ignorance about “what type of law Steven practices” and pledging to return a $500 campaign contribution from him in October, but saying that the 6pm fundraiser at John’s Grill would go on nonetheless.

Derse told the Guardian that MacDonald represents a wide variety of clients, including many tenants who are fighting evictions, so the campaign decided to go ahead with the fundraiser but refused MacDonald’s direct financial support, consistent with a pledge not to take money from those involved in evictions.

“We won’t accept money from anyone who has been involved with evictions at all,” Derse told us, saying it was a mistake to accept money from MacDonald but acknowledging the challenge of the “scrutiny and vetting involved for a small campaign.”

“We’ll do everything we can to make sure this doesn’t happen again,” she told us.  

The controversy and the Chiu’s campaign’s quick decision to refuse the support from an early contributor show just how volatile and politically toxic the city’s eviction and affordable housing crisis have become, rapidly transforming the city’s political dynamics. It also shows how information being made public by housing activists, and their new confrontational tactics, are being used within that changed realm. 

Former Guardian Editor Tim Redmond had a story yesterday on his 48 Hills website focusing on the heat that Sup. Scott Wiener is taking over the political contributions that he’s received from real estate speculators and those involved in evictions, including Urban Green and speculator Ashok K. Gujral, who are among the Dirty Dozen serial evictors highlighted by the Anti-Eviction Mapping Project, whose work we been covering for months here at the Guardian.

Below is an infographic of Supervisor Wiener’s campaign contributions, created by the Anti-Eviction Mapping Project:

Staying power

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rebecca@sfbg.com

Despite the rain on Feb. 8, organizers of a citywide tenants’ convention at San Francisco’s Tenderloin Elementary School wound up having to turn people away at the door. The meeting was filled to capacity, even though it had been moved at the last minute to accommodate a larger crowd than initially anticipated.

“Oh. My. God. Look at how many of you there are!” organizer Sara Shortt, executive director of the Housing Rights Committee, called out as she greeted the hundreds in attendance. “Tenants in San Francisco, presente!”

The multiracial crowd was representative of neighborhoods from across the city, from elderly folks with canes to parents with small children in tow. Translators had been brought in to accommodate Chinese and Spanish-speaking participants.

Six members of the San Francisco Board of Supervisors also made an appearance: Sups. John Avalos, David Campos, Eric Mar, Malia Cohen, Jane Kim, and Board President David Chiu.

In recent weeks, the convention organizers had convened a series of smaller neighborhood gatherings to solicit ideas for new policy measures to stem the tide of evictions and displacement, a problem that has steadily risen to the level of the defining issue of our times in San Francisco.

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Ana Godina, an organizer with the SEIU, went to the convention with her daughter Ella, 5. Godina drove from Sacramento to support her colleagues. Three of her fellow union members have been evicted recently, all of them Tenderloin and Mission residents. Guardian photo by Amanda Rhoades

While several legislative proposals are on track to move forward at the Board of Supervisors, the meetings were called to directly involve impacted communities and give them an opportunity to shape the legislative agenda on their own terms, according to various organizers.

Addressing the crowd, Shortt recalled what she termed “some amazing jiu jitsu” during last year’s tenant campaigns, which resulted in a 10-year moratorium on condo conversions rather than simply allowing a mass bypass of the condo lottery, as originally proposed.

That measure, which won approval at the Board of Supervisors last June, was designed to discourage real estate speculators from evicting tenants to convert buildings to tenancies-in-common, a shared housing arrangement that’s often a precursor to converting rent-controlled apartments into condos.

That effort brought together the founding members of the Anti Displacement Coalition, and momentum has been building ever since. “This is the beginning of a movement today,” Gen Fujioka of the Chinatown Community Development Center, one of the key organizations involved, told the gathering. “We are shaking things up in our city.”

 

MAINTAINING DIVERSITY

Around 160 participants attended the first in a series of neighborhood tenant conventions in the Castro on Jan. 10. The one in the Richmond a week later drew so many participants that organizers had to turn people away to appease the fire marshal.

“The idea of the neighborhood conventions was to solicit ideas,” explained Ted Gullicksen, head of the San Francisco Tenants Union. “The idea of this event is to review existing ideas and ultimately rank them.” From there, the campaign will pursue a ballot initiative or legislative approval at the Board of Supervisors.

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Ted Gullicksen, director of the San Francisco Tenants Union, and his dog Falcor. Guardian photo by Amanda Rhoades

But first, a few speakers shared their stories. Gum Gee Lee spoke about being evicted from her Chinatown apartment last year along with her husband and disabled adult daughter, an event that touched off a media frenzy about the affordable housing crisis taking root in San Francisco.

“There were times that were very stressful for me. I would call places only for the owner to say, ‘I’ll get back to you,’ but they never did,” she said of that ordeal.

“To see everyone here, all kinds of people, it makes me really happy,” she later told the Bay Guardian through a translator. “I just hope they don’t get evicted.”

Mike Casey, president of UNITE-HERE Local 2 and an executive committee member of the San Francisco Labor Council, also made a few comments at the forum.

“Having the ability to live and vote in this city makes a difference,” he pointed out, saying workers who have to commute long distances for political actions because they’ve been displaced from San Francisco are less likely to get involved.

“The struggle of our time is the widening gap between the rich and the poor,” Casey added. “That is exactly what this struggle is about: to maintain that diversity. What we need to move forward on is bold, effective, measurable change that makes sure we are able to protect the fabric of this community.”

Maria Zamudio, an organizer with Causa Justa/Just Cause, emphasized the idea that the problem of evictions in San Francisco is less of a market-based problem and more of a threat to the city’s existing, interwoven communities.

“Those are our neighborhoods and our communities,” Zamudio said. “We’re fighting for the heart of San Francisco. Fighting for strong tenant protections is a necessary struggle if we are going to keep working class San Franciscans in their homes.”

 

ELLIS ACT UNDER FIRE

As Gullicksen noted at the start of the convention, San Francisco rents have ballooned in recent years, rising 72 percent since 2011.

“We are seeing the most evictions we have seen in a long, long, long, long time,” Gullicksen said. “Most Ellis evictions are being done by one of 12 real estate speculators — evicting us and selling our apartments, mostly to the tech workers.”

Even though median market-rate rents now hover at around $3,400 per month in San Francisco, low-income tenants can avoid being frozen out by sudden rental spikes because rent-control laws limit the amount rents may be increased annually.

But that protection only applies to a finite number of rental units, those built before 1979. That’s why tenant advocates speak of the city’s “rent-controlled housing stock” as a precious resource in decline. Long-term tenants with rent control — in the worst cases, elderly or disabled residents who might be homeless if not for the low rent — are often the ones on the receiving end of eviction notices.

From 2012 to 2013, according to data compiled by the Anti Eviction Mapping Project, the use of the Ellis Act increased 175 percent in comparison with the previous year. That law allows landlords to evict tenants even if they’ve never violated lease terms. Advocates say real estate speculators frequently abuse Ellis by buying up properties and immediately clearing all tenants.

Concurrently with local efforts agitating for new renter protections, organizers from throughout California are pushing to reform the Ellis Act in Sacramento.

Assemblymember Tom Ammiano has promised to introduce a proposal by the Feb. 21 deadline for submitting new legislation, and Sen. Mark Leno is working in tandem with San Francisco Mayor Ed Lee on a parallel track to pursue some legislative tweaks aimed at softening the blow from the Ellis Act.

“Our goal is to change the conversation in Sacramento, where tenants’ concerns are routinely ignored,” said Dean Preston, director of Tenants Together, a statewide organization based in San Francisco.

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Those who didn’t speak English were given head sets so they could listen to each of the speakers comments, which were translated into either Spanish or Chinese. Guardian photo by Amanda Rhoades

On Feb. 18, busloads of protesters will caravan to Sacramento from San Francisco, Oakland, and Fresno for a rally. Preston said they’ve got three demands: reform the Ellis Act, restore a $191 million fund that provides financial assistance for low-income and senior renters, and pass Senate Bill 391, which would provide new funding for the construction of affordable housing.

Even though the law is technically intended to allow property owners to “go out of the business” of being a landlord, Ellis Act evictions in San Francisco are most often carried out by speculators who purchase real estate already occupied by tenants, Gullicksen said.

“Our focus is on the most immediate problem, which is the misuse of the Ellis Act by real estate speculators,” Preston said. “It’s urgent to address that specific use. That’s what Ammiano and Leno are looking at, is ‘what’s the best way to stop speculative use?'”

 

LOCAL POLICY CHANGES SOUGHT

Tyler McMillan of the Eviction Defense Collaborative said his group is often the last resort for tenants threatened with the loss of their rental units. “Too often, we face a losing fight at court,” he said. “We need to write better laws that work better to keep people in their homes.”

The legislative proposals moving forward at the local level seek to attack the problem of evictions and displacement from several angles. On Feb. 3, Sup. David Campos introduced legislation to require landlords who invoke the Ellis Act to pay a higher relocation fee to displaced tenants, equaling two years’ worth of the difference between the tenants’ rent and what would have been considered market rate for that same unit.

“It is time that we recognize that tenants must receive assistance that is commensurate with market increases in rent if we are to truly address our affordability crisis and check the rampant growth of Ellis Act evictions,” Campos said.

As things stand, relocation assistance payments are around $5,261 per tenant, and are capped at $15,783 per unit, with higher payments required for elderly or disabled tenants. But at current market rates, a tenant would not last more than a few months in the city relying solely on the relocation fee to cover rental payments.

Surveying the strong turnout at the tenant convention, Campos said, “There is a movement that’s happening in San Francisco to take our city back, and to make it affordable for all of us.” Yet he noted that he is concerned there will be major pushback from the San Francisco Apartment Association and the real estate industry, formidable interests that oppose the relocation fee increase.

Meanwhile, Sup. Mar has proposed an ordinance that would require the city to track the conversion of rental units to tenancies-in-common, a housing arrangement where multiple parties own shares of a building through a common mortgage. Speculators who buy up properties and immediately evict under the Ellis Act often angle for windfall profits by immediately converting those units to TICs.

Campos is also working on legislation that would regulate landlords’ practice of offering tenants a buyout in lieu of an eviction, a trend advocates say has resulted in far greater displacement than Ellis Act evictions without the same kind of public transparency.

Peter Cohen of the Council on Community Housing Organizations said there’s “no silver bullet” to remedy San Francisco’s affordable housing crisis. “This process is going to come up with another bundle of things,” he said. “All of that is also complimentary to the state campaign. You could have five, six, or seven policy measures going forward — and all of them winnable.”

An idea Cohen said has received traction is the idea of imposing an anti-speculation tax to discourage real estate brokers who abuse the Ellis Act by buying up properties and evicting all tenants soon thereafter (see “Seeking solutions,” for details).

During a breakout session at the tenant convention, longtime LGBT activist Cleve Jones piped up to say, “Harvey Milk proposed the anti-speculation tax back in 1979.”

It wasn’t successful at that time, but Cohen said that given the current level of concern about housing in San Francisco, it’s being talked about in some circles as the most winnable ballot initiative idea.

 

TENANTS FIGHTING BACK

At the Feb. 8 convention, tenants shared stories of challenging orders to vacate their rental properties. “The most important thing that has brought us to the victories we’ve had so far is that tenants have stayed in their homes,” Shortt said. “Tenants have fought, tenants have sought help, tenants have organized.”

Tenants from a North Beach building owned by real estate broker Urban Green shared their story of banding together and successfully challenging an Ellis Act eviction. Chandra Redack, a nine-year resident of 1049 Market St., where tenants continue battling with owners who submitted eviction notices last fall, described to the Bay Guardian how her small group of tenants has continued to organize in the face of ongoing pressure, including the owners’ recent refusal to accept rent checks.

“Our organizations only can support tenants when they stand up and fight,” said Fujioka. “The tenants’ resistance themselves is part of the strategy. If we don’t have rights, we are going to create them.”

Paula Tejeda, a longtime resident of the Mission District originally from Chile, told the Bay Guardian that she’d been threatened with an eviction from her home of 17 years, a Victorian flat on San Carlos Street.

“I thought I was dealing with an Ellis Act, now he’s trying his best for a buyout,” she explained.

Living in that rent-controlled unit made it financially feasible for her to contribute to the Mission community as a small business owner, as well as a poet, author, and active member of the arts community, she said. Tejeda is the proprietor of Chile Lindo, an empanada shop at 16th and Van Ness streets.

“Having the rent control made it possible for me to build Chile Lindo, go back to college and get my MBA,” she said. That in turn gave her the resources to employ one full-time and three part-time staff members, she said.

When she was initially faced with the prospect of moving out, “I wanted to shut down and leave, and go back to Chile,” she said. “We are suffocated, as a society that cares only about the bottom line.”

But surveying the hordes of tenants milling about at the convention, she seemed a bit more optimistic. “The fact that this is happening to everyone at the same time,” she reflected, “is kind of like a mixed blessing.”

tenants4

Free lunch, had some vegan options. Guardian photo by Amanda Rhoades

Seeking solutions

A number of policy ideas emerged from the neighborhood tenant conventions, which were held by the San Francisco Anti Displacement Coalition in the Mission, Chinatown, Haight/Richmond, Castro, SoMa, and the Tenderloin.

Here’s a list of what tenants came up with at those forums, which attendees ranked in ballots collected at the event. The ideas will most likely result in a November ballot initiative and one or more legislative proposals, which organizers plan to announce in the near future.

Anti-speculation tax: One idea is to impose a tax on windfall profits garnered by speculators who buy up housing and then sell it off without maintaining ownership for at least six years. The tax would be structured in such a way that the quicker the “flip,” the higher the tax. This would require voter approval.

Eviction moratorium: This proposal is to put a yearlong freeze on certain kinds of “no-fault evictions,” instances where a tenant is ousted regardless of compliance with lease terms. State law would prohibit it from applying to Ellis Act evictions. It might potentially require voter approval.

Department of Rent Control Enforcement and Compliance: This new department, which could be done by local legislation, would create a new city department with the mission and mandate to enforce existing tenant-protection laws and conduct research on eviction trends.

Relocation assistance: While Sup. David Campos is working on legislation to upgrade relocation assistance payments to displaced tenants who face eviction under the Ellis Act, this proposal would do the same for all other forms of “no-fault” evictions. This would require voter approval.

“Excessive rents” tax: While the Costa-Hawkins state law does not allow for cities to control rents in vacant units, this proposal would create a tax on new rental agreements where rents exceed an affordability threshold.

Housing balance requirement: This proposal would make it so that approval of new market-rate housing would be restricted based on whether affordable housing goals were being met. It would create new incentives to build affordable.

Legalize illegal units: This would provide a way to legalize the city’s “illegal” housing units that nevertheless provide a safe and decent source of affordable housing. (Board President David Chiu has already introduced a version of this proposal.)

Granny slap

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Lisa Gray-Garcia, aka “Tiny,” led a press conference outside the San Francisco Hall of Justice on Feb. 5 to announce that she and fellow activists were filing elder abuse charges against San Francisco landlords.

Flanked by activists and senior citizens who were facing eviction or had lost housing in San Francisco, the Poor News Network founder condemned landlords who’ve invoked the Ellis Act as “dangerous criminals.”

Gray-Garcia said criminal charges were being filed against the landlords in accordance with California Penal Code 368, which creates a special category for crimes — such as infliction of pain, injury, or endangerment — committed against elders and dependent adults.

The theory is that carrying out an Ellis Act eviction against a senior citizen qualifies as a criminal act under that law, since an elder can suffer physical harm as a result of being turned out of his or her home.

“Seniors who live in houses that they’ve lived in for a really long time are being evicted,” said Erin McElroy, who joined the rally. “That could mean homelessness, that could mean poverty, that could mean death, that could mean losing your access to health care.”

“The real criminals are the ones who use paper, and money, and lawyers to evict us,” Gray-Garcia said. “We at POOR Magazine get five to 10 calls a week from elders — 70, 80, 90 years old — at the point where they’re actually going to be evicted,” she added. “In the elder abuse law, if you willfully or unwillfully cause harm or inflict harm on a body of an elder, you actually can do one year jail time or pay a $6,000 fine.”

The targeted landlords were taken from a list compiled by the San Francisco Anti Eviction Mapping Project, a volunteer-led group that published names, property ownership, and identifying information of 12 landlords who had repeatedly invoked the Ellis Act in San Francisco. Garcia read out their names as part of the press event.

Beyond that, however, the announcement was short on specifics. Gray-Garcia told the Bay Guardian she did not want to share the names of the affected seniors because she did not feel comfortable exposing the elderly tenants to potential backlash.

Joining the group of activists was an 82-year-old woman who used a walker and declined to share her name. She told the Bay Guardian she had lived in her Richmond District flat for more than 30 years, and had recently received a verbal warning from her landlord that if she did not move out, he would invoke the Ellis Act.

When Gray-Garcia and others filed into the San Francisco District Attorney George Gascon’s office inside the Hall of Justice, however, Chief Assistant of Operations Sharon Woo discouraged them from filing the charges.

“We don’t actually initiate investigations,” Woo told the activists, but when attorney Anthony Prince, who had accompanied the activists, pushed back on that point, she responded, “We could, potentially.”

However, she urged them to first “go to the normal channels, which is a law enforcement investigation,” then scheduled a follow-up meeting at a later date to discuss the issue further. She discouraged the activists from bringing a large group to the meeting. “There’s a 98-year-old woman being forced out of her home in April and she has nowhere to go,” McElroy told Woo during that interaction. “And we’re filing criminal charges against the people who are forcing her out.”

A radical proposal: Squat Airbnb hosts’ homes to create affordable housing

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When I interviewed attorney Joseph Tobener for the story in our current issue on Airbnb being used to take affordable housing units off of the apartment market, he had a interestingly radical idea for get the attention of this scofflaw company and its political supporters, striking a blow for housing justice in the process.

What if hundreds of people, including many who are now homeless, rented out apartments in San Francisco for a night or two and then simply refused to leave?

Under tenant laws in San Francisco, renters have rights from the very beginning, and legally getting rid of someone who paid for just one night through Airbnb could require a long, difficult, and costly eviction process. Hundreds at once would overwhelm the courts and the deputies who carry out evictions for the Sheriff’s Department.

“That tenancy on day one law to me as a radical seems like a great way to address homelessness,” said Tobener, who got a call for advice from a doctor who sometimes hosts guests through Airbnb and faced that precise problem.

He isn’t the only one, as we at the Guardian learned and reported last summer, when San Francisco Rent Board spokesperson Robert Collins confirmed Tobener’s interpretation of the law and said the agency has already seen several such cases.

As I wrote in “Into Thin Air” on Aug. 6, “Tenants who rent out their apartments for a few days can even lose their rights to reclaim their homes. Collins cited multiple cases where subletters refused to leave and returning tenants had little legal recourse because ‘they would not have a just cause to evict the subtenant because, if they’ve rented the entire unit, they aren’t themselves a resident in the unit.’”

Even in cases where landlords rent out units they own, San Francisco’s 1979 rent control ordinance gives tenants rights to due process from the very beginning, making it difficult to get rid of Airbnb guests who decide to become squatters.

Sure, such a radical response to Airbnb’s impacts on the city may be breaking a few rules and hurting the credit records of those involved — but is that really any worse than the whole host of laws that Airbnb and its customers are violating in San Francisco everyday? It’s at least interesting food for thought. 

UPDATE 2/11: Just to clarify, Tobener isn’t actually advocating or organizing a campaign to squat in Airbnb apartments. This idea was, as I wrote, “food for thought,” something to ponder, a little thought experiment as we try to address Airbnb’s illegal business model and the city’s affordable housing crisis. 

San Francisco landlords targeted for elder abuse

Lisa Gray-Garcia, aka “Tiny,” led a press conference outside the San Francisco Hall of Justice Feb. 5 to announce that she and fellow activists were filing elder abuse charges against San Francisco landlords.

Clad in a gray pantsuit and flanked by activists and senior citizens who were facing eviction or had lost housing in San Francisco, the Poor News Network founder condemned landlords who’ve invoked the Ellis Act as “dangerous criminals.”

Gray-Garcia said criminal charges were being filed against the landlords in accordance with California Penal Code 368, which creates a special category for crimes – such as infliction of pain, injury or endangerment – committed against elders and dependent adults.

The theory is that carrying out an Ellis Act eviction against a senior citizen qualifies as a criminal act under that law, since an elder can suffer physical harm as a result of being turned out of his or her home.

The targeted landlords were taken from a list compiled by the San Francisco Anti Eviction Mapping Project, a volunteer-led group that published names, property ownership, and identifying information of 12 landlords who had repeatedly invoked the Ellis Act in San Francisco. Garcia read out their names as part of the press event.

Beyond that, however, the announcement was short on specifics. Gray-Garcia told the Bay Guardian she did not want to share the names of the affected seniors because she did not feel comfortable exposing the elderly tenants to potential backlash.

Joining the group of activists was an 82-year-old woman who used a walker and declined to share her name. She told the Bay Guardian she had lived in her Richmond District flat for more than 30 years, and had recently received a verbal warning from her landlord that if she did not move out, he would invoke the Ellis Act.

When Gray-Garcia and others filed into the San Francisco District Attorney George Gascon’s office inside the Hall of Justice, however, Chief Assistant District Attorney Sharon Woo first told them that they should complain to the police department, then scheduled a meeting with them at a later date.

Here’s how it went:

Guardian video by Rebecca Bowe

In order of appearance, speakers include Erin McElroy, a tenants’ rights advocate; Gray-Garcia; a District Attorney staff person whose name we didn’t catch; Woo, and Anthony Prince (there because he is campaign manager to Green Party gubernatorial candidate Luis Rodriguez, who spoke at the press conference).

Sue Hestor’s 70th birthday party: “We Shall Overcome.”

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By Bruce B. Brugmann

Plus: Tim Redmond reports on Sue Hestor and her environmental legacy on his new local  website 48 Hills.org.  

How do you say happy birthday to a San Francisco icon like Sue Hestor?

Some 200 of her friends, allies, pro bono legal clients, political heavies, and fellow warriors against big developers and their pals in City Hall gathered Saturday at Delancey Street for a surprise party to celebrate Sue’s 70th birthday.

When she arrived, she was obviously surprised to find a band playing “We shall overcome” and her friends standing, clapping, cheering, and singing  in admiration for a woman who has spent more than four decades as a citizen activist and attorney fighting for one good cause after another, usually at bad odds against the big guys, often for clients without pay. It was truly a historic moment in the history of San Francisco politics. 

I first knew Sue when she popped up as a feisty volunteer in the Alvin Duskin anti-high rise campaign of the the early 1970s. The Bay Guardian was doing an investigative book, “The Ultimate HIghrise,” on the impact of highrises on the city. She pitched in on the project and was in the book’s  staff photo, jauntily wearing her trademark straw hat, standing next to the hole in the ground for the Yerba Buena Center development.

 We billed a central feature of the book as “the world’s first comprehensive study of the true cost of skyscrapers.” Our research group demonstrated that highrises cost much more in services than they bring back in revenue,  a finding that infuriated the Chamber of Commerce because they could never effectively refute it. We also laid out in detail for the first time the power structure behind pellmell Manhattanizaton, how destructive those policies are, how they shift the tax burden from dowotown to neighborhoods and small business, who profits from them, why there are more muckmakers than muckrakers. Our talented art director Louis Dunn provided brilliant graphics that drove home the damaging points about highrises.

Our conclusion was most prophetic: “The most disturbing finding can’t be quantified–but it should be shouted to the heavens.  It is this: unless the city of San Francisco reverses past practice and immediately enacts an ironclad land-use policy such as Duskin’s proposed height limit, the long scoffed at ‘Manhattanization’ of the entire city is a surefire, 100%-guaranteed inevitability.” 

I like to think this project and its results were a fitting start to Sue’s career in land use litigation and terrorizing big developers, City Hall enablers, and their ever more virulent forms of Manhattanization. 

In the early l990s, I called on Sue again, this time to be the founding chair of the spanking new Sunshine Task Force. It was a new task force formed to enforce the Sunshine Ordinance, which gave citizens the right to make complaints about government secrecy and its tradition of keeping City Hall safe for PG&E, big landlords, and developers etal. The task force would, I knew, drive the bureaucrats nuts and  it thus needed a strong attorney as chair who would be smart enough and tough enough to go up against the city attorney and the crocodiles in the back bays of City Hall.

 The neat thing was that nobody could kick Sue off the task force.  She was one of two members who were “grandfathered” in by the ordinance–an attorney (Sue)  and a media rep (B3) –who were selected by the Northern Chapter of the Society of Professional Journalists, not the supervisors. She performed admirably and got the task force on a firm footing as the first and still the best local open government task force in the country, if not the world. 

Through the years of development battles, it was often Sue and Calvin, Calvin and Sue.  Calvin being Calvin Welch, a crafty environmental and neighborhood strategist who worked with Sue and others in developing counters and initiatives and all kinds of hellish moves to beat or slow down and mitigate development.  He said Sue’s career could be summed up in two words: “cumulative impacts.”  The good thing was that we all knew, when the developers brought up their heavy artillery or their sneaky back alley maneuvers, Sue and Calvin would be there to blow the whistle and take on the fight. Call Sue, call Calvin was the watchword but they usually called us first at the Bay Guardian. 

Let me call now on Tim Redmond, a Guardian reporter who covered Sue and Calvin and the highrise battles from 1982 on, to explain what Calvin meant.  Tim laid out the political points in his piece, “Sue Hestor’s birthday and a lesson in SF environmental history,” on his new local  website “48 Hills.org.”  Read Tim’s first paragraphs for the fun stuff on Sue and the last paragraphs for the really important contributions she has made to the city and urban planning, as explained by Calvin.

As Tim concludes, “In 1964, Hestor, representing San Franciscans for Reasonable Growth, sued and won a stunning decision in the California Court of Appeal mandating that the city start studying the cumulative impacts of development. As Welch noted, ‘there was an obligation for developers to prioritize mitigations.’ That’s where the affordable housing program, the transit-impact fees–and the entire concept of analyzing development on the macro, not the micro level emerged.  That was the idea behind the 1986 measure Prop. M, which included no height limits at all–but did include programs and policies designed to protect neighborhoods from the effects of unlimited growth.” 

Well, the Hestor faithful may not have “overcome” the big developers and their latest monstrous Manhattanization plans.   But they have come pretty damn close. On Sunday, the day after Sue’s party, the Warriors caved on its waterfront project and Matier and Ross did a Chronicle column with the head, “Warriors call for timeout on Waterfront arena plan.” And on Monday, the waterfront warriors marched triumphantly into City Hall and, as the  Chronicle’s John Cote reported,  “turned in more than double the number of signatures needed to qualify a measure for the June 3 ballot that would require voter approval for any development on the San Francisco waterfront to exceed existing height limits.”

That could kill the massively inappropriate project.  “If passed,” the Chronicle continued, “the measure would put a check on high-rise hotels and condo towers along the bay and require voter approval for height increases for three major waterfront development plans, the Golden State Warriors’ proposal for an 18,000-seat arena complex, the San Francisco Giants’ plan for an urban neighborhood on what is their main parking lot and the development of the industrial Pier 70 area.”

Whew! That’s what I call a nifty bit of Hestoring and Calvinizing.   b3

If you don’t like the news, go out and make some of your own. (Wes “Scoop” Nisker on KSAN radio during the dark days of the Vietnam War.) 

(The Bruce blog is written and edited by Bruce B. Brugmann, editor at large of the Bay Guardian.  He is the former editor and co-founder and co-publisher of the Bay Guardian with his wife Jean Dibble, from 1966 to 2012.)

 

 

 

  


 


 




 


 

The trouble with compromise

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“It takes no compromise to give people their rights… It takes no money to respect the individual. It takes no political deal to give people freedom. It takes no survey to remove repression.” — Harvey Milk

OPINION As I sat in the audience at the Jan. 23 San Francisco Young Democrats meeting and watched the first debate between David Campos and David Chiu in their race to represent San Francisco’s 17th Assembly District, I was disturbed to hear the words “compromise” and “consensus” come out of David Chiu’s mouth more often than the words “eviction” and “displacement.”

During the debate, a line in the sand was drawn by the two candidates: Campos was on the side of the underdog, a voice to the voiceless; and Chiu, by his own admission, was all about compromise and “getting things done.”

Don’t get me wrong. True compromise can be a good thing. Unfortunately, what has been coming out of City Hall, from both President Chiu’s Board of Supervisors chamber and the Mayor’s Office, hasn’t been real compromise. It’s been a wholesale selling of our city to the highest bidder. The only thing that our leadership’s compromises have yielded is a compromised San Francisco.

Compromise gave corporations millions of dollars in tax breaks and it has forced nonprofits and small businesses out of our neighborhoods. Compromise has not resulted in any substantive action to curb Ellis Act evictions, instead serving to green light the building of luxury condo towers throughout the city. Compromise has allowed queer youth shelters and our parks to be closed to the people who need them as a last resort, as our bus stops have been opened up to billionaires for little more than pennies.

Chiu’s compromises have cost this city dearly. His compromise with developers on Parkmerced will lead to the demolition of 1,500 units of rent-controlled housing. His compromise on Healthy San Francisco allowed restaurant owners to continue to defraud consumers and to pocket money that should have gone to health care for their employees. His compromise on Muni killed a much-needed ballot initiative that would have resulted in an additional $40 million for the agency — a ballot initiative that he originally co-authored.

Please forgive me if I am fed up with compromise and am demanding actual leadership from my representatives.

Now is the time to stand with people of color, with members of the LGBTQ community, with our youth and elders, with artists and with small businesses, all of whom are being forced out of our city.

Thankfully, we have another choice. Sup. David Campos has shown that real change comes not from compromising your values but standing up for your principles. His legislative accomplishments include providing free Muni for low-income youth, protecting women’s right to choose at the Planned Parenthood Clinic, and preventing teacher layoffs at our public schools.

Campos has demonstrated that he, not Chiu, is the right choice to follow Tom Ammiano’s footsteps to Sacramento. Ammiano, who had 13 of his 13 bills signed into law this past year, is the perfect example of the success that can come from leading with your principles and not compromising your integrity.

San Francisco needs a leader representing us in the capital. Successful victories in reforming the Ellis Act and closing the Prop. 13 tax loophole will take a leader who can stand up to landlords and corporations, not a compromiser who will sit down at the table in a backroom with them.

That is why I will give my all to make sure that David Campos is our next representative in Sacramento. Pardon me if I refuse to compromise.

Tom Temprano is president of the Harvey Milk LGBT Democratic Club.

Residents vs. tourists

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steve@sfbg.com

Evictions and displacement have become San Francisco’s top political issues, amplified by protests against tech companies that are helping gentrify the city. Yet Airbnb, which facilitates the conversion of hundreds of San Francisco apartments into de facto hotel rooms, has so far avoided that populist wrath.

Tenants use the online, short-term rentals to help make rent in this increasingly expensive city, a point that the company often emphasizes.

“For thousands of families, Airbnb makes San Francisco more affordable,” Airbnb spokesperson Nick Papas wrote to the Guardian by email, citing a company survey finding that “56 percent of hosts use their Airbnb income to help pay their mortgage or rent.”

But it’s also true that Airbnb allows hundreds of rent-controlled apartments to be removed from the permanent housing market — in violation of local tenant, zoning, tax, and other laws — something that has united tenant, landlord, hotel, and labor groups against it (see “Into thin air,” 8/6/13).

“The problem is Airbnb is so easy and attractive that you can take a unit out from under rent control forever,” San Francisco tenant attorney Joseph Tobener told the Guardian.

“We’re getting 15 calls a week on Airbnb,” he said, describing four categories of complaints: landlords evicting tenants to increase rents through Airbnb, tenants complaining about neighbors using Airbnb, tenants being evicted for getting caught illegally subletting through Airbnb, and Airbnb hosts who can’t get guests to leave (city law gives even short-term residents full tenant rights, except in hotels).

There isn’t good public data on how many units are being taken off the market, but Airbnb generally lists well over 1,000 housing units in San Francisco at any given time, with its smaller competitors (such as Roomorama and VRBO) adding hundreds more.

The San Francisco Rent Board listed 326 no-fault evictions (Ellis Act, owner move-in, capital improvement) in its 2012-13 annual report. That number is almost certain to rise in the 2013-14 report due out in March, and it is compounded by an unknown number of buyouts that pressure tenants to voluntarily leave, all of it creating a displacement crisis that has galvanized the city.

“Isn’t it far more likely that more units are being lost [from the rental market] through Airbnb?” San Francisco Magazine recently quoted a UC Berkeley professor as saying in an article questioning whether Ellis Act evictions are really a “crisis.”

So Airbnb is clearly having a big impact on the city’s affordable housing crisis. Yet Airbnb is largely flying under the political radar in its hometown and ducking questions about its impacts.

“Airbnb has all the statistics we need to assess its impacts on the city’s housing market,” Tobener said. The company refuses to disclose such data. Airbnb’s customers need to consider their impacts to the city’s affordable housing crisis, Tobener added, because “there are social consequences to the decisions we make.”

 

STALLED IN LIMBO

Last year I discovered Airbnb was flouting a ruling that it should be paying the city’s 15 percent transient occupancy tax (“Airbnb isn’t sharing,” 3/19/13), a nearly $2 million per year tax dodge.

Yet Airbnb, which has quickly grown from a small start-up into a company worth nearly $3 billion, has some powerful friends in Mayor Ed Lee and venture capitalist Ron Conway, who invests in both Airbnb and Mayor Lee’s political campaigns and committees.

So the company has stonewalled Guardian inquiries for the last year as it has worked with Board of Supervisors President David Chiu on legislation that tries to bring the company’s business model into compliance with local laws. That hasn’t been easy, as Chiu told us.

“It has been difficult to corral the different stakeholders to get on the same page,” Chiu said. “Airbnb has been like unraveling an onion. The more progress we make, the more issues come up.”

Janan New, executive director of the San Francisco Apartment Association, says it shouldn’t be so hard. “They need to enforce the law. They need to collect the hotel tax. They don’t need new laws,” she told us.

While the city is unlikely to simply follow New’s advice, the displacement issue adds another layer to Airbnb’s onion, one that sources say has become an issue of growing concern within the company, which has finally begun to respond to Guardian inquiries.

Those concerns have also been compounded as Airbnb is now being sued by one of Tobener’s clients, Chris Butler, who says he was evicted from his rent-controlled Russian Hill apartment so the landlord could make more money through Airbnb (see “Airbnb profits prompted SF eviction, ex-tenant says,” SF Chronicle, 1/22/14).

“We strongly support rules that keep people in their homes, and the vast majority of Airbnb hosts are regular people just trying to make ends meet,” Airbnb told the Guardian. “Whatever happened in this case, we certainly do not support unscrupulous landlords who evict long term tenants solely to turn their apartments into short-term rentals, but it is important to note that experts have found such cases to be extremely rare.”

Airbnb didn’t respond to our follow-up questions, but those “expert” findings appear to be a reference to a study the company commissioned late last year from Berkeley-based Rosen Consulting Group entitled “Short-Term Rentals and Impact on Apartment Market.”

But that study of Airbnb’s impact to rental housing in San Francisco doesn’t really draw the conclusions that company seems to think and hope it does.

 

MISLEADING NUMBERS

One number that the study and Airbnb have repeatedly sought to highlight is the claim that “90 percent of Airbnb hosts in San Francisco use Airbnb to occasionally rent out only the home in which they live,” as the company put it to us.

“Airbnb users generally do not identify themselves as utilizing short-term rentals as a business. In fact, 90 percent of Airbnb hosts [in San Francisco] indicated that they live in the home listed on Airbnb,” was how the study put it.

“It’s trash. They pick and choose the data they want to share,” Tobener said of the study and the 90 percent figure, which he says was derived from a 2011 user survey before the local housing market exploded. Rosner Consulting told us it stands by the study but won’t discuss it.

The figure also lumped in those with multiple rooms in their homes that have traditionally been rented by local residents and covered by rent-control laws. It also discloses that 10 percent of Airbnb hosts are renting out outside units simply as a business, a figure that has likely risen over the last three years.

The study does disclose that there were 1,576 properties booked through the company in August 2012, which the study notes was just 0.4 percent of the 378,000 homes in San Francisco, which Airbnb uses to dismiss its impacts on the market.

But the study includes only macroeconomic data, rather than looking at the company’s impact on certain socioeconomic groups — such as those making 120 percent or less of median area income, the people being evicted from and priced out of the city — or the supply of rent-controlled housing.

“The average gross income per Airbnb property in the previous 12 months was $6,722, or an average of $564 per month,” the study discloses, choosing to use average rather than median figures even though they’re considered less accurate gauges of income and housing data.

Customers who only use Airbnb once or twice will skew those averages way down. Yet the study then compares that number to the “average market-rate apartment rent in San Francisco, which was $2,498 per month in mid-2013. The average income generated is insufficient to cover monthly rental expenses in full.”

Which tells us nothing about how Airbnb is impacting either rent-controlled housing or the median income San Franciscans who rely on it. According to the US Census Bureau, the median rent in San Francisco was $1,463 in 2012 and 64 percent of San Franciscans rent their homes.

“The study is bullshit,” Tobener said. “They could pull data and tell us how many people are renting full units on Airbnb, but they don’t.”

Yet the company claims that it is concerned about these issues and working with the city.

“We believe our community of hosts should pay applicable taxes and we are eager to discuss how this might be made possible. We’ve reached out to officials in San Francisco and we continue to have productive discussions with city leaders,” Airbnb told the Guardian. “These issues aren’t always easy, but if we work together, we can craft fair, responsible, clear rules that ensure San Francisco continues to benefit from home-sharing.”

Yet neither Airbnb nor its political supporters seem to want to have this public discussion. The company has stopped responding to our inquiries, again, and when we asked the Mayor’s Office about Airbnb’s impacts to the affordable housing market, we got this response and a refusal to directly answer either the original or follow-up questions: “The Mayor has prioritized preserving, stabilizing and growing the City’s housing stock. His policy priorities include protecting residents from eviction and displacement, including Ellis Act reform and stabilizing and protecting at-risk rent-controlled units, through rehabilitation loans and a new program to permanently stabilize rent conditions in at-risk units.”

Yet Airbnb continues to have an impact on those “at-risk rent-controlled units” that few people seem to want to discuss.

Tenant battle brewing

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rebecca@sfbg.com

Benito Santiago, 63, was born and raised in San Francisco. But now that he’s received an eviction notice from the apartment he’s lived in since 1977, he isn’t sure what the future holds.

“This is roots for me,” Santiago told us. “I have more affinity for San Francisco than the Philippines,” his family’s place of origin.

He works part-time with disabled youth enrolled in San Francisco public schools. “The idea that I built a rapport with these students here … to be put in a position where I wouldn’t be able to work with them, I’m a little saddened and depressed by it,” he said. “If I’m homeless, I can’t be taking care of these kids. I mean — it’s a worst-case scenario.”

He’s been exploring alternative housing options, and trying to stay positive. He says he’s even trying to “change the rate of vibration” of the real estate speculators seeking to oust him as part of his pre-dawn meditation and ritualistic movement practice, a routine he developed to mitigate the chronic pain he dealt with after being hit by an automobile when he was crossing the street in 1980.

“Hopefully, they can have some compassion,” he said.

Santiago is hoping to get a temporary extension to stave off his eviction, and he’s been looking into publicly subsidized below-market rate apartments. But rent for even the most affordable of those places would eat up 75 percent of his monthly income, he said. Unless he can find an affordable arrangement somewhere, he might end up having to leave the city.

 

GROWING MOVEMENT

Santiago has been a part of a growing movement underway in San Francisco to reform the Ellis Act and introduce meaningful legislation at the local level to protect the city’s renters.

In recent weeks, the San Francisco Anti Displacement Coalition, made up of a wide range of organizations including the San Francisco Tenants Union, has hosted a series of neighborhood tenant conventions to solicit ideas that will be boiled down at a citywide tenants’ gathering scheduled for Feb. 8. At that meeting, organizers plan to hash out a strategy and possibly solicit ideas for a ballot initiative.

The tenant conventions are happening on a parallel track with efforts to reform the Ellis Act, which allows landlords to remove apartments from the rental market and evict tenants.

“Our goal is to ban the use of the Ellis Act in certain circumstances,” explained Dean Preston of Tenants Together, a nonprofit focused on strengthening the rights of renters.

“More than half of Ellis Acts are performed by people who bought the properties within the past six months,” he told us. “Their whole purpose is to buy it and kick everyone out. It was supposed to be for long-term landlords to get out of the business” of being landlords, he added. Instead, “it’s being completely abused.”

Sen. Mark Leno is working with Mayor Ed Lee on a response that would seek to lessen the impact the Ellis Act has had in San Francisco. Meanwhile, Assemblymember Tom Ammiano is spearheading a separate effort.

“At this time, he’s not really ready to say which avenue he’s taking” in terms of a legislative strategy, said Carlos Alcalá, Ammiano’s communications director. “Because that can rule out that avenue.”

Preston said he’s been through waves of evictions before, but the organizing now taking place has been especially effective at drawing attention to the issue. Oftentimes, “the speculators are not from within the city or even within the state,” he pointed out. “That has fueled a lot of activism and courage.”

For Santiago, the organizing has given him heart during a difficult time. “I’m hearing a lot of sad stories,” he said, “and I am not alone.”

Debunking SF Mag’s Ellis Act apologist article, point by point

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Well, everyone’s got an opinion. And when it comes to San Francisco’s housing crisis, that’s doubly true.

San Francisco Magazine’s opinion though, amounts to a cry for help for (they say) the oft-demonized landlords from what they call the ever-overblown Ellis Act eviction crisis.

In his Tweet earlier today, San Francisco Magazine Editor-in-Chief Jon Steinberg said “We’re calling BS on San Francisco’s eviction crisis.” The article, by San Fran Mag Web Editor Scott Lucas, lays out a San Francisco that’s hard to recognize, one where evictions and rental increases aren’t displacing people in droves. At least, not enough to qualify as a “crisis.”

Sorry Jon, we’re calling BS on your article.

The Guardian reached out to Ted Gullicksen, executive director of the San Francisco Tenant’s Union and Erin McElroy, the head of the Anti-Eviction Mapping Project, to debunk some of the claims made in SF Magazine’s attempt to de-fang the threat of Ellis Act evictions. 

You can read the full article here, but we’ve reproduced lines from the piece and included responses from Gullicksen and McElroy addressing their points one by one. 

San Francisco Magazine The narrative was a straightforward one: Because the Bay Area has seen an influx of people—largely young, white, and working in tech—who need housing (and can pay for it), greedy landlords, many of them out-of-town speculators, are throwing longtime San Franciscans into the streets and turning the city over to gentrification. It looked cut-and-dried.

It’s not. In fact, Ellis Act evictions represent only a small proportion of the city’s total evictions—and they’re not even historically high to begin with. 

Ted Gullicksen That is incorrect on a couple levels. First off, it’s important to understand that the main way people are evicted these ways are via the Ellis Act followed by a buyout. The reason for that is that San Francisco passed strict condominium conversion prohibitions several years ago. If you do an Ellis, you generally are not going to be able to convert to condos ever. 

(You need to) include the Ellis threats… for every single Ellis Act eviction filed with the rent board, they’re where the speculators tried to get the tenants to bite… for every Ellis Act eviction, there are about five buyouts where Ellis Act was used as a club.

I come to that number by the number of people coming to the Tenants Union concerned about buyouts, and comparing those with the rent board’s numbers. Pretty consistently we see 33 percent of what the rent board sees. 

Erin McElroy California is the only state where the Ellis Act is utilized, it’s hard to say whether it’s historically high or not. We also see it’s being utilized by landlords repeatedly. It’s being used as a business model, not a way of going out of business which was its intended use in 1986. 

SFM In the 12-month period ending on February 28, 2013, the total number of Ellis Act evictions was 116—an almost twofold increase over the previous year, but a nearly 70 percent decrease since 2000, when such evictions hit an all-time high of 384. All told, the Ellis Act was behind less than 7 percent of the 1,716 total evictions in the city between February 2012 and February 2013. “Isn’t it far more likely,” asks Karen Chapple, a professor of city planning at UC Berkeley, “that more units are being lost [from the market] through Airbnb?”

TG That number, the 1,716 number, includes “for fault” evictions. If you just include no-fault evictions, Ellis Act evictions are the highest amounts. No-fault evictions are the ones we’re all talking about here. There are a number of rental units lost from the market and that’s a big problem, but the TIC and condominium conversions far surpass tourist conversions (like AirBNB).

EM First of all, for every Ellis Act being recorded, there is not a recording of the units evicted. While you can say there is a number of evictions, it doesn’t represent the units or people being displaced: it doesn’t record the number of people losing their homes.

What we’ve done through the Anti-Eviction Mapping Project is to match those petitions with the number of units. If you go to our website you can see the number of units lost since 1997 in each petition. While the city (of San Francisco) only recorded about 1,300 Ellis Act evictions since then, there have been at least 4,000 units lost. We don’t know how many people are in each unit. There could be between 1 and 6 people in each on average. 

SFM Laying the blame on nefarious Rich Uncle Pennybags types isn’t exactly right either. A recent report commissioned by Supervisor David Campos is clear on that point: The increase in Ellis Act evictions, it found, “occurred simultaneously with significant increases in San Francisco housing prices.” In other words, the problem isn’t speculators. It’s the market. 

TG The problem is indeed the speculators. Most of these buyouts are done by speculators, of the current Ellis Act evictions right now, most of the buyouts are done by one of twelve speculators. 

The Anti-Eviction Mapping Project showed that these real estate speculators form Limited Liability Corporations for each building. The Anti Eviction Mapping Project went through all these LLC’s and identified actual owners and compared them to Ellis Act evictions at the rent board. One person involved is doing six Ellis evictions right now. 

EM Speculators are taking advantage of the market. If there weren’t people to buy luxury condos, Ellis Act evictors wouldn’t buy up the units and turn them into condos. 

It’s one thing for a landlord to issue an Ellis Act one time because they’re done being a landlord, it’s another to see serial evictors use it over and over again through Limited Liability Corporations. Urban Green has 40 or so LLC’s, they’re using them all to push the Ellis Act. See our serial evictor chart and you’ll see 12 different people that use that serial evictor model. It’s a way for them to make money. 

SFM The city simply doesn’t have enough housing to keep up with job growth. And as real estate values rise, the incentive for a property owner to sell grows considerably. No villainy. Just economics.

TG The city is building a ton of housing, as anyone can tell you. The city, though, is building nothing but luxury condos. There’s plenty of housing, but nothing affordable.

EM If displacing long term residents and folks with disabilities and seniors is just economics, it’d be an argument against our economic system. The city offers services for trans folk, queer folk, people with HIV, all reasons people moved to San Francisco and it has a popular place in people’s imagination. Native San Franciscans are also not being valued. If that’s economics, San Francisco has lost its heart and its soul.

SFM Even if incremental changes happen, San Francisco’s affordability problem will likely continue almost unabated. Ellis Act evictions are, in Chapple’s words, not a cause of the housing crisis, but rather “a symptom. Fixing it is like using a Band-Aid for brain cancer.”

TG The Ellis Act is in fact a cause, because it’s taking thousands of units off the rent control market. When we’re losing more and more rent control units, supply dwindles and the rents go up. 

EM I would agree the Ellis Act isn’t the cause of the problem. The problem is it’s being utilized with other forms of evictions for landlords to take advantage of a political economy with the relationship between the city and tech. The problem is the relationship with the new tech class and the impunity it maintains through city government.

Lee panders to motorists and undermines SFMTA with Sunday metering repeal

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First Mayor Ed Lee ignores the rising cost of living in San Francisco (fueled partly by his own corporate welfare for the tech industry and commercial landlords), and now he’s using his sudden concern about gentrification as an excuse to make parking meters free again on Sundays, a blatant bit of political pandering that blows a $6 million annual hole in Muni’s budget.

Maybe it’s understandable that a politician worried about his reelection prospects with restive voters would take a page from the playbook of former Gov. Arnold Schwarzenegger, who slashed the state’s vehicle license fee to win that office. But what makes this move stink even more is it’s being supported by the San Francisco Municipal Transportation Agency, a supposedly independent (yet mayoral appointed) body whose top officials methodically and courageously have made a strong case for Sunday metering.

“We’re just willing to partner with the mayor to address affordability,” SFMTA spokesperson Paul Rose told us, admitting the agency hasn’t yet identified a funding source to fill that gap if Sunday metering is repealed on July 1 as proposed. Sunday meters were budgeted for $1 million in revenue, but they actually brought in $6 million in the last year because of more tickets than expected, feeding the outrage of motorists who feel entitled to use public roads for free. 

We’re waiting for calls back from SFMTA Executive Director Ed Reiskin and Chairman Tom Nolan to find out whether they no longer stand by the arguments they’ve been making for Sunday metering, claiming it helps the local economy by making parking spaces available in neighborhood commercial districts and that it’s consistent with the city’s official transit-first policy.

“What does this say about the city’s commitment to the policy of promoting transit first?” San Francisco Bicycle Coalition Executive Director Leah Shahum said, saying she was shocked by the announcement given how underfunded the SFMTA’s transit, bicycle, and pedestrian improvement programs all are. “Why in the world are we even talking about this?”

Lee claims this is about affordability, telling the Chronicle “it was just nickel-and-diming people to death,” yet his own plans call for asking voters to approve more than $6.3 billion in taxes to fund Muni’s needs over the next 15 years, including a proposal to increase the sales tax in 2016, a regressive tax that will hit those already struggling harder than Sunday metering does to the 70 percent of San Francisco households that have an automobile.

Lee has also proposed ballot measures for this November that would increase the vehicle license fee and issue a $500 million general obligation bond, paid for on the property taxes of all city households. His own polls show the measures could be difficult sells to voters, and it’s not clear why he won’t wait for those results before ending Sunday metering.

When we asked mayoral Press Secretary Christine Falvey about all this, she selectively answered our questions with the following response: “The mayor believes a comprehensive funding strategy to not just maintain, but improve Muni performance, pedestrian and bike safety and the condition of our roads is what will finally turn the corner on improving San Francisco’s Transportation System. That’s why he has spent the better part of a year with the Transportation 2030 Taskforce, that recommended several ways to support these goals, including a $500 million general obligation bond, which the mayor supports. Because of a strong economy, the mayor believes it’s time to eliminate parking fees for six hours on Sundays and permanently fund Free Muni for low income youth to help working families in San Francisco and ease the affordability issues he hears about from families across the City.”

But at this point, that’s just political rhetoric, and Lee’s “comprehensive funding strategy” remains a vague and distant dream — one that will soon be $6 million a year tougher to make a reality. 

Confronting the speculators

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rebecca@sfbg.com

A group of tenant advocates has upped the ante in the ongoing protest movement against San Francisco evictions, publicizing the names, photographs, property ownership, and corporate affiliations of a dozen landlords and speculators they’ve deemed “serial evictors.”

The Anti Eviction Mapping Project, a volunteer-led effort that snagged headlines last fall when it released data visualizations charting long-term displacement in San Francisco, released its Dirty Dozen list Jan. 10.

The project spotlights property owners who’ve moved to evict tenants under the Ellis Act, a controversial state law that allows landlords to oust tenants even if they aren’t in violation of lease terms. In practice, the Ellis Act tends to be waged against longtime residents with low monthly rental payments, frequently impacting elderly or low-income tenants who benefit from rent control.

The Anti Eviction Mapping Project’s list gets up close and personal, publishing details such as landlord’s cell phone numbers, home addresses, and histories of legal entanglement.

It’s an edgy use of public records that seems to raise a slew of questions about free speech, privacy, and the use of information sharing and public shaming as a protest tactic in the digital age.

Erin McElroy, a volunteer and lead organizer of the project, said the goal was to spotlight landlords “who are disproportionately impacting senior and disabled tenants,” and to raise public awareness about “people who are making millions at the expense of tenants.”

She added that there is a budding effort to push for Ellis Act reform in Sacramento, and noted that a goal of this project was to fuel that statewide effort by providing easily accessible information.

Among those individuals named on the Dirty Dozen list was David McCloskey of Urban Green Investments, a company that owns more than 15 San Francisco properties. Urban Green has been a frequent target of San Francisco housing activists, in part due to the company’s ongoing attempt to evict Mary Elizabeth Phillips, a Dolores Street tenant who will turn 98 in April.

Another landlord who made the list, Elba Borgen, has also attracted past attention from tenant activists due to her history of pursuing Ellis Act evictions at six different San Francisco properties. A tenant currently residing in a 10th Avenue property, where Borgen’s LLC has filed for eviction, is 90 years old and suffering from Alzheimer’s, according to an interview with her daughter Vivian Montesdeoca posted to the mapping project website.

The Bay Guardian‘s efforts to reach landlords who were spotlighted on the Dirty Dozen list were largely unsuccessful. We did manage to contact Tom Iveli, president of Norcal Ventures, who spoke briefly before excusing himself, saying he had to take another call. Iveli clearly wasn’t aware that he and his business partner Bob Sigmund had been singled out.

McElroy said the Dirty Dozen list was the product of an in-depth research project which entailed filtering through property records, San Francisco Rent Board data, and information gleaned from the website Corporation Wiki.

The Anti Eviction Mapping Project initiative has attracted around 15 volunteers and will be partnering with Stanford University students to produce an oral history project showcasing the narratives of San Francisco tenants facing eviction, McElroy said.

Some of the same activists involved in recent high-profile blockades of tech buses were also part of the Anti Eviction Mapping Project effort.

“We’re not, you know, anti-tech by any means,” said McElroy. “We’re anti- speculative real estate,” and wary of policies like the Ellis Act and city government’s tendency to give deep-pocketed corporations a free pass, regardless of the consequences.

“It’s that linkage that is kind of the crux of the issue,” she added.

Got pests? Open data project reveals housing code violation data

Thanks to a handy new online platform created by the city’s Department of Public Health, in collaboration with the Mayor’s Office of Civic Innovation and Code for America, you can now determine whether the rental you’re eyeing is moldy, pest-ridden, or otherwise hazardous to your health – before signing a lease.

Investigating a potential landlord’s track record is just one application for the House Facts data set, an open data tool rolled out six months ago that instantly provides building owners’ names, code violation data, property assessment information and other relevant information associated with San Francisco addresses, all in one place.

Let’s say, for example, you were contemplating paying $1,650 a month to inhabit a 300-square-foot studio, right in the center of the Tenderloin. Now there’s a bargain in a red hot housing market! 

But before you get all excited and drain your bank account to plunk down a security deposit, surf on over to HouseFacts and punch in the building address. With this simple search, you might discover that this building has undergone inspection by city agencies a grand total of 73 times, most recently 11 months ago, with a total of 23 violations recorded.

Skim the list of violations and you’ll notice the words “rodents,” “insects,” “unsanitary conditions,” and even (big red flag here!) “biohazards (human feces).”

As they say, knowledge is power.

To be fair, some of those violations were recorded practically an eternity ago, and things could well have been cleaned up since – but having instant access to these track records could prove to be a check against negligent landlords.

 

A map of housing inspection data prepared by DPH.

The initiative to develop a uniform format and open platform for San Francisco housing inspection data was spearheaded under the environmental health division of the Department of Public Health in collaboration with city government’s growing tech innovation wing, and it’s now being emulated by several other cities nationwide.

DPH’s former Environmental Health Director, Dr. Rajiv Bhatia – who recently resigned after being targeted with a mysterious investigation that resulted in no findings of misconduct – was instrumental in advancing the open-data project under the Program on Health, Equity and Sustainability.

“We decided releasing this data would have the potential to improve government regulation,” notes Cyndy Comerford, manager of planning and fiscal policy in the environmental health division, who’s continued to move it forward since Bhatia’s departure. “Within San Francisco, there are many people who live in dilapidated and poor housing.” 

Residences plagued with rodents, cockroach infestations, lead, or mold present higher risks for health afflictions, such as allergies, respiratory conditions or cancer.

The enhanced transparency can strengthen code compliance and lead to an overall reduction in medical costs for preventable conditions, Comerford said.

Slumlords, beware: The tool has also been implemented at a time when the city is signaling that more aggressive code enforcement is on the horizon.

At the Jan. 7 Board of Supervisors meeting, Sups. Scott Wiener and Malia Cohen called for a hearing to get a better handle on building code enforcement.

“There’s not really any clear procedure for when these cases are closed, or how they’re closed,” said Jeff Cretan, a legislative aide for Sup. Scott Wiener.

“Our complicated code inspection system lacks sufficient coordination and communication among the different departments,” Wiener noted in a statement. “In addition, departments sometimes appear to be reluctant to pursue enforcement due to budget concerns.”

While the health department’s actions seem geared toward preventing ailments arising from poor housing conditions, the supervisors’ effort seems to stem from a quality-of-life concern. Cretan said his office regularly receives complaints from “really wired-in, aggressive Noe Valley neighbors.” He added, “People will call because they’re worried about hoarders.”

SF Board of Supervisors approves new tenant protections

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The Board of Supervisors today (Tues/17) gave unanimous final approval to legislation aimed at giving renters in the city additional protections against being displaced by real estate speculators, and initial approval to legislation protecting tenants from harassment by landlords, both part of a wave of reforms moving through City Hall to address rising populist concerns about gentrification and evictions.

The anti-eviction legislation, created by Sup. John Avalos and co-sponsored by Sups. Eric Mar and David Campos, seeks to preserve rent-controlled and affordable housing by restricting property-owners’ abilities to demolish, merge, and convert housing units, three of the most common ways that affordable housing units are being eliminated in the city.

There was no discussion of the Avalos legislation today as it was approved on second reading, belying last week’s initial discussion, which got a little heated at times. “San Francisco is facing a crisis,” Avalos said last week as he conveyed the importance of passing the ordinance before the end of the year. “We’ve been called on by our constituents to declare a state of emergency for renters in the city.”

Last month, Campos held a high-profile hearing at the board on the city’s affordable housing and eviction crisis, and won approval for his legislation to double how much tenants being evicted under the Ellis Act receive. Today’s board meeting also includes a first reading of legislation by Campos to help protect tenants in rent-controlled apartments from being harassed by landlords seeking to force them out and increasing rents.

“We have heard about tenants being locked out of their apartments. We have heard about loud construction work being done…for the purpose of forcing the tenants out,” Campos said today of his legislation to allow targetted tenants to have complaints heard by the Rent Board rather than having to file a lawsuit. Later, Campos said the legislation sends the message “that is not something that is going to be tolerated in San Francisco.”

Campos’ legislation also received unanimous approval and little discussion, even by supervisors who generally side with landlords over tenants, perhaps including just more potent this issue has become. Board President David Chiu also today introduced a resolution to support his work with Mayor Ed Lee and Sen. Mark Leno to amend the Ellis Act at the state level, hoping to give the city more control over its rent-controlled housing. 

Avalos last week said he is so convinced of the urgency of the current situation that he responded to concerns voiced during the Land Use and Economic Development Committee Meeting on Dec. 9 about how the new legislation would work in the cases of temporary evictions and residential hotels by immediately making amendments to the ordinance without objection.

Nonetheless, further questions arose during the Dec. 10 meeting. Sups. Norman Yee and Katy Tang expressed reservations about the legislation applying in the case of owner move-in (OMI) evictions.

“I would love to support the piece, but this part just doesn’t make sense to me,” Yee concluded. “I’m not getting how it hurts the tenants.”

While Avalos explained that OMI evictions still take affordable housing off the market, he agreed to compromise by reducing the ordinance’s 10-year moratorium on demolishing, merging and converting housing units to five years.

Then, Sup. London Breed spoke up.

“This might not be popular for me to say as a legislator, but I’m very confused,” she began. “I know we have this crisis of Ellis Acts around the city, but I really feel pressured, and that this legislation is being rushed. I can’t support something that I don’t completely understand the impacts of. I just need more time.”

While Breed did not have the chance to review the legislation before the meeting, she had found the time to prepare speeches about President Nelson Mandela’s passing last week and her alma mater Galileo High School’s recent football victory.

Concurring with Breed, Cohen stated, “I understand that we are in a crisis of protecting our rental stock units, but I’m hesitant. Connect the dots for me, how does this save rentals? Or conserve affordable housing? What are we trying to do here?”

Kim reprimanded her fellow board members for not attending the meeting prepared, then stated, “I would support moving the ordinance forward today. The situation we are facing here in the city is extremely challenging…and this legislation is one of the tools we have for it.”

Sup. Scott Wiener and David Chiu echoed Kim’s support, commending Avalos for promptly addressing their former issues with his amendments and additions.

When Cohen used her time on the floor to respond to Kim’s admonition by stating, “I certainly do my homework. I don’t want to be made to feel bad for not getting it on the first time,” Campos suggested that it might be a good time to put the discussion on hold and open the floor for public comments.

While members of the community stepped up to the visitors’ podium, Yee and Campos met at the back of the room while Breed conversed with Sophie Hayward of the Planning Department, who had reviewed the ordinance before it was presented for recommendations. After further discussion with Avalos himself, Yee returned to his seat to speak with Tang. Satisfied with what she learned from Hayward, Breed came over to discuss the ordinance with Campos and Avalos. Cohen remained seated for the duration of the time, speaking with no one.

After the conclusion of public comments, Avalos reiterated the importance of passing the ordinance as soon as possible. “We have been called on by scores, hundreds of people, to preserve this stock,” he stated. “This legislation will help keep families in San Francisco.”

The ordinance was passed unanimously in its first reading, but the fight is not over. Breed for one made it clear that, while she understood the ordinance better after her preceding discussions, she was only giving it her support because she knew the legislation would be up for further review in a week, when all the supervisors will have had time to study it more closely.

With the affordable housing and displacement issues only generating more heat in the last week, today there was only prompt, unanimous approval and no discussion.