Berkeley Council Invites Mostly Developers to Discuss Affordable Housing Options:
Former Planning Director Mark Rhoades, now a developer himself, was a featured speaker at the February 16 Council forum.
Several speakers who work for, or consult with, developers said Berkeley’s public process is to blame for rising building costs.
8% Affordable Housing Will Not Address Crisis
“With those units, plus all of the projects at various stages of the use permit application process as well as those under construction, the totals since 2012 come out to 206 affordable units out of 2,787 total units, or 8 percent (see ABAG slide above).
…There was consensus among the experts that the city needs to expedite housing construction by facilitating funding and cutting red tape. But not all of them bought into the oft-cited notion that building lots of luxury housing will put a significant dent in the affordable housing shortage… Several lamented what they saw as the loss of economic and ethnic diversity in a city where skyrocketing residential rents are out of reach of most working people, many of them minorities. The rising rents represent “a major transfer of income from tenants to real estate investors,” and they vastly exceed what a landlord needs to profitably operate and maintain a building, said former Berkeley Housing Director Steve Barton, one of the presenters on Tuesday.”
Landlord Tax Could Fund Affordable Housing
Trying to Stop Berkeley Eviction Cases from Moving to Far-Away Court:
Students Ask University to Step Up
The ASUC Student Housing Committee published this editorial in the Daily Californian calling for the University to produce more student housing and scrap plans for a private hotel on UC land in downtown Berkeley.
“Despite plans to increase enrollment by at least 1,500 new students at UC Berkeley over the next few years, the campus only has plans to create 725 net new beds over the next five years; by contrast, the campus is increasing enrollment by 750 students next year alone… Furthermore, the university plans to build this project — and future projects — as a P3, or public-private partnership. As a P3, such a residence hall would be on university land but operated by a private company, a situation known as privatization. As a result, students would simultaneously lack the protections of local laws — such as rent control and eviction protections — while also paying more for rent to a private company.”
Students Hold Rally
Equity Residential Sells 1,800 Rent Controlled Units
Equity Residential, also Berkeley’s largest landlord, sold its units in East Palo Alto to Abu Dhabi Investment Authority, a foreign investment firm. Equity is also selling all of its units in Berkeley.
Oakland: Short Term Rentals Tax to Support Affordable Housing
This from the East Bay Housing Organizations (EBHO):
“As the result of months of EBHO members’ advocacy and efforts, on February 2nd, Oakland City Council allocated $350,000/year of the Transient Occupancy Tax revenue from short-term rentals to the Affordable Housing Trust Fund for each of the two years in the current budget cycle.
Allocating TOT revenue, which is the occupancy tax paid by hotels and other tourist accommodations, from these short-term accommodations to the Affordable Housing Trust Fund will help mitigate the impact of the short-term rental industry as the City begins to explore policy solutions addressing this issue. The TOT being allocated is from revenues the City receives over and above the $500,000/year allocated in the ’15-’17 budget, so it is not impacting other City priorities. As you read in EBHO’s report, The Impact of Short Term Rentals on Affordable Housing in Oakland, the City has an undisclosed contract with Airbnb to collect TOT.”
San Francisco: Fire Leads to Demolition, Evictions
“San Francisco guarantees rent-controlled tenants who are displaced by a fire the right to return to their units after repair at their previous rent, though few do. But with the demolition, that protection no longer applies: New buildings are not subject to rent control because of state law and are not bound by the right of return. No-fault evictions on the basis of demolition are also allowed under city law. “