6.53 90 DAY UPDATE –
EVICTION MORATORIUM
EXTENSION
City Council
May 15, 2023
Presented by: Housing Services Division
OVERVIEW
5/15/2023 EVICTION MORATORIUM EXTENSION 2
1. BACKGROUND
2. CITY RENTAL HOUSING INVENTORY
3. UNEMPLOYMENT DATA
4. IMPACTS ON HOUSING PROVIDERS
5. IMPACTS ON TENANTS
6. WRITTEN NOTICES SUBMITTED
7. MISCELLANEOUS INFO
8. RECOMMENDED POLICY OPTIONS
BACKGROUND
CITY MORATORIUM EXTENSION OUTREACH
3 o Notification of the Eviction Moratorium extension (translated into Spanish & Chinese) • Posted on City’s website, libraries, social media
• Emailed to 644 people/organizations (social services, public agencies, property owners, renters, etc.) • Mailed to housing providers with current City business license (~25% of all rental properties) o Created website with user-friendly info on City Housing website • Sample non-payment due to Covid-19 form
• Frequently Asked Questions (FAQ) translated into Chinese and Spanish
BACKGROUND
DATA SOURCES FOR TONIGHT’S PRESENTATION
4 • Housing provider industry organizations
• East Bay Rental Housing Association (EBRHA)
• Rental Housing Association of Southern Alameda County (RHA-SAC) • Bay East Realtors
• Multi-family housing providers (private & nonprofit)
• Centro Legal de la Raza
• City Housing Public Inquiries Log
• Alameda County Survey
• Published/established data (Census, County Assessors data, City business licenses, etc)
BACKGROUND
STATUS OF AREA EVICTION MORATORIUMS
CA State of Emergency ended 2/28/23
Active
• San Leandro:
o Applies only to nonpayment due to
COVID-19
o Updates to Council
every 90 days
o Expires Feb 28, 2024
Phasing Out
• Berkeley – 2 phases
• Oakland – “Sunset”
Ended
• Alameda County
ended 4/29/23
o County had broader
prohibitions on
evictions than SL
moratorium
5 STATUS OF AREA EVICTION MORATORIUMS:
OAKLAND “SUNSET”
• July 15, 2023 — End of Moratorium on evictions and charging late fees on past due rents. • Added protections to Just Cause Eviction Ordinance. Following actions are prohibited:
1) if the tenant owes an amount less than 1 month of HUD fair market rent for the unit, 2) for outstanding rent that accrued before July 15, 2023, if the tenant’s inability to pay was due to a financial hardship caused by COVID-19.
• July 1, 2024 — Rent increase moratorium ends. (Rent increase moratorium was a 3% cap with no pass throughs or banking.)
6 STATUS OF AREA EVICTION MORATORIUMS:
BERKELEY “TWO PHASES”
1. “Covered Period” until April 30, 2023 allows evictions for Health & Safety (H&S) reasons only.
2. “Transition Period” from May 1, 2023 to August 31, 2023 • Evictions allowed for H&S
• Owner move-In allowed
• Evictions for non-payment of rent except for reasons due to COVID-19 (notification and documentation are required)
• Added protection to Just Cause Eviction Ordinance:
• Evictions not allowed for past due rent that accrued between March 17, 2020 & May 1, 2023. 7 SAN LEANDRO RENTAL INVENTORY
TYPES OF HOUSING PROVIDERS
DEFINITION OF “MOM & POP”
• Owns eight (8) or fewer rental housing units
• Source: City of Oakland
• Used by East Bay Rental Housing Association
(EBRHA)
8 OTHER TYPES OF OWNERSHIP
• Limited Liability Corporation (LLC)
• For-Profit Company
• Non-profit Organization
(usually as the managing general partner)
• Partnership among individual investors
(Limited Partnership or LP)
• Investment Firm
• Family Trust
• Individuals
9 Multi-Family Housing
9+ Units
(6,480 Apts)
42%
Mobilehome Parks
(855 Spaces)
6% 2-8 unit Housing Units
(898 Apts)
6%
Non-Owner Occupied Homes
SFRs, Condos & Townhomes
(7,101 Units)
46%
Renter-Occupied Housing Units Under the City’s Eviction Moratorium 5/15/2023 10
*Note: Hesperian Apartments LLC owns 41 parcels each with a duplex but are counted as 5+ units since only one ownership entity.
Source: Alameda County Assessor Parcel Data & SL IT "GeoSL" Multi-Family Housing
9+ Units
(6,480 Apts)
23%
Mobilehome Parks
(855 Spaces)
3%
2-8 unit Housing Units
(898 Apts)
3%
Owner-Occupied
Homes
SFRs, Condos &
Townhomes
(12,738 Units)
46%
Non-Owner Occupied
Homes
SFRs, Condos &
Townhomes
(7,101 Units)
25%
SFRs, Condos &
Townhomes
71%
TOTAL HOUSING UNITS BY TYPE
(RENTER- & OWNER-OCCUPIED)
UNEMPLOYMENT DATA (FEBRUARY 2023)
11 IMPACTS ON HOUSING PROVIDERS
ALAMEDA COUNTY SURVEY
Survey Release Date: March 1 7, 2023
• As of April 25, 2023, Alameda County received 370 responses from Housing Providers • Online survey broadly distributed
• Data on # of housing units, total unpaid rent, partial payments made, rental assistance received, plans to pursue debt repayment, plans to evict, at-risk of foreclosure San Leandro Housing Provider Respondents: 33 (9% of total) • 58% respondents owned rental properties only in SL
• 42% respondents owned in multiple jurisdictions
IMPACTS ON HOUSING PROVIDERS
ALAMEDA COUNTY SURVEY
13 Of the 33 San Leandro Housing Providers Respondents:
• 58% owned rental properties only in SL (19 properties representing 2,233 homes) • 15% housing units currently owe back rent (336 homes) • Average: $14,305/unit in past due rent
• Majority of providers received ERAP payments
• Renters not eligible or who didn’t apply for ERAP owe a total of ~ $107k (~33 units from 3 properties)
• 42% respondents provided housing in multiple jurisdictions
IMPACTS ON HOUSING PROVIDERS
PRIVATELY OWNED RENTAL HOUSING
7/1/20XX Pitch deck title 14
Range
# Multi-Family Housing In SL: 7,384
Total in PastDue Rent
Owed
#Tenants with
Past-Due
Rents
Average Owed
/ Tenant High Low
Lakeside (affordable, but not City regulated) 830 $ 1,000,000 169 $ 5,917 $ 10,000 $ 1,250 Parkside 300 $ 600,000 45 $ 13,333 $ 76,250 $ 1,900
Emerald 375 $ 389,886 24 $ 16,245 $ 30,000 $ 2,000
Summerhill 102 $ 184,536 8 $ 23,067 $ 35,500 $ 8,740
Vasona 275 $ 575,000 48 $ 11,979 $ 20,000 n/a
Subtotal: 1,882 $ 2,749,422 294
% of total reporting: 25%
IMPACTS ON HOUSING PROVIDERS
CITY-REGULATED AFFORDABLE HOUSING
7/1/20XX Pitch deck title 15
Range
# Multi-Family Housing In SL: 7,384
Total in PastDue Rent
Owed
#Tenants with
Past-Due
Rents
Average
Owed /
Tenant
High Low
Broadmoor Plaza
132 $ - 0 $ - n/a n/a
Fargo Senior Center
Eden Housing (7 properties) 433 $ 200,000 41 $ 4,878 n/a n/a Bridge Housing (2 properties)* 200 $ 223,000 40 $ 5,575 $ 27,000 $ 5,000 Subtotal: 765 $ 423,000 81
# City-regulated Multi-Family Housing In SL: 857
% of total reporting: 89%
*incomplete data
IMPACTS ON HOUSING PROVIDERS
CASE STUDY: LAKESIDE APARTMENTS
• Lakeside is the largest apartment complex in the City (840 units) • Private owned, 100% affordable, received State/federal low-income housing tax credits • About half of the impacted tenants are paying rent on time • Lease violations are primarily due to past due rents. Most tenants causing other lease violations have moved
• Legal actions since the pandemic outside CA (and in cities that did not have an extended eviction moratorium) are moving very slowly and are not able to evict tenants as quickly as prior to the pandemic due to the homeless crisis.
16 IMPACTS ON TENANTS
DATA FROM CENTRO LEGAL DE LA RAZA
17 5/1/20 to 2/21/23 First 90 Day Period
after 2/21/23
Residents who Received Notices of Termination of Tenancy 77 7 Residents who Received Verbal Threats of Eviction 22 1
Residents who sought assistance for Unlawful Detainer 20 2
IMPACTS ON TENANTS
DATA FROM CENTRO LEGAL DE LA RAZA
18 • Note that percentages will add up to more than 100% because cases can have more than one threat of displacement.
Threat of displacement 2019 2020 2021 2022 Jan-Apr 2023 Impacted by covid-19 0 0% 12 31% 50 52% 19 19% 3 10%
Landlord harassment 7 16% 9 23% 37 38% 36 35% 4 14%
Notice of termination of tenancy 20 44% 11 28% 50 52% 29 28% 3 10% Rent increase 5 11% 5 13% 10 10% 41 40% 6 21%
Repairs necessary for health or safety 6 13% 13 33% 19 20% 17 17% 9 31% Unable to pay rent 0 0% 7 18% 10 10% 23 23% 7 24%
Unfair or illegal behavior by landlord 11 24% 9 23% 29 30% 29 28% 6 21% Unlawful Detainer 19 42% 9 23% 8 8% 9 9% 2 7%
IMPACTS ON TENANTS
CASE STUDY:
19 • Had become unemployed when the pandemic began
• Primarily dependent on their spouse for support
• Spouse died during the pandemic and tenant struggled with grief • Received ERAP through March 2022 but amassed past due rent in past 12 months • Only recently got a job
• Trying to pay his past due rent but is still ~5 months behind (~$6000 rent due) • Low wage earner but still paying extra $50-100 month
• Property owner had been applying rent paid to past due rents first instead of current rent first
CITY PUBLIC INQUIRIES
20 First 90 Day Period
(February 2023 to Present)
# Callers
Type of Caller
Tenant Housing Providers
Eviction Moratorium 29 13 26
Tenant/Landlord Information & Referral 22 12 10
Other Requests
(Ex: seeking affordable housing, rent review, code
enforcement, first time homebuyer, rental assistance,
mobilehome space rent stabilization, etc.)
48* 22 10
*Not all inquiries identified type of caller.
WRITTEN NOTICES SUBMITTED TO CITY - FIRST 90 DAYS
21 City has received 21 notices from tenants and
property owners/managers. Of those received: • 3 tenants (or 14%) are from “mom & pop” owners (SFR) • 18 tenants (or 86%) are from multi-family housing (>8 Housing Units) 9 (or 43%) of 21 tenants are paying partial rent.
14 (or 67%) of 21 listed COVID-19 Impact was from
loss of household or business income
STATE EVICTION MORATORIUM
PROVISIONS STILL IN EFFECT
7/1/20XX Pitch deck title 22
Rent Due Between March 1, 2020 - and August 31, 2020
• Rent from this period is a consumer debt under State law and cannot be the basis of an eviction.
Rent Due Between September 1, 2020 - and September 30, 2021 • If the tenant paid at least 25% of the amount due during this period by September 30, 2021, the remaining 75% is a consumer debt under State law and cannot be the basis of an eviction • If the tenant did not pay at least 25% of the amount due during this period, the outstanding rent is subject to the provision below.
Rent Due After October 1, 2021
• Tenants have 180 days from the end of the eviction moratorium to repay rent accumulated during this period. • If back rent is not repaid by the end of the 180 day period, the tenant may be evicted beginning on the 181st day. 23 EXISTING PROTECTIONS FOR RENTERS IF CITY EVICTION
MORATORIUM ENDS
Multi-Family Housing (9+
Units)
(4,637 Apts)
30%
Mobilehome Parks
(855 Spaces)
6%
2-8 unit Housing Units
(898 Apts)
6%
Multi-Family Housing (9+ units)
City-Regulated
(857 Apts)
6%
(Exempt from AB 1482)
Multi-Family Housing (9+ units)
State TCAC-Regulated
(986 Apts)
6%
(Exempt from AB 1482)
Non-Owner Occupied
Homes
SFRs, Condos &
Townhomes
(7,101 Units)
46%
Renter-Occupied Housing Units
with Renter Protections
No Renter Protections
Under Costa-Hawkins
Housing Act (1995)
Tenant Protections:
-AB 1482 (2019)
-City Renter Protection
Programs
CITY RENTER PROTECTION PROGRAMS/RESOURCES
• Tenant-landlord counseling and legal aid services
• Fair Housing Services
• Rent Review Board Program (for properties with > 2 rental units) • Tenant Relocation Assistance Ordinance (for properties with > 2 rental units) • Mobilehome Rental Stabilization Ordinance
24 RESOURCES FOR LANDLORDS
• East Bay Rental Housing Asssociation (https://www.ebrha.com) • Rental Housing Association of Southern Alameda County (https://www.rhasouthernala.com)
• BayEast Association of Realtors (https://bayeast.org) • California Apartment Association (https://caanet.org) 25 STAFF RECOMMENDED POLICY OPTIONS FOR CONSIDERATION:
1) Continue the extension and have City staff report back in 90 days (Sept 5, 2023)
o Issues to consider:
o Housing staff time over last 90 days: +300 hours
o Will be only remaining city in Alameda County with moratorium o 21 written notices of non-payment of rent due to COVID-19 received over last 90 days Or
2) End the extension by having staff return on June 5th with an ordinance o Issues to consider:
o Staff focuses on other Council priorities (Navigation Center & rent control/protections) o Tenants have 180 days after end date of eviction moratorium to repay past due rent (Jan 17, 2024) 26