Condo owners fuming

Andrew Edwards

A meeting meant to reassure residents who found out the condos they

bought are still technically apartments turned a bit ugly when the

owners found out they would have to pay for the conversions

themselves.

City officials presented a plan to residents Tuesday night that,

if approved by the City Council, would allow the owners of the

condos, allegedly converted from apartments without proper permits

and fees, to have their buildings legally classified as condos. The

city sent out letters inviting condo owners to the presentation.

The ordinance would streamline the conversion process for owners

of condos that were converted without a proper permit, Building and

Safety Director Ross Cranmer said.

If passed, the law would allow the city to approve conversions for

buildings that don’t meet the current standards and loosen up the

present demands that the buildings are in full compliance with city

building codes, Cranmer said.

But while the plan may streamline the process, it doesn’t solve

one major complaint.

“Why should we have to pay for something we already paid for?”

asked condo resident Terry Davis. “We’re being punished for somebody

else’s wrongdoing.”

Planning Director Howard Zelefsky said the cost to legally convert

a four-plex would be about $7,000.

To submit an application, residents would need to pay $3,994 to

file a tentative parcel map and another $3,502 for a conditional use

permit, Zelefsky said. Owners living in a coastal zone would also

need to file a $2,841 coastal development permit, he said.

Preparing these documents, according to a form passed out to

residents, could entail hiring engineers and architects. After a

conversion is approved, residents would have to pay fees of $1,073 to

the Planning Department and $1,744 to the Public Works Department,

Zelefsky said.

“We already paid a title company to do their job and now they’re

asking us to do it again,” said Rob Nelson, one of many angered

residents.

If residents do not go through the process of converting the

apartments, they could expect to run into serious trouble if they try

to refinance or sell their condos, he said.

“The larger title companies are reluctant to insure these

properties,” Zelefsky said.

Doing nothing would also mean that residents would technically be

breaking city regulations if they are maintaining an illegally

converted residence, City Atty. Jennifer McGrath said.

City officials said they believe 120 apartments may have been

illegally sold as condos since the city passed its conversion

ordinance in 1984.

The police have launched an investigation to determine if

apartments citywide, including one owned by Councilwoman Pam Julien

Houchen on Green Street, were done illegally.

Chief Ken Small declined to name any suspects or discuss specifics

of the case, but said he expected the investigation would eventually

lead to a decision by the District Attorney’s office on whether to

file criminal charges that could include fraud and grand theft.

“We’re not nearly at that point yet, but I think we’re on a course

that will take us that way eventually,” Small said.