Rental Housing - December 2016

Rental

Housing EAST BAY RENTAL HOUSING ASSOCIATION | DECEMBER 2016

Owner’s Guide to

NEW LAWS FOR 2017

PLUS: RENT & EVICTION CONTROL UPDATES IN THE EAST BAY NEW DUTIES AND RESPONSIBILITIES REGARDING BED BUGS IN RENTAL UNITS

Contents

East Bay Rental Housing Association

DECEMBER 2016

Volume XIII, Number 12 | December 2016 EBRHA OFFICE

3664 Grand Ave., Suite B, Oakland, CA 94610 tel 510.893.9873 | fax 510.893.2906 www.ebrha.com EBRHA STAFF EXECUTIVE DIRECTOR

Jill Broadhurst | jbroadhurst@ebrha.com DIRECTOR OF STRATEGIC PARTNERSHIPS

Tina Bocheff | tbocheff@ebrha.com PUBLICATIONS & COMMUNICATION PRODUCER

Esteban Cortez | ecortez@ebrha.com ACCOUNTING MANAGER

Cathy Hayden | chayden@ebrha.com MEMBERSHIP ASSISTANT

8

16

New Laws for 2017

Mastering the Art of Big Smiles and Sharp Teeth

BY RON KINGSTON

Monica Wong | mwong@ebrha.com MARKETING & EVENTS COORDINATOR

Angelisa Ross | aross@ebrha.com MEMBERSHIP & ADMINISTRATIVE ASSISTANT

Angelique Johnson | reception@ebrha.com EBRHA OFFICERS PRESIDENT Wayne C. Rowland VICE PRESIDENT Luke Blacklidge VICE PRESIDENT Jack Schwartz TREASURER Abbe Sultan SECRETARY Fred Morse

BY DOUG BRIEN

EBRHA DIRECTORS

Mark Almeida, Symon Chang, Reggie Hairston, Carmen Madden, Conor Murphy, Michael Pallas, Rick Philips, Sarah Picker, Judy Shaw

24

PUBLISHED BY

East Bay Rental Housing Association PUBLISHER

New Bed Bug Disclosure Requirements

Wayne C. Rowland MANAGING EDITOR Jill Broadhurst EDITOR Tina Bocheff ART DIRECTOR & COPY EDITOR Esteban Cortez

BY RON KINGSTON

ADVERTISING

Tina Bocheff | 510.318.8303

Features & Columns 6

NEWS

Results of November Rent & Eviction Control Ballot Measures in the East Bay

30 ESQ&A Terms of Tenancy

BY MATTHEW QUIRING

12 MARKET OUTLOOK Numbers Rising

BY GRANT CHAPPELL 28

GOVERNMENT AFFAIRS

Outlook Remains Mixed for the Apartment Industry

Events & Directory 32 COMMUNITY CALENDAR 34 M EMBER DIRECTORY 38 M EMBERSHIP INFORMATION 38 A D INDEX

BY GREG BROWN

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Rental Housing (ISSN 1930-2002-Periodicals Postage Paid at Oakland, California. POSTMASTER: Send address changes to RENTAL HOUSING, 3664 Grand Ave., Suite B, Oakland, CA 94610.

Rental Housing is published monthly for $36 per year by the East Bay Rental Housing Association (EBRHA), 360 22nd Street, Suite 240, Oakland, CA 94612.

Rental Housing is not responsible for the return or loss of submissions or artwork. The magazine does not consider unsolicited articles. The opinions expressed in any signed article in Rental Housing are those of the author and do not necessarily reflect the viewpoint of EBRHA or Rental Housing.

This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is sold with the understanding that the publisher is not engaged in rendering legal, accounting or other professional services. If legal service or other expert assistance is required, the services of a competent person should be sought. Acceptance of an advertisement by this magazine does not necessarily constitute any endorsement or recommendation by EBRHA, express or implied, of the advertiser or any goods or services offered.

Published monthly, Rental Housing is distributed to the entire membership of EBRHA. The contents of this magazine may not be reproduced without permission. Publisher disclaims any liability for published articles. Printed by Jostens Printing Co. Copyright © 2016 by EBRHA. All rights reserved.

You are invited to

EBRHA’S HOLIDAY CELEBRATION! WEDNESDAY, DECEMBER 7 5:00 P.M. - 8:00 P.M. $15 PER TICKET

EVE’S WATERFRONT 15 EMBARCADERO WEST, OAKLAND, CA, 94607

Join your fellow EBRHA members, board and staff at our annual end of year holiday party at Eve’s Waterfront, a stunning location with full ocean views.

We hope you’ll join us as we thank all of our members for their active participation and hard work throughout the year. Enjoy tasty food and refreshments, revel in the views of the water at Jack London Square, and celebrate the Association’s many accomplishments of 2016. We look forward to seeing you there!

PURCHASE TICKETS AT WWW.EBRHA.COM/HOLIDAY

THANK YOU TO OUR GENEROUS SPONSORS

contributors

TRASH & RECYCLING RATES GOING UP AGAIN!

MATTHEW QUIRING Matthew Quiring graduated from the University of California, Berkeley with a degree in psychology, and received his law degree from the University of California, Davis School of Law in 2008. Prior to joining Fried & Williams in 2014, Matthew was in private practice in Berkeley with over five years of experience resolving and litigating landlord-tenant disputes in Alameda County.

DOUG BRIEN Doug Brien is a former NFL placekicker turned real estate entrepreneur and public REIT CEO. After playing in the NFL for twelve years he co-founded Waypoint Homes, which ultimately became the second largest public single family REIT (Starwood Waypoint Homes) that owned and managed over 17,000 single family homes nationwide. Today, Doug is the Co-CEO and Co-Founder of Mynd (www.Mynd.co), which is focused on making property management more trustworthy, profitable and simple.

GRANT CHAPPELL Grant Chappell is the Vice President of NAI Northern California. Since 2005, Grant has focused on East Bay apartment opportunities for his clients. Grant also serves on the Board of CEI, the Center for Elders’ Independence, a local nonprofit providing PACE Care to seniors in Alameda County. In his free time, Grant enjoys skiing, golf, biking and traveling.

RON KINGSTON Ron Kingston is the EBRHA state lobbyist and president of the California Political Consulting Group. He has 30 years of lobbying experience and is one of the original writers of the state’s legislation against rent control, the CostaHawkins Act. He grew up in South Lake Tahoe and lives in Carmichael with his wife Sherrie, a financial planner. In his spare time, he cycles, skis and takes international scuba diving trips.

A year after hitting owners with trash and recycling fee increases of as much as 500%, the City of Oakland has agreed to ANOTHER hike that will PUNISH property owners even more!

For 1-4 Unit Buildings • Curbside and backyard compost collection — increasing more than 7% • Curbside recycling collection — new separate fee of $12.56 per cart • 2-4 units: Per-unit surcharge — increasing 19% • Single-family home curbside and backyard trash collection — increasing 8-10% • Contamination fees — $25-$50 per incident For 5+ Unit Buildings • Trash and compost rates — increasing more than 7% • Curbside recycling rates — increasing nearly 20% • Push/pull fees — increasing 5% • StopWaste Benchmark fee increasing • Contamination fees — $25-$50 per incident The City approved these increases, proving once again that they don’t care about the rights of property owners!

Before signing this unfair deal, city officials said that rate increases under the new contract would not exceed 40%. Instead, more than two-thirds of EBRHA members surveyed saw hikes of 40-100%, and a third saw increases of 101-525%!

In response, EBRHA filed a landmark lawsuit in June to expose the increases as an illegal tax. The lawsuit also calls into question the $25 million dollar annual franchise fee that the City collects. In order to win this case, the EBRHA Legal Fund must be well-supported, as it is common for cities to use legal tactics that prolong a case in order to deplete the plaintiff’s resources. We look to all EBRHA members for your support. Please donate to the legal action fund today.

Go to ebrha.com/legal-fund 4 RENTAL HOUSING

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ELECTRICIAN. TUTOR. SALSA DANCER. RENTER.

APARTMENTS. WE LIVE HERE. Everybody talks about how the population is

and skilled trades, as well as all the local businesses

changing. Baby Boomers downsizing. Echo Boomers

that attract the 35 million electricians, school teachers,

emerging.

veterinarians, textile designers, salsa dancers, data

Stay-at-home dads. Work-at-home jobs.

Couples with – or without – children.

It makes you realize how well apartment homes fit

into today’s communities.

After all, apartments and residents contribute

processors, and cello players who call apartments home.

For a fresh take on today’s housing market – state by state – and an interactive picture of how, with your help, we can develop 300,000 new

$1.1 trillion annually to the economy. That’s a ton of

apartments a year to meet this exciting demand, visit

jobs in construction, operations, leasing, management,

WeAreApartments.org.

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COLUMN

title newshere

the City Council submitted to voters a confirmation of this ordinance, which passed as Measure L1. EBRHA opposed both measures, but the less caustic measure passed. This measure is effective 10 days after the vote is declared by City Council. The tenant-supported rent control initiative, Measure M1, failed.

Results of November Rent & Eviction Control Ballot Measures in the East Bay RENT CONTROL AND OTHER HOUSING LAWS were on the ballot throughout the Bay Area in the cities of Oakland, Alameda, Richmond, San Mateo, Burlingame and Mountain View.

Below is a summary of the election results, as well as brief summaries of each measure. EBRHA will continue to send updates and offer workshops in the coming months. Stay tuned.

Measure JJ (Renter’s Upgrade Act) was approved with a majority vote. The following was passed under measure JJ: pre-petition required for all increases above the annual allowable increase (CPI, currently 2%); no pre-petitioning needed for banking; Just Cause will now include properties built before December 31, 1995 (currently set at 1980); more power is given to the Oakland Rent Board; and substantial rehabilitation has stricter requirements. This measure is effective February 1, 2017.

CITY OF OAKLAND:

Measure L1, the city-supported rent ordinance, was approved with a majority vote. In March 2016 the City Council adopted the Rent Review, Rent Stabilization and Limitations on Evictions Ordinance, to stabilize rents and limit the grounds for terminating tenancies. In August,

ALAMEDA:

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Richmond: Measure L, which establishes rent control in Richmond, was approved with a majority vote. This measure will set a maximum allowable rent charged and a maximum allowable annual rent increase on rent controlled residential units in the City of Richmond, except for certain exempt units, such as units covered under the Costa-Hawkins Rental Housing Act and some small second dwelling units. The measure will also prohibit rental property owners from terminating tenancies for reasons that are not specifically listed in the ordinance. Certain temporary rentals, and rental of certain rooms, as further described in the ordinance, will also be exempt from requirements of the ordinance. In addition, a Rent Board is to be established by Richmond City Council.

This measure is effective 10 days after the vote is declared by City Council.

Oakland’s Infrastructure Bond (Measure KK) Approved by Voters Oakland’s Measure KK received the

necessary two-thirds vote to pass in the November election. Measure KK is an infrastructure bond that will last 30 years and tax residents $70 per every $100,000 of assessed property value. This increase includes commercial, multi-unit and single-family dwellings and cannot be passed through to renters. For an average property value of $900,000, that means another $630 per year for 30 years. The City can pay staff salaries with this money. Bond proceeds can be given as loans or grants to nonprofits, corporations, and other government agencies.

What is not spent in 10 years can be real-

located with a simple council resolution.

EBRHA was against the measure, citing the escalating fees placed on property owners and the cost of living increases that will hit tenants once the measure goes into effect. This measure goes into effect next tax bill in 2017.

The nation’s #1 multifamily lender is lending in your backyard.

Reminder: Important Oakland Rent Ordinance Changes Effective February 1, 2017 Separate from the changes associated with Measure JJ, Oakland

City Council had passed changes to the Oakland Rent ordinance affecting capital improvements, owner-occupied building exemptions, rent increase petitions and more at the September 20 city council meeting. The changes—which go into effect February 1, 2017—are as follows: Capital improvements will no longer be based on 5 years, but rather “useful life.” Additionally, imputed financing costs will be allowed in a schedule, to be determined by the Rent Board. All other restrictions remain in place; Owneroccupied Exemptions: The waiting period for exemption from rent control for 2-3 unit owner-occupied buildings has been extended from 1 year to 2 years; Rent Increase Petitions: Renters will have 90/120 days, rather than 60 days, to contest rent increases depending on if a RAP notice has been served or not (renter has 120 days if RAP notice was not served); Rent Board Translation Services: Language translation services will be provided by the Rent Board to all persons who request it. EBRHA was against most of these proposed changes, as they are another blow to property owners in Oakland and will be detrimental to small property owners. EBRHA does not believe the changes are over. Other punitive policies being discussed are owner move-in and code-enforcement relocation costs, as well as a proactive inspection program. To download the ordinance, go to www.ebrha.com/city-of-oakland. RH

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property management tips

Mastering the Art of Big Smiles and Sharp Teeth How good service and a friendly smile go a long way in property management. BY DOUG BRIEN

“

It’s not what you said, it’s how you said it.” You’ve probably heard this before–softly muttered by an old ex, mid-argument. How’d you respond?

Probably with a dismissive eye roll? It might not have meant as much at the time, but there’s actually an incredibly valuable opportunity to explore behind that seemingly generic expression.

Whether it be for personal or professional purposes, relationship building relies heavily on communication. How you say things and how you manage certain situations can have more of an impact than what you actually say or do. When you’re conscious about your communication style and how it could be received, you have a better understanding of the effect it might have on 8 RENTAL HOUSING

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expect when working with any kind of professional service, and being a property manager is no different.

I’ve worked with a lot of different property managers throughout my career, and have had countless interactions with ones who really don’t understand the art of big smiles and sharp teeth. That is, they don’t know when to prioritize exceptional customer service and be as flexible as they can, and when to stand firm on certain issues, but do so with grace. More often than not, this results in mismanaged, unhappy residents and a potential loss in profit.

So, as a property manager, how do you strike the right balance between nurturing a positive relationship with residents and making sure your properties are still profitable?

A Smile is the Universal Welcome Property management is a people business, and it takes individuals with great people skills and stellar management skills to get the best performance. If being a people person was never your thing, that doesn’t mean you can’t get there. It’s a skill you can develop over time, and there are tactical exercises you can practice to get you there faster.

First of all, greet your residents by name and avoid robotic responses. I can’t stress enough how important it is to establish a real human connection. If empathy flows bidirectionally, residents may be more thoughtful about how they approach you when requesting repairs or maintenance procedures. In the same whomever you’re communicating with. vein, there’s more transparency behind Let’s flip the roles for a second. Let’s these kinds of requests if you attach a say you’re in the market to hire a proreal person to the name you see on leasfessional service. What are some of the ing paperwork. You’ll know that Nancy characteristics you look for? There are or John feel heard and the more obvious traits “As a property respected if you know that need to be checked manager, you can’t them by name, and that off like trustworthiness, operate like a hotel hopefully, these requests professionalism, qualconcierge desk. are warranted. ity of work, and positive Although maintainWhen dealing with reviews. But what kinds ing a positive rapseveral residents for of qualities do you look multiple properties, for in the people you’ll be port with residents is essential, saybeing a people person doing business with? You ing “yes” to every can be a difficult role want them to be reliable, inquiry or repeatto play. Still, it’s imporapproachable, honedly eating costs to tant to make yourself est, diplomatic. There’s repair damages can available, whether it be also a certain caliber of be detrimental. customer service you

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PHOTO: JENS BERGANDER, CC BY 2.0

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RENTAL HOUSING 9

in person or online. Really listen to what residents have to say and ask questions.

The tone in which you communicate can have a tremendous impact on how the relationship is shaped between you and your residents.

Lastly, as cheesy as it might sound, a genuine smile and compassion goes a long way in this business. A smile can positively influence any social or professional situation. Besides, life is short.

Smile while you still have teeth.

Sharp Teeth for Sharper Managing It’s a misconception that in order to score 5-star customer service ratings, you need to concede to every residents’ request.

There are certain scenarios that require sharp teeth, like when you need to collect rent or when residents cause damage to property and action needs to be taken.

Dealing with these scenarios, though, don’t require an iron fist. Managing properties and responding to resident requests can always be executed with poise.

As a property manager, you can’t operate like a hotel concierge desk.

Although maintaining a positive rapport with residents is essential, saying “yes” to every inquiry or repeatedly eating costs to repair damages can be detrimental. Be clear about what residents are responsible and accountable for and hold them to it. A good tactic is to politely but firmly remind them of their lease obligations, since it’s essentially the document that governs the business relationship. Also, saying “no” to one thing doesn’t mean you can’t say “yes” to something else and find a holistic solution that works for both sides. In my years around property management, I have seen managers that are masterful at the art of enforcing obligations yet still provide great customer service.

Finally, sometimes property managers make mistakes, too. It’s important to have some humility and communicate any shortcomings or mishaps appropriately. Building a harmonious relationship with your residents and reciprocating the respect they show you can yield longterm benefits.

How Technology Helps You Connect More Deeply Implementing technology to help manage 10 RENTAL HOUSING

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your properties can save you countless hours and a ton of effort. Managing several properties and dealing with scores of individual residents can be a challenge to maintain. What kinds of systems do you have in place to manage resident information, communications, and all maintenance and repair procedures?

Tracking data is everything. If you have a paper trail of all interactions, you can uphold better customer service as well.

Records also provide concrete proof if a resident happens to mischaracterize a conversation. If a resident files a claim against you to a rent board, you can offer documentation of conversations and paper trails to protect yourself.

With technology, you can be more consistent with the relationships you build and scale that effort. You’ll know exactly what’s going on because all the information you need is available on a dashboard. Having access to data and audit trails also allows you to identify trends among residents and properties

better, which also provides more insight into how your properties are performing.

At the end of the day, property management is a people service. You’re working with residents who want to live comfortably, and your job is to be as accommodating as possible without breaking your own back, or bank. At the same time, this is a business, and you’re not necessarily here to make friends.

Mastering the art of big smiles and sharp teeth is not as tricky as it seems. Being more conscious with your responses and demeanor, and committing yourself to develop better interpersonal relationships with residents will, in turn, allow you to enjoy the fruits of your labor. RH

Doug Brien is a former NFL placekicker turned real estate entrepreneur and public REIT CEO. Today, Doug is the Co-CEO and Co-Founder of Mynd (www.Mynd.co), which is focused on making property management more trustworthy, profitable and simple. He can be reached at doug@mynd.co or 925-984-1180.

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market outlook prices we see in the marketplace, I don’t believe the new taxes will have as big an impact.

Strength in the Rental Market The silver lining regarding fee increases is the continued strength in the rental market. In Zumper’s November rent report, Oakland slipped back to fifth place, behind San Jose for the most expensive rental market. While rents on one-bedroom apartments are still up approxiValues remain high in the East Bay, despite new mately 1.9% year over year at $2,200 per month in Oakland, they are down a and stricter rent control coming in. BY GRANT CHAPPELL staggering 7.9% to $3,380 per month in San Francisco.

Inventory remains an issue, whether from a renter or home owner standpoint.

We live in one of the most unaffordable areas in the county and world. If we cannot find ways to bring housing to the Bay Area, the next tech boom may not be here. States and countries with lower cost of living and tax rates could lure companies and jobs to their soil. We can’t take anything for granted as cities debate housing proposals while NIMBY sentiments delay projects from getting built.

While we do not have any cranes in the skyline, there are a number of projects that have broken ground in Oakland and Berkeley and other surrounding East Furthermore, Berkeley’s U1 ordinance ver the last 10 years of writing Bay cities. As I drive through Broadway passed, increasing the business tax for Rental Housing, I’ve used and Telegraph Avenues on my way to data analysis as the centerpiece by nearly three times to 2.88% from work, I notice all the new projects that 1.08%. of this column. In addition to tracking have broken ground and are expected to With the Dow futures down hunsales data and trends, I also get to talk be completed in the next couple years. dreds of points on election night, I to people: brokers, property owners In the meantime, rents are still high and thought this election may serve as and managers, contractors, attorneys, vacancies rent fairly quickly. a catalyst for decline in the overall renters, first-time buyers, architects, My colleague Shivu Srinivasan says, economy. That didn’t happen and the developers, etc. It’s a lesson many in the “Oakland and the greater East Bay marDow flirted with new highs over the national media need to take to heart ket has experienced a significant increase next couple days. after this election. Reaching out to in demand during this cycle. Capital The days following the election people has always been part of my job, sources range from San Francisco and brought mixed emotion to the entire but it’s critical in what we attempt to Silicon Valley investors, to overseas and country. Locally, most owners I talked portray about the state of the market. institutional players as well.

Given the to are shocked about the increase in historically low yield environment, proptaxes and regulations. The Oakland Election Results erty values are likely to and Berkeley ordinances Rent control was on the ballot in many stabilize over the coming passed overwhelmingly.

“Despite the Bay Area cities, in addition to tweaks to years as investors will In 2015, the new contract turbulent election rent control (Oakland Measure JJ and demand higher returns with Waste Management year, Oakland, Berkeley Measure AA). While the less and the Fed eases out of was difficult for many Berkeley and restrictive measure passed in Alameda, cheap money policies. owners to absorb, but Alameda posted Richmond approved rent control and Never the less, the East NAI’s data shows that impressive and Oakland overwhelmingly passed meaBay continues to be one sales volume and values record-setting sure JJ. Palo Alto and Mountain View of the most robust marcontinued to skyrocket. figures on sales passed ordinances, while Burlingame kets in all of California, Given the record-setting data.” and San Mateo rejected rent control.

Numbers Rising

O

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as immense values still remain untapped.”

With such a broad base of investors seeking to buy here and a trickle of new construction, it’s no wonder we continue to see sky high values.

2 - 4 Units This segment continues to astonish me.

Oakland and Berkeley again achieved record-setting numbers on average price per sale. With 97 sales at an average of $718,500, Oakland shattered last quarter’s numbers of $685,250 per sale. Similarly, Berkeley recorded 17 transactions at an average price of $1.226 million, beating out the previous two quarter’s records at $1.173 million and $1.178 million per sale. Alameda also posted a strong quarter with 12 sales at an average of $1.07 million, just short of the $1.17 million quarter set in Q4 2015.

Historically, we’d look for an anomaly that skewed the data and pushed prices higher. Lately, these types of prices are the norm. FHA and Fannie Mae offer great loan products for an owner-occupant to purchase and live in one unit. Given the appreciation in prices for single-family homes, a multi-unit building is a great first purchase for many buyers.

5+ Units Despite the turbulent election year, Oakland, Berkeley and Alameda posted impressive and record-setting figures on sales data. I acknowledge that for years, interest rates have been at all time low.

It’s safe to say we’re numb to “all-time lows” on interest rates. However, the market is hitting all-time highs.

At $244 per square foot and $196,700 per unit, Oakland hit or tied another alltime high on those metrics. With $92.3 million in gross sales at a $2.8 million average sales price, this quarter ranks in the top three in terms of volume and average price per transaction over the last five years. A couple of transactions have sold three times in less than four years, each time at gains well above $2-4 million dollars.

Berkeley posted another exceptional quarter with $22 million in volume at an average price of $2.067 million. At $383 per square foot and $272,000 per unit, it broke records set in the first and second quarter of this year. Similar

to the 2-4 unit market, the high values and strong volume continue at a solid pace throughout the year. Those types of metrics almost feel like the cost of new construction.

Alameda recorded three sales for $4.53 million in volume and an average of $1.511 million. At $342 per square foot and $245,000 per unit, the city came close or exceeded records set in previous quarters this year. With two versions of rent control looming on the ballot, it

seems buyers were a little more cautious about jumping into the unknown, even though values remain high.

Summary In summary, values remain high, given the long term attraction for investment real estate. Locking in low rates for the next 5 - 10 years on property with more upside potential is attractive to many investors. While the rental market has softened in San Francisco, it’s still one of

transactions (2-4 units)

average sales price (2-4 units)

Source: NAI Northern California

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total volume (5+ units)

the most expensive and property values remain high on that side of the Bay. We see a lot of buyers from San Francisco looking at Oakland to park some money, as San Francisco is too expensive.

With the election behind us and the Federal Reserve meeting in December, we may start to see an uptick in interest rates. And while some softening in the tech market is evident, it has yet to translate into lower rents in the East Bay. This market will likely flutter along for another year or two before we see any major shift on values and volume, in spite of higher taxes and more rent regulations.

RH

price per sq. foot (5+ units)

Grant Chappell is the Senior Vice President of NAI Northern California. After graduating from California Polytechnic State University in San Luis Obispo in 2003 with a degree in Business Administration and a minor in Spanish, Grant has worked exclusively in Real Estate. He can be reached at grant@nainorcal.com or 510-3364721.

ENOUGH IS ENOUGH! price per unit (5+ units)

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GO TO EBRHA.COM/LEGAL-FUND TO LEARN MORE Source: NAI Northern California 14 RENTAL HOUSING

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FEATURE

New Laws for 2017 Rental property owners and managers guide to California’s new laws effective 2017. BY RON KINGSTON

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alifornia is notorious for enacting more new laws every year than any other state. Every year, the California legislature introduces hundreds of bills that are discussed, voted on, and then signed into law. Many of these bills directly impact the rental housing industry. With all the changes in law from year to year, it is sometimes hard to keep up. That is why our lobbying team created this end-of-theyear guide, to keep our members apprised of the ever-changing laws and regulations impacting our industry.

This year, our lobbying team, the California Political Consulting Group (CalPCG), identified and tracked over 156-rental property related legislative bills out of 2772 total bills that were introduced in the California Legislature. Among the tracked bills, only about 43 were considered “top priority” bills—those that have the potential to immediately impact rental housing providers or the residential rental property industry in some significant way.

Of the top priority bills, only one with potentially negative consequences for the rental housing industry was signed into law: Assembly Member Chiu’s AB 2819, which hides unlawful detainer filings from public view. All other significantly harmful rental housing bills failed passage, including AB 2502, which would have adopted price controls on rental housing. Overall, despite another year of legislative attacks on the rights of rental property owners, our lobbying team successfully helped to defeat the worst bills, while obtaining substantial amendments on all other bills of importance.

The bills described in this Rental Property Owner and Mangers Guide are rental housing related bills that were signed into law in 2016. Some of the bills we supported, some we remained neutral, and some we opposed initially but moved to a neutral position after the author took significant amendments.

Note: Unless otherwise noted, all bills discussed herein become effective on January 1, 2017.

AB 551 (Nazarian): Bed Bugs

The bill establishes new rules for addressing rental housing bed bug problems. Originally, the bill contained a host of unreasonable regulations on property owners, including a requirement to inform tenants of bed bug problems, regardless of how long ago the problem occurred. It proscribed unreasonable timelines for eradicating bed bugs. It also made owners liable for bed bug infestations that were caused by tenants. After much negotiation and advocacy by our lobbying team, the author made significant amendments.

The law will require new leases and month-to-month rental agreements to include specific notice regarding bed bug identification, behavior, and biology and it will stress the importance of cooperation for prevention and treatment on and after July 1, 2017. All current tenants must receive the same disclosure notice by January 1, 2018. Our rental and lease agreements will be amended to include the disclosure requirement. A new bed

bug addendum form will be added to the library of forms.

The new law also prohibits an owner from showing, renting or leasing any vacant dwelling unit that the owner knows has a current bed bug infestation, and prohibits owners from retaliating against a tenant for reporting a suspected bed bug infestation. The law does not impose a duty of an owner to inspect a dwelling unit or the common areas for bed bugs if the owner does not have notice of a suspected or actual infestation. After a unit has been inspected by a pest control operator (PCO), owners must notify the tenant of the unit of the PCO’s findings. The notification must be in writing and made within two business days of receipt of the PCO’s findings.

All tenants must be notified when a bed bug infestation is found in a common area. Finally, tenants must cooperate with the inspection to detect and treat for bed bugs.

AB 1750 (Dodd): Environmental Hazard Disclosures

The new law encourages, but does not require rental property owners and managers to provide their tenants with a booklet about common property-related environmental hazards. The booklet, entitled “Residential Environmental Hazards: A Guide for Homeowners, Homebuyers, Landlords and Tenants,” was created by the state, and provides useful information on common environmental hazards like asbestos, radon gas, leadbased paint, formaldehyde, fuel and chemical storage tanks, and water and soil contamination. The booklet, which has been used in single-family home real estate sales transactions for more than two decades, contains important information about common environmental hazards. Should owners and managers decide to deliver the environmental hazards booklet, the potential to provide misleading, inaccurate or wrong descriptions, definitions, or guidance about those hazards will be minimized. Additionally, owners and managers should be aware that the content of issues addressed in the booklet is deemed sufficient and no additional information is required to be disclosed. It should be noted, however, that providing the booklet does not relieve an owner or manager of his or her duty to notify tenants of any known harmful hazard on the property and does not permit the owner and manager to rent an uninhabitable dwelling. The booklet will be available through the Association or at the following website: https:// www.cdph.ca.gov/HealthInfo/environhealth/Documents/ Radon/2011HazardGuide.pdf

AB 1928 (Campos): Landscape Irrigation Equipment

Under the bill, new landscape irrigation equipment standards will go into effect by January 1, 2019. The new standards involve new manufacturing labeling requirements, and ensuring that new irrigation equipment that is sold after the effective date established by the California Energy Commission (CEC) ebrha.com

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“Of the top priority bills, only one with potentially negative consequences for the rental housing industry was signed into law: AB 2819, which hides unlawful detainer filings from public view.” is water efficient. The bill ultimately establishes efficiency standards to help the consumers conserve water. To date, the CEC has not adopted regulations on landscape irrigation performance standards or labeling requirements because money has not been made available. The 2016-17 state budget contains $30 million for the CEC to implement the Water Energy Technology Program, which will provide funding for the development of innovative water saving technologies.

AB 1934 (Santiago) Development Bonus

The bill establishes a “bonus” for commercial developers that partner with an affordable housing developer to construct affordable housing projects. Bonuses include density bonuses and regulation waivers and variances. Should a commercial developer partner with a housing developer through a joint project or two separate projects that have affordable housing, the local governments must grant the developer a development bonus. A development bonus could include: a 20% increase in maximum allowable intensity; a 20% increase in maximum allowable floor area ratio; up to a 20% increase in maximum height requirements or parking requirements or an exception to a zoning ordinance or other land use regulation.

AB 2093 (Steinorth): Certified Access Specialist (CASp) Inspections CASp inspectors are licensed professionals who inspect properties to ensure that properties are in compliance with disability access laws. A CASp inspection can help minimize a property owner’s exposure to disability access liability. The bill requires commercial property owners or lessors to state on every commercial lease form or rental agreement executed on or after January 1, 2017, whether or not a CASp specialist has inspected the premises. Commercial property includes mixedused developments that contain residential rental units. While CASp inspections are not currently mandatory for residential or commercial property, they may be soon. This bill represents the State’s continued effort toward ensuring CASp inspections become the norm.

AB 2228 (Cooley): Code Enforcement Certifications

Requires the Board of Directors of the California Association of Code Enforcement Officers (CACEO) to develop and maintain 18 RENTAL HOUSING

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standards to become a Certified Code Enforcement Officers (CACEO). Standards include minimum training, qualifications, and experience requirements to become certified.

These CCEOs will have enforcement authority for health, safety, and welfare requirements, whose duties will include enforcement of a statute, rule, regulation, or standard, and who will be authorized to issue citations or file formal complaints. CCEOs are a new class of code enforcement officers, with heightened powers, but also with more training and oversight.

AB 2299 (Bloom) & SB 1069 (Wickowski): Accessory Dwelling Units (ADU)

An ADU, previously known as “in-law” units or “granny flats,” are additional living spaces on single-family lots that have a separate kitchen, bathroom, and exterior access independent of the primary residence. These bills require local governments to permit property owners to build ADUs in single-family and multifamily residential zones, so long as the ADU meets specific standards defined in the bill. Those standards include, but are not limited to, parking, height, setback, lot coverage, landscape, architectural review, and maximum size of a unit. As long as the standards are met, local cities and counties are required to approve the ADU. Property owners, who are interested in adding an ADU to their property, consult an attorney.

AB 2362 (Chu): Notice of Pesticide Use in Common Interest Developments

Requires a homeowner association in a common interest development to provide owners or tenants with advance written notice whenever over the counter pesticides are applied to the affected separate interest(s) (dwelling(s)) or to the common area without a licensed pest control operator. That notice must specify: the pest or pest to be controlled, name and brand or the pesticide product proposed to be used, the approximate date, time and frequency with which the pesticide will be applied and a statement regarding the toxicity of pesticides.

The association or agent is to provide the notice at least 48 hours prior to the application if the pesticide is to be applied to the separate interest however it the pest poses an immediate threat to health and safety, thereby making compliance with the notification unreasonable the association or agent shall post the notice as soon as practicable but not later than one hour after the pesticide is applied.

If the case of the pesticide being applied to the common area, the bill requires an association or its agent to post the notice in a conspicuous place in or around the common area in which the pesticide is to be applied. The content of the notice is very specific and is stated in the new state law. The new law does authorize the association or agent to agree orally to an immediate pesticide application if the tenant requests and the association or agent agrees the pesticide be applied before the 48 hour notice.

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In situations where the rental is in a CID, lease agreements should specify how and who is to provide the tenant notice.

Additionally, the owner should notify the homeowner association or association manager who should be notified if a pesticide is to be used.

AB 2406 (Thurmond): Junior Accessory Dwelling Units

The bill permits local governments to establish laws for the creation of “junior accessory dwelling units” (JADU) in singlefamily residential zones. A JADU is a unit that is no more than 500 square feet in size contained entirely within an existing single-family structure. A JADU may include separate sanitation facilities, or may share sanitation facilities with the existing structure.

A JADU may include a separate entrance, and sound attenuation. Efficiency kitchens are required, where the kitchen must include a sink, cooking facility with appliances, food preparation counter, and prohibits a local government ordinance from requiring additional parking as a condition of granting a permit.

AB 2442 (Holden): Density Bonus for Constructing Housing For Certain Groups

Requires local governments to grant a density bonus when a housing developer agrees to construct housing for transitional foster youth, disabled veterans, or homeless persons.

AB 2476 (Daly): Notice of Parcel Tax to Non-Resident Property Owners The new law requires local agencies, including cities, counties, special districts and school districts, to provide a specified notice of a new parcel tax to non-resident owners within 30 days following a legislative body’s vote to place the proposed tax on the ballot.

AB 2501 (Bloom): Density Bonus Application Time

Requires local government to adopt procedures and timelines to streamline the density bonus process. The new procedures include providing a list of all documents and information required to be submitted with the density bonus application, and notifying the applicant for a density bonus whether the application is complete. The bill also prohibits a local government from conditioning the submission, review, or approval of an application on the preparation of an additional report or study that is not otherwise described.

AB 2515 (Weber): Water Efficient Landscaping

The bill ensures that regulations regarding water efficient landscaping are current and updated every three years. Specifically, it requires the Department of Water Resources to update the model water-efficient landscaping ordinance every three years, or make a finding that an update to the model ordinance is not a useful or effective means to improve landscape water use effi20 RENTAL HOUSING

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ciency. This could have a profound impact on property owners who repair, remodel or improve exterior landscaping.

AB 2819 (Chiu): Hiding Unlawful Detainer Records from Public View

Previously, unlawful detainers (UD) court filings were masked, or hidden from public view for 60 days following the initial court filing, and then were automatically unmasked and made public on credit reports unless the defendant prevails within the 60 day period. Under the new law, all UD filings will be permanently masked unless the rental property owner prevails at trial or a default judgment is obtained, because few UDs go to trial, and property owners rarely go back to court to obtain a default judgment, most UD filing records will remain hidden from public view. The permanent masking of this information will hinder rental property owners’ ability to assess a prospective tenants history of making or not making timely rent payments. Without an accurate record of UD filings, owners will have to consider new ways to assess the creditworthiness of an applicant’s rental payment history, including asking for bank statements and returned checks. Owners may also want to consider as an industry whether to adopt new reporting processes, in which owners report to the credit bureaus every time a tenant is late paying his or her rent. Individualized reporting would help fill a void created by this new masking law. A Q&A will be written on the new law and will be available within the next 30 days.

AB 2820 (Chiu): Price Gouging

The bill revises the definition of state of emergency and local emergencies for the purpose of criminal price gouging—increasing prices, including residential rental rates and towing services by more than 10 percent. The bill initially defined a “state of emergency” in such broad terms it could have included housing shortages and economic recessions resulting from policy decisions and regulation. Our amendments sharply limited the ability of a local government to declare a state of emergency and restrict rental increases. If that version of the bill passed, the State could have declared our recent recession as a state of emergency, and placed strict rent control on all residential rentals statewide. San Francisco would have been able to declare an emergency because of its housing shortage. State of emergency is not restricted and only applies to mean a natural or manmade emergency resulting from an earthquake, flood, fire, riot, storm, drought plant or animal infestation or disease, or other natural or manmade disaster. Our lobbyists worked with the author to amend the bill to ensure that “emergencies” for the purpose of rent freezing, relates to natural and manmade disasters like earthquakes, floods, fires, riots, storms, droughts, and plant or animal infestation or disease.

AB 2873 (Thurmond): All Building Inspectors to Become CASp Inspectors by 2020 Under the bill, starting January 1, 2020, all city and county building inspectors employed or retained by a local agency who conduct permitting and plan check services to review for com-

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pliance with state construction-related accessibility standards by a place of public accommodation with respect to new construction or renovation, including, but not limited to, projects relating to tenant improvements that may impact access, must be by certified access specialists. Requiring all city building inspectors to become CASp inspectors will help make the inspection and permitting process more efficient. Because all buildings need to be disability access compliant, it makes sense that buildings inspectors be trained to ensure that the buildings they inspect are access compliant. To pay for the new mandate, the bill increases the fee from January 1, 2017 through December 31, 2019 for an application for a local business license from $1 to $4, however, in no case will the fee be less than $1 per business license on an indefinite basis.

SB 7 (Wolk): Submetering and Residential Utility Billing Service Requirements

On January 1, 2018, water submeters are to be installed in new multifamily construction or mixed used commercial properties.

In addition, tenants that are to be billed for actual water use through submeters are to receive a specified notice at point of rent concerning the billing and are to receive notice about water usage on each water bill. Owners will be permitted to charge up to $4.75 per bill for administrative processing. Repair and replacement of water related drips and leaks are to be completed within 21 days. Remedies for non-payment are restricted.

Billing for excessive water use is defined. Deductions from a tenant’s security deposit will be permitted if the tenant fails to pay his or her water bill. Grace periods to pay water bills are defined. Limitations on late payment fees are specified. The bill only applies to owners that have submeters.

SB 269 (Roth): Technical Violations of Disability Access Laws

The bill allows qualifying small businesses to avoid liability for minor “technical violations” of disability access laws if they correct the violations within 15 days. “Technical violations” include certain interior signs (other than directional signs or signs that identify the location of accessible “elements, facilities, or features”), lack of certain exterior signs (other than parking signs and directional signs that indicate accessible pathways or entrance and exit doors), and the order in which parking signs are placed, the color of parking signs, the color of parking lot striping, faded or damaged paint on otherwise compliant parking spaces, and others. The new law states that the above presumption of limited immunity affects the plaintiff’s burden or proof and is rebuttable by a preponderance of the evidence showing that the plaintiff did experience difficulty, discomfort, or embarrassment of the particular occasion as a result of one or more of the technical violations. The bill also protects certain businesses in certain conditions from paying minimum statutory damages for construction-related accessibility claims made during the 120-day period after a CASp has inspected the business.

SB 814 (Hill): Water Conservation

The bill prohibits excessive water use during periods of drought 22 RENTAL HOUSING

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emergencies by metered residential customers in single family homes and multi-family properties where each unit is individually metered or submetered “by the urban retail water supplier.”

Our amendments assure that penalties will not apply to multifamily properties where each unit is not separately metered or where each unit is submetered and the owner bills water to the tenant. It also requires water suppliers to implement ways to discourage excessive water use, including rate hikes, block tiers, water budgets, and rate surcharges.

Significant Proposed State Regulations

Although no new housing regulations were adopted in 2016, there are some significant housing regulations that are being proposed.

Support Animals: The State’s housing agency, Department of Fair Employment and Housing (DFEH), is proposing broad new regulations requiring rental property owners to allow tenants to have “emotional support animals” (ESA) of all breeds and types to live with them in their units. An ESA is an animal that provides emotional support to persons with disabilities who have a disability-related need for such support. Although federal regulations already proscribe rules requiring owners to make reasonable accommodations to allow tenants to have ESAs living with them, DFEH’s proposal is concerning because of how broad the right to have an ESA is under the proposal, and the limited to nonexistent authority owners have to deny a support animal request when the animal poses a threat to health and safety of other tenants, and to the property. Our lobbying team has been involved with the ongoing discussions on the state level, and will keep the association updated on its progress.

Occupancy Limits: DFEH is also proposing new occupancy limits and standards. Occupancy limits the maximum number of tenants per unit an owner can establish. Currently, the occupancy limits are based on what is “reasonable.” Unofficially, reasonable occupancy limits in California is two persons per bedroom plus one additional tenant. The proposed new occupancy standards, however, would require owners to allow up to 15 people in a three-bedroom apartment. Apartments and neighborhoods are simply not built to withstand the impact of allowing 15 people per apartment unit. Our lobbyists have and will continue to be involved at the state level to find reasonable solution to address the State’s occupancy concerns.

Criminal Background Screening: New regulations are being adopted with respect to employment criminal background screening procedures and rules. The rules include delaying background checks at least until after the first level of screening has been completed. Although no current regulations are proposed with respect to screening tenants for residential units, we are likely to see movement in that area in the next few years. RH

The information provided herein is intended to provide general guidance and awareness on recently passed state laws and regulations and shall not be construed in any way as a substitute for individual legal advice. Those that require specific advice should consult an attorney. Ron Kingston is the EBRHA state lobbyist and president of the California Political Consulting Group. He can be reached at 916-447-7229 or ron@calpcg.com.

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FEATURE

24 RENTAL HOUSING | DECEMBER 2016 | ebrha.com PHOTO: U.S. DEPARTMENT OF AGRICULTURE, CC BY 2.0

New Bed Bug Disclosure Requirements New duties and responsibilities regarding bed bugs in rental units. BY RON KINGSTON

N

o one wants bed bugs in their properties, but for some rental property owners and tenants they are a fact of life. Because owners are under a duty to ensure their properties are safe and habitable, they are required to address bed bug problems when they arise.

Recently enacted bed bug laws now require California rental property owners and managers (hereafter referred to as just “owners” or “property owners”) to take on additional duties and responsibilities. The new laws, which go into effect in 2017 and 2018, require owners to make new bed bug disclosures, while prohibiting owners from retaliating and renting units known to be infested with bed bugs. Tenants, under the new law, must cooperate with inspections and treatment of bed bugs.

This article will help owners understand the new bed bug duties and responsibilities.

Overview of New Bed Bug Laws

Under the new California laws that become effective in 2017 and 2018, owners will have the following new duties and responsibilities: Bed Bug Disclosure: Starting July 1, 2017 an owner shall provide to all new tenants with written

notice* in at least 10-point font containing the following information: 1) Educational information about bed bugs; 2) The procedure to report suspected infestations to the owner; and 3) A statement that the tenant shall cooperate with the inspection and facilitate the detection and treatment of bed bugs.

The written notice must also be provided to existing tenants by January 1, 2018.

The educational information must include the following: a) general information about bed bug identification; b) behavior and biology; c) importance of cooperation for prevention and treatment; d) importance of and for prompt written reporting of suspected infestations to the landlord; and e) procedure to report suspected infestations to the owner/ manager. *Fortunately, the new law provides owners with the language that is necessary to comply with this requirement and is set forth on the last page of this Q&A. Written notice to tenants after inspection: Whenever a dwelling unit is inspected for bed bugs by a pest control operator (PCO) (licensed by the State Structural Pest Control Board), owners are

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“Owners are not under a duty to inspect a dwelling unit or the common areas of the premises for bed bugs if the owner has no notice of a suspected or actual bed bug infestation.” required to provide the tenants of those units with a report containing the PCO’s findings. The notification must be in writing and made within two business days of receipt of the PCO’s findings. This provision is effective January 1, 2017.

Common area infestations: When a PCO confirms a bed bug infestation in a common area (including building hallways, shared laundry rooms and staircases, elevators, designated garbage areas and laundry rooms), all tenants must be provided notice of the PCO’s findings. This provision is effective January 1, 2017.

Vacant dwelling units with infestations: Rental property owners may not show, rent, or lease to a prospective tenant any vacant dwelling unit that the owner knows has a current bed bug infestation.

NOTE: Owners are not under a duty to inspect a dwelling unit or the common areas of the premises for bed bugs if the owner has no notice of a suspected or actual bed bug infestation. “If a bed bug infestation is evident on visual inspection, the landlord shall be considered to be on notice about the infestation. (Civil Code Section 1954.603.) This provision is effective January 1, 2017.

Retaliation is prohibited: The new bed bug law reiterates longstanding law prohibiting owners from retaliating against tenants who make tenantability complaints to the owner or an agency of government (local health department). The law was amended merely to state that retaliation protections include complaints about bed bugs. Generally speaking this is a clarification of law. Retaliation includes the following: an increase in rent, a decrease in services, an act that would cause a lessee to quit involuntarily, or bring an action to recover possession. The amendment to the retaliatory eviction law becomes effective January 1, 2017.

How and When Should Rental Property Owners Provide the Written Notice* to Tenants?

Remember, there are two different compliance dates for providing the written notice. By July 1, 2017, new tenants must be provided the written notice before they begin their tenancy. The written notice should be included in the lease documents, and provided directly to the prospective tenant.

By January 1, 2018, all existing tenants must be provided the written notice. The easiest method for providing the notice is by posting the notice in a conspicuous place in a common area, for example at an entrance to and from the property. Other meth26 RENTAL HOUSING

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ods to disclose the written notice includes: personal delivery, posting at the door of every tenant, USPS mail or email.

What is the Proper Way to Inform Tenants About a PCO’s Findings from a Bed Bug Inspection of the Premises?

When a tenant reports to an owner of a suspected bed bug problem, the owner should act promptly, conduct an inspection and hire a PCO to inspect the premises. Whether an infestation does or does not exist according to the PCO’s findings, owners are under a duty to report the PCO’s written findings to the tenants of the unit that was inspected within two business days. The PCO’s written findings may be left by the PCO upon completion of the inspection. As an alternative to the PCO leaving the written findings in the unit that was inspected, the owner may provide the PCO’s finding by mail, email, personal delivery, or posting on the front door of the premises.

To ensure the PCO leaves a report of his or her findings in the unit, the owner should require as part of the contract to perform the inspection the PCO to do so. The best approach is to require a PCO to provide the tenant with a report as part of his or her contract term for service. Owners should also require the PCO’s to be given a copy of the written findings and the date the written findings were delivered. Should the PCO find evidence of bed bugs, a cost estimate should only be provided to the owner. The PCO should also be required to provide the owner samples of written findings prior to being retained.

Tenants are required by state law to cooperate with the inspection to “facilitate the detection and treatments of bed bugs, including providing requested information that is necessary to facilitate the detection and treatment of bed bugs to the PCO.” Failure to cooperate should constitute a material breach of contract.

Ultimately, it is the owner’s responsibility to ensure that tenants have received the inspection report.

What is the Best Way to Notify Tenants of Common Area Infestations?

When a bed bug infestation is discovered in a common area and confirmed by a PCO, notice regarding the PCO’s findings must be provided to “all tenants”. The notice can be: posted in a conspicuous place in the area in which the bed bugs were found; mailed or emailed to the tenants, posted on the door of each tenant or personally delivered. The notice should state where and when the bed bugs were found, and the PCO’s findings.

Once again, the cost of treatment is not required to be disclosed to tenants. RH The information provided herein is intended to provide general guidance and awareness on recently passed state laws and regulations and shall not be construed in any way as a substitute for individual legal advice. Those that require specific advice should consult an attorney. Ron Kingston is the EBRHA state lobbyist and president of the California Political Consulting Group. He can be reached at 916-447-7229 or ron@calpcg.com.

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NEW EBRHA FORMS AVAILABLE IN 2017 In response to new rental housing laws effective in 2017, EBRHA will provide many updated forms to ensure your lease agreements and notices are up to date and compliant with local and state laws.

As always, forms will be conveniently available online at www.ebrha.com and per request in our office. Forms will be available in January 2017.

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COLUMN

government affairs

new position on these issues, especially with Steve Bannon, the voice of the altright in the President-elect’s ear.

What else happens in a Trump first term will also be heavily influenced by the Congress, of course. And also contrary to expectations, the GOP held its control of the Senate and took only glancing blows to its majority in the House. We have one-party, Republican rule for the first time since 2006. While the control of the levers of power is not absolute (recall the cloture rule in the Senate), it is strong enough that we can expect a more streamlined path to passage for some legislative priorities – Obamacare repeal and regulatory reform, among others.

For others, the path remains difficult but is more doable than was anticipated Updates from NAA’s Sr. Vice President under a Clinton Administration – see tax of Government Affairs. BY GREG BROWN reform.

For our part, the outlook remains dd my name to the long list people who should know better. Stipumixed for the apartment industry. of individuals who did not lated. What happens next? What can Regulatory reform and independent take the candidacy of Donald we expect from a Trump White House? moves by the President-elect to pull back Trump seriously and publically doubted And GOP majorities in both Houses of on regulations issued by the Obama whether he could win a Presidential Congress? With hindsight now available team will likely address several areas of general election. My sin is even greater to us, I think managing expectations is concern such as Waters of the United since I am inside the beltway and in “the important here.

States, the overtime rule and IRS rules business” of politics and policy. This is Mr. Trump promised a lot of things on valuation of family-owned businesses. my job! How could I have not seen this on the campaign trail – the wall, mass Bigger-picture issues such as the future of coming? deportations, a blockade against Fannie Mae and Freddie Mac, some areas I could lay the blame for missing the Muslims (or some nuanced variation of tax law and immigration reform have signs of a Trump victory at the feet of of that), special prosecutor for Hillthe potential to cut both ways for owners pollsters and pundits on whom I rely to ary Clinton, large-scale tax reform and and operators of apartment homes. Thus, give me the best data and intelligence shredded trade agreements. In the first it is critically important that everyone get on the minds of the electorate, but that week of his pre-administration, Mr. involved in NAA’s Advocacy365 program would be a cop out. Realistically, I think Trump has already softened his rhetoand commit to carrying the message of my bias against someone like Donald ric on several of these items. The wall the apartment industry to their represenTrump was in place long before he may turn out to be a tatives in Congress. became a threat. I, like so many in the fence or simply stronger “This is an historic Advocacy365, as the machine of Washington, D.C., am disborder-security measures, time for our country name implies, is a yearconnected from the working class voter “mass” deportations will and we should take round effort; however, in places like Pennsylvania, Wisconsin be focused on criminals stock of that. There there is one particular and Ohio who gave President-elect (something the Obama is also the realday when the indusTrump the White House. While my Administration does now) ity of public policy try combines forces in life and the lives of most of those with and continued pursuit of concerns that must Washington, D.C. to whom I am close have hummed along in the Clinton email scandal be our focus in the show our strength and the present economy, millions of others is fading from the priority immediate term. press the case for our have watched their jobs disappear with list. Certainly many in I hope you all will concerns. The 2017 little perceived care or concern from the body politic will be join me in ensuring NAA Capitol Conferthe political system and more precisely pleased if these moderathose concerns are ence and Lobby Day the two political parties. Their anger tions hold; however, othaddressed to the takes place on March 7 crossed party identification and found a ers in the Trump coalition benefit of owners, and 8 at the JW Marrihome with Mr. Trump. will not be happy. Time operators and resiott in downtown WashOkay, so an epic fail on the part of will tell if he sticks to his dents.” ington. There will be a

Outlook Remains Mixed for the Apartment Industry

A

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ebrha.com

MAISEL PROPERTY MANAGEMENT, Inc. briefing on the issues, training on how to be an effective advocate and expert perspective on the new Administration from Presidential historian Doris Kearns Goodwin. There are more than 50 new Representatives and Senators who need educating on our industry and our issues and 485 incumbents returning for a new Congress and Administration who want to know where we stand. Please join us.

This is an historic time for our country and we should take stock of that. There is also the reality of public policy concerns that must be our focus in the immediate term. I hope you all will join me in ensuring those concerns are addressed to the benefit of owners, operators and residents. RH

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Greg Brown is the Senior Vice President of Government Affairs with the National Apartment Association. He can be reached at 703-797-0615 or greg@naahq.org.

Oakland Rent Board Roundtable D ATE & TIME M ODERATOR

PRICE

TOPICS

MONDAY, DECEMBER 5; 10:00 A.M. - 11:00 A.M. Jill Broadhurst, CCRM, EBRHA Free to members only An informal discussion on Oakland rent board hearings

EBRHA Holiday Party D ATE & TIME LOCATION

TICKETS

DETAILS

WEDNESDAY, DECEMBER 7; 5:00 P.M. - 8:00 P.M.

Eve’s Waterfront, 15 Embarcadero West, Oakland $15 per person Join your fellow EBRHA members, board and staff to celebrate the many accomplishments the Association has achieved in 2016. See page 3 for more details.

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Small Property Owners Roundtable D ATE & TIME M ODERATOR

PRICE

TOPICS

MONDAY, DECEMBER 12; 10:00 A.M. - 11:00 A.M. Jill Broadhurst, CCRM, EBRHA Free to members only An informal discussion on management issues & solutions

EBRHA Office Closed

DATES MONDAY, DECEMBER 26

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Unless noted, all events are held at:

3664 Grand Avenue • Suite B Oakland, CA 94610 TO REGISTER, GO TO EBRHA.COM/EVENTS OR CALL 510-893-9873. PRE-REGISTRATION REQUIRED ebrha.com

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DECEMBER 2016

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RENTAL HOUSING 29

COLUMN

esq. & a

Under California law (CC § 827), the terms of a tenancy may be changed by the landlord by giving written notice to the tenant at least as many days in advance as the term of the tenancy rental period. For a standard month-to-month rental agreement, that is at least 30 days’ written notice. However, this means that fixed-term leases cannot be modified unilaterally by the landlord before they How often should residential leases be updated expire, since the notice period would for existing tenants? BY MATTHEW QUIRING be at least as long as the original rental term before the modifications take effect.

Instead, the landlord should obtain the tenant’s consent to modify the lease with an amendment or addendum, and have both parties sign it. If the tenant signs off on the change as a lease amendment or addendum, no additional notice is required, and is effective immediately.

Before any change, review the agreement carefully to ensure that the agreement does not include any terms special procedures for notice or modifications.

In Oakland, any notice of change of terms of tenancy should be accompanied by a Rent Adjustment Program (RAP) notice, available online from the Oakland I’ve been told it’s important Rent Board. In addition, with the recent construe, as a legal matter, what the to update leases with existing passage of Measure JJ, modifications to agreement actually was. tenants. Why does it matter? How increase rent for any reason other than For example, suppose a landlord is it done? How often should it be a CPI increase or banking, served on rou¬tinely accepts rent on the 15th done? or after February 1, 2017, must first be instead of the 1st, as stated in the approved by Rent Board petition. agreement. If the landlord issues a 3 Even with careful and prudent Once the notice is effectively served Day Notice to Pay Rent or Quit when planning, it is not always possible on the tenant, the notice itself becomes the tenant fails to pay rent on the 1st, to anticipate all the changes that may a binding term of the agreement, witha court may rule the notice invalid, arise in a tenancy, especially over a out any further actions. For changes of because the owner’s own behavior long period of time. A rental property terms of tenancy not relating to rent, the contradicts their own contract, and own¬er’s relationship with their tenant notice may be served personally on the therefore the owner cannot rely on the may become loose and casual as trust tenant, or by posting on the premises, written agreement to establish the rent grows, or become more rigid and formal payment schedule. accom¬panied by mail. For increases of as conflict rises. Capital improvements To avoid confusion, either in court, rent less than 10%, the notice may be or even changes in technology may or just between owner and tenant, it is served personally, or by mail, with a 5 allow an owner to provide brand new good practice to update your agreement day extension of the effective notice date services that were not contemplated with your tenants whenever a change (35 days). For increases of rent greater when the lease was signed. is necessary, either to codify an existing than 10%, the notice must be given If a term of the tenancy becomes practice not mentioned in the agreean additional 30 days in advance (60 a point of legal dispute between the ment, or clarify a change in practice days), and may be served person¬ally, or owner and tenant, the court will from how it was originally stated. This by mail, with a 5 day extension of the gener¬ally start with the written is done through a “Notice effective notice date (65 agreement as part of its analysis, but “Keeping leases up of Change in Terms of days). Note that posting it will not end there. If the terms of to date is as much a Tenancy”, delivered to notice on the premises the agreement do not match the actual form of maintenance is NOT sufficient for the tenant, which clearly behavior of the parties, the court will as inspecting your sets forth what the notices of rent increases, also take the actual pattern and practice change is, and when it roof or your foundaand that any mailed of performance as key evi-dence to help tion.” becomes effective. notice must have a nota-

Terms of Tenancy

Q

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PHOTO: DAVID WALL, CC BY 2.0

A

tion of the date and place of mailing, or be accompa¬nied by an unsigned copy of the affidavit or certificate of mailing. See California Civil Code §1013 for details on the methods of mailing notice.

Keeping leases and rental agreements up to date is as much a form of maintenance as inspecting your roof or your foundation. If you rely on an agreement that does not match the patterns and practices that you have renting your property and supplying your services, it will not shelter you when the legal storm comes. As an owner, take advantage of your ability to set the terms of tenancy to ensure that they will be ready to work for you when you need them.

ASSISTING PROPERTY OWNERS WITH THEIR LEGAL NEEDS SINCE 1975.

—MATTHEW QUIRING RH

Effective. Efficient. Economical.

The information contained in this article is general in nature. Consult the advice of an attorney for any specific problem. Matthew Quiring is an attorney in private practice and can be reached at 510-225-1345 or mpquiring@ gmail.com.

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510-813-5440 ebrha.com

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DECEMBER 2016

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RENTAL HOUSING 31

community calendar EVENTS & CLASSES

december

january

MONDAY, DECEMBER 5 Oakland Rent Board Roundtable An informal discussion on rent board hearings Moderated by Jill Broadhurst, CCRM, EBRHA Free to members only, 10:00 a.m. - 11:00 a.m.

WEDNESDAY, DECEMBER 7 EBRHA Holiday Party Eve’s Waterfront, 15 Embarcadero West, Oakland Join your fellow EBRHA members, board and staff to celebrate the many accomplishments the Association has achieved in 2016.

Tickets: $15 per person; Go to www.ebrha.com/holiday to purchase tickets.

5:00 p.m. - 8:00 p.m.

MONDAY, DECEMBER 12 Small Property Owners Roundtable An informal discussion on management issues and solutions Moderated by Jill Broadhurst, CCRM, EBRHA Free to members only, 10:00 a.m. - 11:00 a.m.

MONDAY, DECEMBER 26 EBRHA Office Closed

MONDAY, JANUARY 2 EBRHA Office Closed MONDAY, JANUARY 9 Oakland Rent Board Roundtable An informal discussion on rent board hearings Moderated by Jill Broadhurst, CCRM, EBRHA Free to members only, 10:00 a.m. - 11:00 a.m.

THURSDAY, JANUARY 12 Rental Property Owner 101 (RPO 101) Presented by Jill Broadhurst, CCRM, EBRHA Members: Free; Non- Members: $69 2:00 p.m. - 3:30 p.m.

TUESDAY, JANUARY 17 Small Property Owners Roundtable An informal discussion on management issues and solutions Moderated by Jill Broadhurst, CCRM, EBRHA Free to members only, 10:00 a.m. - 11:00 a.m.

THURSDAY, JANUARY 19 Fair Housing & Your Rental Business Presented by Angie Watson-Hajjem, ECHO Members: Free; Non- Members: $69 2:00 p.m. - 3:30 p.m.

SATURDAY, JANUARY 21 EBRHA Member Meeting New Laws for 2017 — Ron Kingston, EBRHA Lobbyist 10:00 a.m. - Noon TUESDAY, JANUARY 24 Public Affairs Meeting Moderated by Jill Broadhurst, CCRM, EBRHA Free to members only, 10:00 a.m. - 11:00 a.m.

No Refunds on no shows; Online advanced registration required! To register and pay, visit ebrha.com/calendar or call (510) 893-9873.

Unless noted, all classes and events are held at the EBRHA Education Center, 3664 Grand Ave., Suite B in Oakland.

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Oakland RENT ADJUSTMENT PROGRAM FEE

UPDATE: Annual fees are $68 per unit and are due March 1. Owners are allowed to pass through $34 to tenants.

BUSINESS TAXES & REGISTRATION

Registration fee is $60 and is due March 1. Tax is based on annual gross rental income at a rate of $13.95 per $1,000 of gross rental income. Tax renewal declarations are mailed at the beginning of the year.

LANDLORD PETITION FOR EXEMPTIONS

Claims covered include new construction, substantial rehabilitation, and single-family homes or condominiums.

ANNUAL ALLOWABLE RENT INCREASE

2016-17 (2.0%) A CPI increase of 2.0% becomes effective on July 1, 2016. Tenants may only receive one increase in any 12-month period, and the rent increase cannot take effect earlier than the tenant’s anniversary date.

In addition, California law requires that for tenancies receiving greater than a 10% increase, a 60-day notice is required; if the increase is 10% or less, a 30-day notice is required.

Owners can only impose “banked” rent increases equal to three times the current annual allowable rent increase rate. See schedule at right.

PERI OD

AM O U N T ( % )

JULY 1 ‘16 - JUNE 30 ‘17 . . . . . . . . . 2.0 JULY 1 ‘15 - JUNE 30 ‘16 . . . . . . . . . 1.7 JULY 1 ‘14 - JUNE 30 ‘15 . . . . . . . . . 1.9 JULY 1 ‘13 - JUNE 30 ‘14 . . . . . . . . . 2.1 JULY 1 ‘12 - JUNE 30 ‘13 . . . . . . . . . 3.0 JULY 1 ‘11 - JUNE 30 ‘12 . . . . . . . . . 2.0 JULY 1 ‘10 - JUNE 30 ‘11 . . . . . . . . . 2.7 JULY 1 ‘09 - JUNE 30 ‘10 . . . . . . . . . 0.7 JULY 1 ‘08 - JUNE 30 ‘09 . . . . . . . . . 3.2 JULY 1 ‘07 - JUNE 30 ‘08 . . . . . . . . . 3.3 MAY 1 ‘06 - JUNE 30 ‘07. . . . . . . . . . 3.3 MAY 1 ‘05 - MAY 30 ‘06 . . . . . . . . . . 1.9 Visit www.ebrha.com/members to see previous adjustments.

CAPITAL IMPROVEMENTS INCREASE FORMULA

FOR FURTHER INFORMATION CONTACT:

Oakland Rent Board 250 Frank H. Ogawa Plaza, Ste. 5313 Oakland, CA, 94612 510.238.3721 | www.oaklandnet.com

(70 % of Improvement Costs ÷ Number of Units) 60 months or 5 years REFER TO ORDINANCE FOR NOTICING, QUALIFICATIONS AND AMORTIZATION PERIODS.

Berkeley RENT STABILIZATION BOARD FEES

Annual fees are $213 per unit and are due July 1. Owners are allowed to pass through $4 to tenants.

RATES OF ANNUAL PAYMENT OF SECURITY DEPOSIT INTEREST P E R I OD A MO UN T FEDERAL RESERVE RATES

DEC. 2014. . . . . . . . . . . . . . . . . . . . . N/A DEC. 2013. . . . . . . . . . . . . . . . . . . 0.3% DEC. 2012. . . . . . . . . . . . . . . . . . . 0.5% DEC. 2011. . . . . 0.4% (CORRECTED 11/3/2011) DEC. 2010. . . . . . . . . . . . . . . . . . . 0.4% DEC. 2009. . . . . . . . . . . . . . . . . . . 1.1% DEC. 2008. . . . . . . . . . . . . . . . . . . 3.4% DEC. 2007. . . . . . . . . . . . . . . . . . . 5.3% DEC. 2006. . . . . . . . . . . . . . . . . . . 5.1% DEC. 2005. . . . . . . . . . . . . . . . . . . 3.4%

ANNUAL ALLOWABLE RENT INCREASE

2016 (1.5%) PERI OD AM O U N T

Beginning in 1998, adjustments are not allowed for the year following a tenant’s initial occupancy. To obtain the maximum amount for a specific address, please use the “Rent Ceiling Database” calculator on Berkeley’s Rent Board website.

Visit www.ebrha.com/members to see previous adjustments.

2016. . . . . . . . . . . . . . . . . . . . . . . . 1.5% 2015. . . . . . . . . . . . . . . . . . . . . . . . 2.0% 2014. . . . . . . . . . . . . . . . . . . . . . . . 1.7% 2013. . . . . . . . . . . . . . . . . . . . . . . . 1.7% 2012. . . . . . . . . . . . . . . . . . . . . . . . 1.6% 2011. . . . . . . . . . . . . . . . . . . . . . . . 0.7% 2010. . . . . . . . . . . . . . . . . . . . . . . . 0.1% 2009. . . . . . . . . . . . . . . . . . . . . . . . 2.7% 2008. . . . . . . . . . . . . . . . . . . . . . . . 2.2% 2007. . . . . . . . . . . . . . . . . . . . . . . . 2.6% 2006. . . . . . . . . . . . . . . . . . . . . . . . 0.7% 2005. . . . . . . . . . . . . . . . . . . . . . . . 0.9% 2004. . . . . . . . . . . . . . . . . . . 1.5%, + $3 (1% + $3 IF TENANCY CREATED AFTER JAN. 1999) *ADDITIONAL ADJUSTMENTS ARE ALLOWED IF AN OWNER PAID FOR ELECTRICITY OR HEAT.

BERKELEY RATES

FOR FURTHER INFORMATION CONTACT:

DEC. 2014. . . . . . . . . . . . . . . . . . . 0.1% DEC. 2013. . . . . . . . . . . . . . . . . . . 0.1% DEC. 2012. . . . . . . . . . . . . . . . . . . 0.2% DEC. 2011. . . . . . . . . . . . . . . . . . . 0.3%

Berkeley Rent Board 2125 Milvia Street Berkeley, CA 94704 510.981.7368 | www.ci.berkeley.ca.us/rent ebrha.com

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DECEMBER 2016

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RENTAL HOUSING 33

vendor directory — CONTACTS, PRODUCTS & SERVICES ACCOUNTING & TAX

510-848-9528 www.elaineleeattorney.com Richards Law John Richards 925-231-8104 www.richards-legal.com The Evictors Alan J. Horwitz 510-839-2074 The Shepherd Law Group Michael Shepherd 510-531-0129 www.theshepherdlawgroup.com Zacks, Freedman & Patterson, PC Lisa Padilla 415-956-8100 www.zfplaw.com

Collins, Mason & Company LLP Teresa Mason 510-891-9000 www.cmcaccountants.com The Lee Accountancy Group, Inc. Jong H. Lee, CPA 510-836-7400 jhlee@theleeaccountancy.com APPLIANCE SALES & PARTS

Appliance Parts Distributor Mike De Fazio 510-357-8200 www.apdappliance.com Appliance Warehouse of America David Jepsen 510-921-1071 www.appliancewhse.com

ATTORNEYS — LAND USE/CONDO CONVERSION

APPRAISERS

Access Appraisal: Apartment Specialists Joe Spallone 510-601-1466 www.accessappraisal.com Mark Watts Commercial Appraiser Mark A. Watts 415-990-0025 www.markwattscommercialappraisal.com ARCHITECTURE

InsideOut Design Pennell Phillips 510-655-1198 www.aboutinsideout.com ASSOCIATIONS

Law Offices of Bill Ford Bill Ford 415-306-7840 www.billfordlaw.com Law Offices of John Gutierrez John Gutierrez 510-647-0600, x2 www.jgutierrezlaw.com Richards Law John Richards 925-231-8104 www.richards-legal.com Zacks, Freedman & Patterson, PC Lisa Padilla 415-956-8100 www.zfplaw.com ATTORNEYS — REAL ESTATE/CORP.

BOMA Oakland/East Bay Beckman Blair LLP Julie Taylor, CAE Nancy Ly 510-893-8780 415-871-0070 www.bomaoeb.org www.beckmanblairllp.com Oakland/Berkeley Association of Realtors Ericksen Arbuthnot Davina Lara Jason Mauck 510-836-3000 510-832-7770 oaklandberkeleyaor.com www.ericksenarbuthnot.com Oakland Chamber of Commerce Fried & Williams LLP Barbara Leslie Clifford Fried 510-874-4808 510-625-0100 www.oaklandchamber.com www.friedwilliams.com ATTORNEYS — EVICTIONS/PROPERTY Harding Legal OWNER DEFENSE Elva Harding Beckman Blair LLP 415-967-7570 Nancy Ly www.edhlegal.com 415-871-0070 Jack Schwartz, Attorney at Law www.beckmanblairllp.com Jack Schwartz Bornstein Law 650-863-5823 Daniel Bornstein jwsjr1220@comcast.net 510-836-0110, x1007 Law Offices of Bill Ford www.bornsteinandbornstein.com Bill Ford Ericksen Arbuthnot 415-306-7840 Jason Mauck www.billfordlaw.com 510-832-7770 Law Offices of John Gutierrez www.ericksenarbuthnot.com John Gutierrez Fried & Williams LLP 510-647-0600, x2 Clifford Fried www.jgutierrezlaw.com 510-625-0100 Miller Property Law www.friedwilliams.com Inga Miller Law Offices of Bill Ford 925-402-2192 Bill Ford www.millerpropertylaw.com 415-306-7840 Richards Law www.billfordlaw.com John Richards Law Offices of Brent Kernan 925-231-8104 Brent Kernan www.richards-legal.com 510-712-2900 Zacks, Freedman & Patterson, PC bkernan@aol.com Lisa Padilla Law Offices of Elaine Lee 415-956-8100 Elaine Lee www.zfplaw.com 34 RENTAL HOUSING

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ebrha.com

AUTOMOTIVE

Ken Betts Towing Services Ayub Azam 510-532-5000 www.kenbettscompany.com BANKING/LENDING

Chase Commercial Josh Milnes 510-891-4545 josh.milnes@chase.com Chase Commercial Ted Levenson 415-945-5430 ted.levenson@chase.com First Foundation Bank Michelle Li 510-250-8133 www.ff-inc.com Luther Burbank Savings Larry Miller 925-627-2790 www.lutherburbanksavings.com Pacific Western Bank Marc Lipsett 510-332-6964 www.pacificwesternbank.com SF Fire Credit Union Herman White, Jr. 415-674-4808 www.sffirecu.org Torrey Pines Bank Dale Marie Golden 510-899-7536 dgolden@torreypinesbank.com BATHROOM/KITCHEN REMODELING & BUILDING SUPPLIES

American Bath Enterprises, Inc. Larry Arcadi 510-785-2600 www.americanbathind.com APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com Ashby Lumber Paul Heiser 510-843-4832 www.ashbylumber.com Bathfitter Ken Huggins 510-969-3905 khuggins@bathfitter.com D.W. Hamilton Construction, Inc. D.W. Hamilton 510-919-0046 www.dwhamiltonconstruction.com Home Depot Allan Jocson 510-375-5237 www.homedepot.com KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com Sincere Home Decor Hei Chan 510-835-9988 www.sincerehomedecor.com SGK Home Solutions Vladmir Merabian 408-264-6964 www.sgkhomesolutions.com Urban Ore Marylou Van 510-841-7283 www.urbanore.com

vendor directory CABINET DOOR RESURFACING

Northern Contours Charlene Hall 866-344-8132 www.northerncontours.com CARPET CLEANING

Cleaner Carpets Ron Russell 510-522-1344 cleanercarpet@juno.com CONCRETE

Mauri Concrete Construction Co. Marcelo Mauri 510-541-5260 www.mauriconcrete.com CONSTRUCTION

A-One Construction Eva Morrissey 510-347-5400 www.a-oneconstruction.com APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com City Construction Janet Aranda 800-799-0234 www.cityconstruction.us D.W. Hamilton Construction, Inc. D.W. Hamilton 510-919-0046 www.dwhamiltonconstruction.com KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com Servpro of Lafayette/Moraga/Orinda Jenny Villena 925-299-1323 servpro9542@sbcglobal.net SpottCheck Consulting Susan Spott 510-816-1452 www.spottcheck.com W. Charles Perry & Associates W. Charles Perry 650-638-9546 www.wcharlesperry.com West Coast Premier Construction, Inc. Homy Sikaroudi 510-271-0950 www.wcpc-inc.com CONTRACTORS/RESTORATION

ARC Water Damage Nina Lauffer 510-223-1279 or 877-437-9225 (toll free) www.bayareafloodrepair.com Har-Bro Restoration Inc. Sonia Fuetsch 650-670-2364 www.harbro.com P.W. Stephens Environmental Jackie Mezeul 510-651-9506 www.pwsei.com Servpro of Lafayette/Moraga/Orinda Jenny Villena 925-299-1323 servpro9542@sbcglobal.net DOORS & GATES

R & S Overhead Garage Door Sean Boatright 510-483-9700, x14 www.rsdoors.com

SGK Home Solutions Vladmir Merabian 408-264-6964 www.sgkhomesolutions.com

Albert Nahman Plumbing & Heating Albert Nahman 510-843-6904 www.albertnahmanplumbing.com San Francisco Heating and Cooling Pablo Richards 415-286-2540 sfheatingandcooling@yahoo.com

ELECTRIC VEHICLE CHARGING

NRG EVgo Mehr Kouhkan 310-954-2930 www.nrgevgo.com

HOUSING SERVICES

ELECTRICIANS

Hamilton Family Center – First Avenues Mayo Lunt 510-763-8540 www.hamiltonfamilycenter.org

Thomas Electric Co. (TEC) Thomas Hurtubise 510-814-9387 www.tecelectric.net

HUMAN RESOURCES MANAGEMENT

ELEVATOR REPAIRS

Avitus Group Lance Harris 925-827-0680 www.avitusgroup.com

Paramount Elevator Corp.

Mark Pipoly 510-835-0770 www.paramountelevator.com

INDOOR AIR QUALITY/ MOLD & ODOR REMOVAL

FINANCIAL PLANNING

David White & Associates Miguel Delgado 925-277-2635 www.dwassociates.com Enhance Wealth Advisors Terry Allen, CFP®, AWMA SM 925-932-8609 info@enhancewa.com

Green Home Solutions Alameda (East Bay) Howard Oliver 510-666-6711 www.ghsnorcal.com INSPECTIONS

SpottCheck Consulting Susan Spott 510-816-1452 www.spottcheck.com

FIRE PROTECTION

Detect All Security & Fire Amy Roither 510-835-4100 www.detectall.com

INSURANCE

FLOOR COVERINGS

Bay Area Contract Carpets, Inc. Ken Scott 510-613-0300 www.bayareacontractcarpets.com GOVERNMENT AGENCIES

Housing Authority of the City of Alameda Mike Pucci 510-747-4325 www.alamedahsg.org Oakland Housing Authority Leased Housing 510-874-1500 www.oakha.org HANDYMAN SERVICES

APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com Halcyon Properties Roger Shane 510-847-7075 rbshane@aol.com KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com Start to Finish Christopher Bailey 510-727-9128 cpmbailey@sbcglobal.net HAULING SERVICES

KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com Urban Ore Marylou Van 510-841-7283 www.urbanore.com HEATING & AIR CONDITIONING

Bulloch Insurance Brokers, Inc. Curt Bulloch 925-640-0485 www.curtbulloch.com Commercial Coverage Insurance Paul Tradelius 415-436-9800 www.comcov.com Gordon Insurance Pamela Hutchins 877-877-7755 www.gordoninsurance.com The Greenspan Co./Adjusters Int’l.

Rich Hallock 866-331-4790 www.greenspan-ai.com Jain L. Williams - State Farm Insurance Jain L. Williams 510-530-3222 www.jainwilliams.com Kelly Lux – State Farm Insurance Kelly Lux 510-521-1222 Kelly.lux.gjcg@statefarm.com Ruth Stroup Insurance Agency Ruth Stroup 510-874-5700 www.stroupinsurance.com Yonas Hagos - Farmers Insurance Yonas Hagos 510-763-1030 www.farmersagent.com/yhagos INTERCOMS & ACCESS CONTROLS

R & S Overhead Garage Door Sean Boatright 510-483-9700, x14 www.rsdoors.com INVESTMENT OPPORTUNITIES

Martinez Real Estate Investment Jose Martinez 510-769-0436

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vendor directory Roto-Rooter Martin Alvarez 510-755-1262 sanactma@aol.com Water Heaters Only, Inc. Yana Carpenter 800-835-5946 www.waterheatersonly.com

LAUNDRY EQUIPMENT

CSC ServiceWorks Stacy Weaver 800-954-9000 Ext. 54313 www.cscsw.com Excalibur Laundries Richard Lisowski 510-872-1664 www.excaliburlaundries.com Innovative Coin Cheri Guffey 510-259-1494 www.innovativelaundry.com

PROCESS SERVER

County Process Server Emily Jay 855-873-7837 www.norcalevictions.com

LEAD, MOLD & PEST MANAGEMENT

PROPERTY MAINTENANCE

Alameda County Healthy Homes Dept.

Larry Brooks 510-567-8282 or larry.brooks@acgov.org www.aclppp.org LIGHTING

Eco Electric James Young 415-384-8526 www.ecopwr.net LITIGATION SUPPORT SERVICES

SpottCheck Consulting Susan Spott 510-816-1452 www.spottcheck.com

PROPERTY MAINTENANCE SOFTWARE

SYNCrew John Cranston 415-968-1593 www.syncrew.com

LOCKSMITH EVICTION SERVICES

Golden Gate Locksmith Co Ralph Scott 510-654-2677 kgglocksmith@yahoo.com

PROPERTY MAINTENANCE SUPPLIES

MARKET RESEARCH

Ferguson Enterprises, Inc. Jermane Griffin 916-752-7608 jermane.griffin@ferguson.com

Axiometrics Inc. Amy Wolff Sorter 469-621-9669 asorter@axiometrics.com

PROPERTY MANAGEMENT

PAINT

BEHR Paint Nick Mounts 415-416-0994 www.behr.com The Sherwin-Williams Co. Sean Callahan 925-932-3363 x134 www.sherwin-williams.com PEST & VECTOR CONTROL

Alameda Co. Vector Control Services Daniel Wilson 510-567-6826 daniel.wilson@acgov.org California American Exterminator Tami Stuparich 831-338-4800 www.calamericanext.com Terminix Robert Sater 510-489-8689 www.terminix.com PLUMBING/WATER HEATERS

Albert Nahman Plumbing & Heating Albert Nahman 510-843-6904 www.albertnahmanplumbing.com Fast Water Heater Company Michael Kirk 866-465-7442 www.fastwaterheater.com L. J. Kruse Co. Janell Yates 510-644-0260 www.ljkruse.com 36 RENTAL HOUSING

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A-One Construction Eva Morrissey 510-347-5400 www.a-oneconstruction.com APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com

Advent Properties, Inc. Benjamin Scott 510-289-1184 www.adventpropertiesinc.com Bay Property Group Daniel Bornstein 510-836-0110 www.baypropertygroup.com Beacon Properties Carlon Tanner 510-428-1864 www.beaconprop.com Canyon Pacific Management Tom Scripps 415-495-4739 www.canyonpacific.com Cedar Properties Jonathan Weldon 510-834-0782 www.cedarproperties.com Crane Management Kit Crane 510-918-2306 www.cranemanagment.net The Enterprise Company William McLetchie 510-444-0876 ERI Property Management Terrence Sims 510-883-7070 www.erirentals.com Lapham Company Jon M. Shahoian 510-594-7600 www.laphamcompany.com

ebrha.com

Marquardt Property Management Karen or Judi Marquardt 510-530-2050 www.mpmoakland.com Mynd Stacy Winship 408-761-2424 www.mynd.co OMM Inc./Mason Management Janice Mason 510-522-8074 www.ommhomes.com Premium Properties Sam Sorokin 510-594-0794 www.premiumpd.com Seville Real Estate and Management Maya Clark 510-610-7699 www.homesbyseville.com Shaw Properties Judy Shaw 510-665-4350 www.shawprop.com Sphinx Property Management Jon Goree 510-798-9299 www.sphinxpm.com Vision Property Management Michael Margado 510-926-4104 www.visionproperty.management Wellington Property Company Jillian Loh 510-338-0588 www.wellingtonpropertyco.com Woodminster Property Management Nicholas Drobocky 510-336-0202 www.woodminstermanagement.com PROPERTY MANAGEMENT SOFTWARE

NWP Services Corporation Kyle Gambrell 949-253-3262 www.nwp.com On-Site Janis Rossi 408-795-4167 www.on-site.com REAL ESTATE BROKERS & AGENTS

Advent Properties, Inc. Benjamin Scott 510-289-1184 www.adventpropertiesinc.com ARA Pacific Mike Colhoun 415-273-2177 www.arausa.com Better Homes Realty Rene Mendieta 510-388-4092 rmendieta@att.net Caldecott Properties Andy Read 510-594-2400 www.caldecott.com CBRE Keith Manson 510-874-1919 www.cbre.com Coldwell Banker – Apartment Specialist John Caronna 925-253-4648 www.eastbayIREA.com

vendor directory Coldwell Banker Commercial Henry Ohlmeyer 925-831-3390 www.coldwellbanker.com Edrington & Associates Steven Edrington 510-749-4880 sedrington@msn.com Lapham Company Tsegab Assefa 510-594-0643 www.laphamcompany.com Litton/Fuller Group Luke Blacklidge 510-548-4801, x130 www.littonfullergroup.com Marcus & Millichap Eli Davidson 510-379-1280 eli.davidson@marcusmillichap.com Marcus & Millichap David Wolfe 510-379-1200 www.marcusmillichap.com NAI Northern California Grant Chappell 510-336-4721 www.naikilpatrick.com NAI Northern California Timothy Norkol 510-336-4724 tnorkol@nainorcal.com The Pinza Group Steven Pinza 510-725-4775 www.pinzagroup.com Property Counselors Link Corkery, Inc. Link Corkery 510-886-1212 www.pclclink.com Red Oak Realty Vanessa Bergmark 510-292-2000 vanessa@redoakrealty.com Seville Real Estate and Management Maya Clark 510-610-7699 www.homesbyseville.com Six Degrees Realty Stephanie Christmas 510-461-4663 www.stephaniechristmas.com Woodminster Real Estate Co Inc. Nicholas Drobocky 510-336-0202 www.woodminsterrealty.com RECYCLING/REUSE

Urban Ore Marylou Van 510-841-7283 www.urbanore.com RENT CONTROL CONSULTANTS

Bay Property Group Cristian Villarreal 510-474-7404 cristian@baypropertygroup.com Edrington & Associates Steven Edrington 510-749-4880 sedrington@msn.com Liz Hart 510-813-5440 liz.hart1801@gmail.com

RENTAL SERVICES

SUSTAINABLE ENERGY

Hamilton Properties Bay Area Delesha Hamilton 404-606-2141 www.hamiltonpropertiesbayarea.com Caldecott Properties Julie Keys 510-225-9244 www.caldecott.com ROOFERS

A-One Construction Eva Morrissey 510-347-5400 www.a-oneconstruction.com Fidelity Roof Company Doug Kellor 510-547-6330 www.fidelityroof.com Frank Fiala Roofing Frank Fiala 510-582-6929 www.ffialaroofing.com General Roofing Company Michael Wakerling 510-536-3356 www.generalroof.com

TOWING SERVICE

TREE SERVICE

Bartlett Tree Experts Tony DeMola 925-934-6306 www.bartlett.com Coastal Tree Service Hans Waller 510-693-4631 www.coastaltreeservice.com

SECURITY/SURVEILLANCE

TUB, TILE & COUNTERTOP REFINISHING

Discovery Coatings Gargie Balarbar 415-971-8207 www.discoverycoatings.com UTILITY MANAGEMENT

NWP Services Corporation Kyle Gambrell 949-253-3262 www.nwp.com

SEISMIC CONSTRUCTION

VETERANS SERVICE ORGANIZATION

B.A.S.S. Seismic Retrofit D.W. Hamilton 510-919-0046 www.bassseismicretrofit.com West Coast Premier Construction, Inc. Homy Sikaroudi 510-271-0950 www.wcpc-inc.com SEISMIC ENGINEERING

SMOKE-FREE HOUSING

Alameda County Tobacco Control Coalition Tamiko Johnson 510-208-5916 tamiko.johnson@acgov.org SOLAR ENERGY

Eco Electric James Young 415-384-8526 www.ecopwr.net SUBMETERING

NWP Services Corporation Kyle Gambrell 949-253-3262 www.nwp.com

TENANT SCREENING SERVICE

Contemporary Information Corp. (CIC) Dan Firestone 888-232-3822 www.continfo.com Ken Betts Towing Services Ayub Azam 510-532-5000 www.kenbettscompany.com PPI Towing Stephanie Gipson 510-533-9600 www.ppitowing.net

ADT Security Systems Bobby Augusto 925-222-8034 www.adt.com Detect All Security & Fire Amy Roither 510-835-4100 www.detectall.com R & S Overhead Garage Door Sean Boatright 510-483-9700, x14 www.rsdoors.com

Earthquake & Structures, Inc. B.K. Paul 510-601-1065 www.esiengineers.com W. Charles Perry & Associates W. Charles Perry 650-638-9546 www.wcharlesperry.com

Center for Sustainable Energy Alexandra Patey 858-244-1192 www.energycenter.org/smp

Swords to Plowshares Norman Thomas 510-844-7500 www.swords-to-plowshares.org WASTE & COMPOST COLLECTION

Bay Area Bin Support Nancy Fiame 888-920-BINS www.bayareabinsupport.com Bay Area Waste Services Peter Gella 510-788-0462 www.bawaste.com Junk King Contra Costa Krishna Vepa 925-954-5420 krishna.vepa@junk-king.com Waste Management Company Karen Stern 510-430-8509 www.wastemanagement.com WATER MANAGEMENT

HydroPoint Data Systems Dominique Perry 707-285-3233 www.hydropoint.com WINDOWS

SGK Home Solutions Vladmir Merabian 408-264-6964 www.sgkhomesolutions.com Urban Ore Marylou Van 510-841-7283 ebrha.com

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ad index

PRODUCTS & SERVICES APPLIANCE PARTS & SALES

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Local Knowledge, Local Advocacy, Local Support When You Need It

ATTORNEYS

The Evictors. . . . . . . . . . . . . . . . . . . . . . . . . . 35 Fried & Williams LLP. . . . . . . . . . . . . . . . . . . 19 BUILDING MATERIALS/HARDWARE

Urban Ore. . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 CARPETING & FLOORING

Bay Area Contract Carpets, Inc.. . . . . . . . . 23

EAST BAY RENTAL HOUSING ASSOCIATION (EBRHA) is a nonprofit trade organization representing owners and managers of apartments, condominiums, duplexes, single-family homes and other types of rental housing. EBRHA members range in size from small investors with just one property to large property management companies that own or manage hundreds of units.

Our membership consists of more than 1,400 rental housing owners, property managers, attorneys and other service contractors. Altogether, EBRHA represents over 20,000 rental units, and serves over 25 cities throughout Alameda and Contra Costa counties. n Property management advice by phone or in person n Tenant screening service (application/report fees apply) n Annually updated legal forms, including forms online 24/7 n Monthly workshops on new laws, rental agreements, security deposits, legal notices, fair housing, rent control, and more n Vendor directory of local businesses that offer exclusive member discounts n Annual trade expo and networking mixers n Monthly educational membership meetings n Community outreach and education n Local and state lobbying n An active and growing Legal Action Fund and Political Action Committee n Subscription to Rental Housing and units n Membership with the National Apartment Association and CalRHA

CONSTRUCTION

West Coast Premier Construction. . . . . . . 31 ENGINEERS

Earthquake and Structures, Inc.. . . . . . . . . 10 West Coast Premier Construction. . . . . . . 31 INSURANCE COMPANIES

Jain Williams—State Farm. . . . . . . . . . . . . . 29 LAUNDRY

Innovative Coin . . . . . . . . . . . . . . . . . . . . . . . 23 Wash Multifamily. . . . . . . . . . . . . . . . . . . . . . 29 LENDERS

JPMorgan Chase Bank. . . . . . . . . . . . . . . . . . 7 PLUMBING

Albert Nahman Plumbing . . . . . . . . . . . . . . 23 PROPERTY MANAGEMENT

Maisel Property Management. . . . . . . . . . . 29 PROPERTY MANAGEMENT & SALES

Beacon Properties. . . . . . . . . . . . . . . . . . . . . 19 Mynd . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 RECYCLING

Oakland Recycles . . . . . . . . . . . . . . . . . . . . . 39 RENT BOARD CONSULTANTS

Liz Hart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 ROOFING SERVICES

Frank Fiala Roofing. . . . . . . . . . . . . . . . . . . . 23 General Roofing Co. . . . . . . . . . . . . . . . . . . . 19 WATERPROOFING

Applied Waterproofing Systems . . . . . . . . 23 WASTE, RECYCLING & COMPOST

3664 Grand Avenue • Suite B Oakland, CA 94610

COLLECTION

Bay Area Bin Support. . . . . . . . . . . . . . . . . . 15 WINDOWS, DOORS & SIDING

JOIN TODAY! CALL 510-893-9873 OR GO TO WWW.EBRHA.COM/JOIN 38 RENTAL HOUSING

| DECEMBER 2016 |

ebrha.com

SGK Solutions.. . . . . . . . . . . . . . . . . . . . . . . 40 Acceptance of an advertisement by this magazine does not necessarily constitute any endorsement or recommendation by EBRHA, express or implied, of the advertiser or any goods or services offered.

Oakland Holiday Tree Collection The Oakland Recycles program has expanded our compost service for multifamily properties, and your residents can now recycle their trees curbside from December 26 to January 15.

For buildings with fewer than 100 units, residents can place their trees at the curb for pickup on your regular compost collection day.

Only clean trees are accepted: no “snow” flocking, stands or decorations.

To fit in the compost truck, tree segments should be cut to less than 4’ tall for curbside collection.

For buildings with 100 units or more, please call Waste Management at 510-613-8710 to determine the best method of collection and to schedule service. More information about composting and all your new services is available online at www.OaklandRecycles.com.

Happy Holidays from Waste Management of Alameda County.

925-344-5755 877-264-6964

(Call Now For a Free Estimate)