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Rental

Housing EAST BAY RENTAL HOUSING ASSOCIATION | MARCH 2015

Do It Yourself

EBRHA members share tips to help you prolong the life of your building

PLUS: IMPRESSIVE GROWTH IN EAST BAY APARTMENT SALES THE OUTRAGEOUS CASE OF RUBAN V. HOOSHMAND


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Contents

East Bay Rental Housing Association

MARCH 2015

Volume XII, Number 3 March 2015 EBRHA OFFICE

Features & Columns

360 22nd Street, Suite 240 Oakland, CA 94612 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 EDUCATION & MEMBER MANAGER

Tori Blanca | tblanca@ebrha.com

16

20

Protect the Life of Your Roof

The Seven Principles of Healthy Housing

BY DOUG KELLOR

BY DOUG HENDERSON

24

MEMBERSHIP & ADMINISTRATIVE ASSISTANT

Evangelina Salazar | esalazar@ebrha.com EBRHA OFFICERS PRESIDENT Wayne C. Rowland VICE PRESIDENT Luke Blacklidge VICE PRESIDENT Jack Schwartz TREASURER Abbe Sultan SECRETARY Fred Morse MEMBER Rick Philips EBRHA DIRECTORS

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

East Bay Rental Housing Association PUBLISHER

Wayne C. Rowland MANAGING EDITOR Jill Broadhurst

How to Get it Done

EDITOR Tina Bocheff ART DIRECTOR & COPY EDITOR Esteban Cortez

BY KEVIN KNOBLES

ADVERTISING

Features & Columns NEWS

Purchase Tickets Now for EBRHA’s Inaugural Economic & Legislative Forum on April 22 10

COURT TALK

BY FRED FELLER

12

The Tenant Who Wasn’t There MARKET OUTLOOK

A Renaissance in the East Bay Market BY GRANT CHAPPELL

28

GOVERNMENT AFFAIRS

BY GREG BROWN

Cue the Wet Blanket

30

ESQ.&A

BY VARIOUS AUTHORS

Fire by Negligence

Events & Directory 36  COMMUNITY CALENDAR 38  M EMBER DIRECTORY 42  M EMBERSHIP APPLICATION 42  A D INDEX

Pictured on cover (L to R): EBRHA members Brandon Reece and Kevin Knobles of KMK Contracting 4 RENTAL HOUSING

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Rental Housing (ISSN 1930-2002-Periodicals Postage Paid at Oakland, California. POSTMASTER: Send address changes to RENTAL HOUSING, 360 22nd Street, Suite 240, Oakland, CA 94612. 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 © 2015 by EBRHA. All rights reserved.

COVER PHOTO: ESTEBAN CORTEZ

8

Tina Bocheff | 510.318.8303


contributors 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.

FRED FELLER Fred Feller received his law degree from Georgetown University Law Center in 1975, where he was an editor of the Georgetown Law Journal. He was a teaching fellow at Stanford Law School before associating with Hanson, Bridgett & Marcus. Thereafter, he was a housing law specialist with the San Francisco Neighborhood Legal Assistance Foundation. Fred specializes in landlord/tenant disputes, premises liability and appeals.

DOUG HENDERSON Doug Henderson, BA, HHS, a former general and electrical contractor, specializes in lead and other health hazards in homes. He teaches lead and healthy homes courses for contractors, health professionals and property owners. As a project designer with the Alameda County Healthy Homes Department, he has been making homes healthier for 22 years.

ONLINE TENANT SCREENING

To Schedule an Appointment, Call (510) 893-9873 EBRHA provides members with low-cost online resident screening. Partnered with Contemporary Information Corp. (CIC), resident screening has one objective: to make sure your leasing decisions make the greatest possible contribution to your bottom line. As of 2014, landlords can collect a maximum of $45.16 for an application fee.

MEMBER PRICING Basic Report* . . . . . . . . . . . $15 Bad Check Search. . . . . . . . $10 Social Security Search. . . . . $7

DOUG KELLOR Doug Kellor has been involved in various aspects of the roofing industry for 35 years and is currently a project/service manager with Fidelity Roof Company. Fidelity Roof is a recognized name in the roofing, waterproofing and solar contracting community, and has served residential and commercial clients in the Bay Area for over 67 years.

Criminal . . . . . . . . . . . . . . . . $10 Criminal (County) . . . . . . . . $10 Verbal and Fax Reports . . . . . . . Add $20

*Includes TransUnion credit report, FICO score and eviction history

KEVIN KNOBLES Kevin Knobles is the owner and General Manager of KMK Contracting. He is a licensed and insured General Building and Maintenance Contractor and comes with more than 18 years of Bay Area construction experience ranging from single and multifamily residential and commercial construction applications, including both new construction and minor/major renovation, repair and remodel projects. 6 RENTAL HOUSING

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East Bay Rental Housing Association TEL

510.893.9873 | FAX 510.893.2906 www.ebrha.com


925-344-5755 877-264-6964

(Call Now For a Free Estimate)


COLUMN

news City of Richmond Approves Affordable Housing Project City of Richmond planning commis-

EBRHA President Wayne Rowland (left) and EBRHA State Lobbyist Ron Kingston (right) will present at EBRHA’s inaugural Economic & Legislative Forum

Purchase Tickets Now for EBRHA’s Inaugural Economic & Legislative Forum on April 22 is hot right now. But, given current supply challenges and local rent policy restrictions—along with uncertainty in foreign markets and an election in 2016—what is the outlook? Will demand continue to outpace supply? When will rents reach their peak? What are the best cities and neighborhoods to invest in? What can owners do to protect themselves from inevitable downturns and adverse legislation? EBRHA members, as well as all real estate investors and brokers, are invited discover this and more at our inaugural Economic & Legislative Forum­on Wednesday, April 22 from 8 a.m. – 11:30 a.m. The event will be held at Scott’s in Jack London Square, and will feature keynote addresses from Real Estate Economist K.C. Sanjay and Research Analyst Rick Wilson of AXIOMetrics Inc. In addition, guests will hear from leading industry experts in timely and informative panel sessions, including lending and broker updates, development and housing trends, and a legislative and planning policy outlook. To purchase tickets, go to www.ebrha.com/forum.­ THE EAST BAY RESIDENTIAL RENTAL MARKET

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sioners approved an affordable housing project on Central Avenue in February. According to the City of Richmond’s website: “The project site comprises approximately 2.58 acres of land, located at 5620 Central Avenue. A small portion of the project site lies within the City of El Cerrito, but the majority of the site is in the City of Richmond. A total of 172 below-market rate apartments are proposed in a podium building with on level or above-ground parking and four levels of apartments, totaling five stories with an average building height of 61 feet. The unit mix includes 127 2-bedroom, 35 3-bedroom, and 10 4-bedroom family-oriented apartments. The first through the third story of the building would occupy the building’s entire floor plate while floors four and five would be stepped back from the intersection of Central Avenue and San Mateo Street. A total of 309 parking spaces are provided in the ground-level garage. Vehicle access to and from the site would be provided via an entry and exit onto San Mateo Street and an additional exit driveway onto Belmont Avenue via a new bridge that would cross the drainage channel from Belmont to the project site.”

EBRHA Needs You in Sacramento for Legislative Day on April 15! Do you have an interest in representing EBRHA in Sacramento? Spend the day learning about bills, meeting with legislators and their staff, while sharing our concerns and educating policy makers on the intricacies and realities of our industry at EBRHA’s Legislative Day on April 15 in Sacramento. “We use Legislative Day as an opportunity to build relationships with our elected officials,” EBRHA Executive Director Jill Broadhurst said. “We make sure they know who we represent, that we appreciate their time, and that EBRHA wants a seat at the table on any issue related to residential income housing.” She added,


UPCOMING WORKSHOPS & EVENTS “Access to Legislative Day is an important benefit of EBRHA membership—a direct pipeline of voices speaking on behalf of all income property owners in Alameda and Contra Costa Counties. We are in Sacramento as a group once a year, and somehow, meeting on their turf where the magic happens seems to have a more profound impact.” Contact Tori Blanca at tblanca@ebrha.com or 510-893-9873 to RSVP or visit www.ebrha.com/PAC for more information.

EBRHA is Moving Offices Late Spring EBRHA’s offices will be moving to Grand Avenue, just five blocks east of the Grand Lake Theater. Our new offices are being constructed right now and will be modern, spacious and conducive to the growing number of members, and the types of services and education we offer. Metered and free parking is plentiful, and this location is easily accessed by car from both the Grand Avenue and Oakland Avenue exits off of highway 580. By bus, AC Transit Line #12 stops directly in front of the building, and the #12 bus serves both the Lake Merritt and 19th Street BART stations. We look forward to your visit in late spring.

Register Now for EBRHA’s Renovation, Repair and Painting Course EBRHA will be presenting a “Renovation, Repair and Painting” course Wednesday, April 15 from 8:00 a.m. to 5:00 p.m. The EPA-accredited training course will certify workers as required under the new law for anyone who disturbs lead-coated surfaces during repair or renovation of pre-1978 housing. This 8-hour course was designed to train contractors who perform building renovations, repairs or painting. The course is presented by Richard MacFarlane of Benchmark Environmental Engineering. Pricing for EBRHA members is $250, and $325 for non-members. Seating is limited, and the registration deadline is April 3. To register, call 510-893-9873 or go to www.ebrha.com/calendar. RH

Landlord Basics D ATE & TIME SPEAKER PRICE TOPICS

THURSDAY, MARCH 12; 2:00 P.M. - 3:30 P.M.

Tori Blanca, CCRM, EBRHA Free to Members and Non-members The Application Process, Tenant Screening, Fair Housing, Rent Control, Measure EE and EBRHA member benefits

Women, Money & Real Estate: Taking Charge of Your Financial Future D ATE & TIME SPEAKER PRICE TOPICS

TUESDAY, MARCH 17; 2:00 P.M. - 3:30 P.M.

Terry Allen, CFP, Enhance Wealth Advisors Members: Free; Non-members: $69 Please join us as we take a look at some of the unique financial challenges women and women residential rental property owners often face, and then some of the steps needed to take charge of your financial future.

Membership Meeting DATE/TIME SATURDAY, MARCH 21, 10:00 A.M. - NOON TOPIC Legal Q&A — Daniel Riley, Attorney at Law

DETAILS

Maintenance: Planning for Success — Keith Berry, APT Maintenance Members Only; Parking pass available at EBRHA.com

The Applicant Screening Process D ATE & TIME SPEAKER PRICE TOPICS

TUESDAY, MARCH 24; 2:00 P.M. - 3:30 P.M.

Dan Firestone, Contemporary Information Corporation Members: Free; Non-members: $69 Critical Information to Successfully Screen Applicants, Tenant Screening Dos and Don’ts, Checking and Interpreting a Credit Report, EBRHA Tenant Screening Services and more

Online Registration at ebrha.com

Unless noted, all events are held at the:

Sign up, pay registration fees and receive reminders online.

EBRHA Education Center 360 22nd St., Suite 240 Oakland

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COLUMN

court talk

his native country. He left a friend, Madari, in charge of his apartment. At that time, the property was in foreclosure and rent payments were made to a bank. After their acquisition of the property in April of 2010, defendants attempted to obtain information as to the identity of the person or persons residing in Ruban’s apartment but were unsuccessful. On August 22, 2010, one of the defendants received a telephone call from a tenant in a different unit at the property who told her that, over the preceding few days, several people had come by the property to look at an apartment which was supposedly for rent. This tenant had False allegations and stubborn tenants in the been told that there was an ad on the Internet listing an apartment for rent at outrageous case of Ruban v. Hooshmand. the building. BY FRED FELLER The defendant went on the Internet and found an ad for rental of Ruban’s ment with the former owner of the apartment on Craigslist. The ad stated subject property, a multi-unit apartment that the apartment was in excellent building in Oakland. Our clients, the condition and it listed a rent of roughly defendants in the action, purchased the twice the amount stated in Ruban’s lease. property at a foreclosure sale in April of The defendants went to the property and 2010. found the apartment vacant and cleaned The complaint filed by Ruban on up. The only things remaining in the December 12, 2010 included 13 causes apartment were a broken television set of action. The first 11 causes of action and a stack of rental applications on the were all based on allegations that, durkitchen counter. ing the period of Ruban’s occupancy The defendants changed the locks on and defendants’ ownership of the premthe apartment. In September of 2010, ises, defects in the apartment rendered it they re-rented the apartment to new tenunfit for human occupancy, that Ruban ants. Defendants testified that they posted complained repeatedly to defendants a Notice of Abandonment at the property, about the defects and that defendants but did not keep a copy. Ruban returned failed to remedy the defects, all of which to the U.S. in November of 2010 and caused Ruban property damage and only learned at that time that the aparteconomic loss and physical, nervous hen it first came to our ment was no longer his. and psychological pain, suffering and office, it appeared to be a When defendants’ attorney made anguish. typical landlord/tenant case Ruban’s attorney aware of these facts, The last two causes of action of with allegations of uninhabitable condiRuban dropped all of his claims of uninRuban’s complaint were based on tions and wrongful eviction. However, habitability but refused to abandon his allegations that, in August 2010, the facts turned out to be far from claims of wrongful eviction. Instead, he Ruban discovered that the locks to his typical and the situation was one of the produced Madari for deposition. residence had been changed and that most outrageous that our law firm has At his deposition on August 4, 2011, defendants entered Ruban’s premises by ever encountered. Moreover, the former Madari told a spectacularly incredforce, hauled away his belongings, and tenant plaintiff refused to give up his ible story as to what took possession of the claim even in the face of indisputable “The facts turned had happened at the premises. evidence that his case had no merit, out to be far from apartment. He admitHowever, the undisand the case went all the way to trial in typical and the situted that he was living puted evidence showed Alameda County Superior Court. ation was one of the in the apartment, that that the true facts of the In September of 2009, the plaintiff most outrageous he had refused to give case were as follows. In in the action, Ruban, had entered into a that our law firm has defendants his name March of 2010, Ruban written rental agreement for an apartever encountered.” and that he had placed had returned to Yemen,

W

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PHOTO: FLICKR USER XAOTICA / KIMBERLEY D

The Tenant Who Wasn’t There


the Craigslist ad. He then claimed that the Craigslist ad was the defendants’ idea and that they provided him all the language for the ad. He testified that he took the pictures that appeared in the ad, but that the apartment was not really empty at the time. Instead he and one of the defendants moved the furniture and other things from one place to another in the apartment to make it look like it was empty. Madari testified that he had no intention of moving out of the apartment at the time that the Craigslist ad was placed and that all his possessions were still in the apartment at the time that defendants changed the locks. Yet he testified that he never contacted defendants after the lockout to get any of his possessions back. He could not explain why he never sought to retrieve his possessions nor why he never told Ruban what had happened. Instead, he testified, “Today I feel really very tired. I wish to go. I want to go outside and just fresh air, some fresh air.” The case went to trial in May of 2012. The plaintiff’s last pre-trial demand was for $60,000. The defendants offered only a waiver of costs and of any claim for malicious prosecution. Madari did not show up for trial. Ruban based his whole case on his allegation that defendants had failed to post and serve a Notice of Abandonment before changing the locks on the apartment. The defendants claimed that they had done this, but they also relied upon the provision of the Abandonment Statute, which states that abandonment may be proved by other evidence. The defendants argued that a Craigslist ad showing an empty apartment and stating that it is available for rent is satisfactory evidence that the apartment has been abandoned by its former tenants. The trial judge agreed and rendered judgment for the defendants on the day of trial. Case information: Ruban v. Hooshmand, Alameda County Superior Court No. RG10552397. RH Fred Feller is an attorney with Buresh, Kaplan, Feller & Chang, specializing in landlord-tenant law. He can be reached at ffeller@bureshkaplan. com or 510-548-7474.

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RENTAL HOUSING 11


COLUMN

market outlook

A Renaissance in the East Bay Market The East Bay continues to show impressive growth in Q4 2014 apartment sales. BY GRANT CHAPPELL

W

hat a strong finish to the year! Often, it feels like a Renaissance has taken place in the East Bay, more specifically in Oakland. As more Bay Area residents and newcomers are priced out of San Francisco, the East Bay historically served as the most convenient second option for many renters and homeowners. Not anymore. East Bay Rising With the influx of new businesses and rumors that a number of major companies may relocate to our side of the bridge to escape the high rents of San 12 RENTAL HOUSING

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stages. While it will not be completed until 2017, it’s encouraging to see a project that was originally approved in 2007 get new life as the economy recovered and the market fundamentals justified bringing it “off the back burner.” Bay Area Rents Rents continue to rise in the Bay Area. Median rents in San Francisco are nearly 18% higher than last year, rising to $3,991 in San Francisco. While San Jose and San Francisco continue to jockey for first place for the nation’s highest rents, “Echo Markets” of the East Bay and North Bay continue to reap the benefits of the supply constrained market and have a ways to go.

Financing The Federal Reserve has hinted at raising short term rates later this year. Despite announcing their intentions, yields on government bonds drifted lower for a variety of reasons. The EU announced QE (Quantitative Easing), Australia lowered short term interest rates, oil is down, and other major countries are slowing down. Typically, we see a “flight to safety” to US Treasuries, in the wake of negative economic news. Lower interest rates bode well for real estate values as it pushes downward pressures on borrowing costs for real estate and offers better leveraged returns for investors. On the financing side, I reached out to Francisco, I believe the East Bay will be Nils Ratnathicam of the Rincon Group, the first choice for many people. to get his take on what he sees in the More apartment projects are slated Capital Markets. He said,“As rents and to break ground over the next year, market values continue to rise around bringing much needed supply to the the Bay Area, the need for less tradirental market. The building at 3093 tional underwriting metrics will become Broadway, the site of a former Chevmore apparent. For example, where a rolet dealership, will bring more than typical 1.2 debt coverage ratio in the 400 units to market in addition to past resulted in 70% leverage, today it approximately 24,000 might limit buyers to square feet of retail space. “Until our local 60%. Lenders have Another 162-unit project economy shows any responded with comlocated at 2915 Telegraph sign of slowdown or petitively priced bridge is being pushed through interest spike, 2015 loan products that give final planning and buildshould be another buyer’s the leverage they ing department approval impressive year.” need to close, along with

ebrha.com


total volume (5+ units)

time (typically 18-24 months) to improve property operations and quality for traditionally underwritten loan products. I think this type of response from the lending industry is a very positive development that will help keep sales volume up in 2015 and beyond.” 2 – 4 Units Oakland, Berkeley and Alameda posted impressive results. Oakland exceeded 100 transactions for the first time in a year, for an average of nearly $580,000. Alameda set an all time high with an average price of $903,000 per transaction, yet only posted nine sales. Similarly, Berkeley set a record at $965,000 per transaction, yet only recorded 15 sales, more than a 50% drop from a year ago. The data reflects much of what investors and brokers complain about: high prices and lack of inventory. Low interest rates and rising rents will continue to push prices up, but I fear there will not be enough inventory to meet investor demand. 5-Plus Units Oakland recorded the most impressive quarter in terms of volume and average price that we’ve ever seen. Our data also excludes a sale at 901 Jefferson, a 71-unit Class A property that sold for $24,000,000 to The Berkshire Group. A total of $82,000,000 of volume traded hands at an average price of $2.45 million, twice the $39 million that sold one year ago, and $49 million in the previous quarter. The city also set records at an average of $196 per square foot and $156,000 per unit. Berkeley posted $31 million in volume for an average price of $3.9 million, just under a 50% increase from the $22 million in volume for an average of $2.8 million one year ago. Similar to Oakland, Berkeley set a record of $287 per square foot and $230,000 per unit. It’s also worth noting that one of the sales, 2616 Telegraph, a 23-unit mixed use property built in 2002, sold for $8.5 million, approximately $370,000 per unit

price per sq. foot (5+ units)

price per unit (5+ units)

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RENTAL HOUSING 13


transactions (2-4 units)

average sales price (2-4 units)

Source: NAI Northern California

and $405 per square foot. This certainly skews the numbers somewhat since it represents about 25% of the volume. The lack of rent control for newer construction fetches a premium. Lastly, two properties sold in Alameda totaling $3.26 million in volume and at an average of $210 per square foot and $216,000 per unit. I asked my colleague Ethan Berger about the market, as he handled one of the transactions off market. He echoed the “strong investor demand for quality product in a non-rent controlled market” that he’s also seeing in Contra Costa County. Conclusion In summary, the market continues to roar more than anyone could have predicted. Until our local economy shows any sign of slowdown or interest spike, 2015 should be another impressive year. Any major new construction in the East Bay is still a few years out and values in the single-family market are high as well. We expect rents to continue to increase, sales volume to remain high and cap rates to hover at historical lows as interest rates stay low. RH

Grant Chappell is the Vice President of NAI Northern California. He can be reached at grant@nainorcal.com or 510-972-4941.

We Need You for EBRHA’s Legislative Day on April 15! Do you have an interest in representing EBRHA in Sacramento? Spend the day learning about bills, meeting with legislators and their staff, while sharing our concerns and educating policy makers on the intricacies and realities of our industry. Call us now for a special seat at this annual table. Training is required to attend this event, and meals are provided. CONTACT TORI BLANCA AT TBLANCA@EBRHA.COM OR 510-893-9873 TO RSVP OR VISIT WWW.EBRHA.COM/PAC FOR MORE INFORMATION.

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COMMUNITY PARTNER EVENT

Join us for our Biggest Party of the Year! The Oakland Rotary Club presents

THE

Red Carpet Premiere Event

Saturday, March 28, 2015 6:00 - 10:00 pm The Paramount Theatre 2025 Broadway, Oakland CA 94612

A Fundraiser Filled With Fun! Silent Auction, Food Demonstrations Special Performances • Engaging Activities

$125 in advance by cash or check to “Oakland Rotary” submitted to Pat Williams , 1736 FranklinSt., Suite 200, Oakland, CA 94612 $132.87 by credit card using Eventbrite visit: http://bit.ly/1yCEXSS

www.oakland-rotary.org


PHOTO: PETER KEMMER / CREATIVE COMMONS

FEATURE

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The Seven Principles of Healthy Housing Advice to help owners provide healthy homes and reduce maintenance-related stress. BY DOUG HENDERSON

W

hat is healthy housing? Healthy housing is designed, constructed, maintained and rehabilitated in a manner that is conducive to good occupant health. Some of the health problems related to housing are asthma, allergies, brain damage, behavior and learning problems, injuries and poisonings. Healthy tenants are stable tenants. Healthy tenants can go to work every day, which means they are more financially stable. Their good health not only means a better income, but they have fewer medical bills to sap their resources. All of which means they will be able to pay the rent on time, and keep their home in order. With tenants comfortable and safe in their well-maintained homes, there will be fewer complaints and claims. Everybody wins. There are seven simple principles that if followed can make your property a healthy environment for your tenants and save you from costly repairs.

Keep it Dry

Uncontrolled moisture can quickly destroy your building by promoting mold growth, deterioration of building materials, pest infestation and structural weakness. Stop liquid water first: Water can enter the building through a leaky roof, which can lead to major expensive repairs. But a good roof is not enough. Water needs a clear path from the roof to the ground. Good gutters and downspouts can do this job, with the aid of splash blocks or downspout extenders at the ground, and earth sloped away from the house to prevent pooling at the foundation. Preventive attention to plumbing fixtures at the common

leak locations also pays dividends. As with a roof leak, the cost of a neglected plumbing leak escalates as time passes. Look under sinks and bathtubs, and check the wax ring under the toilet. Look for discoloration on the floor near the toilet, and check the floor sponginess. Also, if you can rock the toilet from side to side, the wax ring may be failing. Less dramatic than roof and plumbing leaks is the stealthy entry of water vapor. Water vapor can pass invisibly through concrete slabs and floors and spread throughout the house. It may be unnoticed until it condenses on a cold surface or it may show up as a musty smell. Water vapor can come from underground because of improper site or roof drainage or it may be the result of underground springs or nearby creeks. One simple measure that can reduce vapor entry is to install a vapor barrier consisting of a layer of 6 mil plastic sheeting over the soil under the building. Other sources of moisture come from cooking, bathing, laundry or simply lots of people breathing. For occupantgenerated moisture, ventilation is often the solution. As for mold, keeping it dry is essential to prevent mold growth. Mold growth starts whenever a mold food source, like wood or sheet rock, is wet for more than two days. If a building has a mold problem, it has an excess moisture problem which must be resolved to stop mold growth. Once you have made it dry, mold can be removed from non-porous surfaces like ceramic tile, but porous surfaces like sheet rock may need to be replaced.

Keep it Ventilated

Bringing in fresh air and exhausting contaminated air is ebrha.com

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“Astute rental property owners understand that in addition to an initial investment in the purchase of a property, an ongoing investment in maintenance will keep the building in good shape and reward the owner with years of trouble-free service.” essential for the health of a building and its occupants. Ventilation generally falls into two categories: whole house ventilation and point source ventilation. There is usually more pollution in indoor air than outdoor air, because the indoor air comes from outside and then has more contamination added to it inside. Whole house ventilation keeps the overall contaminant levels lower by bringing in outdoor air and expelling indoor air. Ideally whole house ventilation is planned and controlled to provide enough air flow to make the home comfortable and healthy but not enough to create drafts or waste energy. Many homes have adequate but uncontrolled whole house ventilation through various unplanned holes and gaps. Point source ventilation is needed where the residents’ activities create pollutants (mainly moisture and combustion products) that need to be exhausted outside. Aside from combustion appliances like furnaces and water heaters which should have their own flues to get rid of contaminants, the three primary sources of indoor pollution are cooking, bathing and drying clothes. Exhausted air should be vented out of the building. When running ducts to the exterior, it should be as short a run as possible with as few bends as possible, in a solid metal duct (not flex-tubing) and it should end at the exterior (either through the wall or the roof) with an approved hood termination with a damper to keep out pests. With exhaust fans, “You get what you pay for” is generally true. A cheap fan may move some air, but they are usually noisier, less efficient and burn out faster than a higher quality fan. Also a worthwhile investment in a bathroom is a fan with a humidistat that keeps it running when there is a high level of moisture in the air, and turns it off when the humidity falls to an acceptable level.

Keep it Contaminant-Free

Contaminants in homes come from many sources and bring a variety of health risks. Some are built into the home, some are brought in the front door by the occupants, and some hitchhike on shoes or clothes. Lead and asbestos are examples of contaminants that were used in residences in the past. While asbestos can be very hazardous to workers in the industry, in homes it is usually stable and is best left alone unless it has been damaged and becomes friable. Lead-based paint, which can be found in many homes 18 RENTAL HOUSING

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built before 1978, is especially hazardous to children under age 6 when it is disturbed by renovation or deterioration. To prevent exposure, painted surfaces need to be kept in good condition, and any repairs or renovations that disturb painted surfaces must be done with an EPA Lead-Safe certified firm using lead-safe work practices.

Keep it Safe

The most common cause of injuries in homes is falls, especially for the elderly. A few simple measures can make a property safer and prevent falls. Make sure stairs and railings are up to standards. For example, a small variation in the height of a stair tread can make trips and falls much more likely. Strong graspable rails are important. Showers and bathtubs can be especially hazardous for people with mobility challenges. They can be made dramatically safer by installing grab bars and non-slip surfaces. Children under the age of 14 are also vulnerable to falls and being injured by falling furniture. Fire safety and electrical hazards are also high on the list of potential hazards. Smoke alarms are required in all sleeping rooms and in hallways outside sleeping rooms, and there must be a secondary exit route from all sleeping rooms, such as a window through which a person can exit. Carbon monoxide alarms are also required on each level of the dwelling. Fires are often caused by faulty or overloaded electrical systems. Older electrical wiring is inadequate for the demands of modern appliances, and amateur repairs and upgrades frequently compound the problem. Hiring unqualified workers for electrical work can turn out to be an expensive or even deadly mistake.

Keep it Pest-Free

The nightmare scenario in pest control is the cockroach infestation that has survived despite regular pesticide spraying for years. Routine spray applications are ineffective, costly and hazardous to the health of occupants. There has to be a better way, and there is. It’s called Integrated Pest Management (IPM). Pests are attracted to homes that provide for their needs: food, water, shelter and a way in. If you can make these elements scarce, the property will not support pests. A successful IPM program requires a cooperative approach, with the property manager, pest management professional and resident working together. The resident’s role is to deny pests food by keeping food in sealed containers, cleaning surfaces and reporting pest sightings. The property manager can make sure that any pest entry points to the structure or to hiding places are sealed, and that excess moisture conditions are addressed. You also need to monitor pests and act quickly if an infestation develops, and enforce housekeeping standards. A pest management professional trained in IPM practices can develop an effective plan for dealing with an infestation, and use least toxic methods that work. Each pest requires a different approach to be effective. Pests and pesticides are a nuisance but they are also a threat to health and safety. Cockroaches and dust mites can trigger


asthma attacks and rodents can carry disease. Bed bugs don’t carry disease but they cause welts and psychological distress. Sometimes the biggest hazard with pests is the action taken by the occupant to try to get rid of it. Many pesticides are harmful to people, especially when used by residents who are not trained in safe use. Some, like foggers or “bug bombs” are ineffective and dangerous.

Alameda County Healthy Homes Department Services

Keep it Clean

All of the principles of Healthy Housing are interrelated, and keeping it clean is an important factor. Keeping it clean discourages pests by eliminating food sources and removing cluttered hiding places. Clean homes have fewer contaminants like lead dust and pesticides. Allergens from dust mites, pets and tracked-in dust are reduced by regular cleaning.

Keep it Maintained

As with car maintenance, “Pay now, or pay more later” is the rule of the day. Good maintenance keeps repair costs down. For example, leaves in gutters can lead to expensive mold problems. A clogged dryer vent is both a fire hazard and a source of excess moisture. A cracked furnace heat exchanger allows exposure to carbon monoxide. If you wait for complaints, these could become major and expensive problems and cause health hazards and lawsuits. With a regular maintenance program, they are simply a planned (and relatively small) cost of doing business. A maintenance schedule and records are essential. Make regular inspections to check for problems that may not have been noticed by the resident. Astute rental property owners understand that in addition to an initial investment in the purchase of a property, an ongoing investment in maintenance will keep the building in good shape and reward the owner with years of troublefree service. Good maintenance practices maintain the health of both the building and the tenants while protecting your investment. RH Doug Henderson is a Project Designer with the Alameda County Healthy Homes Department. He can be reached at 510-567-8280 or doug. henderson@acgov.org.

The Alameda County Healthy Homes Department (ACHHD) offers expertise and financial assistance to help you keep your property healthy and safe, with the following free services: FREE CONSULTATION Anyone in Alameda County may receive a free phone consultation by calling the public information line at 510-567-8280. The ACHHD has a user-friendly website at www.achhd.org . Staff are also available for group presentations. OTHER FREE SERVICES The following free services are available to owners of pre-1978 properties in the cities of Alameda, Berkeley, Emeryville and Oakland: • On-site technical consultation with a specialist to assist you in identifying, addressing and preventing lead hazards and other healthy homes issues. • EPA Lead Safety for Renovation, Repair and Painting course, required for work on a pre-1978 residence that disturbs a painted surface NEW FUNDING FOR LEAD PAINT REPAIR AND OTHER HEALTHY HOMES WORK Grants and 0% deferred payment loans are now available for owners of pre-1978 residences in Alameda, Berkeley, Emeryville and Oakland as well as Ashland, Cherryland and San Lorenzo. To qualify, at least one unit on your property must meet the following criteria: • built before 1978 • at least one bedroom • home to a low-income family with a child under 6, or a pregnant woman For more information, call the Alameda County Healthy Homes Department at 510-567-8280 or visit www.achhd.org. ebrha.com

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FEATURE

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PROTECT THE LIFE OF

YOUR ROOF A good roof maintenance program is key to extending the life of your building. BY DOUG KELLOR

PHOTO: STEVEN BYRNES / CREATIVE COMMONS

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ost people don’t think about their roof until there are leaks or other damage to the roof or building. A common misconception among some building owners is that long-term warranties are all-inclusive insurance policies intended to apply to virtually any roofing problem, regardless of cause or circumstance. As a result, after a new roof system has been installed, a building owner may neglect or ignore the need for preventative roof maintenance. Roofing professionals agree that a roof system requires good design, quality materials and proper installation to perform successfully. But once a roof system has been installed, nothing is more critical to its long-term performance than proper maintenance. The intent of a preventative maintenance program is to enable building owners to proactively identify and implement solutions to roof system problems before they become widespread. In many cases, if a problem is identified early and properly repaired, the extent and cost of repairs will be significantly less than if problems were unattended. An additional benefit of establishing an ongoing preventative maintenance program is that it allows for a planned, organized approach to management of the roof asset, as well as for responsible, timely preparation of long-term capital expenditures. Now that you have decided that a roof maintenance program is a smart investment, who should perform the work? First and foremost, all inspections and maintenance should be done by a licensed roofing professional, one with a thorough working knowledge of a wide variety of roofing systems and materials. They will also have the proper equipment and skills to safely access and work on your roof. They should be experienced in dealing with both suppliers and manufactures so ebrha.com

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“EARLY DETECTION AND REPAIR OF PROBLEMS ARE ONE OF THE MANY BENEFITS OF A GOOD MAINTENANCE PROGRAM AND ARE TWO OF THE KEYS TO EXTENDING THE LIFE OF YOUR ROOF. ” they can effectively represent your interests when questions or issues arise. That way if there’s a problem, you have your own personal advocate to ensure you get the warranty protection and guarantee you deserve and paid for. Choosing a Contractor When choosing a roofing contractor to work with, always check references and make sure your contractor has a proven track record of maintaining, repairing, and replacing roofs. It is also important to know about their reputation in the roofing industry and business community at large. Do they carry sufficient workers compensation and liability insurance to protect you? Are they familiar with different roofing systems and manufactures? Are they licensed, and is their license in good standing? In California, persons performing contracting work of $500 or more are required to hold a contractor’s license issued by the Contractors State Licensing Board for the type of work being performed. Choosing and hiring a roofing contractor does not mean that you cannot be involved in the maintenance of your roof. There are numerous items that you as an owner can safely check for, and in some cases, even perform the repairs yourself. Like most people, I check the tire pressure on my vehicle and even rotate tires at times, but I won’t install new tires myself. Who wants their car to shake and shimmy going down the road. Your roof is like your vehicle. Inspecting and maintaining your roof requires specialized knowledge and equipment to perform the work properly and safely, as well as providing a well-functioning roof system. A preventative maintenance inspection program should consist of a visual inspection of the roof system and adjacent walls. Mechanical equipment, solar panels, skylights, overhanging trees, debris build up, drainage systems, as well as anything else that could affect the roof system’s integrity should be inspected. General conditions and problem areas should be recorded in writing and photographed. This information should then be kept on file with the roofing company as well as with the building owner. Having the pictures and documentation available can be useful during future inspections to provide a basis for 22 RENTAL HOUSING

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comparison of any changing roof conditions. During an inspection, technicians can often perform basic cleaning and routine repairs. Additional repairs when necessary should be done in a timely manner to avoid further damage and deterioration of the roof system.

Best Course of Action Once you have all the information, it’s time to make a decision on what your course of action should be. In some cases, the minor repairs performed during the inspection will be all that is needed. In other cases, additional repairs, resurfacing of the roof, a partial reroof, and in some cases, a full reroof may be the recommended course of action. If resurfacing of the roof is an option, it can be as simple as applying a protective or reflective coating to help reflect the sunlight and protect the roof membrane or a complete liquid applied roof system with a fabric embedded into multiple layers of coating. Maintenance, repairs, and coating work can often be taken as a tax deduction in a single calendar year. It is recommended you contact a tax professional for further information and qualification requirements. Various sections of your roof will also weather and age differently based upon exposure to the sun, foot traffic, placement of equipment and number of roof penetrations. In some cases, only small areas of the roof may need to be replaced to extend the life expectancy of the entire roof system. These decisions should be based on the cost of the partial reroof and the additional life expectancy of the roof system after the repairs, versus the cost of complete roof replacement. If complete replacement is necessary, there are numerous options available to choose from. When making these decisions things to consider are the use of the building and whether any special energy code requirements are needed when the roof is replaced. Another item to consider is the Life Cycle cost of the roof system being installed. This cost can vary significantly with different types of roof systems and factors in maintenance and resurfacing costs that are recommended during the life cycle of your roof. Benefits of Good Roof Maintenance Early detection and repair of problems are one of the many benefits of a good maintenance program and are two of the keys to extending the life of your roof. By catching problems and making repairs early, you also avoid possible problems with tenants and damage to your building. Remember your goal is to extend the life of your roof for as long as possible and save as much money as you can. Money spent proactively on a maintenance program will provide long term cost savings and protection. RH Doug Kellor is Project Manager with Fidelity Roof Company. He can be reached at 510-547-6330 ext. 331 or doug@fidelityroof.com.


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177 Post Street, Suite 800 San Francisco, CA 94108 Tel: 415-421-0100

www.friedwilliams.com ebrha.com

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FEATURE

24 RENTAL HOUSING | MARCH 2015 | ebrha.com Pictured: EBRHA member Kevin Knobles of KMK Contracting


HOW TO

GET IT DONE Do-it-yourself maintenance tips to help save time and money. BY KEVIN KNOBLES

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hat’s the number one way you can protect your income property investments? You guessed it: by properly maintaining them. Proper maintenance and the prevention of water intrusion are vital to a structure’s longevity, tenant health, and of course, your property’s resale value. It’s in your best interest to be proactive with your property’s maintenance. Surely, there is a long list of things you could be checking at different times and seasons of the year. If you had all the time, funds and access to the interiors of your properties, you could do it all. However, that’s usually not the case. Though not true of all property owners, some owners rarely make an effort to even look at the unit during the life of their tenant’s occupancy. Therefore, some owners don’t deal with maintenance issues until they’ve become a bigger problem. Either that, or the issue is found during the tenant turnover process. At that point, the problem has become much more extensive and usually significantly more expensive to correct. This situation is usually preventable by doing regular inspections and through better communication with tenants. As a building and maintenance contractor with nearly 20 years of experience, I’ll tell you about some more realistic approaches to maintaining your income property in a manageable way and setting maintenance goals you can actually accomplish. Setting Up a Maintenance Program Let’s take a closer look at what you should be doing if you only had the opportunity to review the property once a year. If you had to pick only one time of the year to do your annual inspection, I recommend the fall period after the leaves have fallen and before the major rains come. First off, you need to find out what to maintain, which means you need to conduct inspections of the building. So take your time, notify your tenants of the upcoming inspec-

tion schedule, making sure to follow the proper notification process. Don’t schedule it too far in advance. Give the minimum notification required by law and gain entry when scheduled. You want to see actual living conditions. Be prepared with a checklist or spreadsheet that easily identifies the major issues (some good home maintenance checklists are available online). If you’re the forgetful type or more technology driven, use a phone app to help manage those inspection dates. This can also help in managing your maintenance programs when you have more than one property to inspect. Typically, I like to set aside a minimum of one hour per unit to carefully inspect and make notes of a property’s interior and exterior. After all, this is your time to see what’s changed since last year’s inspections. If you’re new to property ownership or unsure of exactly what you should be looking for, get some help. An experienced and qualified home inspector, general contractor or even handyman can be a great asset during your walk-through and can help identify problems you may not be aware of during this important time. EBRHA has listings on its website to help you find the perfect contractor. Common Maintenance Issues Here are some of the more common maintenance issues requiring attention and how to go about identifying and repairing these items correctly. Smoke detectors and carbon monoxide detectors — By law, you are required to install and maintain these in all residential structures. You need to supply one smoke detector per bedroom and any hallway servicing a bedroom. You are also required to install carbon monoxide detectors at a minimum of one per each floor level of the unit. Combination smoke and carbon monoxide detectors are typically your best bet for these applications and are fairly inexpensive to install. Roofing — Roofs should be inspected annually, taking special attention to the flashings and sealants that keep them ebrha.com

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Water heaters and furnace HVAC system — While these typically will not directly affect you as the building owner, a poorly maintained HVAC system or filter, or a water heater kept at its highest setting does create additional stress on the equipment and in turn generally lowers its service life. So check the furnace filters and make sure the water heater is at medium temperature. This can also help eliminate scalding and burns to small children and sensitive skin areas. Most tank-style water heaters also need to be drained annually as mineral deposits will build up in the bottom of the tank and shorten the heater’s life while also exposing you to these deposits during use. Faucet aerators and filters — Get in the habit of unscrewing the faucet aerators and checking the filter. Remove the trapped mineral deposits and flush the faucet. This will help eliminate unnecessary exposure to mineral deposits such as calcium and iron. Geographic areas with hard water tend to have this problem more than others. Dryer duct ventilation — Dirty and lint filled dryer ducts are a common source of house fires. Lint and debris builds up in the ductwork causing loss of airflow and when the temperature rises, it can ignite the debris causing fires in the walls and more. A damaged lint screen on an appliance can also let lint enter the ductwork. So check the ducts and filters and have them cleaned if debris is noted. This applies to common laundry areas as well. Fire extinguishers — While some units may be required to install readily available fire extinguishers at several locations, it is also a good idea to install them if you are not required. A local fire extinguisher used by a tenant can quickly stop a small fire from becoming a much larger one. Make sure the extinguishers are in good condition and are not out of date or void. Entrance and egress issues — You are required to provide a safe means of access and egress to the property. While it may have been okay when your tenant first moved in, over time, things change. A wood staircase may have become rotted and is no longer a safe path of travel. Or a hand rail may have become loose and no longer able to support its intended weight. There are also laws regulating safe access and egress, so make sure you are in compliance at all times. Exterior drainage — Look for standing water at or around the building foundation. If it’s still there 24 hours after a rain, the drainage needs to be addressed to eliminate the standing water and potential damage to the foundation and structure.

“IF YOU FIND YOURSELF IDENTIFYING ISSUES DURING YOUR WALK-THROUGH, YOU WILL WANT TO SET UP REPAIRS AND MAKE AN EFFORT TO ADDRESS THEM AS SOON AS POSSIBLE.” watertight. Roofs should be kept clean of foreign and plant debris that generally build up in the valleys and gutter areas. Flat roofs are especially susceptible to debris and leaves, especially if the building is around a lot of foliage. Drainage pathways need to be kept clean to prevent drain overflow, and in worst cases, roof failures due to the weight of water buildup. Gutters and downspouts — Proper operation of the gutters and downspouts is important for several reasons. A gutter system full of debris will not drain the water correctly and will cause backups and overflows of the gutters, often times spilling over into sensitive areas such as siding and flashing terminations which are generally not designed for that. Bathroom moisture and ventilation — Good ventilation is necessary in all of the wet rooms of a home. Proper ventilation can prevent surface mold on the walls and ceilings of the bathroom. Older homes often only have windows that people leave closed on cold days, while current code in most areas now requires fan ventilation. Another key area of concern is the area directly in front of the tub/shower where the floor starts and the caulk/grout joint from tub/shower to the walls starts. These areas are especially susceptible to water intrusion if not properly maintained. Often, a shower or tub enclosure in lieu of a shower curtain can help eliminate water that is exiting the shower area. Signs of moisture or deteriorating caulking around a toilet base usually indicate a failed wax ring and should be addressed immediately. Exterior window and door sealants — Caulking and sealants play a very important role in the water tightness of a building. Exterior sealants are used throughout the exterior of a building at places like siding, around windows and doors, concrete expansion joints and more. It is a good idea to walk the exterior for any voids in the sealants and repair as needed. A high quality exterior polyurethane sealant or hybrid latex sealant works best and is worth its cost as they generally will flex and adhere better than standard latex or painters caulking with a much longer service life. Sink and water leaks — Pay close attention to the area under the interior sinks. A small leak in this area can quickly damage the interior of a cabinet, and is often not easily seen due to its location. Look at the drain assembly, P-trap and water supply lines and check for any signs of active leaks. Check the overflow for proper operation. A good test is to fill the sink up all the way and then let it drain out. This puts the most pressure on the drain and its connections to simulate its day-to-day use. 26 RENTAL HOUSING

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Make it Easy on Yourself Doing annual inspections also provides you time to inspect the unit for other issues, such as habitability and lifestyle issues that may affect the building or its neighbors. Are there additional tenants you’re not aware of? Are there pets that are not listed on the lease agreement? Is the property being used for other reasons besides housing, such as marijuana or drug cultivation, prostitution or illegal activities? Unfortunately, these things do happen and you should be aware if they are happening within your property.


If you find yourself identifying issues during your walk-through, you will want to set up repairs and make an effort to address them as soon as possible. Some items can be repaired while other items will need to be replaced in order to provide your tenants with a safe and habitable environment. A good contractor can help you in this evaluation. Items that require replacement and do not get replaced can manifest into larger issues such as mold, fire and electric hazards, trip and fall hazards, and more. You may be responsible for these and possibly any legal issues that arise out of your neglect to repair/replace these items correctly or when notified. You Get What You Pay For It’s important to hire the correct people to do the job. There’s no industry more susceptible to the old adage of, “You get what you pay for” than in the construction and home improvement industry. So always remember to hire licensed and insured contractors when doing repairs. This will also ensure things are done to code and will provide you with some recourse if things don’t go as planned. It’s worth the money to do it right the first time, and building a trustworthy relationship with a well-qualified and experienced contractor is often key. When doing repairs, make sure permits have been obtained for work requiring permits and that work is well documented. Some repairs may trigger additional code upgrades, so make sure you are taking that into consideration. Rebates may also be available for appliance and green upgrades, so always remember to check on available rebates in your area. Not only will you do your part in energy conservation, it will provide lower service and utility costs to you or your tenants. As a building owner, you are obligated to provide a safe and habitable structure, and just because you didn’t know about an issue does not mean that you are not responsible for it today. So don’t waste any more time! Winter is here and rain is coming (well, hopefully), and unfortunately these things won’t maintain themselves. Good luck! RH Kevin Knobles is the General Manager with KMK Contracting. He can be reached at 925-292-8667 or kevink@kmkcontracting.com.

DIY Maintenance Tips PHOTOS BY KEVIN KNOBLES

A water heater kept at its highest setting creates additional stress on the equipment and in turn lowers its service life. Be sure to check the furnace filters and make sure the water heater is at medium temperature.

Get in the habit of unscrewing the faucet aerators and checking the filter. Remove the trapped mineral deposits and flush the faucet. It will help eliminate exposure to mineral deposits such as calcium and iron.

Exterior sealants are used throughout a building at places like siding, windows and doors, concrete expansion joints and more. It is a good idea to walk the exterior for any voids in the sealants and repair as needed. ebrha.com

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COLUMN

government affairs

hot buttons, the House Republicans voted for the 56th time this month to repeal the Affordable Care Act (ACA). While they know they lack the votes in the Senate to pass the legislation, leadership needed to give their new members the opportunity to go on record. Interestingly, for the first time since the law was passed, there were GOP defectors. Three Republican House members voted against the legislation on the grounds that without a fully cooked alternative to the ACA, it was irresponsible to repeal the law when that would result in thousands of Americans losing health care coverage. This narraLegislative updates from NAA’s Senior Vice tive is gaining strength not only because of Congressional action but because of a President of Government Affairs. BY GREG BROWN looming decision by the Supreme Court of the United States (SCOTUS) in regards And now cue the wet blanket. The to subsidies provided through the ACA. next imminent issue will not result in In the case of King vs. Burwell, the such a kumbaya moment between the SCOTUS is considering whether or not Congress and the White House—fundthe ACA allows for tax credit subsidies ing for the Department of Homeland for eligible enrolled participants in all Security. This one area of the federal states or just those states that have their budget was short-funded last year so own health care exchanges. Should the that Congress could leave itself an Court rule that it does not, then those opportunity to try and stop the Presiindividuals in states that use the federal dent’s executive order on immigration. exchange will immediately lose their The House passed its bill, but the Sensubsidy and in theory their health care ate was unable to get past the 60-vote coverage. Estimates are this could be as threshold to take up the legislation so many as 9 million people. Both sides of now Republicans must come up with a the debate agree that this ruling by the Plan B. Court would be a deadly blow to the law, If they allow the funding window but they obviously disagree as to whether to close, they could face blowback that is a good thing or a bad thing. It’s for shutting down a critical agency also worth noting that the issue could responsible for protecting the nation. e are one month into the be remedied by impacted states if they If they drop the injurious language in new Congress and the gears simply started their own exchange. This order to draw Democrats and pass the of power are already turnof course costs money and takes a lot of legislation, Mitch McConnell (R-Ky.) ing furiously as the legislative process is time but would allow their residents to faces cannon fire from the likes of well under way. Much to my own surreceive tax credit subsidies again. This Senators Cruz (R-Texas), Lee (R-Utah), prise, the Congress got off to an early will be the most significant development Paul (R-Ky.) and Rubio (R-Fla.) inside start and passed an extension of the in regards to the ACA since the SCOTUS the Senate not to mention the legions Terrorism Risk Insurance Act (TRIA) ruling on the individual mandate. of conservatives on the outside who less than a week into the new session. Four years since its passage, the ACA demand the GOP do something to stop The President signed it shortly thereafis still a touchstone for the President. This topic ter, taking off of the table an important “The issues that Republicans in Conhas helped to keep the issue for the apartment industry and NAA members will gress. There has been overall issue of immigramany other business sectors. Rarely take to the Consomewhat of a shift tion reform on the front does this happen, but after the lastgress on March 18 from simple repeal to burner for the Congress second fumble (I won’t say interception are immigration, repeal and replace. and some action could out of deference to our friends in the There are even some, still occur in the next two reform of the SecPacific Northwest) by the Senate on tion 8 voucher proespecially in the Senyears. NAA is engaged TRIA, I think everyone felt obligated to gram and proposed ate, who want to move with lawmakers as these move quickly. Not a bad way to start changes to the on to other priorities. conversations take place. things off. nation’s tax code.” Still, saying you hate the Speaking of partisan

Cue the Wet Blanket

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ACA and voting to repeal it are checkthe-box exercises which every Republican must do in order to stave off primary challenges. The good news is that the President has given the GOP lots of new targets to fire at: immigration, the war with ISIS, the federal budget and tax policy. In other news, Senate Majority Leader McConnell and the President each got an early valentine from Senate Democrats this month. McConnell got the votes he needed to pass legislation approving the Keystone Pipeline project. This legislation will pass the House and then go to the President before the end of the month. The President will now—assuming he sticks with his threat on the bill—be able to veto his first bill of the 114th Congress. That will mean a 50% increase in vetoed bills since the start of his presidency (he has only vetoed two bills since taking office in 2009). Meanwhile, McConnell will have evidence that he can govern in a divided Senate, even with less than 60 votes. Time will tell if he can replicate this success in other substantive areas and whether those additional successes will also result in a Presidential veto. I’ll close with a pitch for the NAA Capitol Conference. If you have not registered yet, you still can! Just go to http:// capitol-naa.naahq.org for the registration form, detailed agenda and other materials. We have just confirmed HUD Secretary Julian Castro as our luncheon speaker on March 17. He joins journalist David Gregory and photographer/storyteller Platon on our speakers list in what is a packed two days of information and advocacy. The issues that NAA members will take to the Congress on March 18 are immigration, reform of the Section 8 voucher program and proposed changes to the nation’s tax code. All critical concerns for owners, operators and managers of apartment communities in every corner of the nation. I hope you will be one of the voices taking our message to Capitol Hill during the conference. That’s all for now. Talk with you next month. RH 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.

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EBRHA IS MOVING LATE SPRING! EBRHA’s offices will be moving to Grand Avenue, just five blocks east of the Grand Lake Theater. Our new offices are being constructed right now and will be modern, spacious and conducive to the growing number of members, types of services and education we offer. Metered and free parking is plentiful, and this location is easily accessed by car from both the Grand Avenue and Oakland Avenue exits off of highway 580. By bus, AC Transit Line #12 stops directly in front of our building, and the #12 bus serves both the Lake Merritt and 19th Street BART stations.

WE LOOK FORWARD TO YOUR VISIT IN OUR NEW SPACE IN LATE SPRING.

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COLUMN

esq. & a

Q

Fire by Negligence Is a property owner required to allow a tenant to re-occupy a unit, even after causing extreme damage by negligence? BY VARIOUS AUTHORS

Q

I have a tenant who was negligent and caused a huge fire in several units. Once the repairs are completed, do I have to allow this tenant to re-occupy the premises?

A

Contrary to what you might think, a tenant who negligently starts a fire in a residential apartment building does not lose their right to occupy their unit. This defies logic and common sense, but yes, the tenant must be allowed to re-occupy the unit after the repairs are completed. All evictions in units covered by the Oakland Rent Ordinance must be based on one of the “just cause” reasons for eviction under the Ordinance. The only just cause provision that allows a landlord to evict a tenant for behavioral conduct, whether prohibited by the ordinance or by the lease, is the provision that allows a landlord to evict for illegal activity. Because negligence does not constitute illegal activity, it must treated as a “curable” violation. This means that the 30 RENTAL HOUSING

| MARCH 2015 |

tenant must be given an opportunity to cure the bad behavior before an eviction is initiated. So they get another chance you ask? Actually, in Oakland they get two more chances! Oakland requires landlords to serve a Notice to Cease before serving a Notice to Perform or Quit. This additional requirement was implemented to prevent landlords from serving a notice to perform or quit and then proceeding with an eviction if the tenant does not immediately comply with the notice. Therefore, when a tenant engages in nuisance behavior, like negligently starting a fire or having loud parties, a landlord is required to serve the tenant with a notice to cease, warning the tenant to comply with the lease or ordinance. If the tenant fails to comply and repeats the offending behavior, the landlord can then serve a Three Day Notice to Perform or Quit giving the tenant another chance to cure the violation. If the tenant repeats the offending behavior again, the landlord may be able to proceed with an eviction, depending on the circumstances. If there is a provision in the lease that requires the tenant to pay for damages that they cause to the unit and/or building, a landlord may have a basis for eviction if the tenant refuses to compensate the landlord for the cost of repairs. Because these cases are very fact driven and the timing of the violations, service of the notices, and collection of rent are all critical to the strength of the case, an attorney should be consulted before proceeding with an eviction.

ebrha.com

—DANIEL RILEY

My tenant is constantly leaving her personal belongings in the apartment building’s hallway, even though her lease says she cannot do that. I give her a notice to cure the behavior, and she puts her stuff away, but days later her mess is in the hallway again. This has been going on for months. Do I have to issue a notice every single time? What can I do?

A

Oakland’s Just Cause for Eviction Ordinance permits an owner to evict a tenant for substantially violating a material term of the tenancy. Your rental agreement prohibits your tenant from storing her personal belongings in the hallway. When she does this, she is not only violating the rental agreement, but she may be creating an eyesore in your building, she may be disturbing other residents, and she may be violating safety codes if her belongings impede ingress/egress. Accordingly, this may be a basis for eviction if she continues with or repeats this conduct. The law requires you to first serve your tenant with a written Notice to Cease to advise her that this conduct—if repeated, not stopped or not cured—may cause her to be evicted. The Notice to Cease must give the tenant at least seven days to cure the violation (12 days if served by certified mail). The specific requirements for the content of a Notice to Cease are outlined in Oakland’s Just Cause for Eviction Regulations. Once a notice to cease is properly given, you do not need to give your tenant another notice to cease every time she repeats the same conduct. So for instance, if she removes her belongings from the hallway after receiving the notice to cease but then leaves a mess in the hallway again days later, then you do not need to give her a new notice to cease. However, if a significant period of time lapses before she repeats the conduct, then a new Notice to Cease may need to be given. So if after you have properly given your tenant a Notice to Cease and she has not complied or has repeated the same conduct within a short period of time, then the next requirement is that you serve her with a formal written


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RENTAL HOUSING 31


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The information contained in this article is general in nature. Consult the advice of an attorney for any specific problem. Daniel Riley is an attorney with the Law Offices of Daniel Riley and can be reached at 415-823-6129 or driley_813@msn.com. Steve Williams is an attorney with Fried & Williams LLP. He can be reached at 510-625-0100 or swilliams@ friedwilliams.com.

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Three Day Notice to Perform or Quit. This notice terminates the tenancy if your tenant continues engaging in the same conduct beyond the three-day period. In such case, you may then file an unlawful detainer action (eviction action) in court to seek possession of the unit based on a substantial violation of a material term of the tenancy. Given the complex rent and eviction control laws in Oakland, you should consult with an attorney experienced in this area of law before serving termination notices or seeking to recover possession of a unit. And always be sure to take photos and document your tenant’s offending conduct every step of the way.

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RENTAL HOUSING 33


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DON’T GET LEFT OUT! FOR ALL OF THIS MONTH’S EVENTS CHECK OUT THE CALENDAR PAGE ON PAGE 36

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RENTAL HOUSING 35


community calendar EVENTS & CLASSES

march

april

THURSDAY, MARCH 12 Landlord Basics Tori Blanca, CCRM, EBRHA Free to Member and Non-members 2:00 p.m. – 3:30 p.m. TUESDAY, MARCH 17 Women, Money & Real Estate: Taking Charge of Your Financial Future Terry Allen, CFP, Enhance Wealth Advisors Members: Free; Non-Members: $69 2:00 p.m. – 3:30 p.m. SATURDAY, MARCH 21 EBRHA General Membership Meeting Topics: • Legal Q&A by Daniel Riley, Attorney at Law • Maintenance: Planning for Success by Keith Berry, APT Maintenance 10:00 a.m. - 12:00 p.m. TUESDAY, MARCH 24 The Applicant Screening Process Dan Firestone, Contemporary Information Corporation Members: Free; Non-Members: $69 2:00 p.m. – 3:30 p.m.

THURSDAY, APRIL 9 Landlord 101 Tori Blanca, CCRM, EBRHA Members: Free; Non-Members: $69 2:00 p.m. – 3:30 p.m. TUESDAY, APRIL 14 AND WEDNESDAY, APRIL 15 Legislative Day in Sacramento Contact Tori Blanca at tblanca@ebrha.com or 510-893-9873 to RSVP or visit www.ebrha.com/PAC for more information All Day Event WEDNESDAY, APRIL 15 Renovation, Repair and Painting Course • This EPA-accredited training course will certify workers as required under the new law for anyone who disturbs lead-coated surfaces during repair or renovation of pre1978 housing. • This 8 hour course was designed to train contractors who perform building renovations or repairs or painting and how to work safely and comply with the EPA regulations. • The course addresses health concerns, regulations, before, during and after work procedures, as well as record-keeping and training non-certified workers. The class consists of a point presentation of the new RRP regulations and hands on student participation. There is an exam at the end of the course and students must pass at 70%. Instructor: Richard MacFarlane, Benchmark Environmental Engineering Members: $250; Non-Members: $325; Limited seating Registration deadline is Friday, April 3 8:00 a.m. – 5:00 p.m. FRIDAY, APRIL 17 Renovation, Repair and Painting Course (Recertification) • Please bring original RRP certificate the day of class. Instructor: Richard MacFarlane, Benchmark Environmental Engineering Members: $150; Non-Members: $250; Limited seating Registration deadline is Friday, April 3 8:00 a.m. – Noon TUESDAY, APRIL 21 Fair Housing: It’s a Right Angie Watson-Hajjem, Fair Housing Specialist, ECHO Housing Members: Free; Non-Members: $69 2:00 p.m. – 3:30 p.m. WEDNESDAY, APRIL 22 Economic & Legislative Forum Scott’s at Jack London Square Topics: • Economic Forecast • Multifamily Lender and Broker Updates • Legislative and Property Management Outlook See ad on back cover for agenda and speaker information Go to www.ebrha.com/forum to purchase tickets 8:00 a.m. - 11:30 a.m.

No Refunds on no shows; Seats fill fast, register in advance! To register and pay, visit ebrha.com or call (510) 893-9873. Unless noted, all classes and events are held at the EBRHA Education Center, 360 22nd St., Suite 240, Oakland 36 RENTAL HOUSING

| MARCH 2015 |

ebrha.com


Oakland RENT ADJUSTMENT PROGRAM FEE

Annual fees are $30 per unit and are due March 1. Owners are allowed to pass through $15 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

2014-15 (1.9%) A CPI increase of 1.9% became effective on July 1, 2014. 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 ‘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 JUNE 1 ‘04 - MAY 30 ‘05. . . . . . . . . . 0.7 JUNE 1 ‘03 - MAY 31 ‘04. . . . . . . . . . 3.6 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 QUALIFICATIONS AND AMORTIZATION PERIODS.

Berkeley RENT STABILIZATION BOARD FEES

Annual fees are $194 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

2015 (2.0%) 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.

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)

2003. . . . . . . . . . . . . . . . . . . . . . . . . 0% *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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RENTAL HOUSING 37


vendor directory — CONTACTS, PRODUCTS & SERVICES ABATEMENT SERVICES

Environmental Remedies, Inc. Jaime Tamayo 925-519-6354 www.environmentalremedies.com P.W. Stephens Environmental Kimberly MacFarlane 510-651-9506 www.pwsei.com Water Damage Recovery Rick Walker 800-886-1801 www.waterdamagerecovery.net ACCOUNTING & TAX

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 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

BOMA Oakland/East Bay Stephen Shepard 510-893-8780 www.bomaoeb.org Oakland Association of Realtors Sally Dunker 510-836-3000 www.oar.org Oakland Chamber of Commerce Barbara Leslie 510-874-4808 www.oaklandchamber.com ATTORNEYS - EVICTIONS/PROPERTY OWNER DEFENSE

Bornstein & Bornstein Daniel Bornstein 510-836-0110, x1007 www.bornsteinandbornstein.com Buresh, Kaplan, Feller & Chang Fred Feller 510-548-7474 www.bureshkaplan.com Ericksen Arbuthnot Jason Mauck 510-832-7770 www.ericksenarbuthnot.com Fried & Williams LLP Clifford Fried 510-625-0100 www.friedwilliams.com 38 RENTAL HOUSING

| MARCH 2015 |

Law Offices of Daniel Riley Daniel Riley 415-823-6129 driley_813@msn.com Law Offices of Elaine Lee Elaine Lee 510-848-9528 www.elaineleeattorney.com Law Offices of Leon H. Rountree III Leon H. Rountree III 510-343-6299 www.leonrountree.com Richards Law John Richards 925-231-8104 www.richards-legal.com The Evictors Ed Nagy 510-839-2074 The Shepherd Law Group Michael Shepherd 510-531-0129 www.theshepherdlawgroup.com ATTORNEYS - LAND USE/CONDO CONVERSION

Law Offices of Daniel Riley Daniel Riley 415-823-6129 driley_813@msn.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 ATTORNEYS - REAL ESTATE/CORP.

Buresh, Kaplan, Feller & Chang Fred Feller 510-548-7474 www.bureshkaplan.com Burnham & Brown Jack Schwartz 510-444-6800 www.burnhambrown.com Ericksen Arbuthnot Jason Mauck 510-832-7770 www.ericksenarbuthnot.com Fried & Williams LLP Clifford Fried 510-625-0100 www.friedwilliams.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 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 ebrha.com

Chase Commercial Neil O’Callaghan 415-315-8901 neil.ocallaghan@chase.com Cooperative Center Federal Credit Union Chris Perez 510-647-2127 cperez@coopfcu.org First Federal Savings & Loan Assoc. Anthony Moreno 415-460-2657 www.ffsavings.com First Republic Bank Jeff Fung 510-336-3907 www.firstrepublic.com Intervest Mortgage Marc Lipsett 510-622-8515 www.intervest-mortgage.com Luther Burbank Savings Larry Miller 925-627-2790 www.lutherburbanksavings.com NorthMarq Capital Brian Esquivel 415-433-4145 www.northmarq.com Opus Bank William Craun 925-648-5915 www.opusbank.com SF Fire Credit Union Herman White, Jr. 415-674-4808 www.sffirecu.org Torrey Pines Bank Mike Popovich 510-899-7548 mpopovich@torreypinesbank.com BATHROOM & KITCHEN REMODELING

American Bath Enterprises, Inc. Larry Arcadi 510-785-2600 www.americanbathind.com APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com SGK Home Solutions Vladmir Merabian 408-264-6964 www.sgkhomesolutions.com CABINETS & COUNTERTOPS

Elegant Stone & Cabinets Linh Duong 925-954-8845 www.elegantstoneandcabinets.com CARPET CLEANING

Cleaner Carpets Ron Russell 510-522-1344 cleanercarpet@juno.com CODE COMPLIANCE/CONDO CONV.

Armstrong Development Barbara Armstrong 510-337-1998 barbaraarmstrong@comcast.net COLLECTION AGENCIES

Credit Bureau Associates Kathy Parsons 800-564-6440 www.cbacredit.com


vendor directory CONSTRUCTION

A-One Construction Dirksen Rogers 510-747-9713 www.a-oneconstruction.com APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com Bayside Building Services & Pest Elimination Helmut Tutass 510-717-3506 pestcontrol1@writeme.com D.W. Hamilton Construction, Inc. D.W. Hamilton 510-919-0046 www.dwhamiltonconstruction.com Going Green Dan Antonioli 510-652-7593 www.going-green.co KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com Schafer Construction, Inc. Mike Barker 510-568-7200 www.schaferconstructioninc.com Smart Building, Inc. Sheryl Dron 510-444-7678 www.getsmartbuilding.com 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 510-835-3073 www.arc-ca.com Water Damage Recovery Rick Walker 800-886-1801 www.waterdamagerecovery.net DOORS & GATES

R & S Overhead Garage Door Sean Boatright 510-483-9700, x14 www.rsdoors.com Rex Key and Security Joe Towbis 510-527-7000 www.rexkey.com SGK Home Solutions Vladmir Merabian 408-264-6964 www.sgkhomesolutions.com Statcomm Inc. Cherie Anderson 650-988-9508 www.statcomm.com Urban Ore Marylou Van 510-841-7283 www.urbanore.com ELECTRICIANS

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

Paramount Elevator Corp. Mark Pipoly 510-835-0770 www.paramountelevator.com FINANCIAL PLANNING

David White & Associates Miguel Delgado 925-277-2635 www.dwassociates.com FIRE ESCAPE SERVICE

Great Escape Susan Giaquinto 415-566-1479 www.greatescapeinc.com FIRE PROTECTION

Bay Alarm Limor Margalit 510-639-2652 www.bayalarm.com Detect All Security & Fire Amy Roither 510-835-4100 www.detectall.com Sentry Alert David Ingham 510-549-0306 www.sentryalert.com Statcomm Inc. Cherie Anderson 650-988-9508 www.statcomm.com FLOOR COVERINGS

Bay Area Contract Carpets, Inc. Kerry Plain or Ken Scott 510-613-0300 www.bayareacontractcarpets.com Dick’s Carpet One Dan Biles 510-633-9533 www.dickscarpetoneoakland.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 GREEN BUILDING

Going Green Dan Antonioli 510-652-7593 www.going-green.co Smart Building, Inc. Sheryl Dron 510-444-7678 www.getsmartbuilding.com Urban Ore Marylou Van 510-841-7283 www.urbanore.com GUTTER CLEANING

Mr. Sparkle Dylan Kelly 510-504-7048 www.mrsparkle.biz

HANDYMAN SERVICES

APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com Bayside Building Services & Pest Elimination Helmut Tutass 510-717-3506 pestcontrol1@writeme.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

Advanced Home Energy Shira Henry 510-540-4860 www.advancedhomeenergy.com Albert Nahman Plumbing & Heating Albert Nahman 510-843-6904 www.albertnahmanplumbing.com Black Diamond Mechanical Robert Lopez 510-522-4196 robertlopez@blackdiamondmechanical.com Hassler Heating & Air Conditioning Mike Hassler 510-848-3030 www.hasslerheating.com INSPECTIONS

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

Advanced Home Energy Shira Henry 510-540-4860 www.advancedhomeenergy.com INSURANCE

Bulloch Insurance Brokers, Inc. Curt Bulloch 925-640-0485 www.curtbulloch.com Commercial Coverage Insurance Paul Tradelius 415-436-9800 www.comcov.com CSE Insurance Group David Earwood 925-817-6497 www.cseinsurance.com Capital Insurance Group John Reynoso 1-800-682-9255, x7519 jreynoso@ciginsurance.com ebrha.com

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RENTAL HOUSING 39


vendor directory Commercial Coverage Insurance Paul Tradelius 415-436-9800 www.comcov.com David E. Quan Agency Insurance Brokerage Xavier Quan 510-653-8880 www.dquanagy.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 Stone Creek Insurance Agency Tom Lynch 925-297-4202 www.stonecreekinsurance.com Yonas Hagos - Farmers Insurance Yonas Hagos 510-763-1030 www.farmersagent.com/yhagos INTERCOMS & ACCESS CONTROLS

INVESTMENT OPPORTUNITIES

Martinez Real Estate Investment Jose Martinez 510-769-0436

PAINT SUPPLIERS

Dunn-Edwards Paints Jim Perry 925-822-7535 www.dunnedwards.com PEST & VECTOR CONTROL

Alameda Co. Vector Control Services Daniel Wilson 510-567-6826 daniel.wilson@acgov.org Terminix Robert Sater 510-489-8689 www.terminix.com Times Up Termite Mike Barker 510-568-7200 www.timesuptermite.com PLUMBING/WATER HEATERS

PROPERTY MAINTENANCE

APT Maintenance, Inc. Keith Berry 510-747-9713 www.aptmaintenanceinc.com KMK Contracting & Property Services Kevin Knobles 925-292-8667 www.kmkcontracting.com

LAUNDRY EQUIPMENT

Coinmach Carlos Barraza 510-429-0900, x54435 www.coinmach.com Innovative Coin Cheri Guffey 510-259-1494 www.innovativelaundry.com

PROPERTY MAINTENANCE SUPPLIES

LEAD, MOLD & PEST MANAGEMENT

Alameda County Healthy Homes Dept. Julie Twichell 510-567-8252 www.aclppp.org LISTING SERVICE

Trulia Pierre Calzadilla 415-400-7260 www.trulia.com/rent

Ferguson Enterprises, Inc. Jermane Griffin 916-752-7608 jermane.griffin@ferguson.com Wilmar Nick Mraz 800-345-3000 www.wilmar.com PROPERTY MANAGEMENT

Advent Properties, Inc. Benjamin Scott 510-289-1184 www.adventpropertiesinc.com Bay Property Group Daniel Bornstein 510-836-0110

LITIGATION SUPPORT SERVICES

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

| MARCH 2015 |

MARKET RESEARCH

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

Albert Nahman Plumbing & Heating Albert Nahman 510-843-6904 www.albertnahmanplumbing.com Frank Bonetti Plumbing Dan Bonetti 510-582-0934 www.bonettiplumbing.com Pacific Drain & Rooter Service Nasir Jalil 510-452-4606 nasirjalil80@gmail.com Roto-Rooter Martin Alvarez 510-755-1262 sanactma@aol.com

R & S Overhead Garage Door Sean Boatright 510-483-9700, x14 www.rsdoors.com Rex Key and Security Joe Towbis 510-527-7000 www.rexkey.com Statcomm Inc. Cherie Anderson 650-988-9508 www.statcomm.com

40 RENTAL HOUSING

LOCKSMITH EVICTION SERVICES

Golden Gate Locksmith Co Ralph Scott 510-654-2677 kgglocksmith@yahoo.com Rex Key and Security Joe Towbis 510-527-7000 www.rexkey.com

ebrha.com

www.baypropertygroup.com Beacon Properties Carlon Tanner 510-428-1864 www.beaconprop.com Caldecott Property Management Services Ronald Reece 510-594-2400, x226 www.caldecott.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 Sasha Bermudez 510-883-7017 www.erirentals.com Lapham Company Jon M. Shahoian 510-594-7600 www.laphamcompany.com Marquardt Property Management Karen or Judi Marquardt 510-530-2050 www.mpmoakland.com MSB Property Management Nik Bhachu 510-649-3380 www.msbmanagement.com Oaktown Urban Properties Michael Moynihan 415-572-0334 www.oaktown-up.com OMM Inc./Mason Management Janice Mason 510-522-8074 www.ommhomes.com Premium Properties Sam Sorokin 510-594-0794 www.premiumpd.com Shaw Properties Liz Hart 510-665-4350 www.shawprop.com Sphinx Property Management Jon Goree 510-798-9299 www.sphinxpm.com 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

Buildium Sam Clarke 888-414-1933 x152 sam@buildium.com


vendor directory 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 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 Coldwell Banker Commercial Henry Ohlmeyer 925-831-3390 www.coldwellbanker.com Edrington & Associates Steven Edrington 510-749-4880 sedrington@msn.com Home & Investment Realty George Vassiliades 510-710-6826 www.propertiesbygeorge.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 510-972-4941 www.naikilpatrick.com Paragon Commercial Brokerage Ben Weil or Zack Ward 415-874-5018 thebenweilteam@paragon-re.com Property Counselors Link Corkery, Inc. Link Corkery 510-886-1212 www.pclclink.com Red Oak Realty Kevin Hamilton 510-250-8780 kevin@redoakrealty.com Woodminster Real Estate Co Inc. Nicholas Drobocky 510-336-0202 www.woodminsterrealty.com RECYCLING/REUSE

DR3 Mattress Recycling Robert Jaco 510-798-3734 www.mattressrecycling.us

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

Alan K. Beales 510-339-9776 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 St. John and Associates (Berkeley only) Michael St. John 707-937-3711 msjetal@pacbell.net RENTAL SERVICES

Cal Rentals Elaine Perkins 510-642-3644 www.calrentals.housing.berkeley.edu Hamilton Properties Bay Area Delesha Hamilton 404-606-2141 www.hamiltonpropertiesbayarea.com ROOFERS

A-One Construction Dirksen Rogers 408-690-0890 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 SECURITY/SURVEILLANCE

Bay Alarm Limor Margalit 510-639-2652 www.bayalarm.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 Sentry Alert David Ingham 510-549-0306 www.sentryalert.com SEISMIC CONSTRUCTION

Adobe Soil & Structures Mark Almeida 510-919-1880 www.adobesoils.com 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

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 SOLAR ENERGY

Sun Light & Power Martin Morehouse 510-809-3686 martin@sunlightandpower.com TENANT SCREENING SERVICE

Contemporary Information Corp. (CIC) Dan Firestone 888-232-3822 www.continfo.com TOWING SERVICE

Ken Betts Towing Services Ayub Azam 510-532-5000 www.kenbettscompany.com PPI Towing Stephanie Gipson 510-533-9600 www.ppitowing.net TREE SERVICE

Bartlett Tree Experts Tony DeMola 925-934-6306 www.bartlett.com Coastal Tree Service Hans Waller 510-693-4631 www.coastaltreeservice.com TUB, TILE & COUNTERTOP REFINISHING

Discovery Coatings Gargie Balarbar 415-971-8207 www.discoverycoatings.com WASTE & WASTE HANDLING EQUIPMENT

DR3 Mattress Recycling Robert Jaco 510-798-3734 www.mattressrecycling.us Waste Management Company David Tucker 510-430-8509 www.wastemanagement.com WATER MANAGEMENT

HydroPoint Colleen Moore 415-602-6984 cell cmoore@hydropoint.com WINDOW WASHING

Mr. Sparkle Dylan Kelly 510-504-7048 www.mrsparkle.biz WINDOWS

Advanced Home Energy Shira Henry 510-540-4860 www.advancedhomeenergy.com SGK Home Solutions Vladmir Merabian 408-264-6964 www.sgkhomesolutions.com Urban Ore Marylou Van 510-841-7283 www.urbanore.com ebrha.com

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MARCH 2015

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RENTAL HOUSING 41


ad index

PRODUCTS & SERVICES

EAST BAY RENTAL HOUSING ASSOCIATION

Membership Application for Property Owners and Managers

ABATEMENT

P.W. Stephens. . . . . . . . . . . . . . . . . . . . . . . . . 34 APPLIANCE PARTS & SALES

Appliance Parts Distributor. . . . . . . . . . . . . . 3 ATTORNEYS

Bornstein & Bornstein. . . . . . . . . . . . . . . . . . The Evictors. . . . . . . . . . . . . . . . . . . . . . . . . . Fried & Williams LLP. . . . . . . . . . . . . . . . . . . The Shepherd Law Group . . . . . . . . . . . . . .

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FREE SUBSCRIPTION TO RENTAL HOUSING MAGAZINE

CARPETING & FLOORING

LEASING SERVICE

Bay Area Contract Carpets, Inc.. . . . . . . . . 31 CONSTRUCTION

MANAGEMENT ASSISTANCE SEMINARS & WORKSHOPS

KMK Construction. . . . . . . . . . . . . . . . . . . . . 34 West Coast Premier Construction. . . . . . . 35

TENANT SCREENING SERVICE

ENGINEERS

Adobe Soil & Structures. . . . . . . . . . . . . . . . 34 Earthquake and Structures, Inc.. . . . . . . . . 23 West Coast Premier Construction. . . . . . . 35 INSURANCE COMPANIES

NAME

CIG Insurance. . . . . . . . . . . . . . . . . . . . . . . . . . 5 Jain Williams - State Farm. . . . . . . . . . . . . . 35

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LAUNDRY

Innovative Coin . . . . . . . . . . . . . . . . . . . . . . . 35

ADDRESS

LENDERS

CITY

STATE ZIP

JPMorgan Chase Bank. . . . . . . . . . . . . . . . . . 11 Torrey Pines Bank . . . . . . . . . . . . . . . . . . . . . 31 LOCKSMITH EVICTION SERVICES

PHONE EMAIL

Golden Gate Locksmith Co. . . . . . . . . . . . . 35 PEST CONTROL

Team Too. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

RENTAL PROPERTY LOCATION

PLUMBING ANNUAL MEMBERSHIP DUES (TAX DEDUCTIBLE):

Albert Nahman Plumbing . . . . . . . . . . . . . . 33

1-2 UNITS = $249.00

3-4 UNITS = $269.00

5-8 UNITS = $289.00

9-16 UNITS = $299.00

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Maisel Property Management. . . . . . . . . . . 34 PROPERTY MANAGEMENT & SALES

Bay Property Group . . . . . . . . . . . . . . . . . . . 33 Beacon Properties. . . . . . . . . . . . . . . . . . . . . 35

NEW MEMBER PROCESSING FEE CHECK (PAYABLE TO EBRHA)

REAL ESTATE BROKERS

$30

TOTAL DUE:

$

MASTERCARD

VISA

John Caronna—Coldwell Banker. . . . . . . . . . 11 Paragon Commercial Brokerage. . . . . . . . . 15 AMERICAN EXPRESS

RECYCLING

StopWaste. . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 RESOURCES

CARD NUMBER

EXPIRATION DATE

ECHO Housing. . . . . . . . . . . . . . . . . . . . . . . . 27 RENT BOARD CONSULTANTS

Liz Hart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34

NAME ON CARD

ROOFING SERVICES

Frank Fiala Roofing. . . . . . . . . . . . . . . . . . . . 32 General Roofing Co. . . . . . . . . . . . . . . . . . . . 33

SIGNATURE

DETACH THIS FORM AND FAX OR MAIL TO THE ADDRESS BELOW East Bay Rental Housing Association 360 22nd Street, Suite 240 Oakland, CA 94612 TEL

510.893.9873 | FAX 510.893.2906

ebrha.com

42 RENTAL HOUSING

| MARCH 2015 |

ebrha.com

SECURITY

Sentry Alert. . . . . . . . . . . . . . . . . . . . . . . . . . . 31 WATERPROOFING

Applied Waterproofing Systems . . . . . . . . 34 WINDOWS, DOORS & SIDING

SGK Solutions.. . . . . . . . . . . . . . . . . . . . . . . . . 7 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.


Real Estate Investors & Brokers EAST BAY RENTAL HOUSING ASSOCIATION PRESENTS

EAST BAY RENTAL HOUSING ASSOCIATION

Economic & Legislative Forum Wednesday, April 22, 2015 8:00 am - 11:30 am Scott’s at Jack London Square, 1 Broadway, Oakland For tickets, go to www.ebrha.com/forum

The East Bay residential rental market is hot right now.

Keynote Speakers

But, given current supply challenges and local rent policy restrictions—along with uncertainty in foreign markets and an election in 2016—what is the outlook? Will demand continue to outpace supply? When will rents reach their peak? What are the best cities and neighborhoods to invest in? What can owners do to protect themselves from inevitable downturns and adverse legislation? Discover this, and more, as you hear from leading industry experts.

K.C. Sanjay Real Estate Economist AXIOMetrics Inc.

8:00 – 8:30 am: Continental Breakfast & Networking 8:30 – 9:00 am: Keynote: Economic Forecast 9:00 – 9:45 am: Multi-unit Lender and Broker Updates 9:45 – 10:30 am: Multi-unit Housing Outlook 10:30 – 11:00 am: Legislative & Planning Policy Landscape 11:00 – 11:30 am: Post-event Networking

Rick Wilson Research Analyst AXIOMetrics Inc.

PANEL SPEAKERS

Wayne Rowland EBRHA President (Moderator)

Luke Blacklidge Real Estate Broker, Litton-Fuller Group, EBRHA Vice President

Bianca Fargnoli Director of Real Estate, Greystar

James Kilpatrick President, NAI Northern California

Ron Kingston President, CalPCG and EBRHA State Lobbyist

Marc Lipsett Director of Loan Production, Intervest

THANK YOU TO OUR SPONSORS Commercial Real Estate Services, Worldwide.

To sponsor the event, contact Tina Bocheff at tbocheff@ebrha.com or (510) 318-8303

Rental Housing - March 2015  
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