Chapter 17.32
HOTEL-CONDOMINIUMS
Sections:
17.32.020 Use permit and design review required.
17.32.030 Conditions of operation.
17.32.010 Purpose and intent.
The purpose of this chapter is to establish minimum regulations for the processing and operation of hotel-condominiums. It is the intent of this chapter that hotel-condominiums are operated and governed in the same manner as conventional hotels, and that such facilities are not to be used for residential purposes. (Ord. 631 § 2, 2006).
17.32.020 Use permit and design review required.
All hotel-condominium facilities shall require a use permit and design review in accordance with Chapter 17.40 CMC, “Use Permits,” and Chapter 17.06 CMC, “Design Review,” respectively. A use permit may only be issued in those zoning districts where hotels are permitted. No person shall convert any portion of any hotel to a hotel-condominium without first obtaining a use permit and design review approval in accordance with this chapter. (Ord. 631 § 2, 2006).
17.32.030 Conditions of operation.
In addition to the use permit and design review findings required in Chapters 17.40 and 17.06 CMC, respectively, each application submitted for the purpose of obtaining a use permit and design review approval shall include a detailed plan to satisfy the minimum conditions of operation as set forth below. Each hotel-condominium shall comply with the following minimum conditions of operation:
A. Covenants, Conditions, and Restrictions (CC&Rs). CC&Rs and all other agreements, including, but not limited to, homeowners associations (HOAs) agreements, rental management agreements, and hotel management agreements, relating to a hotel-condominium project shall be submitted for review and approval by the Planning Director and City Attorney to ensure that (1) the long-term maintenance and operation of the hotel-condominium is in accordance with this chapter and the terms of any use permits issued for the hotel-condominium; (2) all units, except for the resident manager unit prescribed in subsection (F) of this section, remain available for occupancy by transients; and (3) notice is provided to future purchasers of the City’s right to enforce the CC&Rs and all other agreements. Any future amendments to such documents shall be subject to review and approval by the Planning Director and City Attorney.
B. Owners Association. All hotel-condominium projects shall require the establishment of an owners association to oversee the maintenance and operation of the hotel-condominium and its services. The structure and responsibilities of the owners association shall be approved by the Planning Director and City Attorney.
C. Rental Management Entity. All hotel-condominium projects shall require the owners association to hire a rental management entity, to be approved by the Planning Director and City Attorney, to manage and operate the hotel-condominium and its services. The rental management entity shall (1) not maintain any of the formula visitor accommodation characteristics set forth in CMC 17.04.639(A) through (F), (2) provide transient rental services to all owners of the hotel-condominium units, (3) be the sole entity to manage and operate the rental of individual hotel-condominium units, and (4) be responsible for collection of the transient occupancy tax (TOT). All unit owners shall be required to participate in the rental program provided by the rental management entity.
D. Enforcement and Inspection. The owners association and rental management entity shall have the right, power and obligation to enforce the terms set forth by the CC&Rs and all other agreements, together with the terms of any use permits issued for the hotel-condominium. This includes, without limitation, the right to enter any portion of the hotel-condominium, including individual units, to cure any failure or defect in order to satisfy such terms. In addition, all hotel-condominium facilities, including individual units, shall be subject to inspection upon reasonable notice by the City’s Planning and Building Department to ensure compliance with the terms of any use permits issued for the hotel-condominium, the terms of this chapter, and all other applicable laws and regulations.
E. Occupancy and Rates. Units shall be available for transient occupancy by the general public at all times, and shall not be used for purposes that are not subject to the transient occupancy tax (TOT). Occupancy by unit owners or their designees shall be limited to no more than 30 days per calendar year per unit. Any such occupancy shall be subject to the TOT in accordance with Chapter 3.16 CMC. Calculation of the TOT for unit owners or their designees shall be based on the same rental rates as utilized for the general public.
F. Resident Manager. Notwithstanding the terms of this chapter, a hotel-condominium facility may contain one unit which may be used on a full-time basis by a resident manager(s), and, if applicable, such unit shall be subject to the governance of the owners association and rental management entity.
G. Reservation System. All hotel-condominium facilities shall provide a central reservation system for the rental of units as an integral part of hotel-condominium services.
H. Furnishings and Utilities. All hotel-condominium facilities shall contain a central lobby with a front desk and/or reservation desk. All units within the hotel-condominium facility shall contain and maintain standardized furniture, furnishings, and decor, and shall be served by centrally metered utility services, including, but not limited to, telephone and cable services. No units shall contain a kitchen, washer/dryer equipment or connections, or any lockable storage closet or cabinet unless access to such closet or cabinet is uniformly provided to all hotel-condominium occupants.
I. Signage. All hotel-condominiums shall have sufficient signage viewable by the general public designating the hotel-condominium as a hotel.
J. Financial Records. The financial records of the hotel-condominium pertaining to the rental of each unit, including any occupancy by owners or their designees, shall be open for inspection by authorized representatives of the City, upon reasonable notice, in order to ensure compliance with the CMC.
K. Additional Terms and Conditions. In addition to the regulations set forth in this chapter, the City may impose additional terms and conditions on any use permit issued to a hotel-condominium as is deemed necessary to further the goals of this chapter and the CMC.
L. Compliance with Law. It shall be the responsibility of the applicant for a hotel-condominium project, as well as the unit owners, the owners association, and the rental management entity, to comply with the requirements of this chapter, as well as other applicable federal, state, and local laws and regulations. (Ord. 631 § 2, 2006).