Chapter 10.67
HOTEL-CONDOMINIUM
CONVERSION PERMITS
Sections:
10.67.010 Purpose and applicability.
10.67.040 Public notice and hearing.
10.67.060 Conditions of approval.
10.67.010 Purpose and applicability.
The conversion of any hotel to a hotel-condominium shall require the issuance of a hotel-condominium conversion permit.
In addition to the general purposes of this title, the specific purposes of establishing procedures and a framework for hotel-condominium conversion permit are as follows:
A. To establish regulations for the processing of hotel-condominium permits and the operation of hotel-condominiums;
B. To ensure that hotel-condominiums are operated and governed in the same manner as conventional hotels, and that such facilities are not used for residential purposes;
C. To ensure the maintenance and upkeep of converted structures to avoid public nuisances and hazards to public health and safety;
D. To ensure that structures converted to hotel-condominiums meet physical standards as required by all applicable laws, ordinances and regulations; and
E. To ensure that the purchasers of the hotel-condominium units have been properly informed as to the physical condition of the structure that is offered for purchase. [Ord. 1194 § 2, 2009.]
10.67.020 Authority.
The Planning Commission may approve, conditionally approve, or deny a hotel-condominium conversion permit application, unless otherwise restricted by State law. Development of a hotel-condominium must comply with all applicable requirements of this title. Such development shall also comply with SMC Title 9 (Subdivisions) and the Subdivision Map Act. [Ord. 1194 § 2, 2009.]
10.67.030 Applications.
Applications for hotel-condominium conversion permits shall include all information specified by Chapter 10.50 SMC (Land Use Permit Procedures) and SMC Title 9 (Subdivisions). Each submittal shall also include:
A. A map showing all common areas and usage of the building, showing the boundaries of all units for informational purposes.
B. A physical elements report prepared by a registered engineer or architect or licensed, qualified contractor describing the physical elements of all structures and facilities. The report shall include, but not be limited to, the following:
1. The structural condition of all elements of the property, including foundations, electrical, plumbing, utilities, walls, roofs, ceilings, windows, recreational facilities, sound transmission of each building, mechanical equipment and parking facilities.
For each element, the report shall state to the best knowledge or estimate of the applicant: When such element was built, the condition of each element, when the element was replaced, the approximate date upon which the element will require replacement, the cost of replacing the element, and any variation of the physical condition of the element from the current zoning regulations and from the Uniform Construction Codes in effect on the date that the last construction permit was issued for the subject structure. The report shall identify any defective or unsafe elements and set forth the proposed corrective measures to be employed.
2. A report from a licensed structural pest control operator approved by the City on each structure and each unit within the structure.
3. A report on soil and geological conditions regarding soil deposits, rock formations, faults, groundwater and landslides in the vicinity of the project and a statement regarding any known evidence of soils problems relating to the structures. Reference shall be made to all known previous soil reports for the site. Copies of all known previous soil reports shall be submitted with the report.
4. A statement of repairs and improvements to be made by the subdivider necessary to refurbish and restore the project to achieve a high degree of appearance and safety.
C. Full architectural plans, including floor plans, elevations and site plan, as determined necessary by the Community Development Director.
D. Any other information that, in the opinion of the Community Development Director, will assist in determining whether the proposed project will be consistent with the purposes of this chapter.
The applicant shall deliver copies of the final reports and materials required under this section to each initial purchaser at least 10 days prior to the sale of such unit or units within the hotel-condominium. The final reports and materials shall remain on file with the Community Development Department for review by any interested persons. The reports and materials shall also be referenced in the staff report to the Planning Commission.
Application procedures and processing timeframes shall be consistent with Chapter 10.50 SMC (Land Use Permit Procedures), this chapter, State law and additional procedural guidelines established by the Community Development Director. Acceptance of an application does not constitute any indication of approval. [Ord. 1194 § 2, 2009.]
10.67.040 Public notice and hearing.
The Planning Commission shall hold a public hearing on an application for a hotel-condominium conversion permit following completion of a staff report pursuant to SMC 10.50.090 (Staff reports and recommendations). The public hearing shall be noticed and held in accordance with Chapter 10.82 SMC (Public Notice and Hearings). [Ord. 1194 § 2, 2009.]
10.67.050 Findings.
The Planning Commission may approve a hotel-condominium conversion permit only if the following findings can be made:
A. The Planning Commission has received and reviewed the physical elements report regarding the general condition of all buildings and listing all code violations.
B. The project will conform to all applicable laws, ordinances and regulations, including but not limited to those pertaining to building, fire, subdivision and formula retail (SMC 10.44.240).
C. The project is consistent with the Sausalito General Plan.
D. All provisions of this chapter are met, or, alternatively, the parking requirements for hotel-condominiums are met, any existing nonconformities are not increased, and, to the greatest extent practicable, existing nonconformities are decreased.
E. The overall design and physical condition of the project achieves a high degree of appearance, quality and safety. [Ord. 1194 § 2, 2009.]
10.67.060 Conditions of approval.
The Planning Commission may apply reasonable conditions of approval to assure compliance with applicable regulations and standards, including those recommended by City departments and those specified in SMC 10.50.100 (Recommended conditions of approval). In addition, the following conditions of approval shall apply:
A. Covenants, Conditions and Restrictions (CC&Rs). CC&Rs and all other agreements, including but not limited to property owner’s association agreements, and hotel management agreements, relating to a hotel-condominium project shall be submitted for review and approval by the Community Development Director and City Attorney to ensure that: (1) the long-term maintenance and operation of the hotel-condominium are in accordance with this chapter and the terms of the hotel-condominium conversion permit; (2) all units, except for the resident manager unit prescribed in subsection F of this section, remain available for occupancy by transients (as defined in SMC 10.88.040); (3) except for ownership interests held by a corporation, limited liability company, limited partnership, general partnership or similar entity, or a tenancy-in-common or joint tenancy (which shall be treated as a single entity), the ownership interest in any individual unit or units shall not be divided by any form of fractional ownership, including, without limitation, a timeshare; (4) no storage or long-term parking of vehicles or other items (except for storage facilities provided in individual units) shall be allowed; and (5) 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 Community Development Director and City Attorney.
B. Owner’s Association. All hotel-condominium projects shall require the establishment of a property owner’s association (a “POA”) to oversee the maintenance and operation of the hotel-condominium and its services. The structure and responsibilities of the POA shall be approved by the Community Development Director and the City Attorney and shall comply with all applicable regulations of the California Department of Real Estate.
C. Guest Management Entity. All hotel-condominium projects shall require the POA to hire a hotel management entity to manage and operate the hotel-condominium and its services as a single hotel facility. The POA shall submit a letter identifying the hotel management entity and its professional qualifications to the Community Development Director and City Attorney. The hotel management entity shall: (1) provide transient guest services to all owners of the hotel-condominium units; (2) be the sole entity to manage and operate the reservations of individual hotel-condominium units; and (3) be responsible for collection of the transient occupancy tax. All unit owners shall be required to participate in the reservation program provided by the hotel management entity. The management and operations of a hotel-condominium shall be subject to compliance with SMC 10.44.240 (Formula retail).
D. Enforcement and Inspection. The POA and the hotel 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 the hotel-condominium conversion permit and any other permits issued by the City for the site. 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 Community Development 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 28 days per calendar year per unit. Any such occupancy shall be subject to the TOT in accordance with Chapter 3.12 SMC. Calculation of the TOT for unit owners or their designees shall be based on the same reservation/guest rates as utilized for the general public.
F. Resident Manager. Notwithstanding the terms of this chapter, a hotel-condominium facility may contain one unit that 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 POA and the hotel management entity.
G. Reservation System. All hotel-condominium facilities shall provide a central reservation system for the reservation 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 or any lockable storage closet or cabinet unless access to such closet or cabinet is uniformly provided to all hotel-condominium occupants.
I. Parking. Parking shall be provided in accordance with the requirements of SMC 10.40.100 (Parking standards); in addition, owners shall not be allowed to store vehicles.
J. Utility Undergrounding. Utilities serving the structure(s) shall be undergrounded in accordance with Chapter 18.08 SMC from the meter to the distribution lines.
K. Physical Condition. The project shall conform to the applicable standards of SMC Title 8 regarding Uniform Construction Codes in effect on the date the last construction permit was issued for the subject structure or structures, except as herein provided:
1. Each bathroom in each unit shall be provided with ground fault circuit interrupters.
2. Each unit shall be provided with approved smoke detectors conforming to the latest Uniform Building Code standards, mounted on the ceiling or wall at a point centrally located near rooms used for sleeping purposes.
3. All fire hydrants, fire alarm systems, portable fire extinguishers, sprinklers, fire life safety warning systems and other fire protective appliances shall be maintained in operable condition at all times in accordance with current requirements of the City’s Fire Code.
4. The structure(s) shall comply with the accessibility requirements of Title 24 of the California Building Code and the Americans with Disabilities Act.
5. All landscaping shall be restored as necessary and maintained to achieve a high degree of appearance and quality. If a significant amount of new landscaping is required, the applicant shall obtain an administrative design review permit in accordance with SMC 10.54.040.
6. All main buildings, structures, fences, patio enclosures, carports, accessory buildings, sidewalks, driveways, landscaped areas, and additional elements as required by the Community Development Director shall be refurbished and restored as necessary to achieve a high degree of appearance, quality and safety.
7. Prior to final approval, the applicant shall provide evidence to the City that a long-term reserve fund for replacement of the improvements identified in subsection (K)(6) of this section has been established in the name of the POA. Such fund shall be equal to two times the estimated monthly homeowner’s assessment for each unit.
L. Signage. Any signage for the hotel-condominium shall conform to the requirements of Chapter 10.42 SMC.
M. Financial Records. The financial records of the hotel-condominium pertaining to the usage 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 Sausalito Municipal Code.
N. Additional Terms and Conditions. In addition to the regulations set forth in this chapter, the City may impose additional terms and conditions on the hotel-condominium conversion permit as is deemed necessary to further the goals of this chapter and the Sausalito Municipal Code.
O. Compliance with Law. It shall be the responsibility of the applicant for a hotel-condominium project, as well as the unit owners, the POA, 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. 1194 § 2, 2009.]
10.67.070 Notice of decision.
The decision of the Planning Commission shall be in the form of a written resolution, which shall include findings on which the decision was based and applicable conditions of approval. Written decisions shall be mailed to the applicant. [Ord. 1194 § 2, 2009.]
10.67.080 Appeals.
All decisions of the Planning Commission may be appealed to the City Council within 10 days of the decision date. All appeals shall be in writing and shall be submitted and processed in accordance with Chapter 10.84 SMC (Appeals). [Ord. 1194 § 2, 2009.]
10.67.090 Effective date.
Hotel-condominium conversion permits shall become effective 10 days after the decision has been rendered, provided no appeal has been filed. [Ord. 1194 § 2, 2009.]
10.67.100 Expiration.
Hotel-condominium conversion permits are valid for two years unless a different expiration date is stipulated at the time of approval, a building permit has been issued and construction diligently pursued, or the permit is renewed or extended. If more than one phase of a development is approved in a single action and later phases remain outstanding, approval shall lapse at the end of the authorized timeframe. [Ord. 1194 § 2, 2009.]