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That the City Manager is requested to confer with the Law Department, Cambridge Development Department, and the City Manager’s Housing Liaison to discuss and advise on a condominium conversion ordinance

POR 2021 #156·Council meeting Jun 28, 2021·14 pages·📄 Original PDF (city portal)
AN ORDINANCE PROVIDING PROTECTION FOR TENANTS FACING DISPLACEMENT BY CONDOMINIUM COOPERATIVE CONVERSION PURSUANT TO CITY'S AUTHORITYUNDER ST. 1983, C. 527 WHEREAS, in 1983, the State Legislature adopted Chapters 527 of the Acts of 1983, in which the General Court found and declared that a serious emergency exists within the Commonwealth with respect to the housing of a substantial number of the citizens of the Commonwealth. This rental housing emergency created by prolonged increases in housing costs at a rate substantially exceeding increases in personal income, by housing abandonment, and by increased costs of new housing construction and finance has been greatly exacerbated by the effect of conversion of rental housing into condominiums or cooperatives. Currently the combination of a booming housing market with extraordinarily high rental prices and an extremely low vacancy rate makes it extremely difficult for many tenants, including elders, low and moderate income tenants, and tenants with disabilities, to relocate. In order to adequately protect these tenants facing displacement as a result of condominium conversion, they must receive further protection from the consequence of such conversion than the law now affords. The current housing crisis and the threat of displacement as a result of condominium conversion poses a serious threat to the public health, safety, and general welfare of the: citizens of the Commonwealth, particularly the elderly, the handicapped, and persons and families of low and moderate income. It is therefore necessary-that such emergency be dealt with immediately; and WHEREAS, Section 2 of Chapter 527 of the Acts of l93 provides that any city or town may, by ordinance or by-law, impose provisions or requirements to regulate for the protection of tenants with respect to the conversion of housing accommodations, as defined therein, to the condominium or cooperative forms of ownership and evictions related thereto which differ from those set forth in Chapter 527, upon a two-thirds vote of the City Council with the approval of the Mayor, and WHEREAS, Section 2 of Chapter 527 of the Acts of 1983 also provides that local legislative action to impose provisions or requirements to regulate for the protection of tenants with respect to the conversion of housing accommodations to the condominium or cooperative forms of ownership and evictions related thereto which differ from those set forth in Chapter 527 must be accompanied by a declaration, in the form of findings, that local conditions constitute an acute rental housing emergency requiring local action, on account of the aggravating impact of the facts set forth in Section 1 of Chapter 527; and WHEREAS, prior and subsequent to Chapter 527 of the Acts of 1983, following declarations of emergency by the City Council and the State legislature; the City of Cambridge adopted ordinances for the protection of tenants with respect to the conversion of housing accommodations to the condominium or cooperative forms of ownership and evictions related thereto pursuant to the authority granted to it under its rent and eviction control enabling laws, including Chapter 36 of the Acts of 1976, extending such protections to rent-controlled accommodations; and - WHEREAS, during the 1970's over one thousand nine hundred units of rental housing in the City of Cambridge were removed from the rental market due to conversion to the condominium or cooperative form of ownership; and
WHEREAS, in August 1979 the City of Cambridge enacted Section 8.44 of the Cambridge Municipal Code which regulated eviction due to condominium conversion; and WHEREAS, as a result of the City's regulation of condominium or cooperative conversion, tenant displacement by reason of condominium or cooperative conversation eviction substantially abated; and WHEREAS, Chapter 282 of the Acts of 1994 provided that rent and eviction protections should continue in effect for certain low-income tenants in rent-controlled units until December 31, 1996; and WHEREAS, Section 3 of Chapter 282 of the Acts of 1994 provides that cities or towns in which rent control authority ended retain their rights under Chapter 527 of the Acts of 1983, to enact local ordinances to provide tenant protections regarding condominium or cooperative conversions and evictions resulting therefrom which may be different from the protections found in Chapter 527 of the Acts of 1983; and WHEREAS; with the adoption of Chapter 282 of the Acts of 1994 and M.G.L. e. 40P eviction protections ended under rent control enabling laws; and WHEREAS, there continues to be a high rate of conversion of rental unite to the condominium form of ownership and a sharp escalation in the cost of both rental housing and housing for purchase in the City of Cambridge; and WHEREAS, many of the state and federal housing programs that serve low and moderate income tenants, and elderly and handicapped tenants, are reduced, leaving many households with fewer affordable alternative if they are displaced; and WHEREAS. the City of Cambridge wishes to adopt legislation which would protect tenants who are in occupancy of units at the time that such units are first converted or individually sold as condominium or cooperative units from displacement due to condominium or cooperative conversion, and provide protections for those tenants while they pursue other housing alternatives; and WHEREAS, the City of Cambridge wishes to insure that future condominium or cooperative conversions comply with all condominium and cooperative conversion laws, that tenants are not constructively evicted from their units because of such conversion, and that where displacement occurs tenants are given proper notice of their rights and options. including the right to purchase their dwelling unit, Now, therefore, the City Council declares, in accordance with Section 2, Paragraph: 4 of Chapter 527 of the Acts of 1983, that current conditions in the City of Cambridge constitute an acute rental housing emergency requiring action by the City, on account of the aggravating impact of those factors enumerated in Section l of Chapter 527 of the: Acts of 1983, and because of prolonged increases in housing costs at a rate substantially exceeding increases in personal income, by reductions in state and federal affordable housing programs, and by the effect of conversion of rental housing into condominiums or cooperatives, thus reducing the remaining stock of rental housing and resulting in threats of displacement to existing tenants, particularly those of low- and
moderate-income and those who are elderly or who are people with disabilities, and an inability of those tenants to secure comparable replacement housing; The City Council further declares that pursuant to its powers under Section 2 of Chapter 527 of the Acts of 1983, the City of Cambridge hereby establishes certain additional protections for tenants living in housing accommodations which are, or which may in the future be, converted to the condominium or cooperatives form of ownership, so as to minimize involuntary displacement as a result of condominium or cooperative conversion and evictions related thereto particularly for those who are elderly, who are people with disabilities and/or who are of low and moderate income, and the City of Cambridge hereby establishes a regulatory scheme to ensure that future conversion of housing accommodations to the condominium or cooperative form of ownership is carried out in compliance with this ordinance, in a manner that avoids constructive or direct tenant displacement except as otherwise authorized by law, and in a manner that gives tenants and designated housing agencies an opportunity to exercise rights to purchase units so as to minimize displacement and to maximize the ability of tenants facing displacement to relocate into suitable replacement housing, that Chapter 8.44 of the Cambridge Municipal Code shall be stricken, and this ordinance shall be adopted in its stead. When used in this ordinance, unless the context otherwise requires, the following terms shall have the following meanings: a. Chapter 527: The terms "Chapter 527" and "Chapter 527 of the Acts of 1983" shall refer to Chapter 527 of the Acts of 1983, as amended from time to time. b. Comparable housing: Housing of similar size, with similar amenities would not require a change in school enrollment for minor school age children. c. Convert. The submission of a housing accommodation to the condominium form of ownership by executing and/or recording a master deed or assignment of lease pursuant to chapter 183A of the General Laws; or the act of submitting a housing accommodation to the cooperative form of ownership under articles of organization creating a housing cooperative in pursuant to chapter l56B, 157, l57B or any other provisions of the General Laws. d. Condominium or Cooperative Conversion Eviction. An eviction of a tenant for the purpose of removing such tenant from a housing accommodation in order to facilitate the initial bona fide sale and transfer of legal title to that housing accommodation as a condominium or cooperative unit to a prospective purchaser; or an eviction of a tenant by any other person who has purchased a housing accommodation as a condominium or cooperative unit where the tenant whose eviction is sought was a resident of the housing accommodation at the time the notice of intent to convert is given or should have been given as provided in Section 4 below. For purposes of this ordinance, the word "eviction" shall include, without limitation, any action by an owner of a housing accommodation which causes substantial deprivation of a tenant's beneficial use of such housing accommodation, materially impairs such tenant's beneficial enjoyment of such housing accommodation; or is intended to compel such tenant to vacate or to be constructively evicted from such housing accommodation. e. Condominium or Cooperative Unit: A unit in a housing condominium as that term is defined in chapter 183A of the General laws; or a unit in a housing cooperative which has been organized under the provisions of chapter l56B, 157, or 157B of the General Laws, or any other provision of the General Laws.
f. Department: the Department of Community Development of the City of Cambridge. g. Conversion Permit: A document issued by the Department, pursuant to this ordinance, which authorizes conversion of housing accommodations to the condominium or cooperative born of ownership. h. Elderly Tenant: A tenant or tenant household in which at least one member is at least sixty years of age as of the date of receipt of any Notice of Intent to Convert required by Section 4, or, if no such notice is delivered, the date the tenant exercises any right under this ordinance. i. Tenant with Disabilities.! A tenant or tenant household in which at least one member is physically handicapped as defined by Section 13A of Chapter 22 of the General Laws of the Commonwealth of Massachusetts or physically, emotionally or mentally handicapped as defined by 29 U.S.C. Section 706(7)(b), as of the date of receipt of any Notice of Intent to Convert required by Section 4, or, if no such notice is delivered, the date the tenant exercises any right under this ordinance. j. Housing Accommodation: Any building; structure or part thereof or land appurtenant thereto of any other real or personal property rented or offered for rent for living or dwelling purposes, within the City, including without limitation, houses, apartments, condominium units, cooperative units, looming or boarding house units, and other properties used for living or dwelling purposes, together with all services connected with the use or occupancy of such property; but not including: i. Housing accommodations which the United States or the Commonwealth of Massachusetts or any authority created under the laws thereof either owns or operates; ii. Housing accommodations in any hospital, convent, monastery, asylum, public institution, of college or school dormitory operated exclusively for charitable or educational purposes, or in any nursing or rest home for the aged; iii. Buildings or structures containing fewer than three residential units, except that housing accommodations which together consist of two or more adjacent, adjoining or contiguous buildings under common legal or beneficial ownership which are used in whole or in part for residential purposes, and which contain three or more units shall constitute a single structure for the purposes of this ordinance; or iv. Housing accommodations in hotels, motels, inns, tourist homes, and rooming and boarding houses which are occupied by transient guests staying for a period of fewer than fourteen consecutive calendar days. Provided further, that the following housing accommodations shall remain within the meaning of the term "housing accommodation", as defined by Chapter 527 of the Acts of 1983, shall be subject to the provisions of Chapter 527, and shall not be subject to the additional provisions or requirements of this ordinance: i. Housing accommodations constructed, or created by conversion from a non- housing to a housing use, on or after November 30, 1983, ii. housing accommodations which were constructed oz substantially rehabilitated pursuant to any federal mortgage insurance program, without any interest subsidy or tenant subsidy attached thereto; and
iii. housing accommodations financed through the Massachusetts Housing Finance Agency, with an interest subsidy attached thereto, so long as such properties remain subject to such financing. k. Housing Services: Services and facilities provided by an owner or required by law or by the terms of a rental housing agreement to be provided by an owner to a tenant in connection with the use and occupancy of any housing accommodation, including without limitation, services, furniture, furnishings, and equipment; repairs, decorating, and maintenance; provisions of light, heat, hot water, cold water, telephone and elevator service; kitchen, bath, and laundry facilities and privileges; use of halls, corridors, stairs, common rooms, yards and other common areas; maid service, linen service, janitorial service, removal of refuse, parking facilities, and any other benefit, privilege, or facility connected with the use or occupancy of any housing accommodation. Housing services to a housing accommodation shall include a proportionate share of the services provided to common facilities of the building in which the housing accommodation is located. l. Intent to Convert: The intent to make the initial sale and transfer of title to a housing accommodation as one or more condominium or cooperative units pursuant to an individual unit deed or deeds, or, in the case of a cooperative, a proprietary lease. Factors which shall be considered in determining whether an owner has the intent to convert shall include, but not be limited to the following: i. the owner has applied for a conversion permit pursuant to Section 4; ii. a master deed or articles of organization has been prepared or recorded; iii. the owner has prepared, or is preparing a purchase and sale agreement for the sale of any unit in a housing accommodation as a condominium or cooperative unit; iv. the owner has advertised for sale any unit in the housing accommodation as a condominium or cooperative unit; v. the owner has shown to any prospective purchaser any unit in the housing accommodation for sale as a condominium or cooperative unit; vi. the owner has made any communication, written or oral, to any person residing in the housing accommodation, or to any other person, expressly indicating an intent to sell any unit as a condominium or cooperative unit; vii. the owner has had any unit in the housing accommodation measured or inspected to facilitate the sale of the unit as a condominium or cooperative unit; viii. the owner has had the land surveyed, an engineering study performed or architectural plans prepared for the purpose of converting such housing accommodation into one or mole condominium or cooperative units; ix. the owner has sought rent increases, or proposed rent increases, for the housing accommodation, in excess of ten percent for the twelve month period prior to the termination or the tenancy or the commencement of the eviction; x. an excessive number of evictions, terminations of tenancies, or other deprivations of use by tenants in the twelve month period prior to the termination of the tenancy or the eviction; and xi. the owner is holding units vacant in the housing accommodation with the intent of facilitating the sale of said units as condominium or cooperative units; provided, however, that vacancies due to tenant turn-over, or to permit repairs in the ordinary course of business shall not by themselves be considered as a factor in determining whether an owner has the intent to convert.
m. Owner: The individual who holds title to any housing accommodation in any manner, including without limitation a partnership, limited partnership, corporation ox trust.For purposes of this ordinance, the rights and duties of the owner hereunder shall also be the obligation of anyone who manages, controls, or customarily accepts rent on behalf of the owner. n. Low Income Tenant. A tenant or group of tenants, all of whom occupy the same dwelling unit, whose total income for the twelve months immediately preceding the date of any notice or the exercising of any rights, whichever may occur later; is not more than fifty percent of the adjusted median income for the area as determined by regulations promulgated by the United States Department of Housing and Urban Development pursuant to Section 8 of the Housing Act of 1937, as amended, and calculated pursuant to said regulations. o. Moderate Income Tenant. A tenant or group of tenants, all of whom occupy the same dwelling unit, whose total income for the twelve months immediately preceding the date of any notice or the exercising of any rights, whichever may occur later, is not more titan eighty percent of the adjusted median income for the area as determined by regulations promulgated by the United States Department of Housing and Urban Development pursuant to Section 8 of the Housing Act of 1937, as amended, and calculated pursuant to said regulations. p. Rent: The consideration, including without limitation, all bonuses, benefits, gratuities, or charges contingent or otherwise, demanded or received for, or in connection with, the use or occupancy of a housing accommodation, for housing services, or for the transfer of a lease of a housing accommodation. q. Rental Housing Agreement. An agreement. oral, written, or implied, between an owner and a tenant for the use and occupancy of a housing accommodation and for housing services. r. Review Board. The City of Cambridge Condominium Review Board described in this ordinance hereunder. r. Tenant: A tenant, subtenant, lessee, sublessee, or other person lawfully occupying the housing accommodation. Section 3.- Conversion Permits. a. Applicability. The provisions of this section shall be in effect until such time as the Department determines that the vacancy rate for housing accommodations in the City of Cambridge exceeds five percent per annum. b. Conversion Permit Required. It shall be unlawful for any owner or other person to convert any housing accommodation to the condominium or cooperative form of ownership, and no such conversion shall be effective, unless the Department has granted a conversion permit. In the event that a unit which the owner seeks to convert is not occupied at the time the permit is sought, the permit process shall follow Section 5. (b) (“Vacant Units”) as described in this ordinance. . The Department may promulgate such regulations as are necessary to effectuate the purposes of this section and prescribe, consistent with this section, the procedure for applications, notice, and the grant and review of conversion permits. Issuance of a conversion permit does not relieve any person of compliance with this ordinance or other laws. c. Application for and Issuance of Conversion Permits. Upon submission of an application that meets the criteria of this section, including a determination that the landlord did not engage in condominium or cooperative conversion eviction in violation of this Ordinance,
the Department shall issue a conversion permit for each housing accommodation. The application and a copy of the conversion permit shall be kept on file at the Department and certified copies shall be available upon payment of a reasonable fee. Such copies shall be made available without fee to low and moderate income individuals. d. Criteria for Approval of inversion Permits. An application shall be approved if: i. The application contains a complete description of the housing accommodations and the land on which the housing accommodations are located, including: 1. A description of each building, stating the address, the number of stories, and the number of units; 2. The unit designation of each unit; and a statement of its location, approximate area,number of rooms and immediate common area to which it has access. and any other information necessary for its proper identification; 3. A description of the common areas and facilities, and the proportionate interest of each unit therein; 4. A set of floor plans of the building or buildings, showing the layout, location, unit numbers and dimensions of the units; 5. A statement of the purposes for which the building and each of the units are intended and the restrictions, if any, as .to their use; and 6. The name, address and telephone number of the owner or lessor, and the came address and telephone number of any corporation, trust, association or other entity which will manage the condominium or cooperative upon conversion; ii. The application contains a list of the names, addresses and telephone numbers of the tenants in residence in the housing accommodation at the time of the application; iii. The owner has not, during the twelve month period prior to the date of the application for a conversion permit, engaged in condominium or cooperative conversion evictions; and iv. The owner certifies that he has complied or will comply with the notice, eviction, rent increase, relocation, right to purchase and other provisions of this Ordinance. Such certification shall include copies of all notices required to be delivered to tenants of housing accommodations pursuant to this ordinance. e. Information from Tenants. The Department shall request additional information from the tenants residing in the housing accommodation subject to an application sufficient to determine that the owner has complied with the criteria for approval of a conversion permit, as provided in this section. f. Notice of Application for a Conversion Permit: The owner shall notify each tenant of a housing accommodation subject to an application that the owner has applied for a conversion permit, and that the application may be viewed at the offices of the Department during regular business hours. g. Issuance of Conversion Permit; Notice to Tenants. Upon issuance of a conversion permit to an owner by the Department, the owner s1ia11 deliver to each tenant of all housing accommodations subject to the permit a notice of issuance of the permit, on a form provided by the Department, The notice shall state in clear and conspicuous language: i. that a conversion permit has been granted; ii. that any tenant residing in the housing accommodation on the date the permit is issued shall have a period of time which shall be stated in the Notice of Intent to
Seek Possession as provided in Section 5 before which the tenant can be evicted in order to facilitate sale or occupancy of the unit; iii. that any tenant residing in the housing accommodation on the date the permit is issued shall have a right to purchase the accommodation, as provided in Section 4 of this ordinance; and iv. a statement of the rights and obligations specified in Sections 5 and 6 of this ordinance. Section 4: Notice of Intent to Convert; Right to Purchase. a. Notice of Intent to Convert. In addition to any other notice required by this ordinance: an owner of a housing accommodation must provide a tenant with a Notice of Intent to Convert prior to the offering of such a unit for sale as a condominium or cooperative unit. Such written notice must be translated into the tenant’s primary language if a need for such translation has been identified or is otherwise apparent to a reasonable person. Such notice shall state in clear and conspicuous language: i. that the owner has converted or is seeking to convert the accommodation to a condominium or cooperative form of ownership; ii. that any tenant residing in the housing accommodation shall have a right to purchase the accommodation, as provided in this section; and iii. that the tenant shall have a right to purchase the housing accommodation on terms and conditions described in the notice. Said terms and conditions shall be substantially the same as or more favorable than those which the owner extends to the public generally for the ninety days following the expiration of the tenant's right to purchase. This notice may be served simultaneously with the notice of permit issuance required in 3(g) above. iv. that there is a permit review process involving (1) a preliminary hearing after service of this notice and (2) a final hearing for a Conversion Permit at the end of the Notice Period or upon vacancy of the tenant, in addition to hearings as necessary that may be initiated by the tenants, owner or the City. These hearings shall be before the City and the tenant and owner shall be notified of the date and time at least two weeks prior to the hearing date. The tenant and owner shall have a right to attend any such hearings and to present evidence as to whether the owner has or has not met the requirements of this Condominium Conversion Ordinance. b. Vacant Units - If an owner has an intent to convert an unoccupied housing accommodation to the condominium or cooperative form of ownership, the owner shall give one year advance notice to the City on a prescribed form. This one year waiting period requirement shall not apply under the following circumstances: (i) Where the unit had been previously owner occupied for the 12 months immediately preceding the unit becoming vacant; or (ii) Where the City or Designee purchases the vacant unit for the purpose of deed- restricting it for affordability; or (iii) Where the owner is selling the unit to a family member
c. Right to Purchase. i. Initial right to purchase. An owner shall extend to a tenant who is entitled to receive notice of intent to convert an exclusive right to purchase such tenant’s unit from the owner prior to the expiration of 180 days after the date of receipt of the Notice of Intent to Convert. The tenant's initial right to purchase shall expire at the end of said 180 days. Once the owner sets these terms of sale, the owner may not sell the unit under more favorable terms for 90 days from the expiration of the tenant’s right to purchase. The tenant may exercise the right to purchase the tenant’s unit by executing such purchase and sale agreement within the applicable period, whereupon the owner shall promptly countersign the agreement. ii. Second right of purchase. For any housing accommodation where a tenant does not exercise the initial right to purchase, the owner shall give written notice to the tenant of a bona fide offer from a third party to purchase the accommodation which the owner accepts or is willing to accept. Said notice shall include a proposed purchase and sale agreement stating the terms and conditions of said offer, and shall notify the tenant of the right to purchase the accommodation, provided that any purchase by the tenant shall meet or exceed the terms and conditions of the third party offer. Failure of the tenant to execute the purchase and sale agreement with the owner within fourteen days of receipt of said notice shall terminate all rights of purchase by the tenant. At the request of the owner, the Department, or on the tenant’s own initiative, the tenant may voluntarily waive in writing the second right of purchase provided herein, at any time prior to the expiration of the fourteen days. The owner need not comply with the terms of this Section if the price accepted by the owner exceeds the price offered to the tenant under the initial right to purchase. d. Notice to the Condominium Review Board. The owner of the housing accommodation shall provide a copy of all notices required by this section to the Department at the time said notices are delivered to the tenant of the housing accommodation. In the event that the tenant does not exercise the initial right to purchase the accommodation, the Department, the Cambridge Housing Authority ("Authority") and any not-for-profit designee of the Department or the Authority, shall have an additional thirty days to purchase the accommodation on the same terms and conditions stated in the Notice of Intent to Convert. In the event that the tenant waives the second right to purchase, as provided herein. The Department may exercise the tenant’s second right to purchase and shall have the right to purchase the accommodation on terms and conditions that meet or exceed the third party offer. The provisions in this Section are designed to better enable tenants in residency of a housing accommodation at the time the owner serves or should have served the tenants with a notice of intent to convert to remain in their units through the encouragement of non-profit ownership. e. Notice to Subsequent Tenants. If a tenant who is entitled to receive a Notice of Intent to Convert pursuant to this section vacates the housing accommodation before the initial offer of such accommodation for sale, then the owner shall give each prospective tenant of the accommodation written notice, prior to the inception of the tenancy, which informs the prospective tenant. that the accommodation is a condominium or cooperative unit, and, if applicable, that the unit is currently being offered for sale or will be offered for sale within ninety days of the inception of the tenancy. f. The owner shall not commence any condominium or cooperative conversion eviction prior to the expiration of the tenant’s initial right to purchase.
g. Renting Units During Conversion (i) If an owner intends to sell or offer for sale fewer than all of the units in a housing accommodation, within the applicable notice period or a reasonable time thereafter, the owner shall give to each tenant in a unit not for sale a notice which (a) informs such tenant of the date when the owner reasonably expects to offer the tenant’s unit for sale and (b) states that, on or about such date, the owner will give to the tenant the notice required by this ordinance hereunder; and thereafter, at such time as the owner is ready to offer the unit for sale, the owner shall give the tenant then occupying such unit the notice required by this ordinance hereunder. The notice required herein must be translated into the tenant’s primary language if a need for such translation has been identified or is otherwise apparent to a reasonable person. (ii) If a tenant who is entitled to receive the notice of intent to convert vacates such tenant’s unit either before the initial sale and transfer of title to the residential unit as a condominium unit has occurred, and/or after the owner has otherwise already obtained a conversion permit for a unit which has not expired pursuant to this ordinance, then the owner shall give each prospective tenant of the unit written notice, prior to the inception of the tenancy, which informs such prospective tenant that the unit is being or will be offered for sale as a condominium or proprietary lease as a cooperative, but such prospective tenants shall not be entitled to the protections of this ordinance, except that they shall be entitled to the benefits of any remaining notice period for which the original tenant was entitled to, not to exceed one year. If such notice is not provided to the prospective tenant prior to the inception of the tenancy, the prospective tenant will then be afforded full tenant rights pursuant to this ordinance and the applicable notice period will restart in accordance with the status of the new tenant. SECTION 5 - Condominium Conversion Review Board. a. There is hereby established a Condominium Conversion Review Board to consist of five members, all of whom shall be City of Cambridge residents. The failure of a Review Board member to reside in Cambridge shall result in automatic termination of membership. Review Board members shall serve staggered terms of three years each. The Review Board shall include two homeowners, two tenants, and one elderly, disabled, or low or moderate income person, who may be either a homeowner or a tenant. b. Review Board members shall be appointed by the City Manager, subject to confirmation by the City Council. For good cause shown, a Review Board member may be removed by majority vote of the City Council prior to the expiration of such member’s term of office. Members of the Review Board shall receive such annual compensation as the City Manager shall propose and the City Council shall approve, to be not less than the equivalent hourly wage per hour served mandated by the Cambridge Living Wage Ordinance. c. The Review Board shall have the power to enforce the provisions of this ordinance and shall be responsible for promulgating such rules, policies and procedures, as it may deem advisable in furtherance of its purposes. In consultation with City staff, the Review Board may adopt such rules, policies and procedures by majority vote. Without limiting the
generality of the foregoing, the Review Board, in conjunction with City staff, shall be responsible for developing administrative forms, conducting hearings, and granting or denying Conversion Permits Section 5 - Notice of Termination of Tenancy for the Purpose of sale as a Condominium or Cooperative unit; Terms and Tenants of occupancy; Relocation. a. Notice of Termination of Tenancy. Prior to the commencement of a condominium or cooperative conversion eviction, the owner shall provide the tenant with a Notice of Termination of Tenancy for sale as a condominium or cooperative unit pursuant to Cambridge Municipal Code (this Ordinance as codified). This notice must inform the tenant of his or her rights under this Section and shall be served simultaneously with pr after the service of any Notice of Intent to Convert required by Section 4 above. b. Period of Notice. The period of this notice shall not be less than the expiration of any written agreement between the owner and the tenant, or two years, whichever is greater; provided however, that for any housing accommodation occupied by a tenant with disabilities, an elderly tenant, or a low or moderate income tenant, the period of notice shall not be less than five years. c. Term of tenancy. During the period of notice required by this section, the existing terms of the tenancy between the owner and the tenant shall remain in effect and shall not be modified except by voluntary written agreement of the parties; provided, that during the period of notice an owner may seek a rental increase in an amount that shall not exceed ten percent per year; provided further that nothing in this section shall limit the right of an owner to any amounts which may be due under a valid tax escalation clause. d. Relocation payment. Any tenant who is entitled to reserve notice pursuant to this section, who does not purchase the housing accommodation in which the tenant lives shall, within ten days of vacating said unit, so long as it is within the period of notice specified in this section, be paid by the owner a relocation expense allowance of $10,000; provided, however if the tenant is a tenant with disabilities, an elderly tenant or a low or moderate income tenant such relocation expense allowance shall be $15,000. e. Housing search assistance. Where an elderly tenant, a tenant with disabilities, or a low or moderate income tenant is entitled to receive notice pursuant to this section, the owner shall assist the tenant to locate comparable rental housing within the City of Cambridge for a rent which is equal to or less than the rent which such tenant had been paying for the housing accommodation at the time of receipt of the notice, and with a term of occupancy that is no less than the period of notice. remaining at the time the tenant receives the offer to rent the comparable rental housing. The refusal of the tenant to accept a reasonable, bona fide offer to rent comparable rental housing shall terminate the owner’s obligation to provide housing search assistance under this Section. Section 6: Condominium and Cooperative Conversion Evictions. a. General Provisions. No person shall seek or conduct a condominium or cooperative conversion eviction until the expiration of the periods of time for notice required by section 5(b) of this ordinance.
b. Termination of Tenancy and Eviction for Cause During the two to four year notice period. Notwithstanding the provisions of subsection (a) above, any owner, landlord or other party in interest may terminate the tenancy of a tenant and may otherwise seek to evict a tenant of any dwelling subject to the provisions of this ordinance during tire time period set forth in Sections 5(b) and 6(a) above for: i. non-payment of such rent as may be lawfully imposed pursuant to section 5; ii. serious or repeated violations of material terms and conditions of any rental agreement between the owner and the tenant; and iii. substantial violation of any law that imposes obligations on the tenant in connection with the occupancy. c. Notice of Termination of Tenancy for Cause. No tenancy may be terminated under the provisions of Section 6(b) above except by such written notice as is otherwise required by law, or by the terms of a written rental housing agreement between the owner and the tenant. The notice shall state the grounds for termination of the tenancy with sufficient specificity to enable the tenant to prepare a defense. Any notice of termination shall be delivered to the Department at the time it is delivered to the tenant. i. Failure to give any notice required by this ordinance, and any other substantial violation of this Ordinance shall be a defense to an action for summary process. ii. Any action to recover possession of a housing accommodation of a tenant in occupancy at the time of conversion of the properly to the condominium or cooperative form of ownership, or at the time of initial bona fide sale of the unit as an individual condominium or cooperative unit, shall be presumed to be a condominium or cooperative eviction where one or more or the following has occurred: a. Any dwelling unit in any building or structure in which the housing accommodation is located has been sold as a condominium or cooperative unit; b. A master deed or articles of organization for the building or structure in which the housing accommodation is located has been duly recorded pursuant to the provisions of Chapters 156B, 157, 157B, or 183A of the General Laws; c. A master deed or articles of organization for the building or structure in which the housing accommodation is located has been duly recorded pursuant to the provisions of Chapters 156B, 157, l57B, or 183A of the General Laws, or the landlord gives notice or conversion or planned conversion pursuant to this Ordinance within twelve months after an action is brought to recover possession or action is taken to increase the tenant’s sent; or d. In any unit converted to a condominium or cooperative, the landlord has increased or is seeking to increase the tenant’s rent beyond the increases authorized by this section unless the landlord establishes his intent is not to facilitate the sale or transfer of the housing accommodation to a prospective buyer. iii. Additionally, an eviction shall be presumed to be a condominium or cooperative conversion eviction if the owner has the intent to convert as defined herein. iv. Where a presumption of a condominium or cooperative conversion eviction exists, such presumption may be rebutted by the owner only through clear and convincing
evidence that the eviction was not a condominium or cooperative conversion eviction and that the owner had sufficient independent justification for seeking possession or taking other action and would have in fact taken such action, in the same manner and at the same time whether or not the owner intended to sell the unit as a condominium or cooperative. Where the owner is unable to rebut the presumption provided for in this Section, the owner cannot regain possession of the housing accommodation. d. Tenant’s Petition for a Determination. Any tenant of a housing accommodation may seek a written determination from the Department that an owner has the intent to convert and seeks to dispossess the tenant in order to facilitate the sale of the unit as a condominium or cooperative. Upon issuance of a determination favorable to the tenant, the owner shall comply with the provisions of this Ordinance. In addition, any rent increases in excess of ten percent paid by the tenant during the six month period prior to the tenant's request for a determination shall be returned to the tenant by the owner. f. Intervention by the Condominium Review Board At the request of a tenant of a housing accommodation, or on its own, the Department may intervene in a summary process action brought by the owner to recover possession of a housing accommodation. Reasons for such intervention could include, but not be limited to, a request for dismissal of the landlord’s claim for possession based on findings made by the Department, or a request to stay the summary process proceedings to allow the Department to initiate or conclude administrative procedures which would establish the relative rights and responsibilities of the parties under this Ordinance. Section 7. Data Collection a. The Community Development Department shall gather data related to the Condominium Conversion Ordinance to be presented annually in a report to the City Council. This report shall also be made available to the public online. Such data will include at minimum: i. The number of condominium conversion applications received, denied, and granted. ii. The breakdown in the number of applications by zip code or neighborhood. iii. The number of times that tenants or other entities exercised their right to purchase under the ordinance. iv. The average offer per unit type made under the right to purchase requirements as described by this ordinance. Section 8. Enforcement. a. The Department shall have the authority to promulgate regulations as needed to effectuate this Ordinance. b. Any owner who willfully violates any provision of this ordinance shall be punished to the maximum extent allowable under St. 1983, c. 527, §5. Each violation of this ordinance shall constitute a separate offense. c. Any violation of this ordinance by an owner shall not affect the validity of a conveyance of a condominium unit or interest in a cooperative to a purchaser for value who has no knowledge of such violation.
d. the District and Superior Court shall have concurrent jurisdiction over an action arising from any violation of this ordinance, and shall have jurisdiction in equity to restrain any such violation. Section 9. Effective Date; Applicability. a. Except as provided herein, this ordinance stiall.be effective upon enactment. b. Any condominium conversion notices properly issued in accordance with the requirements of St. 1983, c. 527, Section 4 after the expiration of Chapter 3G of the Acts of 1976 and prior to the enactment of this Ordinance shall remain in effect and shall not be subject to the provisions of this Ordinance. c. Where a housing accommodation was first converted to the condominium or cooperative form of ownership prior to the lapse of rent control enabling authority, and as of the effective date of this Ordinance there are elderly, handicapped or low or moderate income tenants remaining occupancy who resided there at the time of conversion or initial bona fide sale of the housing accommodation as an individual condominium or cooperative unit, such tenants shall be entitled to the benefits of this Ordinance except those set forth in Section 3. d. The requirements of section 3 shall not be applicable to any housing accommodation converted to the condominium or cooperative forms of ownership on or before the enactment of this ordinance. Section 10. Severability. If any provision of this ordinance or the application of such provision to any person or circumstance is held invalid, the validity of the remainder of this ordinance, and the applicability of such provision to other persons or circumstances shall not be affected thereby.