pages: RentReviewAdvisoryCommittee/2018-08-06.pdf, 2
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RentReviewAdvisoryCommittee | 2018-08-06 | 2 | Approved Minutes August 6, 2018 No Committee review. The tenants were present at the hearing but the landlord was not. The rent increase notice is therefore void, and the landlord may not increase the tenants' rent for at least 12 months from the effective date of this increase. 7-C. CASE 1058 - 1540 Court St. Tenant: Holly Harrison, present Landlord: David Armitage, owner, present, and attorney Clifford Fried, present Proposed rent increase: Month-to-month offer: $1,800.00 (75.0%) Lease offer: $2,100.00 (87.5%) Effective September 1, 2018 Mr. Fried stated that the owner flew in from Florida to participate in the hearing because his participation in the process is mandatory, even though the property is a single family residence, which is exempt from rent control. Mr. Fried stated that the legality of the requirement for a landlord to participate is questionable. He said that Mr. Armitage is looking to obtain a fair rate of return on his investment. He said that the landlord is retired from the U.S. Navy, and was previously stationed in Alameda when he purchased his home, and has kept the house as a rental since then. Mr. Fried went on to say that no one tells grocery stores what to charge for a loaf of bread, or doctors to charge their patients or Walgreens to charge for their products. He said there is an item on the November ballot to repeal Costa Hawkins, which exempts certain units such as the one in question, but until then, the landlord had a right to charge market rates like other businesses do. He added that even with this proposed rent increase, the landlord believes the rent is still below market rate. Ms. Harrison stated that the landlords were friendly, but that as a result of the increase, her family would have to move. She said she brings home $2,152.26 biweekly, and the increase would mean that all of her salary would be going toward rent. She said she did not understand the rent review process. Chair Cambra told her she may share her perspective on the increase. She said she had doubts that the landlord's costs of operation, such as his mortgage, were going up at the rate he was increasing the rent. She said she did research on other market rate rents for comparable units and found a similar unit for rent for only $3,100 which she would consider moving to. Member Murray explained that the Committee's intent is to create a forum to mediate between the parties, even where the decision is non-binding. Ms. Harrison stated that her rent had been increased twice, but one of the increases was rescinded before this latest increase. She said that she would like to stay in Alameda four more years because of her daughter, before moving back to Washington State, where the cost of living was more affordable. Page 2 of 7 | RentReviewAdvisoryCommittee/2018-08-06.pdf |