twitter youtube  facebook  linkedin 

You are here: Home | News

ALERT: COPA Notice and Interim Advisory

The City and County of San Francisco ("City") has enacted a new law impacting Sellers listing or privately selling buildings with 3 or more residential units (including TIC "units" in such buildings) whether or not mixed use, and lots zoned for such units. This new law is called the Community Opportunity to Purchase Act ("COPA").
 
            COPA goes into effect June 2, 2019.
 
But COPA appears to be unenforceable as the City has yet to publish a required list of "Qualified Nonprofit Organizations" (the "List"). Without the List, Sellers cannot comply with COPA as it is impossible for Sellers to provide such nonprofits with the "right of first offer" and "right of first refusal" notices required by this law. 
 
How long COPA will be unenforceable is unknown.
 
And it presently is unclear whether-once the List becomes available to the public--the City will require Sellers immediately to comply with COPA or grant some grace period to allow for compliance  following notice of the List's availability. The timing of the enforcement of COPA could impact pending listings, unaccepted offers or terminated purchase agreements, as further discussed in the "Q&A" below.

SFAR has prepared a Notice & Interim Advisory for Sellers of real property subject to COPA. This new form is linked here
 
The Mayor's Office of Housing and Community Development ("MOHCD") reportedly will provide an "FAQ" to the public on June 3, 2019 confirming COPA is presently unenforceable, elaborating on when the List likely will be available, and providing other important information. 
 
Sellers seeking advice or having any questions regarding COPA should engage a qualified San Francisco Real Property attorney.
 
Sellers of real property subject to this new law may also contact MOHCD with questions, including whether the List is available. The MOHCD is located at 1 South Van Ness, 5th Fl. San Francisco, CA 94103, and its staff can be reached at Tel: (415) 701-5500, Fax: (415) 701-5501 or This email address is being protected from spambots. You need JavaScript enabled to view it.. When the List is ready, MOCHD is required by COPA to print out the List upon request and post it at the MOHCD website.

NEW LAW ALERT: Starting on June 2, 2019 a New Law Requires Sellers of 3+ Residential Units to First Give Non-Profits the Opportunity to Buy

There is another new San Francisco Ordinance impacting sellers. It will: 
  • Apply to 3 or more residential units (and lots on which 3 residential units may be constructed), including mixed use properties; 
  • Give certain non-profit organizations "preemptive" rights to buy such properties from sellers before anyone else via a complicated statutory "right to first offer" and "right of first refusal" process that will cause delay, burden and risk; 
  • Stop sellers of such properties from offering or accepting offers to sell from private buyers until they first notify such non-profits. 
Effective Date: June 2, 2019
 
Sellers violating this new law are subject to claims by such non-profits, including for damages and attorney's fees. Certain fines, penalties and other remedies may also be allowed, including against "a party that has willfully colluded" with a violating seller. 
Ø Sellers of such properties wishing to properly avoid this new law should consider entering into purchase and sale agreements before the close of business on June 1, 2019. Such agreements are expressly excluded. 
Before the Effective Date, the City is supposed to post a list of the eligible or "qualified" non-profits at the website for the Mayor's Office of Housing and Community Development so that sellers know who to notify in order to comply with this new law.
  • No such list has been posted yet. It may not be ready until the June 2, 2019 Effective Date. 
Within 90 days after the Effective Date, the City is supposed to issue rules and regulations informing as to interpretation and implementation of the law. 
  • No such rules and regulations are apparently in the works at this time. Until August 31, 2019, many questions thus may remain unanswered, including whether sellers of individual TIC units in 3+ unit apartment buildings must comply. 
For any questions or advice concerning this new law, Sellers should be advised to engage a qualified San Francisco Real Estate attorney. 
 
Updates from the Association will follow, including on this law's detailed notice and preemptive rights process before the Effective Date, along with a SFAR Advisory on topic. 
 
A legal challenge is anticipated. Whether or not implementation of the new law will be delayed depends upon later Court rulings. For now, plan on this law being in force June 2, 2019.

NEW LAW ALERT: Starting on May 22, 2019 a 100-Year Flood Map Disclosure Statement Will Be Required by New Local Ordinance

A new San Francisco Ordinance going into effect on Wednesday, May 22, 2019 requires all Sellers and landlords of all real property (residential and commercial) located in areas of San Francisco at risk for 100-Year Storm Flood events to provide prospective buyers and tenants with a special disclosure statement. 
 
This new disclosure requirement, among other things, provides such transferees with notice of the existence of the updated San Francisco Public Utilities Commission's "100-Year Storm Flood Risk Map," which map can now be found as part of the NHD disclosures from the various service providers, such as JCP. 
 
The new mandatory disclosure form titled Flood Map Disclosure Statement is currently available on the SFAR Member website. It will become page 2 of a new Flood Map Advisory and Disclosure form, expected to be available in the SFCA library on zipForm by the end of May. Please See the Documents Here. 
 
SFAR recommends the use of the new Flood Map Disclosure Statement in every residential transaction (and lease). 
 
Further information can be obtained at the San Francisco Public Utilities Commission website, including access to its 100-Year Storm Flood Risk Map.
 
ShowImage.aspx

Ways to Help Those Affected by the NorCal Fires

Our thoughts are with everyone who has been impacted by the tragic fires. Here are a few ways to help, as of 11/13/18:
  • Donations of new clothing, undergarments, shoes and socks can be taken to the Oroville Municipal Auditorium at 1200 Myers Street, Oroville, 95965. Evacuees also need paper products, visa gift cards, new pillows, blankets, towels, and washcloths.
  • The Hope Center Food Bank in Oroville is still taking donations at its warehouse at 2850 Feather River Boulevard in Oroville but it will no longer accept anything at its Kitrick Avenue A location. The Hope Center has asked for backpacks, new undergarments, non-perishable foods, paper products and bedding items.
  • The North Valley Community Foundation has two funds: The Camp Fire Evacuation Relief Fund and the Butte County Schools Fire Relief Fund. Donors can make an open gift to the school fund, or designate a specific use, like textbooks or school supplies. 
  • Monetary donations may also be made to the American Red Cross via their website or phone at 1-800-733-2767. Alternatively, you can text the word REDCROSS to 90999 to make a $10 donation.
  • The United Way of Northern California is taking donations for its NorCal Fire Relief Fund through its website and by text: send the message BUTTEFIRE to 91999.

Subcategories

Real Estate Industry News

Daily News

15 October 2019

Upcoming Events

You are here: Home | News