1. Condominium Conversion Mitigation Fee Policy City of Berkeley Housing Department October 21, 2008

2. Council Direction– March 2008 Study fee rate Review up-front payment alternatives Simplify

3. Create a streamlined and transparent conversion process Protect tenants and rental housing stock Mitigate lost affordability through collection of fees Create homeownership opportunities Purposes of Condominium Conversion Ordinance

4. Council Action– September 2008 1. Do not extend TIC exemption 2. Restate nexus-based fee more clearly 3. Reduce base fee to 8% 4. Eliminate sliding scale fees 5. Apply 4% fee to duplex units regardless of owner occupancy 6. 50% reduction to owner-occupant converters for properties with 3 or more units 7. 25% up-front fee reduction 8. Annual evaluation of fee policy 9. Choice of fee structure for applications in pipeline

5. Further Study First-time homebuyer assistance for tenants purchasing their unit Inspection of all multi-unit properties for sale using CCO inspection standards and criteria