Lockhaven on CNN Money

We're making national news now!

Well, kind of. A reporter from CNN money talked to me yesterday and used part of what I said in this story. Unfortunately, he included only the part about how rents are rising, and not the part about how we're fighting back. In fact, he fails to mention the existence of LTU at all, or that, partly thanks to our efforts, treating renters like garbage is becoming politically unpopular, as witnessed by the increasing involvement  in our cause of city and state officials.

We are not passive victims of some abstract forces known as "the market." We are being targeted by the specific actions of specific people, and we are fighting back. At any rate, it's good to get some national exposure, even if it's imperfect. I've written to the reporter and asked him to do a follow-up to cover the other half of this story.

LTU letter to John Goodman and George Petrie

John Goodman and George Petrie

The following is a letter sent to Lockhaven owners John Goodman and George Petrie. As you can see, the list of people who received copies of this letter includes not only other Goodman Real Estate and Pinnacle employees, but also Seattle City Council member Nick Licata, who was instrumental in arranging our Jan. 6 meeting with Goodman and Petrie. This is a long letter, but worth reading for the wealth of information it provides on the state of both Lockhaven and our current negotiating position.


January 27, 2014

Dear Mr. Goodman and Mr. Petrie:

This letter is follow up to our January 6, 2014 meeting where we discussed improving communication and transparency; relocation assistance for those that have moved or are considering moving; the status of the “protected list”; and maintaining Lockhaven’s affordability. As Councilman Licata’s office has provided consolidated notes, we present only a broad overview of our discussion and propose next steps. 

Affordability

•  Maintaining Lockhaven’s affordability for the greatest number of units and for the longest time possible is our primary concern. 

Next Steps

• Affordability is the LTU's top priority; specifically, our goal is to see rents at Lockhaven maintained at no more than 35% of 50% of the area median household income. Our survey results and other information indicate that current Lockhaven rents are at or below this benchmark. We realize that this goal is significantly different from what you plan for Lockhaven, but we have contacted Sharon Lee, Executive Director of the Low Income Housing Institute, and she is willing to explore funding options to achieve this goal while providing you and the other Lockhaven owners with a fair return on your investment. We understand that Ms. Lee has worked productively with Mr. Petrie in the past and we hope that one or both of you will agree to meet with her soon to see if she can help us all arrive at a mutually acceptable solution to the Lockhaven piece of Ballard's affordable housing crisis. We will contact Natalie Quick about scheduling a meeting with Sharon Lee and one or both of you. 

Communication & Transparency

• We discussed increasing transparency about changes to the renovation timeline distributed on November 14, 2013, and notification of any other construction on the property. 

Proposal

a) We propose updated timelines continue to be posted in monthly newsletters, above mailboxes at lobby entrances of buildings, and tenant doors. We propose that Pinnacle management email tenants with these updates. We also propose Pinnacle contact tenants impacted by timeline revisions and/or construction immediately in order to allow enough time for tenant planning. In addition, we propose management be more forthcoming about construction issues such as lead and asbestos, or any other hiccups in renovation which may have an impact on tenant health and information on how they are being dealt with.

b) Finally, although we are legally (Seattle Municipal Code 22.206.180) allowed to communicate with other tenants through postings in public places, such as “in lobby and other common areas and at or under tenants doors,” in order to maintain the aesthetic integrity of the property and to avoid conflict with Pinnacle management (which we have experienced) we want greater access to public spaces such as locked bulletin boards, above mailboxes, and tenant doors. We propose working with Pinnacle management, as needed, to schedule time when we can be provided building access for interior postings.

c) We will work with Anissa Olberg in the next few days on this issue; we understand she will be fully empowered to have these follow-up discussions with us.  

Relocation Assistance

• As acknowledged during the meeting, the majority of Lockhaven residents do not qualify for legally mandated relocation assistance; however, the cost of relocation poses an economic hardship to many tenants. In addition, some former tenants did not have the opportunity to apply for assistance because they were misled by the illegal 20-day notices posted in September. We confirmed with the City of Seattle Department of Planning & Development that all the Relocation Assistance packets had been issued, and filing deadlines have passed. 

Proposal

• Based on 47 responses from our survey, we propose relocation assistance of $2,500 for tenants who did not qualify for the mandatory relocation assistance. We think this is a reasonable amount since the city relocation assistance requirement is $500 above this request. As a first step, we will discuss this proposal with your relocation assistance specialist, Kerry Lynch.

“Protected” Tenants 

• During the meeting you stated that management had begun contacting "protected" tenants about their status. However, several "protected" tenants state they remain uncertain about their future at Lockhaven. We spoke to several affected tenants and they had some general comments and questions which we summarize below with a proposal of next steps. 

Questions and Comments

• How long are the terms good for protected tenants? 
• Will they be asked to move?  If so, who will pay for moving expenses? Will terms covering their “protected” status transfer to a different unit? 
• If they are not asked to move, how will noise be mitigated (e.g., soundproofing) during renovation? How will potentially toxic dust be prevented from entering occupied units? How will changes to existing electrical wiring impact them? 
• Will their unit be renovated at all? Will the brick buildings have insulation added to the walls? 
• Will there be additional charges or unbundling of rent amounts? For instance, will they have to pay for storage units or water and sewage?
• Will there be scheduled rent increases? If so, they would like a written timeline of those potential increases and amounts. 
• Will shared laundry facilities be maintained in each building?
• Verbal communication is a great first step, but they want written confirmation to these questions, as well. 

Proposal

• We will work with Anissa and Kerry to clarify their comments and questions.  

In closing, we would like to thank you both for meeting with us on January 6th. We think this meeting was a great first step in improving dialogue between both groups. As the city continues to grapple with the affordable housing crisis, we hope you, a local business, will be a pioneer in finding a solution. As proposed during the meeting, we would like to meet with you again to discuss progress on the various concerns some time during the week of February 9th. We will contact Natalie Quick to schedule our next meeting. 

Sincerely,

The Lockhaven Tenants Union

cc: John Harle, Matt Parent, Josh Obendorf, Tom Eyler, Kelli Jo Norris, Donol Fosseen, Nick Licata, Lisa Herbold, Natalie Quick, Sharon Lee, Anissa Olberg, Kerry Lynch

Lockhaven Tenants Union Meets with Seattle City Council Members

LTU met for nearly two hours on Monday night with Seattle City Council Members Mike O’Brien and Nick Licata and aide to Kshama Sawant, Josh Koritz, at the Lockhaven apartments, in the home of a tenant who is going to be displaced by new owners GRE Lockhaven.  

All three Councilmembers expressed their support for LTU’s efforts. There was a wide-ranging discussion on the issues of affordable housing in Seattle, predatory actions by greedy developers, and displacement relocation assistance for all who need it. The Councilmembers agreed to support the LTU in our efforts to secure a second meeting with Goodman Real Estate.

The LTU has sent a proposal to Goodman Real Estate and its staff, including Kerry Lynch and Anissa Olberg,  requesting a second meeting with Goodman Real Estate, Sharon Lee of the Low Income Housing Institute, and the LTU to negotiate for affordability, relocation assistance, transparency, and clarity in the protections for protected tenants. We have requested a response by the end of the day this Friday, February 7. 

Lockhaven mentioned in Washington State Senate hearing

We heart Sen. Kohl-Welles!

The Lockhaven fight is a small part of a larger struggle for housing justice. Stina Janssen of the Tenants Union of Washington shares this info about a battle in this struggle going on right now, and how Lockhaven is already part of it:

At a hearing last Thursday at the State Senate, Senator Jeanne Kohl-Welles of our 36th District testified to the critical need for SB 6292, citing the experiences of Lockhaven tenants. 

The bill, of which she is the primary sponsor, would increase the eligibility cap for who can qualify for relocation assistance from people making 50% of the area median income to people earning 80% of the Area Median Income.The bill would also increase the state's notice period for rent increases from 30 days to 90 days.

Many a Lockhaven resident found themselves to be just over the income eligibility for relocation assistance, but still greatly harmed by the high costs of unanticipated moving.

Senator Kohl-Welles talked about the Lockhaven tenants in her address to the committee, mentioning the illegal eviction notices and the relief that expanded relocation assistance could provide to renters like those at Lockhaven. 

You can watch a video of the hearing here.

Please thank Sen. Kohl-Welles by phone (206-281-6854) or email, and get in touch with your other legislators to urge them to support SB 6292. Here's a guide from the Tenants Union of Washington's website about speaking up for legislation on tenant rights.

Coalition of anonymous developers sue the city

The Stranger's Anna Minard has an excellent story about a coalition of developers who have filed a suit against the city over a 2006 agreement to make some units of housing moderately affordable in exchange for easing height restrictions downtown. This modest, commonsense agreement is called "extortion" by the coalition. Translation: "We, the rich, must be allowed to get richer at any cost, including the well being of the city and its inhabitants. Residents without the means to support our growing richer are not welcome here." This is a classic case of developers trying to dictate what kind of city we are. City Council member (and friend to the Lockhaven Tenants Union) Mike O'Brien has spoken out against this suit, calling it "maddening."

These developers have remained anonymous, so we don't know if Lockhaven owner John Goodman is a party to it. We will ask Goodman Real Estate for this information and let you know if we find out anything. In the meantime, drop Mike O'Brien a note to thank him for his great work on behalf of affordable housing.

LTU meets with Lockhaven owners John Goodman and George Petrie

The Lockhaven Tenant’s Union (LTU) scored a victory in our efforts to keep Lockhaven affordable  Monday evening when Lockhaven’s new chief owner, John Goodman, Chairman, Goodman Real Estate (GRE) and GRE President and CEO, George Petrie, both Seattle residents, sat down at the table with our negotiations team of current and former Lockhaven tenants.

Having the meeting in itself was an accomplishment as the LTU had been working hard for months to get the owners to the table to discuss ways to ameliorate the many hardships we have encountered since Goodman Real Estate executives purchased the building in August 2013. Goodman himself echoed the uniqueness of the gathering, “we don’t usually do this sort of thing,” he said.

Many factors contributed to the planning and realization of the informative face-to-face dialogue, including an information campaign, reaching out to all tenants, including those who have already departed, help from the Tenant’s Union of Washington State, facilitation by the office of Seattle City Council member Nick Licata, and the interest of GRE Lockhaven partners in reaching out to the community.

Viewpoints of both owners and the LTU were discussed openly, with the former evoking a willingness to be flexible and to consider extending some monetary assistance to tenants facing particular difficulty in relocation, more transparency regarding renovations to the complex and its effect on remaining residents, and further dialogue on the multi-faceted topic of “affordability”.

No decisions were made on either side but good progress was made and we are hopeful we can continue to move in a positive  direction through continued work with management and ownership.  GRE Lockhaven indicated they would consider a more detailed proposal based on the understandings put forth at the meeting and to meet again once it is time to make decisions and to commit to solutions. For those who have been wondering what is going on at Lockhaven, please be informed: your union is at work for you and invites your participation in the process of constructive change!

90 day notices from GRE Lockhaven

Earlier this week GRE Lockhaven distributed a "90-Day Notice of Development Activity ...". This was expected and is consistent with the relocation timeline presented by GRE Lockhaven on November 22, 2013. Simply put, this notice means that the City of Seattle has approved GRE Lockhaven's application for a license to relocate tenants as part of its renovation plan. After the end of the 90-day period, on March 28, 2014, GRE Lockhaven could conceivably issue 20-day Termination of Tenancy Notices to all Lockhaven tenants.

However, at this time, the Lockhaven Tenants Union (LTU) has no reason to believe that GRE Lockhaven will depart significantly from their earlier relocation schedule calling for phased evictions of three or fewer buildings per month over the course of ten months. The LTU is hopeful that our negotiations with the two principal shareholders of GRE Lockhaven, which begin next week, will result in changes that will preserve all or part of Lockhaven as affordable housing and lessen the impact of GRE Lockhaven's plans on current tenants. The LTU needs your input and support now more than ever to achieve a good outcome for all Lockahaven tenants. If you haven't already completed the Lockhaven tenants survey then please do so.