Council Chastises Developer, Moves to Save 47th Street Homes From Wrecking Ball

Invoking 'Emeryville Values', Council Excoriates Developer's Actions

Destruction of 47th Street Homes Deemed 'Detrimental' to Emeryville 

In a historic and unanimous decision, the City Council moved Tuesday night to disallow a developer’s request to demolish four contiguous single family homes in the Triangle Neighborhood to be replaced with more dense market rate duplex rental homes, Emeryville's first ever ruling against a proposal to tear down existing homes in one of the City’s so called ‘zones of stability’. The remarkable event was capped by Councilman John Bauters and Mayor Christian Patz, both of whom invoked an impudent developer, calling him out for his deviousness and lack of honesty.

A 99 year old company, F.E. Forbes has owned
homes and been a landlord in Emeryville for
decades.  Hearing tenant testimony, Councilman
John Bauters said the company's failure to provide
heat for renters for seven years was "against the
law" and constituted "landlord neglect".

The project proposal to demolish four existing craftsmen homes and replace them with duplexes called ‘47th Street Homes’, sailed through the Planning Commission’s October study session effortlessly, only to be stopped Tuesday by the Council who said the destruction of the existing homes would be materially detrimental to the housing needs of the City and not in the public interest.  This finding singularly precludes the Council from approving the project according to the General Plan, leaving the developer, Mark Forbes CEO of F.E. Forbes Inc without a clear path forward for the 47th Street Homes.  After hearing the City Council’s strong rebuke, Mr Forbes and his team left the meeting without indicating if or how they would proceed with the project.

The Council found the actions of F.E. Forbes, an out of town mortgage brokerage firm and its CEO to be not in sync with “Emeryville values”, pointing to the public testimony at the October Planning Commission study session.  Long term low income tenant families of Forbes testified their corporate landlord had deferred maintenance at the homes for decades resulting in what Mr Forbes said is now a general state of disrepair, a condition he claimed as a primary reason for the demolitions.  He also said the craftsman houses at 100 years, are too old and past their useful lifespan.
Several tenants testified that Forbes had recently offered $5000 to families to vacate the premises and imposed a 95% rent increase to drive out the two families that didn’t take the initial cash offer.

The Council heard tearful testimony on Tuesday from a remaining 20 year tenant and grandmother detailing how the Forbes corporation had not repaired the furnace in her home, leaving a multi generational family without heat for seven years.  Councilman Bauters, an attorney, chastised CEO Mark Forbes for that transgression, characterizing his company’s failure as “landlord neglect” and “against the law”.
Mr Bauters added that he didn’t necessarily believe Mr Forbes’ claims of deterioration in the four homes, “We’re just being asked to believe the homes are in disrepair, and I have not seen any evidence of that” he said.  He called Mr Forbes' presentation "insincere".  Mayor Patz also expressed his disfavor in the CEO’s presentation, stating he felt the applicant had not been honest or straightforward with the Council.

Mark Forbes CEO
F.E. Forbes Real Estate Investment Trust
'Not honest or straightforward; insincere'
according to the City Council.

Adding to the consternation in the council chamber brought on by the testimony of the applicant’s tenants and the Council's reactions, it was revealed the company's contiguous Triangle Neighborhood real estate holdings, some 15 homes in all, were being proposed for a lot line adjustment in effort to game City Hall.  Mr Bauters accused Forbes of deviously attempting to take advantage of City regulations to escape requirements to provide affordable housing.  The proposal asks for the City to recognize a moved property line so that only the four (of the 15) homes would be in a newly drawn parcel, a number that brings Forbes under the wire, negating a City requirement to provide affordable housing when proposing home demolition and replacement.  The corporation would be free to again move the property line in the future and demolish the remaining homes, four at a time, without having to provide affordable housing.  It was a plan the CEO said he had no intention of doing "at this time".
Mr Forbes offered no response to any other allegations Tuesday night as he left the building.

Here is the meeting (start at 41:41):