New Rules on Short Term Rentals, Including Hotel Tax, Approved by RWC

A set of regulations for rentals under 30-days was approved by Redwood City council last week.  Among them are: a requirement for homeowners to live in the residence they are listing for rent, limiting the number of days a renter can stay in the home without a host present, prohibiting rentals for special events, requiring on-site parking for renters, and collecting transient occupancy tax (hotel tax) on short term rentals.

A 12% transient occupancy tax would be applied on top of what homeowners charge for their rentals.  The tax would be collected on short term rental platforms like Airbnb, who would periodically dole it out to the city.  The city estimates that this tax would generate roughly $400,000 annually, which would be dedicated entirely to an affordable housing fund.

Though the ordinance was approved by a 4-0 vote by city council last week, won't take effect until 2019.  It will be brought back to council for a second reading in February, as three Councilmembers were absent from last week's meeting.

For more information, read this San Mateo Daily Journal release

Redwood City Approves Affordable Housing Complex, Pursuing Another

Artists Rendering of Project Planned for 707 Bradford

Late last year, Redwood City approved a 7-story 117-unit residential complex for low-income seniors at 707 Bradford Street, and now they are close to commissioning proposals for additional affordable housing at a vacant lot on 611 Heller Street.  Both the Bradford and Heller lots were purchased by the city with redevelopment funds for affordable housing before state Redevelopment Agencies were dissolved in 2012.

Mid-Pen Housing, a non-profit affordable housing developer, is taking on the project at 707 Bradford, which will include an 8,000-square-foot child care facility to accommodate up to 70 children, and a new public trail along Redwood Creek with trees, lighting and bike racks. Redwood City Council is expected to authorize staff to obtain development proposals for the Heller lot sometime late January.

To ensure there are funds for similar projects in the future, City Council is also considering dedicating hotel tax revenue generated from short term rentals (i.e. Airbnb) towards affordable housing.

The council also recently approved new rules making it easier to build small living units on properties that include single-family residences. It also approved revisions to the Downtown Specific Plan that dedicated 375 units out of a a maximum of 2,500 to affordable housing.

Dumbarton Rail Plan Takes Small Step Forward

For decades, there have been discussions among regional officials about reactivating the long defunct Dumbarton rail, which runs along the Dumbarton bridge connecting Menlo Park and Union City.  Such talks have never gained any legs, mostly due to an inability to source sufficient funding for the project.  However, last Tuesday San Mateo County Transit District officials approved a plan to make a number of short-term and long-term improvements along the Dumbarton transportation corridor, including a $1.27 billion overhaul of the 100+ year old rail bridge.  This plan is the culmination of a study into reviving the corridor led by SamTrans, who have owned the rail bridge since 1994.

The rail would require major improvements before it could become operational again, but if active, it would link Caltrain, BART, the Altamont Corridor Express, and Capitol Corridor.  Proponents of the project call it the "missing link" to a regional rail system that would carry passengers from as far as Sacramento and San Joaquin Valley to jobs in Silicon Valley. 

While it's encouraging to see San Mateo County Transit officials taking steps to push the project forward, cooperation would be needed from several other regional bodies before any improvements could be made, since the rail corridor spans multiple counties and transportation agencies. 

Funding is another major challenge, as currently no funds have been allocated towards any of the improvements specified in the plan.  Regional Measure 3, which could be on the ballot as early as next year, proposes a $3 toll increase on the region's 7 state-owned bridges.  If passed, $130 million of the toll increase's projected $4.5 billion in revenue would go towards Dumbarton Corridor improvements.  With that in mind, it's worth noting that funds which were set aside for the Dumbarton Corridor from the last bridge toll increase have since been reallocated.  

In reality, if we are ever going to see the Dumbarton Rail Corrdior project move forward, it is going to take significant contributions from the private sector, specifically Silicon Valley companies whose employees would be filling the train's seats every day.  Competition for government money is tight, and $1.24 billion is a funding gap far too large for a bridge toll increase to fill.  

Stay tuned to my blog for updates on this and other local news

A Look at Benjamin Moore's Top Paint Colors of 2018

Every year, Benjamin Moore releases a list of their top colors, showcasing what they have found to be their most popular paint colors around the world.  It's a great list to reference if you're doing any home renovation, or are just looking to freshen your home up a bit with a new look.  Their 2018 list was recently released, which includes their 2018 color of the year: Caliente.  The video below shows a little about how they chose Caliente as the color of the year, and highlights some of it's uses.

The RealSmart Fund (the investment arm of RealSmart Group) used several of Bejamin Moore's top colors of 2018 at our most recent flip in Redwood City.  Below is a slideshow with pictures of the home, where you can see these colors in action - if you like what you see, let us know!  We'll let you know which colors were used where, and we have samples of all of these colors at the office for you to try out for yourself!

Follow this link for the complete list of 2018's top paint colors

Redwood City Close to Adopting El Camino Corridor Plan

Last week, the Redwood City Planning Commission unanimously endorsed The El Camino Corrdior Plan, which aims to improve travel and business along the city's main thoroughfare. The plan was launched by City Council in January of 2016, and took form over 6 public meetings led by a 10-member citizens advisory panel. It prioritizes improving all forms of travel along El Camino- car, bike, public, and foot - without removing any existing car lanes, and calls for additional ground floor retail and affordable housing.

 The recommendations for improving transportation include: adding a bike lane separated by a barrier from vehicles (which would involve removing some street parking), making sidewalks continuous, and adding more trees and pedestrian lights along the street for better walkability.

While the plan doesn't currently call for any zoning amendments that would allow taller buildings, the El Camino corridor could be an ideal location for the higher density housing that many people feel Redwood City needs in order to adequately address demand for rental units. The ease of access to public transit along El Camino has the potential to mitigate some of the traffic concerns higher density housing can bring, especially after improvements are made to the corridor to facilitate smoother travel.

The Planning Commission's recent endorsement of the El Camino Corridor Plan is not an official approval. It will be brought to City Council on December 4th for official consideration and possible adoption.

Follow this link for more information and updates on the progress on the El Camino Corridor Plan.

Non-Profit Developer Planning 67 Affordable Units in RWC

67 affordable rental housing units for low income families and homeless/at-risk veterans are being planned at 2821 El Camino Real in unincorporated Redwood City, thanks to a $3.5 million dollar loan that just funded from HEART of San Mateo County to non-profit developer, Palo Alto Housing Corp (PAH).  The money was given on a one-year loan with a very low interest rate in order to facilitate PAH's purchase of the 0.59-acre site, which is currently home to an Enterprise Rent-a-Car.

Plans call for the construction of 67 studio and one bedroom apartments.  34 of those units will be made available to families making 30-60% of the area's median income which, according to the San Mateo County Department of Housing, is between $39,500 and $78,960 annually for a family of four.  27 units will be reserved for homeless or at-risk veterans, and the remaining 6 will be set aside for homeless or at-risk individuals with mental illness.  Support services for these tenants will be provided on-site as well.  The project is currently in the preliminary stages of the the application process as PAH waits for the property to be rezoned, which they hope will occur sometime in November.  If all goes as planned (which is rarely the case in development), construction will begin early 2019, and the property will be fully leased by late 2020.

The Housing Endowment and Regional Trust (HEART) of San Mateo County has been a crucial resource for getting affordable housing projects up and running, especially since the dissolution of California's 400 plus redevelopment agencies in 2012.  HEART is a public/private partnership formed by the county, cities, and labor, business, and education non-profits with the purpose of providing more affordable housing opportunities.  Since it's inception in 2003, the organization has received $14 million in funding gifts and pledges, enabling them to invest around $12.4 million into more than 950 affordable homes across the county.  That money goes towards land purchase, architectural drawings, environmental impact reports, and other costly obstacles that cash-strapped non-profit developers face before they can even break ground on a project. 

Since this project is on county lands, it doesn't fall under Redwood City jurisdiction and therefore will be voted on by county officials rather than the Redwood City Planning Commission.  Still, if approved, this would be the largest affordable housing development to be approved in the Redwood City area since the passing of the Downtown Precise Plan in 2011.  It will lose that spot however, if Sobrato is able to gain approval for their massive Broadway Plaza redevelopment, which includes a separate 120 unit affordable housing development.

Stay tuned!

To Stage or Not to Stage

You’re getting ready to sell your home and your Realtor recommends staging it prior to going on the market. You think to yourself: ‘Why waste the money? We’re in a seller’s market, and I have a beautiful home that should sell no problem, with or without staging.’ Well, you might be right, but the question isn’t whether staging will be the difference between your home selling or not. The question is whether staging will increase the likelihood of your home selling quickly and at the highest price the market will bear. In cases where the home isn’t a complete fixer, the answer to that question is usually yes.

First impressions mean a lot in real estate, even in a highly competitive market like the Bay Area. For a buyer to feel confident writing their highest and best offer for your property, you want them to feel at home as soon as they walk through the front door. Needless to say, it’s hard for most people to feel comfortable in a dark and empty house. If one of our clients has a vacant home, we almost always hire a professional stager to furnish it before going on the market.

If you currently live in the house you’re selling, “staging” becomes more a matter of rearranging furniture, decluttering and hiding/removing personal effects. As much as your home feels like home to you, it might not feel that way to the next family. Whether vacant or owner occupied, it’s important to present a neutral living space that appeals to the broadest demographic of buyers possible.