Condo Denied for 3rd Time by Council

After hearing the City Council on Tuesday deny his client’s request to convert 22 apartment units to condominiums, attorney Costas Ladikos told the board, “See you in court,” and walked out of the council chambers in disgust.

Ladikos’ remark was no idle threat: The council was considering the issue on the order of Superior Court Judge James L. Smith. Since the council denied the conversion, the judge will now determine if the council’s reasons are valid. No date has been set for that hearing.

It was the third time the council has denied owner Mohammad Esmaili’s request to sell to individuals the 22 units at the Gables apartments on Van Buren Street. The council last December overturned the Planning Commission’s approval of the project, citing a lack of garages in the complex.

In March, the owner reapplied for a permit after submitting plans to convert carports to garages. The council again overturned the Planning Commission, saying it was concerned about displacement of tenants and reduction in the city’s affordable housing stock.

Esmaili returned to court last month seeking an order requiring the city to grant him the necessary permits for the conversion. Instead, Smith gave the city another chance to vote on the project.

On Tuesday, the council denied the project, saying it felt the market for condominiums was too weak to agree to the conversion. A report by Development Director Joyce Rosenthal found the market for condos had declined in the past year, prompting several council members to say they doubted Esmaili would find enough buyers for the project.

Councilman Norman Z. Eckenrode questioned Ladikos’ claim that 12 of the tenants are interested in buying the unit they currently live in.

“We haven’t heard one word about how they will qualify,” Eckenrode said. “I don’t feel, based on what we’ve seen tonight, that they will.”

“If it were my own kids, I would advise them to buy a single-family house,” said Councilman Michael Maertzweiler.

The council did not explain why marketability is an issue for them.

And Ladikos argued that the city should only consider its Planning and Building Code requirements when evaluating the project.

“This project meets every part of the code,” Ladikos said. “That is the guideline you have to follow. The code does not give you the right to determine” the market for condos in making a decision.

Following the meeting, Esmaili expressed his frustration.

“This is the third time (the council has denied approval) and each time the reasons are different,” Esmaili said. “A year has passed since they first turned me down and now they say the market is not good.”

Mayor Maria Moreno joined Maertzweiler and Eckenrode in voting against the project. Council members Carol Downey and John O. Tynes voted in favor.