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Low-income tenants allege mismanagement at apartment complex

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Residents file complaints against apartment’s management

One of the largest high-end housing complexes in the city is being accused of mismanagement and economic discrimination by a group of its low and moderate-income tenants.

The allegations come against The Plaza at the Arboretum — a mixed-use development in the 2200 block of Colorado Avenue — where residents are accusing the management company of neglecting maintenance requests and unequal treatment given to market-rate and low-income tenants who live in the building’s deed-restricted affordable units.

Approximately 30 residents, many of whom receive Section 8 subsidies under the U.S. Department of Housing and Urban Development, have contacted the Legal Aid Foundation of Los Angeles to explore their options, which could include filing complaints with the City Attorney’s Office, according to Denise McGranahan, an attorney with the non-profit organization.

Calls seeking comment to Metric Properties, which is the property’s management company, and the attorney for the Arboretum were not returned.

Several complaints have already been received by the Consumer Protection Unit with the City Attorney’s Office, according to Paula Rockenstein, the consumer affairs specialist. The division works on issues related to tenant rights and housing discrimination.

“We look for violations of either state or local law, and usually contact the business if there is some sort of violation,” Rockenstein said. “We need to have all of the documentation and evidence by the complainant in order to research the issues.”

The complaints, according to residents, range from poor television reception to unattended broken utilities to a refusal by the front desk to check deliveries.

Many of these complaints were mentioned at the City Council meeting on Tuesday during a discussion about the update to the Santa Monica Housing Element. Tenants spoke about issues with mold and alleged retaliation by the management company when concerns are raised.

Beach said because of the lack of laws enforcing mold remediation, the management company is not taking steps to remove the mold, which she believes is growing in the building and causing an unpleasant odor.

“It’s permeating all the common areas and I am having lung problems and I need a mask when I leave the front door,” she said.

A class-action lawsuit was filed against the former management company Legacy Partners over the mold issue in 2004. Arnold Wang, an attorney with Arias Ozzello & Gignac representing the plaintiffs, declined comment for this article. The case is still ongoing.

The plaintiffs allege that the owners and managers of the 350-unit apartment complex failed to provide a habitable residence because of inaction related to the alleged mold problem.

McGranahan, who also spoke at the council meeting, said many of the low to moderate income tenants are afraid to speak out against the property management company for fear of retaliation, pointing out that their leases do not have a just-cause tenant protection.

“They have very little in terms of options of where to go because there isn’t a lot of affordable housing out there for these people to choose from,” McGranahan said on Thursday.

The mixed-use complex was built in 2001. Rent ranges from approximately $2,300 to $4,400, according to the building’s Web site.

There are approximately 97 units that are set aside as affordable, 45 of which are for low-income and 52 for moderate income, McGranahan said. Section 8 tenants spend approximately 30 percent of their income toward rent.

3EC,A one-person household can qualify for Section 8 if its annual income is less than $25,900 a year, going up to $48,850 for a household of eight.

Santa Monica Housing Authority staff, which administers the Section 8 program, met with the upper management at Metric Properties about four months ago to discuss the procedures and rules of its affordable housing units. Since then, the company has been in contact regularly with the city’s housing department with questions about Section 8, according to Julie Lansing, the senior administrative analyst and supervisor for the Housing Authority.

“We have a good working relationship with them now,” Lansing said.

The Housing Authority also inspects every Section 8 unit every year to make sure they fall within housing quality standards. When issues are reported by tenants, an inspector is dispatched to investigate, Lansing said. Life-threatening repairs are required within 24 hours of the inspection and landlords have up to 30 days for minor repairs.

Among the concerns mentioned by tenants is the television service, which is provided by Clearbay Communications through a contract with the building. Residents say they receive poor television reception and would like to see the contract removed so they can sign up for Time Warner Cable. Opting for satellite television still means keeping the service with Clearbay Communication, resulting in two bills, residents say.

Some residents claim they are receiving notices from the management company to sign new leases when their current ones are not set to expire for months. Some tenants allege that they received the lease renewal notices just hours before they were due.

One tenant, who spoke on the condition of anonymity, claimed that the on-site manager has also refused to accept packages for the residents, causing problems for the Section 8 tenants who are elderly or disabled.

“They would rather us not be seen,” the tenant said.

McGranahan said the foundation has been receiving complaints from the Arboretum over the past four years, starting with the mold contamination, but began seeing an influx last summer. The attorney stressed that she is still sorting through the various issues raised by the tenants and determining whether they apply to all residents or just the ones on the lower end of the income spectrum.

“There are so many problems it’s fairly unbelievable we could find so many problems in one place,” she said.

Jump hedline: Some residents filing complaints against apartment complex

Suggested pullquote: “There are so many problems if fairly unbelievable we could find so many problems in one place.”

Denise McGranahan

Attorney, Legal Aid Foundation

Originally published in the Santa Monica Daily Press print edition on May 3, 2008. Read the original PDF.

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