EPA-TENANTS.ORG
PROTECTING EAST PALO ALTO TENANTS AND FAMILIES
PROTECTING EAST PALO ALTO TENANTS AND FAMILIES
How many people are affected by this crisis?
To appreciate the magnitude of this crisis, remember, Page Mill Properties and its related entities currently own 1818 units in East Palo Alto's Woodland Park neighborhood; this represents roughly 50% of the rental housing stock in East Palo Alto (EPA).
According to 2000 US Census data, the average household size for renter occupied units in EPA is 3.83. Although Page Mill is required to provide vacancy data on rent stabilized units under local law, they have refused to do so. Vacancy rate data for a random sample of over 500 of these Page Mill units show that, as of December 3, 2008, the vacancy rate in the EPA portfolio was 24%. Statistically this value is highly reliable, and very close to the target turnover value of typical predatory equity schemes.
To appreciate the magnitude of this crisis, remember, Page Mill Properties and its related entities currently own 1818 units in East Palo Alto's Woodland Park neighborhood; this represents roughly 50% of the rental housing stock in East Palo Alto (EPA).
According to 2000 US Census data, the average household size for renter occupied units in EPA is 3.83. Although Page Mill is required to provide vacancy data on rent stabilized units under local law, they have refused to do so. Vacancy rate data for a random sample of over 500 of these Page Mill units show that, as of December 3, 2008, the vacancy rate in the EPA portfolio was 24%. Statistically this value is highly reliable, and very close to the target turnover value of typical predatory equity schemes.
East Palo Alto Housing Crisis Statistics
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*Crisis Statistics
Where to Find Help
How You Can Help
Media Coverage
Litigation
Document Archive
Resolutions
CalPERS' Role
Wachovia's Role
Other Participants
For Page Mill Staff
Page Mill Executives
Tenant Stories
Photos & Flyers
Upcoming Events
About Us
TOP Contact: EPA-TENANTS.ORG
What has happened to evictions and UD filings under Page Mill?
Under Page Mill's ownership, many residents in the Woodland Park neighborhood have been forced to face the eviction process given the lack of other affordable housing options in the Bay Area. Unfortunately, the majority of these tenants have done so without legal representation. Eviction law is complex and without a lawyer, the tenant often loses. In addition to forcing the tenant to vacate their rental unit, an eviction negatively impacts the tenant's credit rating and makes finding future rental housing more difficult.
Data from the San Mateo County Sheriff's Office show 71 and 99 completed evictions in Page Mill's EPA portfolio in 2007 and 2008, respectively. For 2008, this translates into 6.8 completed evictions per 100 occupied units in Page Mill's portfolio. For comparison, for the rest of San Mateo County in 2008, there were 0.9 completed evictions per 100 occupied units (see below). Again, using the average household size for renter occupied units in EPA of 3.83, we can see that the 99 evictions carried out by Page Mill in 2008 represent the forcible displacement of over 370 tenants.
Under Page Mill's ownership, many residents in the Woodland Park neighborhood have been forced to face the eviction process given the lack of other affordable housing options in the Bay Area. Unfortunately, the majority of these tenants have done so without legal representation. Eviction law is complex and without a lawyer, the tenant often loses. In addition to forcing the tenant to vacate their rental unit, an eviction negatively impacts the tenant's credit rating and makes finding future rental housing more difficult.
Data from the San Mateo County Sheriff's Office show 71 and 99 completed evictions in Page Mill's EPA portfolio in 2007 and 2008, respectively. For 2008, this translates into 6.8 completed evictions per 100 occupied units in Page Mill's portfolio. For comparison, for the rest of San Mateo County in 2008, there were 0.9 completed evictions per 100 occupied units (see below). Again, using the average household size for renter occupied units in EPA of 3.83, we can see that the 99 evictions carried out by Page Mill in 2008 represent the forcible displacement of over 370 tenants.
Historically, again based on 2000 census data, vacancy rates in this area are 2% or less. This begs the question, how does one get from 2% to a 24% vacancy rate in less than two years? Using the renter occupied household size of 3.83, we can see that we had roughly 6,800 people living in these units prior to transfer of ownership to Page Mill Properties. In moving from historic rates of 2% to the current rate of 24%, of these original 6,800, we have lost roughly 1,500 people to harassment, evictions, etc. over the past 18 months, an average of 20 people per week. Given that some units vacated over the past 18 months have been reoccupied by new renters, this value represents a lower bound on the number of residents lost from this community due to the crisis. East Palo Alto's total population size prior to the crisis was roughly 32,000.
Who is affected by this crisis?
Page Mill's strategy is targeting an under-funded municipality, and a population that can be classified as working poor with demographics as follows: 60% Latino, 22% African American, 6% Caucasian, and 2% other. A large fraction of the Latino population have no immigration papers, and this plays in favor of Page Mill’s strategy. This population has ESL or no English
language skills, is generally unaware of legal rights, and understandably, reluctant to assert these rights even when they are aware of them. Median household income in East Palo Alto is roughly $49,000 (see below).
Page Mill's strategy is targeting an under-funded municipality, and a population that can be classified as working poor with demographics as follows: 60% Latino, 22% African American, 6% Caucasian, and 2% other. A large fraction of the Latino population have no immigration papers, and this plays in favor of Page Mill’s strategy. This population has ESL or no English
language skills, is generally unaware of legal rights, and understandably, reluctant to assert these rights even when they are aware of them. Median household income in East Palo Alto is roughly $49,000 (see below).
An unlawful detainer (UD) is the court filing submitted by the landlord to initiate the eviction proceedings. Tenants often vacate rental units after receiving a UD to avoid having an eviction on their record. Data from the San Mateo County Superior Court show 92 and 140 UD filings for Page Mill's Woodland Park portfolio in 2007 and 2008, respectively. For 2008, this translates into 9.6 UD filings per 100 occupied units in Page Mill's portfolio. Again for comparison, for the rest of San Mateo County in 2008, there were 2.4 UD filings per 100 occupied units (see below).
Of note here is that Page Mill, in 2008, served almost 1 in 10 of its tenants with an unlawful detainer filing.
How much have rents been increased?
Current data show a 35% portfolio wide rent increase since Page Mill took control of the East Palo Alto Woodland Park apartments in early 2007, with the average per unit rent rising from $900 to $1220 (see below).
How much have rents been increased?
Current data show a 35% portfolio wide rent increase since Page Mill took control of the East Palo Alto Woodland Park apartments in early 2007, with the average per unit rent rising from $900 to $1220 (see below).
Rent increases for units covered by the City's Rent Stabilization Ordinance are based on the consumer price index which typically averages no more than 4% per year. It is important to note here that almost 50% of the tenants impacted by Page Mill's rent increases were already considered "cost burdened" by HUD prior to Page Mill's increases (i.e. spending more than 30% of household income on rent, see below).
The resultant loss of affordable housing in this community has driven a large increase in the demand for social services from local non-profits providing housing, food, legal, and other outreach services. Unfortunately, this comes at a time when the general economic downturn has already placed large demands on these non-profit organizations.
A full 56% of East Palo Alto's population is classified as very low and extremely low income according to California Department of Housing and Community Development standards (see below).
What has happened with crime during this crisis?
DOJ total crime, which includes DOJ Part I crimes (e.g. homicide, robbery, assault, burglary) as well as less serious crimes such as vandalism, drug offenses, and disorderly conduct, has increased at a faster rate in Beat 4 (i.e. the Page Mill portfolio) than in the rest of the City over the past several years (see below). Recently, this trend has begun to change. Page Mill took ownership of the majority of its properties between late 2006 and summer 2007. In October 2009, the properties came under new management with the appointment of the Receiver.
DOJ total crime, which includes DOJ Part I crimes (e.g. homicide, robbery, assault, burglary) as well as less serious crimes such as vandalism, drug offenses, and disorderly conduct, has increased at a faster rate in Beat 4 (i.e. the Page Mill portfolio) than in the rest of the City over the past several years (see below). Recently, this trend has begun to change. Page Mill took ownership of the majority of its properties between late 2006 and summer 2007. In October 2009, the properties came under new management with the appointment of the Receiver.
In testimony in front of the CalPERS Board on April 22, 2009, a delegation of Page Mill employees and associates claimed that crime within the portfolio (Beat 4) had decreased since Page Mill took ownership of the properties. In its June 30, 2009 letter to the San Mateo County LAFCo, Page Mill cited an increase in crime over this period as one rationale for reducing the City's sphere of influence.