A building was sold. What happened next was ‘ridiculous,’ tenants say – The Seattle Times

Report on Affordable Housing Challenges at Crestwood Place and Implications for Sustainable Development Goals

Introduction

In November, tenants at Crestwood Place, an affordable housing building in Rainier Beach, received a notice from the new owner regarding renovations and a relocation offer of $1,500 per household. The offer was illegal under Seattle’s tenant laws, and despite city intervention, many vulnerable renters, particularly immigrants with limited English proficiency and knowledge of tenant rights, were coerced into accepting unfavorable terms. This situation highlights critical challenges in affordable housing management and tenant protection, directly impacting several Sustainable Development Goals (SDGs), including SDG 1 (No Poverty), SDG 10 (Reduced Inequalities), and SDG 11 (Sustainable Cities and Communities).

Illegal Relocation Offer and Tenant Impact

1. On November 19, Guide Property Services, the new property manager of the 26-unit Crestwood Place, issued a letter giving tenants 11 days to respond to a relocation offer.
2. The offer promised $1,500 for tenants who agreed to relocate within three months, payable only after moving out and passing a unit inspection.
3. The letter warned that tenants who did not accept the offer “may not be eligible for any relocation assistance.”

Residents expressed concerns that the offer was insufficient to cover moving expenses and that the short notice was unreasonable, especially for elderly and disabled tenants. Furthermore, communication was not provided in tenants’ native languages, violating principles of inclusivity and equality (SDG 10).

City Intervention and Legal Violations

• The City of Seattle issued a violation against the property owner for breaching tenant relocation laws.
• Key violations included:
  • Relocation assistance for low-income tenants must be $5,354, not $1,500.
  • Tenants must receive 120 days’ notice, not just three months.
  • Relocation payments must be made before tenants vacate, not after an inspection.
  • Owners are prohibited from harassing or intimidating tenants to vacate.
• The city threatened legal action and fines up to $1,000 per day if violations were not remedied.

Affordable Housing Crisis and Financial Challenges

The Crestwood Place case exemplifies a broader affordable housing crisis in Seattle, where at least 20 buildings with over 1,100 units have been sold or transferred to private investors since last year. This trend threatens the availability of affordable housing and undermines SDG 11 (Sustainable Cities and Communities) and SDG 1 (No Poverty).

Key financial challenges facing nonprofit housing providers include:

1. Increased operational expenses during the COVID-19 pandemic, disrupting financial projections.
2. Inability to raise rents sufficiently due to competition with the private rental market.
3. Delayed or missed rent payments by low-income tenants, exacerbated by pandemic-era eviction protections.

These challenges have forced some nonprofits to sell properties, sometimes resulting in the loss of affordability protections.

Policy Responses and Future Directions

• The City of Seattle has invested tens of millions of dollars to support nonprofit housing providers but acknowledges that more is needed.
• New Mayor Katie Wilson is prioritizing sector stabilization and improved tenant communication to prevent illegal practices like those at Crestwood Place.
• Proposed initiatives include:
  • Increasing financial support to affordable housing providers in exchange for housing homeless individuals, addressing SDG 1 (No Poverty) and SDG 11 (Sustainable Cities and Communities).
  • Exploring regulatory adjustments to balance eviction protections with financial sustainability for housing providers.

Tenant Experiences and Health Concerns

Long-term tenants report harassment, poor property management, and physical and emotional stress due to forced relocations. Many residents are elderly or have chronic health conditions, making relocation physically and mentally challenging, highlighting the need for inclusive and equitable housing policies aligned with SDG 3 (Good Health and Well-being) and SDG 10 (Reduced Inequalities).

Conclusion

The situation at Crestwood Place underscores the urgent need for comprehensive strategies to protect affordable housing tenants and sustain affordable housing stock. Addressing these challenges is essential to achieving multiple Sustainable Development Goals, including eradicating poverty, reducing inequalities, and fostering sustainable urban communities.

1. Sustainable Development Goals (SDGs) Addressed or Connected

1. SDG 1: No Poverty – The article discusses the struggles of low-income tenants facing eviction and inadequate relocation assistance, highlighting poverty-related housing insecurity.
2. SDG 10: Reduced Inequalities – Issues of language barriers, misinformation, and unequal treatment of immigrant and low-income tenants relate to reducing inequalities.
3. SDG 11: Sustainable Cities and Communities – The focus on affordable housing, tenant rights, and urban housing market challenges connects directly to making cities inclusive, safe, resilient, and sustainable.
4. SDG 16: Peace, Justice and Strong Institutions – The enforcement of tenant laws, protection against illegal eviction tactics, and legal actions against landlords reflect the promotion of just, peaceful, and inclusive societies.

2. Specific Targets Under Those SDGs Identified

1. SDG 1 – Target 1.4: Ensure that all men and women, particularly the poor and vulnerable, have equal rights to economic resources, including access to basic services such as housing.
2. SDG 10 – Target 10.3: Ensure equal opportunity and reduce inequalities of outcome, including through eliminating discriminatory practices and policies.
3. SDG 11 – Target 11.1: By 2030, ensure access for all to adequate, safe, and affordable housing and basic services and upgrade slums.
4. SDG 16 – Target 16.3: Promote the rule of law at the national and international levels and ensure equal access to justice for all.

3. Indicators Mentioned or Implied to Measure Progress

• Indicator 1.4.2: Proportion of total adult population with secure tenure rights to land, with legally recognized documentation and who perceive their rights to land as secure, by sex and by type of tenure. (Implied through tenant rights and legal protections discussed.)
• Indicator 10.3.1: Proportion of population reporting having personally felt discriminated against or harassed within the previous 12 months on the basis of various grounds including economic or social status. (Implied by harassment and intimidation of tenants.)
• Indicator 11.1.1: Proportion of urban population living in slums, informal settlements or inadequate housing. (Implied by the discussion of affordable housing shortages and displacement.)
• Indicator 16.3.2: Unsentenced detainees as a proportion of overall prison population. (Not directly relevant, but the broader theme of access to justice is relevant.) More relevant is the enforcement of tenant relocation laws and fines for violations as a measure of rule of law enforcement.
• Additional implied indicators:
  • Number of affordable housing units sold or converted to market rate.
  • Amount and timeliness of relocation assistance provided to displaced tenants.
  • Number of legal violations or complaints filed regarding tenant harassment or illegal eviction.

4. Table: SDGs, Targets and Indicators

Source: seattletimes.com