Member Meeting - WordPress.com › 2015 › 02 › foothillapt_novdec… · your building prior to...

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FAA FOOTHILL APARTMENT ASSOCIATION 2500 E. Foothill Boulevard Suite 206 Pasadena, CA 91107 www.faaonline.net INSIDE THIS ISSUE Insider Tricks Exposed!! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4 Inspecting Rental Units To Combat Habitability Claims . . . . . . . . . . . . . . . . . .6 Dear Maintenance Men: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7 November/December 2014 Member Meeting Monday November 17th, 7pm Safety Compliance & Emergency Preparedness with Charlotte Ives of Jenkins Properties at Knox Church, 195 S. Hill, Pasadena, 91104 PRESORTED STANDARD U.S. POSTAGE PAID PERMIT NO. 80 ARCADIA, CA

Transcript of Member Meeting - WordPress.com › 2015 › 02 › foothillapt_novdec… · your building prior to...

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FAAFOOTHILL APARTMENTASSOCIATION2500 E. Foothill BoulevardSuite 206Pasadena, CA 91107

www.faaonline.net

INSIDE THIS ISSUEInsider Tricks Exposed!! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4Inspecting Rental Units To Combat Habitability Claims . . . . . . . . . . . . . . . . . .6Dear Maintenance Men: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7

November/December 2014

Member MeetingMonday November 17th, 7pm

Safety Compliance & Emergency Preparednesswith Charlotte Ives of Jenkins Properties

at Knox Church, 195 S. Hill, Pasadena, 91104

PRESORTEDSTANDARD

U.S. POSTAGEPAID

PERMIT NO. 80ARCADIA, CA

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The Foothill

Apartment Association

FAA OFFICERS FOR 2014

President Charlotte IvesVice President Gloria Dunn, atty.Secretary & Treasurer Michael Brennan, atty.

FAA DIRECTORS FOR 2014

Finley Beven Scott Hayden

Vincent Medina Linda Jo Pyle

Frank Rubin Maury Whitaker

Micheal A. Brennan Dr. Ted Palmer

ASSOCIATION STAFFLeon Khachooni – Office Manager

Mary Palmer – Office StaffAllison Schmidt – Office Staff

Editorial & Advertising Office2500 E. Foothill Blvd., Suite 206

Pasadena, CA 91107(626) 793-5873

Tenant Screening: (626) 793-6640FAX (626) 793-1930

e-mail: [email protected]

Office Hours: M - Th 9 a.m. - 5 p.m.Closed for lunch 1 p.m - 1:30 p.m

Fridays 9 a.m. - 3 p.m.

Advertising & Copy Deadlines:First of the MonthPreceding Issue

Foothill Apartment Association is a nonprofit

trade organization providing information,

education, advocacy and member services to

rental property owners in the San Gabriel Valley

and Foothill communities.

The Statements and opinions in the FoothillApartment Reporter are those of thecontributors and not necessarily those of theFoothill Apartment Association, its Board ofDirectors or its Officers. Anyone reading theFoothill Apartment Reporter is advised toresearch original sources of authority indealing with specific matter.

Foothill Apartment ReporterOfficial publication of the Foothill Apartment Association

Serving the Greater San Gabriel Valley and Foothill Communities

FAA

Insider Tricks Exposed!! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4

Inspecting Rental Units To Combat Habitability Claims . . . . . . . . . . . . . . . . . . . . .6

Dear Maintenance Men: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7

Product Service Council Directory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

Please Consider Serving on our Board of Directors . . . . . . . . . . . . . . . . . . . . . .14

Ad Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15

NEW FAA Calendar 2014

November/December 2014

Check our website for updates www.faaonline.net Members: Please call the FAA office with any changes in your personal informationie. Address, phone, fax & emails so that we may more quickly contact you when

important and timely issues are addressed.

FAA’s New Membership Meeting Schedule

November: Member Meeting Monday November 17th, 7pmSafety Compliance & Emergency Preparednesswith Charlotte Ives of Jenkins Propertiesat Knox Church, 195 S. Hill Pasadena, 91104

Board MeetingMonday November 24th, 5:30pmF.A.A. Office

December: No Meetings until January.Have a Happy Holiday Season!

Speakers and meeting topics subjected to change.

Contact the FAA office for Information on all Meetings.(626) 793-5873 • FAX (626) 793-1930 • email: [email protected]

EVICTIONSResidential • Commercial • Industrial

FRANK D. RUBIN, ATTORNEY AT LAWServing members of Foothill Apartment Association

Since 1975

NO OFFICEVISIT REQUIRED(818) 986 2206

FREEPHONE CONSULTATION

(323) 872-2901

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Within our industry there a quite a few tricks used toposition properties before they are listed for sale. These aretotally legal management and operational approaches tomaximize the income and financials but are not always long-term solutions to owning an investmentproperty. Our industry knows that thebuyer seeks a return, but today you willlearn some red flags to spot whenconsidering a property to purchase andpossible ideas to consider before you putyour property on the market.

Let's say you've decided to sell. One ofthe first things you should do before youlist the property is conduct a thoroughmarket survey to determine if you can pushthe rents higher in your building. After youfinish your market survey and feel better about what themaximum rent is for your area, you need to take an honestlook at your rent roll. Skipping rental increases to avoid therisk of vacancies will hurt your financials and potential salesprice. Once you know the market rents, it's time to thinkabout raising the rents. This should almost feel given but thenext step is to ask yourself the following question: "Will theunit support a $100 increase in rent by investing in someupgrades for my current tenants?" I love this strategy and sowill your current residents. It just takes some negotiatingskills which you already have if you own an income property.Tenants will undoubtedly want upgrades but can younegotiate a $50 or $100 increase for installing granitecountertops or laminate floors? Increasing the amenities inorder to achieve higher rent is a great way to upgrade yourproperty and financials. In this scenario, you don't incur avacancy to get a resident to pay higher rent. If the tenant isalready happily living there, just see what you can offer inexchange for a mutually agreed rental increase. In the past,I've been known to provide stainless steel appliances, granitecounter tops, Pergo floors and even free washers and dryersaway for marginal rental increases. When prepping yourproperty for the market, your mentality should change so youidentify all possible sources of generating more income.Approach your current residents and see if there is a valueadd opportunity already within your building. Rememberevery $1 more of income has relational added value in the

sales price. The next trick is the one that is most commonly used: it's

pushing the rents above what the market supports. First let'sremember a key financial indicator within our industry, theGross Rent Multiplier (GRM). The Gross Rent Multiplier isthe financial indicator used to assess how many times thegross annual rent is multiplied into the purchase price. TheGross Rent Multiplier is important because every increaseddollar in rent will increase the overall value of your property.The formula is fairly simple; let's say you have a 10 unitbuilding and each unit pays $835 a month in rent, you gross$8,350 per month in rent and that is roughly $100,000annually. If you are selling the property for $1,000,000, youhave a 10 times gross rent multiplier. The most importantthing to realize in this scenario is every $1 in monthly rentequals $12 in value or $100 in monthly rent = $12,000 in the

property's value. When you run thenumbers backwards, you see why it is soimportant to maximum the rent withinyour building prior to putting the buildingon the market. Let's consider the same 10unit property with average rents of $835per month equaling the $1,000,000 value.If the building can sustain a $80 per unitper month increase, you have increasedthe annual income by $9,600 and raisedthe property's value by almost $100,000.With a 20% increase to $960 a month, the

property's value increases $200,000 and so forth. Factoringthe gross rent multiplier is a great way to keep your mindfocused on the asset's current income and fair market valueof the rents. If you're bypassing rental increases or keepingyour rents too far below market rents, you're leaving moneyon the table when it comes to sales.

Using the same simple and conservative 10X gross rentmultiplier, we can estimate $100 a month more in rent is$1,200 a year which equals $12,000 more in the property'svalue. Let's say you have a 2 bedroom vacancy in Old TownPasadena and the market rent is $1,800 a month. Thedifference between a unit rented for $1,950 a month versus$1,800 a month equates to $150 more a month or $1,800 a

Insider Tricks Exposed!!Positioning Your Apartment Building For Sale on the Market!!

By: Brian & Vincent “The Apartment Specialists”

Insider Tricks Exposed!!, continued on page 5

Vincent M. Medina

Brian D. Gordon

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year or just under $20,000 in value. Here's what you do ifyour market only supports the $1,800 in rent but you seekthe additional income for selling the property. Theprospective resident may only be willing to pay the marketrent of $1,800 but when explained the rent will be $1,950and they'll receive the first month free, that free month ofrent amortized over the 1 year lease term is the same netamount of money. The resident may simply agree to pay the$1,950 in rent since it's the same amount of money to them.In this scenario by giving up 1 month of rent, you actuallyincreased your income by $150 a month. You did lose thefirst month of rent but gained around $20,000 in value.Spread this formula out over a 20 unit building and you'relooking at an easy $300-$400K in value. Now this isn't a longterm management approach as your resident will likelyrenegotiate the rent or simply move at the end of their leasebut perfectly fine in prepping your property for sale.

Similar to the net rent approach, the next trick is toachieve a higher rent via a lowered deposit. This has a similartwist on numbers as offering the free rent approach andoften people combine both. It's easy; you offer an aggressivemove in special to maximize the monthly rent. Think ofyourself as the prospective renter that has saved up your firstmonth's rent and 1 month as a deposit. This is the typicalamount needed as move-in money in our industry. So, withthe same unit in old town Pasadena renting at $1,800 amonth, the prospective renter has $3,600 they're expectingto pay for the move-in charges (first month's rent + securitydeposit equal to one month). With a "move-in special" youmay lower the security deposit to only $500, offer 1 monthfree to entice the applicant to pay a higher monthly rent. Tothe prospective renter, now paying a monthly rent of $2,050

may be completely acceptable when you show them howthey saved $3,100 on the move-in, yet only need to pay $250more in rent per month. This calculation actually pencils outto their advantage and you just increased your annual incomeby $3,000 or an easy $30,000 in value. Again, spread thisapproach over 20 units and you could push the projectedannual income up by $60,000 and the building's value up by$600,0000.

I hope this article gave you a new prospective on howyou view your property's operations and some red flags tothink of when assessing the value of properties you maypurchase. Our whole industry is simply a numbers game.The more time and energy you invest in mastering thenumbers, the better investor you will become. Consult yourreal estate agent and management professional to exploreoptions how the best way to position your property. You'llwant to ensure the operations, management and financialslook great so you maximize the potential sales price.

Brian and Vincent are the owners of Lotus Property Services,Inc. and are active leaders and Real Estate Brokers in theapartment industry. Brian frequently writes for numeroustrade magazines and speaks at various seminars. Vincent isthe former President of the Foothill Apartment Association,and is a frequent writer and speaker for industry events. Asindustry experts ,Brian & Vincent have sold and managedover one billion dollars in real estate assets. To contact Brianor Vincent you can call or email:[email protected] 626. 582. 8001 ext. [email protected] 626. 582. 8001 ext. 102

Insider Tricks Exposed!!, continued from page 4

Have a happy, safe Holiday Season!

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Any landlord who has done an eviction knows thattenants always claim the landlord breached the “warranty ofhabitability” as a defense to an eviction. In order to besuccessful, a tenant must prove four elements; 1) Asubstantial defect existed in the rental unit; 2) the landlordhad either actual or constructive knowledge of thecondition; 3) the landlord failed to remedy the condition;and, 4) the tenant neither substantially contributed to, norsubstantially prevented the landlord from fixing, thecondition. Sounds fairly simple, right? So why do so manyjudges and juries find that landlords have violated thewarranty of habitability, even where the landlord had noknowledge about a condition requiring attention or repairs?It leaves many landlords asking, “how can the judge/jury sayI breached the warranty of habitability by failing to fixsomething that I knew nothing about?”

That question arises usually from a misunderstandingabout the level of knowledge required by a landlord beforethe landlord has a duty to fix a problem. Many landlordsreasonably, but mistakenly, misunderstand the meaning of“actual or constructive knowledge”. While actual knowledgeis fairly simply to figure out, what constitutes “constructive”knowledge may surprise you. Judges are trained, and juriesare instructed that “constructive knowledge” of a problemexists where a reasonable inspection would have revealedthe problem.

So how does a landlord deal with this situation properly

and proactively? Asked another way; how does a landlordascertain the condition of the unit in order to make therepairs he or she will be deemed to know about? By usingthe right forms, policies, and procedures that enablelandlords to get into their rental units for regular inspections.But there is one small problem; the law does not recognize a“right” of the landlord to enter a tenant’s rental unit simply toconduct a general inspection. So what do you do?

VICTOR SANTOS SY, CPA, MBASy Accountancy Corporation

Member, American Institute of CPAs704 Mira Monte Place, Pasadena, CA 91101Tel (626) 744-0200 • Fax (626) 744-0300

Email: [email protected] • Website: www.victorsycpa.com.

1. OUR FIRM: Landlords come to us for tax planning. • We have been helping rental owners for 36 years!• We understand the rental industry.• Victor built and rented apartments & coml units.• We set asset protection plans via LLCs and trusts.

2. IRS AUDITS: Having sleepless nights on an audit? • Relax. We battle, negotiate & settle with IRS. • We provide IRS audit defense & appeals work.• Offer In Compromise (OIC) & payment plans.• Sales tax, payroll tax, city license audits.

3. TAX PLANNING & TAX PREPARATION: • We prepare Individual & corporate tax returns.• Estate, trust, gift tax returns.• Payroll tax, sales tax, property tax, city license.

4. ASSET PROTECTION PLANNING: • Have you been sued lately? • Protect your buildings from lawsuits, levies, seizures.• We help set up LLC and corporations.• We also help plan living trusts & wills.

5. ACCOUNTING: QuickBooks & Excel Journals.• We set up accounting systems & chart of accounts.• Bank reconciliation, journal, ledger, trial balance. • Compiled financial statements.

6. CONSULTATION & ADVICE: • Run business as sole proprietor, corporation, or LLC? • Handle foreclosures, short sales, abandonments.• Exclude debt relief & cancellation of debt.

Inspecting Rental Units To Combat Habitability ClaimsBy Eviction Attorney, Michael A. Brennan Of Brennan Law Firm

Inspecting Rental Units To Combat Habitability Claims!,continued on page 8

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Dear Maintenance Men: By Jerry L’Ecuyer & Frank Alvarez

Dear Maintenance Men:I understand moving in a new resident from themanagement’s point of view. What do yourecommend as a move-in procedure from amaintenance background? I always worry abouthanding over a set of keys to a new resident who willnow have control of a veryexpensive rental unit. Whatshould I be thinking aboutmaintenance wise for this newmove-in?Tom

Dear Tom:Interesting question! It’s true wesometimes think the move-inprocedure is complete once theresident passes all the backgroundchecks, pays their money, signs all thepaperwork and is given the keys to theunit. We believe that the move-inprocedure is far from complete if the new resident is not“Checked-out” on the operation of the rental unit. A majorsource of maintenance issues and costs come from a newresident not knowing how to safely operate the moving partsof their unit. A short list of items that a resident may or maynot know how to operate are as follows: 1: Garbage disposal unit. 2: Vertical and horizontal blinds.3: Dishwashing machine.4: HVAC system or heating and cooling systems.

5: And anything else that could break or be a safety issue.Many of you might be saying to yourselves; “Who does notknow how to operate any of those items.” You would besurprised! Top of the list of most abused items are garbagedisposal units and blinds.

Dear Maintenance Men:I have heard the terms “Proactive and Reactive” inconnection with property maintenance. Can youexplain the difference as it relates to apartmentmaintenance? Richard

Dear Richard:We’ll start with the definitions first and then how they relateto property maintenance. From the Webster Dictionary:

Proactive: Acting in anticipation of future problems,needs or changes.

Reactive: Done in response to a problem or situation:reacting to problems when they occur instead of doingsomething to prevent them.

How you deal with propertymaintenance can make a bigdifference to the bottom line.A proactive approach allows youto make all the decisions ahead oftime. In a proactive situation you willhave time to shop for the best priceand dictate the schedule of the work.As an example: 1: Snaking orhydojetting the main sewer line beforethe Thanksgiving holiday removingany buildup or roots in the pipes. 2:trimming trees and overhangingbranches before a wet winter storm.A reactive approach removes all control of the situation. Youwill have little influence over the cost of the work or whenit will take place. As an example: 1: Calling out theplumber ... any plumber on Thursday, Thanksgiving eveningto snake out the main line blockage because of suddenoveruse by the residents . 2: Emergency roof repair during awet winter storm due to heavy tree branches breaking or atree falling.

A proactive owner or manager will make time (not findtime) to visit the property on a regular basis. They will walkthe grounds, inspect, identify and document problem areasor potential hazards. They will note liabilities and reviewpassed maintenance calls for patterns.A reactive owner or manager will seldom visit the propertyand will wait for someone to call and report a problem orincident. Often problems are not reported until it is too lateto be easily or economically solved.

Studies have shown that 80% of residents vacanttheir units due to non-existing, deferred or sub-standard maintenance. Loss of a resident because ofpoor maintenance practices is very expensive. Not only haveyou lost a paying resident, the deferred maintenance stillneeds to completed and a vacant unit now needs to berefurbished not to mention the loss of rental income

A Proactive maintenance policy will save youmoney both in the short term and more importantlyin the long term. It is a good investment.

To help get you on your way to establish a proactivemaintenance policy, ingrain the following steps into yourmanagement routine. Step 1.Inspect/Identify/Document

Frank Alvarez

Jerry L’Ecuyer

Dear Maintenance Men:, continued on page 13

www.faaonline.net7

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Understanding Your Obligations And Rights To AccessThe Unit For An Inspection

The first step is to understand your obligations and rightsin connection with the inspection of your rental units, andthe next step is to implement a plan that allows you accessto the unit on a regular basis without violating the law or thetenants’ rights to privacy.Landlord’s “Obligation” to Inspect

A landlord’s duty to provide tenants with a “habitable”rental unit begins before the inception of the tenancy.Specifically, the landlord is obligated to inspect the unit andput it in a condition “fit for residential occupancy” prior todelivering it to the tenant, as well as at the time of renewal.For example, a one year fixed term lease requires thelandlord to inspect the property both at the inception of thetenancy as well as a year later when renewing the lease.Additionally, landlords have a duty to inspect the unit fordangerous conditions at the renewal of the lease term, inorder to “repair all subsequent dilapidations thereof whichrender it un-tenantable”. However, the law recognizes thatthese duties must be balanced with a tenant’s right toprivacy and quiet enjoyment. In other words, the landlordhas a duty to inspect the unit at various intervals, but thetenant’s right to live in peace and quiet cannot be infringedupon or abused by excessive inspections.Landlord’s Right to Inspect vs. Right To Enter

What about a landlord’s “right” to inspect? It seemsreasonable that if a landlord will be held to “know” about acondition that a reasonable inspection would have revealed,they should have a corresponding right to go in and conductan inspection, right? No. Wrong. Simply stated, while there isa right to enter under specified circumstances, there is no“right” of a landlord to enter a unit merely to inspect it. Infact, there are only four basic circumstances in which alandlord is permitted to enter a tenant’s residence, including:1) emergencies; 2) with the tenant’s permission; 3) toprovide services and/or make agreed or necessary repairs;and, 4) to show the property to prospective purchasers,lenders, or tenants. Those rights cannot be expanded orwaived.

Now that you understand the duty to inspect and yourright to enter, let’s address “how to” get in the unit for aninspection.Documentation

Let’s start with documentation. Review your lease tomake sure it contains provisions that: 1) require the tenant toprovide access to the landlord or its agents; and, 2) prohibitthe tenant from changing the locks without the landlord’sprior written consent, (which should be conditioned uponthe tenant providing a set of working keys). Both provisionsshould include language making the tenant’s violation ofeither provision a material breach of the agreement. (Believeit or not, there are judges who refuse to evict tenants for afailure to allow access or provide keys to the landlord unlessit is clearly stated in the lease that they are required to do so.)If your lease does not already contain one or both provisions,simply draft and serve a 30 day notice of change in terms oftenancy adding those provisions (provided a month tomonth tenancy exists. If not, simply add them at renewaltime).

Now that the documentation allows you to evict a tenantfor refusing to allow you access and/or changing the lockswithout giving you a key, let’s address policies andprocedures for getting into the unit.Policies & Procedures

The next step in gaining access to the unit is to establisha policy of accessing the unit on regular intervals forlegitimate purposes, (e.g., testing and maintaining the smokeand/or carbon monoxide detectors). This can be done on anon-intrusive schedule, such as quarterly, or every sixmonths. By staggering the inspections (e.g., a yearly safetyinspection in January, then one for testing and maintenanceof the smoke and carbon monoxide detectors four to sixmonths later) landlords should be able to reasonably inspectthe unit three to four times a year. As part of your policies, itshould be required that where tenants are present for theinspection, landlords will have the tenant sign a pre-printedinspection form in which the tenant acknowledges thatthere either are, or are not, conditions requiring attention.Those signed forms should be placed in the tenantspermanent files as evidence of the habitable condition oftheir unit in the event of a trial.

But what about the period of time in between theinspections, during which the tenant will claim that acondition constituting a breach of warranty of habitabilityarose? How does a landlord insulate themselves from that? Asthe saying goes, there are a million ways to skin a cat. Forexample, I saw a client’s custom printed receipts on whichhe had two boxes at the bottom. Next to one box wasprinted “my residence requires maintenance or service” witha couple of lines next to it for a description. The second boxsimply stated “my residence does not require maintenance orservice at this time”. His thought process goes like this: byhaving the tenant sign the receipt each month when theypay their rent, they are affirmatively indicating the unit is ingood repair. Coupled with a solid preventive maintenanceschedule and several redundant means in which the tenantcan notify the landlord of problems, the tenant will be hardpressed to convince someone, whether judge or jury, that inthe small period of time between the inspections every 3-4months, a habitability problem popped up warrantingwithholding or reduced rent.

In conclusion, most tenants raise the landlord’s “breachof warranty of habitability” as a defense to an eviction action.It can provide them with an edge over landlords whennegotiating settlements. The landlord’s knowledge of theproblem, (whether actual or constructive) is an essentialelement of the defense, and the court routinely finds thatlandlords have the necessary knowledge where a reasonableinspection would have revealed the condition. To protectthemselves from this situation, landlords have to get intotheir units for inspections on a regular basis, notwithstandingthe fact that the law limits their ability to do so. In order toinspect their units on a regular basis, while respecting thetenants’ right to quiet enjoyment and privacy, landlords needto adopt proactive systems which include properdocumentation, policies, and procedures that: 1) allow alandlord to legally enter the unit for regular inspections, and2) allow the landlord to terminate the agreement for atenant’s failure to grant access.

Inspecting Rental Units To Combat Habitability Claims!,continued from page 6

Inspecting Rental Units To Combat Habitability Claims!,continued on page 12

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Lotus Property Services, Inc.

Vincent Medina

(626) 582-8001

(626) 582-8005 Fax

www.lotuspropertyservices.com

Taylor Enterprises

Contact Shelly Downes

(626) 836-3000

(626) 836-0128 Fax

Real Estate

Charles F. Dunn, Investment Group

Charles Dunn Company, Inc.

(213) 481-1800 Office

(213) 447-8266 Cell

(213) 481-0758 Fax

[email protected]

www.charlesdunn.com

(See Ad)

Linda Jo Pyle, CRS,

Associate Broker, Century 21, Ludecke

20 E. Foothill Blvd.

Arcadia, CA 91006

(626) 688-4767

[email protected]

Roofing

Royal Roofing

Steve Pinkus

(310) 271-3010

(818) 755-8515

e-mail: [email protected]

(See Ad)

Tax Services

Sy Accountancy Corp.

Victor Santos Sy, MBA, CPA

704 Mira Monte Place.

Pasadena, CA 91101

(626) 744-0200

(626) 744-0300 FAX

[email protected]

(See Ad)

Brennan Law Firm

Michael A. Brennan

67 E. Live Oak Avenue, Ste. 105

Arcadia, CA 91006

(626)294-0500 – Office

(855)285-2230 – Toll Free Office

www.MBrennanLaw.com

Painting

Foothill Painting Company

Contact: Mari Lynn Bair

(818) 352-2888 x 11

(818) 352-2919 fax

[email protected]

www.foothillpainting.com

Property Management

Beven & Brock

C. Finley Beven, CPM

(626) 795-3282 Ext. 111

(626) 795-1331 Fax

email: [email protected]

(See Ad)

Bryant Companies

Contact: Matthew N. Bryant, JD

(626) 441-3141 (B)

(626) 441-0892 Fax

e-mail: [email protected]

(See Ad)

Fertig & Gordon

Fertig and Gordon Co., Inc

Tyler Tripp

(626) 793 7138

(626) 793 6349 Fax

[email protected]

Jenkins Properties Management Co.

Charlotte Ives, President

(818) 957-1156

(818) 542-6855 Fax

[email protected]

www.jpmc2000.com

A/C, Heating, Appliances

West Coast Chief Repair, Inc

Michael Birov

(626) 281-1151

(800) 810-7813

www.chiefappliance.com

(see ad)

Cleanup & Restoration

Servpro of Arcadia & Pasadena North

1848 Evergreen St. Duarte, CA 91010

Lic. No. 864849, contact Irene Rojas

626-447-4111 or 626-447-4128

[email protected]

Insurance

Dick Wardlow Insurance

(800) 298-3000

[email protected]

State Farm Insurance

Jim Krause

(626) 351-9657

(626) 351-5198 Fax

e-mail: [email protected]

Laundry Room Specialists

Coinmach Corporation

Cheryl Nicholson

(800) 954-9000 Ext. 54326

WASH Multifamily Laundry Systems

(800) 421-6897 ext. 1625

www.washlaundry.com

Contact: Tracy McMahon

Legal Services

Dennis P. Block & Associates

Law Firm of Katz & Block

(626) 798-1014/(323) 938-2868

(323) 938-6069 Fax

www.evict123.com

(See Ad Back Cover)

Product Service Council Directory

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FAA

Are You In Compliance?If you are screening tenants you need an FCRA user agreement and

inspection check on file with the Foothill Apartment Association.

Welcomes Our Newest Members:Sharon Hanoca

Foothill Apartment AssociationServing the San Gabriel Valley and Foothill Communities

for over 45 years Offering:�‚ Comprehensive Tenant Screenings

F.A.A. offers members in-depth background checks which always include a full credit history, unlawful detainer, and FICO score. And we help you learn to read the reports.

‚ Legal FormsEvery kind of residential property agreement, amendment, or notice is at your fingertips, digital or hard copy. Our forms come with instruction sheets and have been protecting landlords for over 45 years.

‚ Member Meetings and SeminarsThroughout the year we bring you informative speakers, seminars, and forums to help you better understand and manage your business.

‚ Office ServicesWe offer personalized service tailored to your needs. Our professional staff is here to help you better understand every facet of the rental property industry.

‚ ReferralsOur Product Service Council is made up of the best local and regional companies in the industry, referred and used by our members for decades.

‚ NewsletterPublished bimonthly, our newsletter keeps landlords and managers informed of all the latest legal and industry news.

‚ AdvocacyFor over 45 years we have been monitoring and fighting for rental property owners’ rights on the state, federal, and local levels.

Call us: (626) 793-5873, logon to our website @ faaonline.netOr visit the office, 2500 E. Foothill Blvd. Suite 206

Pasadena, CA 91107

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By combining the landlord’s legally required inspections(at inception or renewal) with the legally recognizedsituations in which a landlord may enter the unit (e.g., testingand maintaining the smoke detectors), landlords should beable to access the unit on a regular basis to inspect it forconditions requiring attention. In conjunction with creativeapproaches like having tenants sign off on the habitablecondition of the unit each time the landlord inspects, andsigning their rent receipts indicating no problems exist in theunit, landlords can effectively diminish the possibility of ajudge or jury deeming them to have the knowledgenecessary to support the tenant’s claim of habitability.

The foregoing information is presented and intendedto address the topic(s) covered above in a general nature,and not as specific legal advice. Specific situations andtheir facts should be presented to your attorney for review.The Brennan Law Firm is one of the premier landlord-tenant law firms in Southern California, representinglandlords exclusively in evictions, judgment enforcement,and other landlord-tenant matters. Mr. Brennan is afrequent speaker and contributing author for AOA, andmay be reached at (626)294-0500, or toll free at (855)285-2230. Please visit our website at www.MBrennanLaw.comfor more information.

Inspecting Rental Units To Combat Habitability Claims!,continued from page 8

BRE Corporate License # 01116622www.jpmc2000.com818-542-6850

2626 Honolulu AvenueMontrose, CA 91020

• Real Estate Sales• Property Management• Homeowner Associations• Apartments• Single Family Homes• Maintenance• 24-hour Emergency Service

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The needs of your building include any minor intricacies (forpurposes of scheduling/ordering/delegating)Step 2 Routine Maintenance ProceduresEstablish a routine maintenance program involving managerduties to oversee and direct the maintenance.Step 3 Service Request SystemEstablish a reliable service request system that mandates aminimum 24 hour window for acting on a request. Residentshall at minimum receive a phone call or communication ofwhen, how and by whom their request will be serviced. Thiswill at least let them know you aware of the problem and areacting to resolve their issue.Step 4 Quality ControlEstablish a quality control procedure ensuring residentsatisfaction and satisfactory work performance prior tovendor payment. Step 5 Emergency Procedures and Vendor ListCreate an emergency procedure and duties for individualstaff members. Include emergency phones numbers for thepolice, fire department and probably vendors you have oncall i.e. Plumber, electrician, HVAC.Step 6 Record KeepingEstablish logs, appointment books, phone logs, inventorysheets, service request files, unit logs etc. to keep track ofyour on-going maintenance system.

Dear Maintenance Men:I would like to find out if I have an “A”, “B”, “C”, or “D”building. I’m not sure what constitutes an A or Dproperty. Can you shed light on the designations?Cornell

Dear Cornell:This is really a real estate purchasing question, however wethink it will work for maintenance as well. As in most things;“A” is the best and “D” can be seen as the worst. An “A”property will require the most proactive maintenance toretain an “A” rating while a “D” property may very rarely see amaintenance tech without direction from code enforcementor the city attorney. Below is a simple example of the A, B,C or D ratings and what they represent.

A: New or extremely well taken care of property with topnotch amenities in the best areas.B: Newer property that may be slightly dated, but well takencare of in a good area.C: Older property, clean, middle of the road building withlimited amenities in a fair area. D: Older property, no or few amenities, basic design, couldbe run down and often in a bad area

Dear Maintenance Men,It won’t be long before we need to change our clocksfor Daylight Saving. I’m a bit concerned about thelights at my apartment building. I have variousfixtures, sensors and timers, not one of which turnson the lights at the same time. Some don’t turn off oron at all. Any suggestions?Burt

Dear Burt:There are two ways to effectively control exterior lighting: 1: A timer clock.2: A photocell for detecting light and dark

Both time clocks and photocells have been aroundforever. We prefer to activate landscape lighting with aphotocell as it is virtually maintenance free. A photocellwill ensure the property has light only when it is needed andturn off automatically with the approach of daylight. Be surethe photocell located where it can “see” ambient light and

not near an artificial light source. A time clock needs constant attention in order to keep

up with the changing seasons and adjustments for longer orshorter nights. There is nothing more frustrating than seeingthe property all lit up at 5pm and it only gets dark at 7pm oreven worse; the lights turn on at 7pm and it has been darksince 5pm. Remember: the safety of your residents is atits greatest risk when it is dark and the lights are out.

Dear Maintenance Men:I’m getting ready to have one of my rental unitspainted and the painter typically sprays the walls andceiling as opposed to rolling on the paint. I’m a bitworried about my smoke and CO Detectors. I’m Ibeing overly cautious? George

Dear George:Overly cautious? No! We think you are right to worry. Thepaint and construction dust can contaminate the smoke/COdetectors and lessen their sensitivity. It is important toeither cover the detectors in a protective plastic bag orremove them during the painting and construction work.While you are there, check the batteries and dates ofinstallation. If you remove the detectors during painting,don’t forget to reinstall them before the next resident movesin.

Dear Maintenance Men:Garbage deposals are getting me down! I am forevergetting calls to unblock them or replace rusted ones.They seem to be a source of constant problems. Arethere any alternatives?John

Dear John:The first issue may be education. When a new residentmoves into a unit; explain how to use the garbagedisposal, what should and should not be put through theunit. Show them what to do if the disposal jams and whereand how to use the un-jam key. (The un-jam key should beattached to the side of the disposer.) The same informationshould be distributed to all existing residents as well.

To answer your question about an alternative to agarbage disposal: We recently met with a small SouthernCalifornia company that makes an item to eliminate thegarbage disposal unit altogether. The product is calledSemperScreen and it looks just like a standard sink drainstrainer. The difference is in the strainer itself. The strainer isa fine stainless steel mesh permanently attached which willonly allow water to drain and keep debris from going downthe drain and into the pipes. In other words, the new drainstrainer is used to replace the garbage disposal unit. Becauseit is permanently installed, the residents cannot remove it.The garbage disposer is removed the SemperScreen replacesit. This product can be found at: www.semperscreen.com .

Bio:Please call: Buffalo Maintenance, Inc for maintenancework or consultation. JLE Property Management, Inc for managementservice or consultationFrankie Alvarez at 714 956-8371 Jerry L’Ecuyer at 714 778-0480 CA contractor lic: #797645, EPA Real Estate lic. #: 01460075Certified Renovation Company Websites: www.BuffaloMaintenance.com &www.ContactJLE.comwww.Facebook.com/BuffaloMaintenancewww.Facebook.com/BuffaloMaintenance

Dear Maintenance Men:, continued from page 7

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Please Consider Serving on our Board of DirectorsThe Foothill Apartment Association has a long history of serving the San Gabriel Valley and adjacent communities. If

you would like to contribute to this tradition of service, one of the best ways is to join the leadership of ourorganization. The only requirement is that you be a member of the association.

Simply detach the application below and send it to our office-------------------------------------------------------------------------------------------------------------------------------------

Foothill Apartment Association2500 E. Foothill Blvd., Ste. 206

(626) 793-5873 (626) 793-1930 [email protected]

Board of Directors ApplicationName:_________________________________________________________________________

Address________________________________________________________________________

Phone: ___________________________ Email:_____________________________________

Rental Property Owner? Yes No Number of Units:_____________________________

Location:_______________________________________________________________________Occupation: _____________________________________________________________________

If nominated and elected as a member of the board, are you willing to serve on a committee? Yes NoIf no, please explain: ____________________________________________________________________________

What are your primary areas of interest within the association?Local Issues Government Relations MarketingMembership Publications EventsProduct Service Council

Please comment on why you are interested in serving on our board of directors, and what experience you bring withyou:

FAA

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The firms listed below feature advertisements which appear inthis issue of the Foothill Apartment Reporter, on the pages listedafter their names. Mention the Foothill Apartment Reporterwhen patronizing these advertisers. It may identify you forspecial service or price benefits in many cases. Due to the timeelement on a monthly publication, special offers are subject tostock on hand and other price factors. Neither the FoothillApartment Association nor the Foothill Apartment Reporter canguarantee or be responsible for the advertisers’ quality ofproducts of services.

Note: This logo in an advertisement identifies thatmember, company or person as a Supplier/Service memberof Foothill Apartment Association.

Foothill Apartment ReporterAdvertisers’ Index

FAA Serving the communities of:Alhambra AltadenaArcadia BradburyBaldwin Park DuarteEagle Rock El MonteGlendale Highland ParkLa Cañada/Flintridge La CrescentaMonrovia MontebelloMonterey Park MontrosePasadena Pico RiveraRosemead San GabrielSan Marino Santa Fe SpringsSierra Madre South El MonteSouth Pasadena South San GabrielSunland Temple CityTujunga Whittier

AIR CONDITIONING/HEATING

West Coast Chief Repair. . . . . . . . . . . . . . . . . . . . . . .12

FINANCIAL SERVICES

Sy Accountancy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6

CONSTRUCTION & MAINTENANCE

Buffalo Maintenance, Inc. . . . . . . . . . . . . . . . . . . . . . . .7

LAUNDRY SERVICES

Wash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11

LEGAL SERVICES

Dennis P. Block & Associates . . . . . . . . . . . . . . . . . . .16

Frank D. Rubin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

Landlord Legal Services . . . . . . . . . . . . . . . . . . . . . . . .2

PROPERTY MANAGEMENT

Beven & Brock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10

Bryant Companies . . . . . . . . . . . . . . . . . . . . . . . . . . . .5

Fertig And Gordon Companies, Inc. . . . . . . . . . . . . . . .6

Jenkins Properties . . . . . . . . . . . . . . . . . . . . . . . . . . .12

Lotus Property Services, Inc. . . . . . . . . . . . . . . . . . . . .4

REAL ESTATE

Charles Dunn Company, Inc. . . . . . . . . . . . . . . . . . . .14

ROOFING

ROYAL ROOFING. . . . . . . . . . . . . . . . . . . . . . . . . . . .11

FIND OUT BEFORE IT’S TOO LATE!

FAA SCREENING SERVICES, FASTAND ACCRUATE

CREDIT, EVICTION, TELECHECK, CRIMINAL BACKGROUND CHECKS

(626) 793-664ODON’T DELAY CALL TODAY!

Since 1968

FAA

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