The new owners of a 21-unit, low-rent apartment complex in Healdsburg are evicting all the mostly Latino tenants with plans to fix it up and in some cases more than double the rents, prompting a community outcry as well as highlighting the challenge of providing affordable housing in a hot real estate market.
The issue burst into full public view this week at a packed City Council meeting, in which speakers complained that families were being put into the street due to skyrocketing rents. Longtime renters despaired that they will be next, priced out of a town where they also can’t afford to buy a home.
But the recent acquisition of the Prentice Apartments off March Avenue and wholesale eviction of the 21 families there by the new landlord was especially disturbing to some residents, who said it smacked of racism and gentrification.
“This town is built on the backs of those people, and those people who trusted me for 30 years to teach their children,” said Judy Sanderson, a retired teacher and self-described “privileged white woman” who said it feels like the new owners are “targeting Hispanic families.”
Sanderson said she has taught many of the children whose families live there. “It’s not that it’s just not fair,” she said. “These are children who have no place to sleep.”
What especially irked some people was a prospectus put out by Drake Property Group, the Larkspur investment firm that purchased the apartment complex, stating it is seeking “a tenant demographic more appropriate to the refined nature of the Healdsburg community, tenants who value good design and beautiful surroundings.”
Laura Arreguin said, “As a Mexican, as a Latina, I love beautiful surroundings. I feel discriminated against.”
Mayor Shaun McCaffery said Drake Property’s language “sounded blatantly racist” considering the overwhelming Latino makeup of the apartment complex. The owners purchased it with a promise that investors would see returns exceeding 30 percent after the property is upgraded and rents likely increased from current levels of $800 to $950, to a market rate of $1,400 to $2,200 per month.
The prospectus said Healdsburg is enjoying continuing high-quality restoration and development, describing it as “the Sausalito of Sonoma County.”
“Who is their PR director? It must be Donald Trump. They need to fire him,” McCaffery said later, in reference to the backlash against the Republican presidential candidate’s comments on Mexican immigrants and crime that drew outrage from Latino groups who said they were demeaning and misleading.
On Wednesday, Peter Supino, the head of Drake Property Group, said when his company issued the statement last year “we had no idea who was in that building.”
“It was a general statement before I knew Healdsburg and knew those people. I would not repeat it,” he said.
Supino said the apartment complex, built in 1974, has been totally neglected by a number of previous owners.
“All 21 dishwashers haven’t worked for years,” he said, adding that the roofs are falling in, the ceilings have asbestos and balconies are falling apart. It is a huge health and safety hazard and the complex will need an estimated $1.5 million in renovations, according to Supino, who added “we probably saved tenants’ lives.”
He said the residents were treated fairly, given a legal, 60-day notification to be out by the end of this month and in some instances were paid $500 to leave sooner. All will be given a right to return, he said, and “hopefully we can bring back a couple that were there.”