Author: Kalisha Webster

East Palo Alto Opportunity to Purchase Act Rejected What you need to know

Kalisha Webster

Update

We would like to extend our appreciation to Councilmembers Ruben Abrica and Carlos Romero for their unwavering support for the East Palo Alto Opportunity to Purchase Act (EPA OPA). Unfortunately, on the night of December 5th, leaders on the East Palo Alto (EPA) City Council voted 3-2 to reject the EPA OPA. 

What is an Opportunity to Purchase Act

An Opportunity to Purchase Act (OPA) policy gives renters in your community a chance to become homeowners when their landlords want to sell. Eligible buyers such as tenants, affordable housing developers, community land trusts, community based organizations, and even cities/counties are given a “right of first refusal” or special time period to make an offer on the property, or the option to match any offer made by a private buyer. A landlord is not required to sell to any of the previously mentioned eligible buyers, they only have to receive and consider their offers.

The two most common models are:

  • Tenant Opportunity to Purchase Act (TOPA)
    • Renters are given the “right of first refusal” to buy their home when their landlords want to sell. They may also assign their right to a “qualified organization,” such as a community land trust or a non-profit affordable housing provider.
  • Community Opportunity to Purchase Act (COPA) 
    • A specific list of qualified organizations are provided with the “right of first refusal” to purchase the home(s) when a property owner is looking to sell.

At their November 7 meeting, EPA’s City Council voted 3-2 to combine both TOPA and COPA polices into the EPA OPA. 

Why EPA OPA Mattered and Still Does

Had it passed, EPA OPA would have made it a lot easier for EPA community members who rent to secure a safe and stable place to call home and allow them to stay near their families and places of work.

As a law, it would have applied to both single-family and multi-family homes and would have required an owner to first tell their tenant(s) if they plan to sell their home(s) – putting a stop to off- market deals that prevented local buyers like tenants and non-profit housing providers from even knowing that the owner would consider a sale. Tenant(s), non-profits, and the City would have been provided with a “right of first refusal” – giving them time to connect to/gather resources needed to make a competitive purchase offer to a property owner.  

What’s Next

At the December 5th City Council meeting, Mayor Lisa Gauthier expressed her interest in a city-wide ballot measure.