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File #: 1525-2005    Version: 1
Type: Ordinance Status: Defeated
File created: 9/12/2005 In control: Development Committee
On agenda: 5/21/2007 Final action:
Title: To authorize the Director of the Department of Development, or his designee, to issue a rebuild assurance letter to the current owner of the property at 2896-2972 McGuffey Road (43224) in which the City assures potential lenders that, subject to certain conditions, it will permit the buildings on said property to be rebuilt in the event of damage or destruction notwithstanding the restriction in Section 3391.01(c) of the Columbus City Codes relative to the restoration of a damaged non-conforming building or structure; and to declare an emergency.
Explanation
 
BACKGROUND: The Department of Development has been contacted by the owner of a number of two-family dwellings along McGuffey Road in the Linden area who is in the process of selling these dwellings.  When built around 1951, the two-family dwellings were allowed by the zoning classification covering that area, which since then has been rezoned to R-3 and no longer allows two-family dwellings.  This "downzoning" has rendered these dwellings non-conforming, and while the Zoning Code allows for them to continue as non-conforming uses, they could not be rebuilt as two-family dwellings in the event of damage of fifty percent (50%) or more of their value.  
 
Recently, some lenders have begun requesting "rebuild assurance" letters from cities even though the lender requires the buyer-borrower to maintain casualty loss insurance.  As a condition of the loan commitment and closing on the transaction, the lender in this case is requiring a letter from the City (ordinarily the Building Services Division) that assures that in the event of damage or destruction the City would allow the structure to be rebuilt so long as the reconstruction was within the same footprint of the prior structure, and was used for the same purpose, i.e. a two-family dwelling.  Since the Zoning Code currently would not allow for a reconstruction under those circumstances, the Building Services Division will not issue such a letter.   
 
Rather than making permanent changes to the Zoning Code or requiring a Council variance or rezoning at this time, this ordinance would authorize issuance of a "rebuild assurance" letter in this particular case only.  In the event it appears that this is likely to be a recurring situation, the Department of Development will assess whether any permanent change in the Zoning Code is warranted and make a recommendation to City Council accordingly.
 
FISCAL IMPACT: No funding is required for this legislation.
 
 
 
Title
 
To authorize the Director of the Department of Development, or his designee, to issue a rebuild assurance letter to the current owner of the property at 2896-2972 McGuffey Road (43224) in which the City assures potential lenders that, subject to certain conditions, it will permit the buildings on said property to be rebuilt in the event of damage or destruction notwithstanding the restriction in Section 3391.01(c) of the Columbus City Codes relative to the restoration of a damaged non-conforming building or structure; and to declare an emergency.
 
 
 
Body
 
WHEREAS, the current owner of two-family dwellings located at 2896-2972 McGuffey Road 43225 has requested a "rebuild assurance" letter that from the Department of Development for the purpose of securing financing for the sale of these dwellings; and
 
WHEREAS, the area in which these dwellings are located has been rezoned to R-3, Residential District which does not allow two-family dwellings, and which makes two-family dwellings in this area built prior to the rezoning legal non-conforming uses; and
 
WHEREAS, the Zoning Code, and specifically Section 3391.01(c), prohibits the restoration of legal non-conforming buildings or structures that have been damaged by any means to the extent of fifty percent  (50%) or more of the value of the existing building or structure; and
 
WHEREAS, the Department of Development has recommended that, in this particular situation, it would be appropriate to provide conditional rebuild assurance to potential lenders to help facilitate the sale of this property and the preservation of this housing; and
 
WHEREAS, an emergency exists in the usual daily operation of the Department of Development in that it is immediately necessary to pass this ordinance as an emergency measure to authorize the issuance of a rebuild assurance letter by the City so the sale of these units can proceed in a timely manner, thereby preserving the public health, peace, property, safety, and welfare; now therefore,   
 
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
 
Section 1.      That the Director of the Department of Development, or his designee, is hereby authorized to issue a rebuild assurance letter to the current owner of the property at 2896-2972 McGuffey Road (43224) in which the City assures potential lenders that, subject to certain conditions, it will permit the two-family dwellings on said property to be rebuilt in the event of damage or destruction notwithstanding the restriction in Section 3391.01(c) of the Columbus City Codes relative to the restoration of a damaged non-conforming building or structure.
 
Section 2.      That the letter authorized by this ordinance shall contain such conditions as the Director, in his discretion, deems necessary to ensure conformity with the general purpose and intent of the Zoning Code, which conditions shall include, but not be limited to, requiring that any reconstruction be done within the same footprint of the existing building and that only the existing non-conforming use or a conforming use would be permitted for any reconstructed building.  
 
Section 3.      That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.