Novato to weigh ideas for abating vacant, blighted buildings

The Novato City Council is planning to discuss a potential strategy to address concerns of vacant, abandoned and blighted buildings, with potential options ranging from fees to incentives for redevelopment.

The council is set to discuss the proposal, introduced by Councilmember Rachel Farac, at its Aug. 5 retreat when it considers updates to the city’s strategic plan, which determines the council’s priorities for the coming years.

Farac said during the council’s meeting on July 11 that addressing the buildings was a high priority voiced by residents during her election campaign last year.

“On my drive here I identified three separate blight buildings going from Novato Boulevard to City Hall,” Farac said during the meeting.

Enacting some type of program or ordinance would attract new investors, businesses and residents, promote economic growth and increase property values, she said. A program could also address concerns about criminal activity and squatting in or near vacant buildings, she said.

“This is particularly important for homeowners who have invested in their properties and want to maintain their value,” Farac said during the meeting.

Farac said there are several areas in the city that this program could address, including the Square Shopping Center along Novato Boulevard. Whether the program would be a fee or more largely focused on incentivizing improvements would be up for the council to discuss, she said.

Other cities such as San Francisco and Berkeley have enacted a vacancy tax against building owners who keep their properties empty in hopes of finding higher-paying tenants. Proponents of such taxes and fees say they address housing availability.

At the July 11 meeting, Novato council members, business representatives and residents expressed wariness about using such fees.

Steven Summers, manager of the Square Shopping Center, said Novato has had a reputation for being unfriendly to business. He said the city did not offer support for a previous plan to redevelop the property to include more than 140 dwellings, which was reduced to about 75 after pushback from residents. The project application was ultimately withdrawn.

“You need to address economic values for the city and that’s the key issue,” Summers told the council during the meeting.

Novato resident Harry Thomas, who sits on the city’s Economic Development Advisory Commission, told the council that a vacancy tax or fee could backfire, causing property owners to pass the costs on to tenants or delay maintenance to save money. He said the council should look more toward incentives and outreach rather than penalties.

“The economy has changed and there are many businesses in Novato or properties that are vacant because of the dynamics of the change in the economy,” Thomas told the council.

Coree Cameron, president of the Novato Chamber of Commerce board, said imposing a fee would be unfair to business owners experiencing vacancies in the aftermath of the coronavirus pandemic.

“We should be incentivizing owners to fill their voids, and find out why the building remains vacant, and how can we help to get the space occupied,” Cameron wrote in an email to the council. “We don’t know whether anyone has had a conversation with the owners of vacant commercial spaces in Novato, but it seems to us that imposing a tax without understanding the problem and how the city can help is acting hastily, irresponsibly.”

Novato resident Roland Karste said the blight he has seen in Novato has involved city-owned properties, specifically a lack of landscaping work at parks and street medians.

“You talk about economic development, you talk about improving an image for your community. The city is the worst offender,” Karste told the council.

Council members expressed openness to discussing potential options but expressed concern about using a fee. Mayor Susan Wernick said she would want to see data on vacant properties before deciding on whether to enact new programs.

“That’s what I would want to see first: Is there an issue in town that needs to be addressed? I want to be clear about that,” Wernick said during the meeting.

Farac said a beginning step could be to have city staff compile a registry of vacant properties and how long they have been unoccupied. Then the city and various organizations could create a “win-win solution to address these properties,” Farac said.

“Many cities have implemented programs such as this and we need to find the right solution for Novato,” Farac said.