Letter of Determination Suite 400

SAN FRANCISCO PLANNING DEPARTMENT 1650 Mission St Letter of Determination Suite 400 San Francisco, CA 94103-2479 December 13, 2012 Andrew J. Junius Reuben & Junius, LLP One Bush Street, Suite 600 San Francisco CA 94104 Reception: 415.558.6378 Fax: 415.558.6409 Planning Information: 415.558.6377 Site Address: Assessor s Block/Lot: Zoning District: Staff Contact: 1800 Sutter Street 0676/033 NC-2, Japantown SUD, 50-X Height/Bulk District David Lindsay, 558.6393, david.lindsay@sfgov.org Dear Mr. Junius: This letter is in response to your request for a Letter of Determination regarding the Hotel Tomo at 1800 Sutter Street, an 8-story tourist hotel constructed in 1975. This parcel is located in the NC-2 Zoning District, the Japantown Special Use District and the 50-X Height and Bulk District. The property was within the Western Addition A-2 Redevelopment Area at the time of the hotel s construction. The request is whether the proposed operation of the hotel s guest rooms as timeshares, for periods of occupancy not to exceed 30 consecutive days, is consistent with a "tourist hotel" use as defined in Planning Code Section 790.46. It is understood from the description provided by you that under the proposal, the hotel s 125 guest rooms would be operated as timeshares that would be occupied by guests predominantly by the week but not to exceed stays of greater than 30 days. The rooms would not include cooking facilities and guests would have access to the hotel s operations and services, such as check-in, concierge, laundry/dry cleaning, luggage storage and baggage-handling services. The hotel s existing amenities, such as access to meeting rooms and the on-site fitness center would also continue. As you state in your letter, the Hotel Tomo is a 125-room tourist hotel and is considered to be a "commercial" use. Since the proposed operation of the hotel s 125 guest rooms as timeshares would continue to be a "commercial" use, and since no residential use would be affected by the timeshare operation, it is my determination that the proposed operation of the Hotel Tomo s 125 guest rooms as timeshares for periods of occupancy not to exceed 30 consecutive days is consistent with a "tourist hotel" use as defined in Planning Code Section 790.46. www.sfplanning.org

Andrew J. Junius December 13, 2012 Reuben & Junius, LLP Letter of Determination One Bush Street, Suite 600 1800 Sutter Street San Francisco CA 94104 APPEAL: If you believe this determination represents an error in interpretation of the Planning Code or abuse in discretion by the Zoning Administrator, an appeal may be filed with the Board of Appeals within 15 days of the date of this letter. For information regarding the appeals process, please contact the Board of Appeals located at 1650 Mission Street, Room 304, San Francisco, or call (415) 575-6880. Sincerely, Scott F. Sanchez Zoning Administrator cc: Hotel Tomo Investors, LLP, Danesghar Faraz/3D Investments, 1880 Century Park East Los Angeles, CA 90067 (property owner) Neighborhood Groups David Lindsay, Current Planning Steve Wertheim, Citywide Planning SAN FRANCISCO 2 PLANNING DEPARTMENT

REU B EN &J UN IUSLLP October 25, 2012 By Hand Delivery Scott Sanchez Zoning Administrator San Francisco Planning Department 1650 Mission Street, Suite 400 San Francisco, CA 94103 (p /O735 Ck 4 209107 NJ D ijpsiy Re: Request for Letter of Determination of Hotel Use Status Our File No.: 6152.02 Dear Mr. Sanchez: This office represents Hotel Tomo Investors, LLC, the owner of the Hotel Tomo, a tourist hotel located at 1800 Sutter Street in San Francisco (Block 0676, Lot 033) (the "Hotel"). Pursuant to the provisions of San Francisco Planning Code Section 307(a), we respectfully request a letter of determination stating that the potential operation of Hotel guest rooms as timeshares, for periods of occupancy not to exceed 30 consecutive days, would remain consistent with a "tourist hotel" use under the Planning Code. A. Existing and Proposed Hotel Use The Hotel is an 8-story tourist hotel built in 1975 and located at the northwest corner of Sutter and Buchanan Streets in Japantown, approximately two blocks from Fillmore and Geary Streets. The Hotel s 125 guest rooms feature a unique anime-themed design, and a Japanesestyle restaurant (Mums) is currently operating at the building s street level. The Hotel building is located within an NC-2 (Neighborhood Commercial, Small Scale) district and the Japantown Special Use District. The Hotel currently contains 125 guest rooms, and proposes to operate these rooms as timeshares that would be occupied by guests predominantly by the week, but in no event will stays exceed 30 days. The rooms would not include any cooking facilities, and guests would continue to be provided Hotel operations and services, such as check-in, concierge, laundry and dry cleaning, luggage storage and baggage-handling services. Existing amenities such as access to meeting facilities and an on-site fitness center would also continue. The northern, vacant portion of the lot is zoned RM-3 One Bush Street, Suite 600 San Francisco, CA 94106 James A. Reuben I Andrew J. Junius I Kevin H. Rose I Sheryl Reuben David Silverman I Thomas P. Tunny I Jay F Drake tel:415-567-9000 fax: 415-399-9480 Daniel A. Frattin I Lindsay M. Petrone I John Kevlin I Jared Eigerman 23 I John McInerney 1112 1 Also admitted in New York 2. Of Counsel 3 Atso admttex in Massachjsets www.reubentaw.com

Mr. Scott Sanchez October 25, 2012 Page 2 B. Consistency with the Planning Code Definition of a Commercial Hotel Use The Hotel is located within the NC-2 zoning district. Planning Code Section 790.46 defines a "tourist hotel" in NC-2 districts as "a retail use which provides tourist accommodations, including guest rooms or suites, which are intended or designed to be used, rented, or hired out to guests (transient visitors) intending to occupy the room for less than 32 consecutive days." The proposed operation the Hotel s 125 guest rooms as timeshares would be consistent with the Planning Code s definition of a "tourist hotel" use. Timeshare occupancy would not affect the Hotel s operation; the Hotel would continue to provide, for compensation, rooms to accommodate guests intending to stay for no more than 30 consecutive days. The proposed timeshare occupancy of the rooms would be predominantly by the week, but would not exceed 30 consecutive days. The existing code-compliant guest rooms would be retained, and none would contain individual cooking facilities. The Hotel would continue to provide operations and services, such as check-in, concierge, laundry and dry cleaning, luggage storage and baggage-handling services. Because the timeshare units would be occupied in exchange for compensation for periods of time not to exceed 30 days, timeshare occupancy would remain a "tourist hotel" use under the Planning Code. C. Previous Zoning Administrator Determinations Previous zoning administrator determinations confirm that operation of existing tourist hotel rooms as timeshares is consistent with a "tourist hotel" use, as follows: On July 26, 2004, the Zoning Administrator determined that the proposed timeshare occupancy of tourist hotel rooms at 590 Bush Street ("Hotel Juliana") was consistent with a tourist hotel use under the Planning Code. The timeshare rooms were proposed to be occupied by guests for periods of time predominantly less than one week, with occasional occupancy not to exceed 30 days. Guest rooms in the Hotel Juliana were equipped with mini-bars and microwave ovens, but no individual cooking facilities. On May 10, 2006, the Zoning Administrator determined that the proposed timeshare occupancy of 726-750 Sutter Street (the "Canterbury Hotel" and the "Whitehall Inn") was consistent with a tourist hotel use under the Planning Code. The timeshare rooms were proposed to be occupied by guests for periods of time no more than one week, with occasional use not to exceed 30 days. Guest rooms at these hotels were equipped with full kitchens, but the zoning administrator determined that the inclusion of kitchen facilities would not, in itself, convert a hotel use to a residential use where the project continued to provide guests with hotel operations and services. One Bush Street, Suite 600 San Frencisco, CA 94104 REUBEN&JUNIU5 tel 415-567-9000 fax: 415-399-9480 www.reubentaw.com

Mr. Scott Sanchez October 25, 2012 Page 3 These previous Zoning Administrator determinations confirm that the operation of tourist hotel rooms as timeshares is consistent with a "tourist hotel" use under the Planning Code, even when the proposed rooms contain full kitchens, as long as the duration of occupancy is for a period of time not to exceed 30 consecutive days. As such, the proposed timeshares at the Hotel would fall within this category, and would therefore remain consistent with a "tourist hotel" use under the Planning Code. Copies of the previous Zoning Administrator determinations are attached as Exhibit A. D. Conclusion Please provide us with a written determination letter confirming that the proposed operation of Hotel guest rooms as timeshares, for periods of occupancy not to exceed 30 consecutive days, would constitute a "tourist hotel" use under the Planning Code. I have enclosed a check in the amount of $601 for the required fee. Please call me if you have any questions or need additional information. Thank you for your assistance. Very truly yours, Enclosures One Bush Street. Suite 600 San Francisco. CA 94104 tel: 415-567-9000 fax: 415-399-9480 REUBEN &J(J NIUS.. I www.reubentaw.com

I>% PLANNING DEPARTMENT City and County of San Francisco 1660 Mission Street, Suite 500 San Francisco, California 94103-2414 MAIN NUMBER DIRECTOR S OFFICE ZONING ADMINISTRATOR PLANNING INFORMATION COMMISSION CALENDAR PHONE: 558-6411 PHONE: 558-6350 PHONE: 558-6377 INFO: 558-6422 (415) 558-6378 4TH FLOOR 5TH FLOOR MAJOR ENVIRONMENTAL INTERNET WEB SITE FAX: 558-6426 FAX: 558-5409 FAX: 558-5991 WWW.SFG0V.ORG/PLANNING July 26, 2004 Ms. Margo N. Bradish, Esq. Cox, Castle & Nicholson. LLP 555 Montgomery Street, Suite 1500 San Francisco, CA 94111 Re: Request for Determination under the Planning Code Property Address: 590 Bush Street Block/Lot: 02711015 Zoning District: RC-4 (Residential Commercial Combined, High Density) District Dear Ms. Bradish: I write in response to your letters of June 4, 2004 and July 12, 2004, in which you request a determination under the Planning Code ("Code") as to the potential future use of the "Hotel Juliana (on the subject property) as a "timeshare" as outlined in your letter. This letter supersedes Acting Zoning Administrator Jim Nixon s letter of June 30, 2004. It is understood, from the explanation furnished by you, that guests in the hotel would stay for periods of time of predominantly less than one week, but for occasional use not to exceed 30 days and that the rooms, although equipped with mini-bars (and, in some cases, microwave ovens) would not have individual cooking facilities. As you state in your letter, The "Juliana Hotel" is a 107-room tourist hotel. This use of property was authorized as a Conditional Use, pursuant to Section 209.2(e) of the Planning Code ("Code"), by Planning Commission Motion No, 11886 on March 8, 1990 (Case No. 1989.677C). Accordingly, in that the current use of the subject property is "commercial" and no residential use would be affected or converted by your stated plans, I hereby determine that such a pattern of use (a maximum of a week at a time, with occasional use not to exceed 30 days, and without individual cooking facilities of a commercial use of property) would be consistent with the Code. Please call Planner Jim Miller at 558-6344 with any questions regarding this letter.

Margo N. Bradish, Esq Letter of Determination Hotel Julianna - 590 Bush Street July 26, 2004 Page 2. Any aggrieved person may appeal this determination to the Board of Appeals within 15 days of the date hereof. For further information, please contact the Board of Appeals in person at 1660 Mission Street, Room 3036, or by telephone at (415) 575-6880. Sincerely, Lawrence B. Badiner Zoning Administrator cc: Wayne Helm, Trendwest Resorts, Inc. Fax 425 498 3061 N:\ZA\DETERMIN2004\590 Bush Street (Jullanna Hotel) - 2.doc

PLANNING DEPARTMENT City and County of San Francisco 1660 Mission Street, Suite 500 San Francisco, California 94103-2414 MAIN NUMBER DIRECTORS OFFICE ZONING ADMINISTRATOR PLANNING INFORMATION (415)558-6371 PHONE: 558-6411 PHONE: 558-6350 PHONE: 558-6377 AUTHORS PHONE AUTHOR S FAX MAJOR ENVIRONMENTAL INTERNET WEB SITE 558-6344 558-6409 PHONE: 558-5990 WWW.SFGOV.ORG/PLANNING May 10, 2006 Ms. Margo N. Bradish, Esq. Cox, Castle & Nicholson. LLP 555 Montgomery Street, Suite 1500 San Francisco, CA 94111 Re: Request for Determination under the Planning Code Property Address: 726-750 Sutter Street Block/Lot: 02821004B and 018 Zoning District: RC-4 (Residential Commercial Combined, High Density) District Dear Ms. Bradish: I write in response to your letter of March 23, 2006, in which you request a determination under the Planning Code ("Code") as to the potential future use of the "Canterbury Hotel" and "Whitehall Inn" (on the subject properties) as a "timeshare" as outlined in your letter. It is understood, from the explanation furnished by you, that guests in the hotel would stay for periods of time of not more than one week (with occasional use not to exceed 30 days) and that the rooms, reduced in number to 128 timeshare units, would be equipped with full kitchens. On June 6, 2002, in regard to the 301 Mission Street property, I determined that a the presence of a full kitchen would not, in and of itself, convert a hotel room to a "dwelling unit", where the project provided hotel operations and services, such as check-in, concierge, and baggage-handling. Also, on July 26, 2004, I determined that timeshare occupancy of tourist hotel rooms in your "Hotel Juliana" property (590 Bush Street) predominantly by the week (with occasional stays not to exceed 30 days) would be consistent with a hotel land use under the Code. According to the statements in your letter, the structures on the subject properties (plus two other structures thereon) were used collectively as a 253-room tourist hotel. I understand that the buildings in question ceased operation as a hotel in or around February of 2005. Accordingly, in that the period of cessation of use does not exceed three years, this use is considered to be ongoing. This use of property predates the Code s Conditional Use requirements for "hotels" in RC-4 Districts. Accordingly, in that the current use of the subject property is "commercial" and no residential use would be affected or converted by your stated plans, I hereby determine that such a pattern of use as outlined herein (generally, timeshare occupancy of up to a week at a time, with in-room kitchens in a commercial use of property) would be consistent with the Code and that no additional Conditional Use authorization(s) would be required. If you have substantial reason to believe that there was ean error in the interpretation of the Planning Code or abuse of discretion on the part of the Zoning Administrator, you may file and appeal within fifteen (15) days of the date of this letter. For further information, please contact

Ms. Margo N. Bradish, Esq. May 10, 2006 Page 2 the Board of Appeals in person at 1660 Mission Street, Room 3036, or by Telephone at (415) 575-6880. If you have any questions regarding this matter, please contact Jim Miller at 558-6344. Sincerely, Lawrence B. Badiner Zoning Administrator cc: Wayne Helm, Trendwest Resorts, Inc. (do Margo Bradish, Attorney) G:\WP5I LETTERS\Bradish re 726 Sutter (L0D).doc