It took five years of legal tug-of-war, but San Francisco City Attorney Dennis Herrera finally got the notorious Lembi family — The City’s most abusive large-scale landlord — to accept a court settlement forcing them to pay San Francisco millions and either clean up their act or leave town.
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Not long ago, the main complaints tenant counselors heard about CitiApartments were of harassment and intimidation.Now, the stories have changed: Today, tenants more often complain that they are being threatened with utility shutoffs, because neither the landlord nor the banks that own their properties have been paying the bills.
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A family that just three years ago was San Francisco’s largest and most notorious owner of apartment buildings is now facing the choice of paying up to $10 million in fines or promising to cease property management in San Francisco forever.
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CitiApartments, one of the largest residential property managers in San Francisco, could face up to $10 million in penalties under a settlement a judge approved, according to the San Francisco City Attorney’s Office.San Francisco sued the rental company and its individual affiliates in August 2006, alleging unlawful business practices and harassment of tenants, according to the office.
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One of the largest landlords in The City, which is already facing a slew of lawsuits for allegedly withholding tenants’ deposits, is the subject of a new class-action lawsuit — this one related to labor laws.
The housing empire of more than 7,000 apartments — controlled until last year by CitiApartments, the Lembi Group, Skyline Realty and associated companies — has been hit hard by the real estate slump and dour credit market.
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