August 29, 1997


ClockTower Lofts Owners' Assn.
c/o Ms. Diane Kay
2310 Mason St.
San Francisco, CA 94133


Re: ClockTower Lofts Owners Assn. and Cal-Trans Issues.


Dear Members:

Your Board of Directors has asked me to prepare this letter to outline some issues that have arisen with respect to a parking lot adjacent to your building. The lot is owned by Cal-Trans and is leased to the ClockTower Lofts Owners' Association through the year 2038. Currently, I understand that twenty-five owners are parking in the lot. The Association is paying $60,000 per year to lease the parking lot from Cal-Trans.

Cal-Trans recently contacted the Association to advise that, at some time, probably a few years from now, Cal-Trans will want to entirely take over the parking lot in order to obtain access to the Bay Bridge to perform certain repairs. Cal-Trans contends that a portion of the lease pertaining to "right of entry" gives it the power to do this. Cal-Trans is also considering moving the top level of the Bay Bridge a few inches or feet farther from your building than it is now, and also moving the bottom level of the Bay Bridge a few inches or feet closer to your building. At this time, Cal-Trans is contending that it is not legally required to compensate the Association for the loss of the 25 parking spaces, and that it has a legal right to move the Bridge. Cal-Trans has stated it wants to work with the Association to minimize the impact on the owners and the building of the Bridge repairs. Cal-Trans appears willing to monitor vibrations in the building, and to take appropriate steps to try to decrease building vibrations due to Bay Bridge traffic.

The Board of Directors has appointed a committee to advise the Board on issues pertaining to the forthcoming Cal-Trans work. My office will be advising the Association of its options and of its legal rights under the lease and under various legal doctrines such as inverse condemnation. The Board members, the committee, the manager and I will work to keep all of you updated on the progress of the negotiations. We understand how important parking is in your neighborhood, so rest assured we will do all we can to provide the maximum protection for your parking and your building.

Very truly yours,


Ann Rankin

cc: Helaine Lasky, Esq.