Laguna Beach : Judge Pondering Bootleg Apartments

A Superior Court judge said Friday that he will rule in a few weeks on a class-action lawsuit against the city of Laguna Beach that could determine the fate of hundreds of bootleg apartments in South Laguna.

With documents piled neck-high on each side of the bench, Judge William F. McDonald listened Friday as attorneys presented opposing viewpoints in what has become the most contentious dispute to arise from South Laguna’s annexation by Laguna Beach 2 1/2 years ago.

The lawsuit alleges that Laguna Beach attempted to eliminate bootleg units, also called granny flats, from South Laguna, where the units proliferated under more relaxed county building standards. Lawyers estimate that as many as 600 people who own or rent bootleg apartments will be affected by the ruling.

The South Laguna community has been bitterly divided over the issue of granny flats. Some say the units are integral to the community and provide affordable housing for renters and needed income for property owners who sometimes live on a shoestring budget. Others say add-on units have caused overcrowding problems and parking headaches.

The lawsuit focuses on the city’s handling of bootleg apartments during an 18-month period from the December, 1987, annexation until June, 1989, when Laguna Beach passed an ordinance establishing criteria for issuing permits for second units. The plaintiffs want 18 months to modify their units under under the more lax state law.