Official Quits During Condo Probe

A Huntington Beach planning commissioner who figures in a probe involving illegal condo conversions in the city has resigned.

Jan Shomaker, who owns the real estate office that handled the sale of several of the condominiums, said that by giving up her commission seat and eliminating a possible conflict of interest she could better help homeowners resolve problems resulting from the sales.

“I believe I am guilty of absolutely no wrongdoing in connection with these conversions and believe a comprehensive investigation will demonstrate my innocence,” she wrote in her resignation letter Wednesday to commission Chairman Ron Davis.

Her resignation is the latest development in a growing controversy over the illegal conversion of about 120 apartments into condominiums in as many as 40 buildings in the city.

The violations first came to light when work was being done on two of the condos in question.

Investigations revealed that the condos never received the required permits and approvals for the conversions.

City officials then launched a citywide probe of condo sales and found dozens that had been illegally converted.

At least one other city official besides Shomaker has been connected to the controversy.

Councilwoman Pam Julien Houchen, acting as her own real estate agent, bought a four-unit apartment building in 2001 and 10 months later sold the units separately as condos, making a profit of $562,000, less remodeling costs, records show.

At the time, Houchen worked for Shomaker’s company, Pier Realty. As a councilwoman, Houchen appointed Shomaker to the Planning Commission in 2000. Houchen did not return phone calls seeking comment.

Phil Benson, named as a broker in some of the sales of illegal units, also worked in Shomaker’s office.

Davis, the Planning Commission chairman and an attorney, said that he believed Shomaker was an unwitting participant in the disputed sales and that because her company was involved, she was being unfairly judged before all the evidence had been heard.

The Huntington Beach police and planning departments, and the Orange County district attorney’s office, are investigating the sales and whether bank, loan or real estate fraud was committed.

City officials say they also want to help affected owners bring their homes into compliance with city regulations.

Shomaker, who refused to comment for this story, said in her resignation letter that she “will make any and all documents I have in my possession available for inspection ... by any governmental agency.”