Settlement holds landlords accountable for allowing tenants to live in illegal and unsafe units
SAN FRANCISCO (April 8, 2025) — City Attorney David Chiu announced today that he secured a settlement agreement requiring the owners of three Chinatown single room occupancy (SRO) hotels to pay $810,000 in civil penalties and abate health and safety violations at the properties. For several years, tenants living in the three SROs have dealt with unsafe and unhealthy living conditions. This settlement agreement resolves an October 2023 lawsuit brought by City Attorney Chiu over the condition of the properties that alleged the SRO owners created a public nuisance.
“Let this be a lesson to all landlords who profit off of the suffering of their tenants,” said City Attorney Chiu. “In San Francisco, there are consequences for depriving tenants of a safe and healthy place to live. I’m proud our collective actions held the owners accountable and addressed the many issues at the properties.”
“Nobody should have to live in substandard housing. This settlement demonstrates San Francisco’s commitment to protecting tenants and our willingness to use all available means to pursue landlords who have allowed their buildings to deteriorate into an unsafe condition,” said Department of Building Inspection Director Patrick O’Riordan. “The City has strong safeguards to protect renters and we are here to make sure that every resident lives in a safe, clean, code-compliant home.”
“This case is a great example of monolingual Chinese immigrant tenants standing up for their right to live in safe and habitable housing, and highlights the importance of the Department of Building Inspection’s Code Enforcement Outreach Program (CEOP),” said Malcolm Yeung, Executive Director of Chinatown Community Development Center. “In this moment in particular, it is important to highlight the role of immigrants in San Francisco who stand up for their own and their community’s rights. Immigrants have been leaders in the fight for equity. This has been a continuous throughline in Chinatown from Wong Kim Ark in 1893 to Community Tenants Association in 2025.”
Background
Through different ownership configurations and several limited liability companies, Jeff Appenrodt, Shailendra Devdhara, and Kamlesh Patel own three SRO hotels in Chinatown located at 1449 Powell Street, 790 Vallejo Street, and 912 Jackson Street. Collectively, the properties contain 85 authorized SRO rooms.
Since 2018, multiple City departments issued Notices of Violation (NOVs) for health, safety, and building violations at the three properties. The owners illegally converted, combined, or added unauthorized SRO rooms and dwelling units.
Additional code violations included unpermitted work, broken and rusted plumbing, exposed electrical wiring, insect and rodent infestations, mold and mildew, unsanitary shared restrooms, malfunctioning appliances, lack of smoke and carbon monoxide detectors, seismic safety risks, insufficient emergency exits, broken doors and locks, missing hardware, broken windows and frames, damaged paint with lead risks, and damaged ceilings, floors, and walls.
In October 2023, City Attorney Chiu sued Jeff Appenrodt, Shailendra Devdhara, Kamlesh Patel and five of their companies, alleging Defendants created a public nuisance and violated state housing law, multiple municipal codes, and California’s Unfair Competition Law.
The stipulated injunction and judgment, approved by the San Francisco Superior Court on January 30, 2025, and February 6, 2025, respectively, resolves the litigation and requires the owners of 1449 Powell Street to pay $780,000 in civil penalties and abate the four remaining NOVs at 1449 Powell Street.
Kamlesh Patel, who purchased 790 Vallejo Street and 912 Jackson Street in May 2023, will be required to pay $30,000 in civil penalties. Mr. Patel is not involved with violations at 1449 Powell Street.
City Attorney’s Office employees Morris Allen, Wade Chow, Yvonne Meré, Will Reader, Carol Stuart, and Chris Whitman worked on this matter to hold Defendants accountable and fix the unsafe conditions at the properties.
The case is City and County of San Francisco, et al. v. 1449 Powell St. LLC, et al., San Francisco Superior Court, Case No. CGC-23-609526. The stipulated injunction and judgment can be found here.
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