Questions Re: Student Housing/Planning Commission in Boone (Wilkesboro, Blowing Rock: apartments, rental)

[laneynewport]

Hi, I have several questions about the apartments, especially unconventional housing, that have been built in Boone, some fairly recently. My son is a senior at Appalachian State and has lived in the dorms up until this past year. He had enough money with his scholarship and his jobs to move and decided on the Cottages at Boone. Because of the weather, building was delayed and he is still sleeping on a friend's couch. He started looking at other places and found Forest Edge Apartments, owned by the Winkler Organization. This is one of several of the apartent buildings that have been built with floor plans designed especially for students. There is a common area- the kitchen, living room, etc. and one-four bedrooms, each with a full bath. The students can apply for an apartment together or you can apply alone, be assigned an apartment and they'll put other applicants without roommates in the same place. I don't necessarily have a problem with the setup, I have a problem with the terms of the least Winkler gives people to sign and the fees they charge and agreements they have them sign before they even get to the lease. I've shared this information with my son and he can decide what he wants to do. I told him it was a glorified boarding house and I would run screaming from these people, but that's just me.

I get that a lease is a contract, but it's not binding if it's contrary to the law and it's not binding if it's in keeping with a local ordinance which is contrary to state or federal. I'm providing the following information (it's a long post but bullet-pointed) not only to make people aware of what they or their children might be getting into with the Winklers who own several other places like this, designed for student housing, but to ask if anyone in the area has had problems with the Winkler Organization or with living in student housing with leases set up like the one Forest Edge residents sign. Here are some of terms of the lease.

• The "Premises" is defined as the tenant's bedroom. It gives them a non-exclusive right to the other areas of the apartment, defining those rooms as "common areas". However, damage to any area of the apartment are charged to each resident equally/at the landlord's discretion unless there is proof of who caused it.
• In addition to the security deposit and rental application fee, applicants pay a $200 administrative fee, non-refundable, paid before the lease is signed and says the lease, "LANDLORD CAN USE IT FOR WHATEVER HE WANTS, JUST LIKE THE MONTHLY RENT." (and yes, in all caps). Only it's not rent. It's just extra money they charge for no apparent reason.
• If a tenant breaks the lease, he is to pay charges anyone would expect, like the balance of the lease or at least rent until another tenant is found as well as advertising costs to rent the unit. But Winkler's lease goes beyond those fees and also charges $250 for the landlord's time and trouble (answering phones and showing apartments). There is another charge for the "cost of rerenting the dwelling unit" and yet another for the cost of vacating and checking out. I'm assuming that would be for their time to inspect the unit? The cleaning/repairs, if any, are taken from the security deposit.
• The website says utilities are included in rent but in the fine print, it states that there is a cap on water and utility usage. The fact is, only $60 is allowed for water/sewer and $55 for electricity for a four-bedroom unit, but this is not in writing anywhere that I know of until the lease is signed, which is after the non-refundable administrative fee is paid and after the rental guarantee is signed. (Rental agreement is addressed furthere down.) I've still not been able to find out if there are separate utility meters per unit but if not, state law prohibits this type of billing for utilities.
• If rent is not paid by the 5th of the month, late charges are applied. Rent for the next month is applied to any late charges or damages before it is applied to the rent. This is also prohibited by state law (as I understood the statute).
• Occupants are limited to one guest per tenant.
• A rental guarantee is required prior to signing the lease. If the lease is not signed, the student or parent who signs the guarantee is still responsible for payment of the lease.
• "Tenant understands and accepts that tenant maybe moving into an occupied unit, and as such the room tenant will occupy may not have been cleaned or painted. Tenant agrees that if there are any necessary repairs to the unit or individual room, that tenant will notify Landlord withinfive (5) days of the effective date of the lease." I'll let that section speak for itself.
• Prior to Tenant taking occupancy and moving in dwelling unit under the terms of this Lease Contract, Landlord shall have the right to substitute other premises ("Other Premises") in the same complex in which this dwelling is located for the premises originally named herein, or previously substituted under this provision. The other premises shall be comparable in size to the original or previously substituted premises. Landlord shall give Tenant at least one day prior notice of the substitution of the Other Premises for the original or previously substituted premises, which notice shall describe the location of the Other Premises. In the event of damage to the dwelling unit by fire, flood, etc., Landlord has the option of relocating Tenant to a comparable alternative dwelling unit, in this or another location, until Tenant’s dwelling unit is repaired or Tenant(s) Lease Contract expires, whichever is first.
• People are told that cleaning service is included with the rent. But a section in the lease states this: Landlord,its employee, agent, representative, or subcontractor, may clean the LeasedPremises which shall include from time to time at Landlord’s sole discretion:the kitchen, bath(s), and common areas of each apartment 6 or more times duringthe lease term. Tenants will be informed of the cleaning schedule (includingthe frequency of cleaning, and estimate dates and times) and related cleaningpolicies to be established at Landlord’s sole discretion within 10 days of takingpossession of the Leased Premises as set forth herein. Tenant hereby grantsLandlord the right of reentry and consents to Landlord’s entry into LeasedPremises for the purpose of cleaning same as set forth herein subject to theschedule and policies to be provided to Tenant. All cleaning and changes to thecleaning schedule shall take place at Landlord’s sole discretion and direction.Tenant hereby releases Landlord from any and all damages or liability arisingfrom entry upon the Leased Premises by Landlord, its employee, agent, orrepresentative, except for damages resulting from willful misconduct or grossnegligence by Landlord. Landlord’s rights to enter the Leased Premises andclean same as described herein and in the schedule and policies provided toTenant shall in no way affect Tenant’s obligations under this Lease to keep theLeased Premises in a clean condition and to clean the Leased Premises uponvacating same, including, without limitation, Tenant’s obligations inArticle II Subsection 4 of Section 34, titled “Vacating and Checking Out.” It seems like free cleaning is advertised for the purpose of giving the landlord the right to enter apartments without an entry notic
• In the event there is a court actionfiled regarding this lease, the tenant agrees that Watauga County will be the venue. That would only be added for one reason I can think of- the Winkler family is connected and App students are not.
• "In the event any portion of this Rental Contract is,for any reason, unenforceable or invalid under any applicable law, suchprovision shall be deemed void and the remainder of this Rental Contract shallcontinue to be fully valid."
• The lease states that a tenant is liable for the least if he breaks it without finding another tenant suitable to the landlord. Another section states that even if the tenant finds a tenant the landlord approves, then, Tenant must (a) leave his deposit on account with Landlord; and (b) remain liable for all rent payments. This means that the original Tenant is responsible for making all rent payments in a timely manner.Tenant is responsible for collecting rent from the sublessee, assignee or transferee. The security deposit will be used to cover any damages done by the sublessee, assignee, or transferee, and Tenant is liable for any damages in excess of the security deposit. Tenant is responsible for any default by the sublessee, assignee or transferee and for collecting any monies owed by them. Current Tenant(s) and/or sublessee, assignee or transferee agree to pay are-leasing fee of two hundred fifty dollars ($250.00) due upon signing of lease.

If a tenant exercises this option after signing this lease, the new tenant is given a form listing all the fees he must pay, including another $250 lease transfer fee in addition to the one the vacating tenant must pay. He also must pay an additional security deposit and all the other fees the original tenant paid.

• Notices may be sent from the landlord to tenants via text message or email. It doesn't specify which notices- it could be a notice to vacate. Tenants are required to keep text/email information current with the apartment manager. The landlord isn't responsible for tenants not getting texts or emails. But if a tenant needs to send notice to the landlord, it must be done through certified mail. And between the lease and the handbook, which is nothing but a list of a ton of other infractions for which the landlord may terminate the tenant's lease, the tenant is required to communicate requests and just about all inquiries in writing.

There are so many conditions of this lease between all the documents and rules and handbooks the tenants agree to, ranging from ridiculous to just offensive. Tenants are required to own a plunger, they're given instructions on how to turn the valves on/off on the hot water heater if it's malfunctioning, turn circuit breakers off and how to turn water lines off. (Messing with a malfunctioning hot water heater is not something I'd be willing to do with having any knowledge of them.) They agree in a document other than the lease (which binds them to abide by the document) to allow the landlord to enter at any time to make repairs or just to see if they're in compliance with their lease. It states, "When possible, at times, the landlord will attempt to notify the tenants." Tenants are responsible for screen damage whether it's caused by them or by the wind. It goes on and on, much longer than this post which has already gone on and on just citing the lease and other rules and regulations tenants are locked into. They're allowed to sign their lease before the landlord even runs their credit check. If they don't qualify, the lease can be terminated by the landlord before they even move in but the lease, at his discretion can still be upheld!

I did not cosign my son's lease and he never asked me to. But I received an email requesting a $200 to Forest Edge (spelled Forrest Edge on their website) along with this message:

We are so glad you chose to live with us! Your Lease Guarantor has received an invoice for your $200 Administrative Fee which must be electronically paid within 24 hours in order to hold your bedroom. This fee is non-refundable. You may pay via e-check, so please have your checkbook handy in order to enter your account number and bank routing number. You or your Lease Guarantor may pay this fee – the invoice was emailed to your Lease Guarantor, due to the fact that you provided an AppState email address, which is not compatible with the e-payment software. Once payment is received, we will email you and your parent (or legal guardian) a Lease and Lease Guarantee form that must be e-signed and returned within 24 hours. You will also receive an invoice to electronically pay your Security Deposit.

Has anyone in the area dealth with the Winkler Organization? I understand it's a family operation and read many copies of minutes of the planning commission before which John Winkler or his attorney would appear to request special building permits or to make requests regarding zoning changes. Nothing wrong with that, but I got the idea they're pretty much in the loop and aren't challenged very often, if ever. Feel free to post if you have any knowledge of how these student housing places are really operated and your experiences, positive or negative.

[DSS94]

Developers are definitely kings in this area. The Templetons are the worst in this regard, they got the county to severely punish the Town of Boone (through tax redistribution) after the town addressed the shortage of non-student housing with a new ordinance. The new ordinance requires new developments have a master bedroom, parking for two cars per unit, and a garage or other large storage space. (these requirements did NOT include the proposed Templeton development at the old high school site, by the way).

Exceptions could be granted for new student housing projects, but as it stands now there is actually a glut in student housing, especially with the Cottages nearing completion. Meanwhile, families who want to live and work here are SOL because all you'll find is student housing, which means rent is charged per bedroom. I've met ASU professors who lived as far away as Banner Elk or Wilkesboro in order to be able to afford a house that they can live in with their families.

When this ordinance was passed, Phil Templeton threw a hissy fit and got the county to pass a tax redistribution that took away money from Boone and redistributed it to the wealthy resort towns of Blowing Rock and Beech Mountain. Templeton also wanted exceptions on things like steep slope and retaining wall regulations, regulations that have existed for decades, and demanded way too much water.

There's also been issues with developers planning mixed-use developments and not actually building any commercial space. But the High School issue as well as the refusal to approve the building of a Walgreens downtown shows that the town is finally standing up to big developers.

Regarding your son's lease. If you or he have any concerns about the legality of the regulations, he should ask for advice from the Student Legal Clinic on campus. Lease agreements are one of the things they deal with most and they will be able to advise him of what his rights are as a tenant. This includes, despite what the lease may say, freedom from having your apartment entered without advanced notice or due cause.