THE LEMBI EMPIRE
In its previous incarnation as CitiApartments and Lembi properties, this company made headlines with “a stunning array of unlawful business and tenant harassment practices” during the lawsuit and subsequent injunction obtained by City Attorney Herrera. Known for his interlocking web of companies that included Skyline Realty, Lembi monopolized the apartment market, buying up, for example, every large residential property offered for sale in November, 2006. After paying bloated prices - sometimes 16x the asking price, the Lembi empire would dispatch armed security guards to harass tenants in order to scare them out of their rent-controlled apartments. Tactics included breaking into apartments, shutting off utilities, changing locks, and retaliating against those who refuse to take buy-outs.
A pioneer in the growing practice of eviction through construction, many of the renovations in the large buildings were done without permits. After coercing long term tenants to vacate their units, and ignoring permitting regulations for renovations, Lembi increased rents exponentially in his vast array of buildings.
By 2011, the vast Lembi empire was in default. LNR, a subsidiary of the Lennar Company, acquired and resold the Lembi properties to investment groups such as Prado Group, Area Property Partners, Woodmont Company, and CIM Group. Many of the former Lembi properties are now controlled by Veritas LLC, a company founded by investor Yat-Pang Au, considered one of the largest owners and operators of apartments in San Francisco. Through Russian Hill Associates, Mr. Au displaced tenants with Ellis evictions at 1725 Hyde St and 1355 Lombard.
Formerly CitiApartments and Lembi Properties
The Lembi Family
The Lembis were involved in:
536 Leavenworth, LLC
Family Properties, LLC
Chelsea Square Ltd
Skyline Realty Inc.
Citiapartments Inc.
Citi Funding Group Inc.
Citisuites LLC
Lembi Group Inc.
Lembi Group Partners LLC
Urban Property Management, Inc.
Citiwide Rentals, Inc.
737 Pine DE LLC
737 Pine B10 DE LLC
737 Pine B10 Mezz DE LLC
1155 LLC
Gaylord Hotel LLC
LSL Properties B14 DE LLC
LSL Property Holdings II DE LLC
LSL Property Holdings II Mezz LLC
Nob Hill Tower DE LLC
Nob Hill Tower Mezz DE LLC
Prime Apartment Properties LLC
Prime Apartment Properties B10 DE LLC
Prime Apartment Properties B10 Mezz DE LLC
Trophy Properties B10 DE LLC
Trophy Properties IV DE LLC
Trophy Properties IV B8A LLC
Trophy Properties IV Mezz DE LLC
Trophy Properties V LLC
Trophy Properties V DE LLC, Trophy Properties VI LLC
Trophy Properties IV B8A Manager LLC.”
Contact:
Veritas Investments, Inc.
500 Washington St., 4th fl.
San Francisco, CA 94111
(415) 578-7610