Stillwater declares Remington Ranch Apartments a public nuisance, authorizes legal action

The Stillwater City Council unanimously declared Remington Ranch Apartments a public nuisance Monday and authorized legal action to force the property owner to address ongoing problems with water, heat and infrastructure at the 300-unit complex.

The council voted 5-0 to approve Resolution CC-2026-2, which declares the apartments at 1815 North Boomer Road unfit for human occupancy due to lack of hot water and heat. The resolution authorizes the city to file a district court action seeking a judicial order that would allow the city to abate the nuisance and bill the property owner for the costs.

Residents have lived without reliable hot water since mid-November, with some also experiencing heating failures during winter weather. At the current pace of repairs, it would take approximately 35 weeks to complete water heater installations in all 283 units that need the work, according to Councilor Kevin Clark.

The complex also owes close to $200,000 to the city for unpaid utility bills, Special Nuisance Counsel Beth Anne Childs revealed during the hearing. The property technically qualifies to be placed on a cutoff list, but city officials said they would not take that action because it would harm residents.

Mayor Will Joyce questioned Vesta Capital representatives about their lack of urgency. "Do you guys understand that your business is people's homes?" Joyce said. "This is where people live. Your job is to provide a home for people."

Three months without hot water

Three residents testified during the public hearing, describing the daily challenges of living without hot water for nearly three months.

Joyce Fox said she has been boiling water to give her client, who is deaf and a heart patient, baths in their unit.

"I had to boil hot water, carry big bucket, big pot of water to pour in the bathtub nine times or more to get enough water to get him a bath," Fox said.

Desiree Pierce, who lives in Building B, said she has been without hot water since Nov. 11 and lost heat during the first snow in January. She waited a week for an HVAC technician while using portable heaters.

"When this started it was 'this will be a week or two,'" Pierce said. "I don't feel the sincerity in the sympathy."

Ronald Balderson said a work order his wife submitted Jan. 13 for a drainage problem went unaddressed for weeks.

"They called us today to say that they finally got the parts in," Balderson said. "They haven't even been upstairs or to our apartment to see what the problem was."

CEO absent as frustration mounts

Vesta CEO Marc Kulick did not attend the hearing despite previous promises to prioritize the situation. In a January interview with Tulsa television station KJRH, Kulick addressed resident frustrations.

"The weight and the responsibility of providing housing for people, it's something we genuinely are passionate about," Kulick said. "If you're feeling frustrated and you don't know if you can trust us, the best thing I'd ask you to do is please give us a chance. As I said, if we don't follow through with that chance, I understand gloves are off. But we genuinely do care and we're fighting a lot of battles on a lot of fronts and we're trying our best for our residents. I would strongly believe that residents have a partner at every level of our company."

The tense hearing included sharp exchanges between council members and Vesta representatives.

Page Walters, an attorney representing Vesta, requested another 30-day continuance and said the company had secured financing and ramped up work. But council members questioned why residents experiencing mobility issues hadn't been moved to vacant units that have hot water.

Joyce asked Jamie Young, Vesta's regional property manager, why residents weren't being moved to vacant units that have working hot water. Young said not all residents are physically able to move or interested in moving.

"It's so remarkable to hear you say that they're not physically able to move and yet you are okay with them physically living in an apartment that does not have hot water," Vice Mayor Amy Dzialowski responded.

Young said the company has offered residents the ability to shower in vacant units with hot water but is not authorized to move their belongings. Joyce pressed on why the company wasn't doing more to relocate residents temporarily.

"To me, if I had spaces in my apartment complex that did have hot water and I had somebody who's living in a unit for three months [without] hot water, I would say, 'Hey, let's get a couple guys together, we'll move your stuff over and give you a unit that has hot water,'" Joyce said.

$200,000 in unpaid utilities

When Joyce asked Remington Ranch property manager Laura Burke if she was aware of the unpaid utility bill before Monday's meeting, she said she was not. Joyce questioned where rent money was going if the company wasn't discounting rent for affected residents or paying utility bills.

Burke said the company has spent more than $250,000 since late October on hot water line repairs to the boiler system and underground leaks before beginning water heater installations. She said the company issued one-month rent credits to residents in Building A once their hot water was restored after inspections passed, but residents currently without hot water have not received credits yet.

As of Monday's meeting, only 16 units in Building A had completed installations and passed inspection, according to Code Enforcement Officer James Moore.

"Twenty-eight days ago, we were told basically the same thing by our counsel who had been speaking to people with Vesta, that this was a priority, we would see significant progress in the next 28 days," Clark said. "That hasn't happened. So how can we feel any assurance that it'll happen in the next 28 days?"

The resolution cites violations of the International Property Maintenance Code, which Stillwater has adopted, including requirements that plumbing fixtures be supplied with hot water at temperatures no less than 110 degrees and that heat be maintained at a minimum of 68 degrees in habitable rooms.

Childs said the city plans to file the district court action by the end of the week. She said taking the matter to court offers protection for the city and allows time for Vesta to make improvements if significant progress occurs.

"Obviously, we absolutely positively recommend that that action not be taken," Childs said of cutting off utilities to the complex. "That would only create more problems."

The problems stem from a failing central boiler system in the 1969 complex, which is owned by Vesta Capital. The company purchased the property in June 2024 and has been working since November to install individual water heaters in each unit to replace the 50-year-old infrastructure.

Promises vs. reality

When Vesta Capital announced the purchase of Remington Ranch in June 2024, the company projected substantial returns for investors and promised to focus on resident life. In a press release, Vesta said the acquisition would deliver a 17 percent internal rate of return and 11.49 percent average annual cash-on-cash returns during the company's hold period.

"Vesta can achieve the holy grail in multifamily investing – providing exemplary returns while maintaining a focus on resident life and affordability," Kulick said in the announcement.

The company touted its "extensive experience in property management" and "operational expertise." Less than six months after the purchase, the central boiler system began failing, leaving residents without reliable hot water.

Kulick acknowledged in the KJRH interview that his company has faced challenges. "In the history of my life, 2025 will go down as a very bad year, a very rough year," Kulick said. "The last few years have been a very hard time in commercial real estate."

Vesta has not disclosed whether the company inspected the over 50-year-old infrastructure before purchasing the property or how the problems went undetected during due diligence.

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State law offers cities new options

In what city officials acknowledged was a coincidental but timely development, the council also advanced Ordinance 3592 on first reading Monday. The ordinance implements the Municipal Code Lien Enforcement Act of 2025, a state law that became effective Nov. 1, 2025, which allows municipalities to foreclose on non-owner-occupied properties with code violations exceeding $1,500.

The new law gives cities the authority to enforce liens through judicial foreclosure when property owners fail to pay fines, penalties and abatement costs for housing and building code violations. Municipal code liens would be superior to all other liens except tax liens.

"This is a new ordinance that was our new law that was passed by the state to make it easier for us to go collect money that we're owed on properties," Joyce said during discussion of the ordinance. "And it's completely coincidental that it's here today."

City Attorney Kimberly Carnley explained that cities must enact an ordinance approving use of the act's provisions before proceeding. The ordinance specifically exempts owner-occupied properties and requires a six-month waiting period after recording a municipal code lien before filing for foreclosure.

While the ordinance applies to future code enforcement actions citywide, it could provide the city additional enforcement options if Remington Ranch's violations result in unpaid fines and abatement costs exceeding $1,500.

Repair progress and legal process

The original public hearing was scheduled for Jan. 12 but was tabled at Vesta's request to allow more time for repairs. City staff posted amended notices on the property and sent certified mail to the property owners and mortgage holders Fannie Mae and YSA Investments 1, LLC.

Code Officer Moore said inspections have shown work is now underway on Buildings A and C, with contractor Integrity Plumbing and Electric estimating four units completed per week. Field Electric is working on electrical connections for the water heaters.

Buildings F and J already have individual water heating systems from previous ownership, according to testimony from Vesta representatives.

The apartments were built in 1969 and include 12 buildings with one- and two-bedroom units. The central boiler system served approximately four buildings each and has deteriorated beyond repair, according to city officials.

Under the resolution, the city is authorized to enter the property to perform inspections and abate the nuisance if ordered by the court. The property owner would be responsible for all costs associated with the abatement.

Vice Mayor Dzialowski noted that the city's website includes resources for residents dealing with code enforcement issues, including information on legal aid and other assistance programs.

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