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Venice Update

News of Venice, CA and Marina del Rey CA

Governor Signs New Rent Control Bill

Note the Venice land south of Washington Blvd is zoned R-1, single-family, and the silver triangle area is zoned single family along with the Canal homes.  Other than that Venice is zoned for two units and up.  So this rent control bill will definitely affect owners/tenants in Venice.

One wonders how these Additional Dwelling Units on R-1 and the bill signed by Newsom allowing for three units on R-1 land will be covered by rent control.

By Daniel Shieh

Yesterday Governor Gavin Newsom signed Assembly Bill 1482, which he claims contains the “nation’s strongest renter protections.” Effective January 1, 2020, this bill will put a rent cap on apartment buildings older than 15 years. It also includes a provision requiring landlords to have “just cause” in order to evict a tenant. Below are some of the major details about the new law.

What is the rental increase cap?
Rental increases will be capped to 5% + rate of inflation (not to exceed 10% total). Inflation is based upon the Consumer Price Index of each major city, with Los Angeles’ current average at 2.5%.

What about cities that already are rent controlled?
The rental increase cap outlined in this law will not affect buildings that are already impacted by rent control ordinances currently in place. It will, however, cover buildings in cities with rent control that are excluded by the current rules due to the year they were built. For example, in Los Angeles, only if you live in a building that opened before 1978 would your rent be capped under the provisions of the city’s law of 4% a year. As of 1/1/2020, if you live in a building that opened after 1978 and is at least 15 years old, your rent will be capped at 5 percent, plus inflation.

Regarding the “just cause” provision, cities that currently have similar laws protecting renters in place may be altered if the city’s local rules were adopted after September 1, 2019. If that is the case, they would need to meet the baseline protections outlined in AB 1482.

Does this law expire?
This law will sunset in 10 years, if not extended by lawmakers.

How can a tenant be evicted?
There are two types of ways a landlord can terminate a lease:

“At-fault”: Includes violating provisions of the lease or participating in illegal activity.

“No-cause”: If the landlord or a member of their family wants to occupy the rental themselves, substantially remodeling the home, or taking it off the market. In this case, they are required to pay renters a relocation fee equal to one month’s rent.

Does the law include single-family home rentals?
No, unless they are owned by a corporation or an institutional-type  investor group.

LA Times had an article covering this.

 

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