“Get me a good package on rent stability this year and I will sign it.”
That was Governor Gavin Newsom in his most recent State of the State Address. Legislators, however, have not yet come up with anything that appeals to California voters, as evidenced by the failure of measures such as last November’s Prop 10 repeal of Costa-Hawkins, which went down by large margins in almost every district across the state.
According to a report on HousingWire.com, the following bills are wending their way through the legislative process:
“AB36, if passed, would allow Californian cities to enact rent control on buildings built after 1995 that are more than 10 years old and would clear the way for cities to limit rent raises on single-family homes and condos that are more than 10 years old.
AB1481, if passed, would prevent landlords from evicting tenants without a valid reason.
AB1482, if passed, would prevent California landlords from increasing rents by more than an unspecified percentage above inflation each year. According to the Chronicle, the author of the bill, Assemblyman David Chiu (D-San Francisco) said he is figuring out a cap that would help a broad swath of renters while still allowing landlords to earn a return on their investments.”
So, it’s pretty clear that the issue of rent control is not going away, and it is certainly possible that one or more of these measures could pass and become law.
Gaetani is working with the various real estate trade organizations to help make sure that if laws are passed, they are as fair to landlords as they are to tenants. What legislators think is an acceptable return on investments, what constitutes a “valid reason” for eviction, and which properties and tenants should be eligible for rent control are all open to wide interpretation at this point. We’re working to make sure those definitions are made with ample input from the owners who have put their money at risk to provide housing in the first place.
Photo by JD Lasica / Flickr