California CRE News In Your Inbox.

Sign up for Connect emails to stay informed with CRE stories that are 150 words or less.

Sub Markets

Property Sectors

Topics

California  + Apartments  | 

Most Threatening Impacts of California Rent Cap Bill Diminished

A bill that would cap annual rent increases for much of California’s multifamily housing stock now includes significant amendments the California Apartment Association (CAA) helped secure. Before becoming law, AB 1482 still must clear the floor of the Senate, its amendments must pass an Assembly review, and then win the governor’s approval.

CAA says the amendments to Assemblyman David Chiu’s (D-San Francisco) AB 1482 would prevent local governments from making the bill’s rent cap any more restrictive. The revisions would improve the legislation’s vacancy decontrol and “just cause” for eviction provisions, while shielding new buildings from the cap for five additional years. AB 1482 does not apply to housing regulated by local rent control ordinances and the Costa-Hawkins Rental Housing Act.

Generally, the bill’s cap on rent increases would apply to properties that are 15 years or older, contain two units or more, and are not already subject to local rent control ordinances. The legislation would exempt single-family homes, townhouses and condos, except when owned by corporations or Real Estate Investment Trusts. It also exempts duplexes and accessory units when the owner lives on site.

An amendment CAA fought for was to exempt housing from the bill’s rent cap and “just cause” eviction provisions until they are 15 years old. The longer exemption is expected to mitigate the bill’s impact on future development of rental housing.


Subscribe to Connect Daily California

For comments, questions or concerns, please contact Dennis Kaiser

Connect

Inside The Story

Connect With CAA

About Dennis Kaiser

Dennis Kaiser is Vice President of Content and Public Relations for Connect Commercial Real Estate. Dennis is a communications leader with more than 30 years of experience including as a journalist and in corporate and agency marketing communications roles. He is responsible for Connect’s client content operations and is involved in a range of initiatives ranging from content strategy, message development, copywriting, media relations, social media and content marketing services. In his most recent corporate communications roles, he led a regional public relations effort across Southern California for CBRE, played a key marketing role on JLL’s national retail team, and was responsible for directing the global public relations effort at ValleyCrest, the nation’s largest commercial landscape services company. In addition to his vast commercial real estate experience, Dennis has worked on communications and launch strategies for a number of residential projects such as Disney’s Celebration in Florida, Ritter Ranch in Palmdale California (7,200 homes, 22,000 acres), WaterColor in Florida and PremierGarage in Phoenix. Dennis’s agency background included firms such as Idea Hall and Macy + Associates. He has earned an outstanding reputation with organization leaders as a trusted advisor, strategic program implementer, consensus builder and exceptional collaborator. Dennis has developed and managed national communications programs for Fortune 500 companies to start-ups, both public and private. He’s successfully worked with journalists across the globe representing clients involved in major-breaking news stories, product launches, media tours, and company news announcements. Dennis has been involved in a host of charitable and community organizations including the American Cancer Society, Easter Seals, BoyScouts, Chrysalis Foundation, Freedom For Life, HOLA, L.A.’s BEST, Reach Out and Read, Super Bowl Host Committee, and Thunderbirds Charities.