A newly introduced bill in the California Legislature seeks to extend local rent control regulations on residential properties rebuilt after the Los Angeles County fires and other natural disasters, raising concerns about its impact on post-disaster housing recovery.
SB 522 by Sen. Aisha Wahab, D-Fremont, would amend the Costa-Hawkins Rental Housing Act to require that if a rent-controlled property is rebuilt following a disaster—such as a wildfire or earthquake—it must remain under local rent control.
The proposal also seeks to restrict new housing development in disaster-affected areas by prohibiting cities and counties from approving projects on sites where rental properties were destroyed unless the new development includes at least as many rent-controlled units as were lost.
The California Apartment Association warns that SB 522 would discourage property owners from rebuilding rental housing after disasters and create additional barriers to housing development in impacted communities. By mandating rent control on rebuilt units, the legislation could deter investment in reconstruction efforts, slowing the recovery of rental housing stock.
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