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The California Apartment Association today vowed to fight anti-housing activist Michael Weinstein’s efforts to have Gov. Gavin Newsom and the state Legislature suspend the Costa-Hawkins Rental Housing Act, California’s most important landlord-protection law. CAA is preparing to mobilize its members to oppose any suspension of Costa-Hawkins, which would allow vacancy controls and authorize cities and counties to limit rent increases — even below the rate of inflation — on single-family homes, condominiums and apartments built after 1995.  Vacancy controls would keep local rent caps in place during changes in tenancy, preventing units from reaching market rates.  Although Weinstein claims his proposal… Read More

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Small businesses suffering financial hardships due to COVID-19, including the rental housing industry and companies that serve that industry, will soon get another chance to obtain loans under the federal government’s Paycheck Protection Program, or PPP, and the Economic Injury Disaster Loan Program. Congress on Thursday approved a $484 billion stimulus plan that includes about $380 billion to replenish the PPP, which ran out of money last week, just days after its debut. The PPP aims to help businesses with 500 or fewer employees, including sole proprietors, independent contractors and people who are self-employed, by providing a forgivable loan of… Read More

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Tom Bannon Mike Nemeth In CAA’s inaugural podcast, association CEO Tom Bannon talks with Communication Director Mike Nemeth about the Legislature’s response to COVID-19, including a bill that would allow judges to mandate 25% rent reductions, and another bill that would address tenant and landlord concerns through rental assistance vouchers. Listen here

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The California Apartment Association has challenged the city of Santa Ana and Contra Costa County for violating the Costa Hawkins Rental Housing Act. Both jurisdictions, citing tenant hardships caused by COVID-19, imposed bans on rent increases, however, these prohibitions conflict with state law. The Santa Ana rent freeze applies to all tenants and all housing, regardless of housing type or age. The Contra Costa County ban failed to exempt newer units, which is a required under Costa-Hawkins. These moves violate Costa-Hawkins, which prohibits local governments from imposing rent control on single-family homes and condominiums and on apartments built after 1995.… Read More

Tagged: Contra CostaOrange County

The Los Angeles City Council on Wednesday rejected several items that posed threats to California’s rental housing industry, including a move that would have violated the Costa-Hawkins Rental Housing Act. On a 7-6 vote, the council: Rejected an extension of the city’s freeze on rent increases to property shielded from local rent control laws under Costa-Hawkins. The city attorney warned the council that such an action would violate state law. The council also voted against extending the rent freeze to properties covered under Assembly Bill 1482, the statewide rent cap law that went into effect Jan. 1. Rejected an attempt… Read More

Tagged: Los Angeles

The California Apartment Association this week sponsored a legislative proposal that would help both landlords and renters endure the financial difficulties brought on by COVID-19. Under SB 1410 by Sen. Lena Gonzalez, D-Long Beach, the state of California would make direct rental payments to help tenants who cannot afford to pay their rent.  SB 1410 would cover at least 80% of unpaid rent attributable to the pandemic. “The COVID-19 pandemic has brought frightening and uncertain times, leaving many Californians with health challenges and economic difficulties,” said Debra Carlton, CAA’s executive vice president for state public affairs. “Sen. Gonzalez has offered… Read More

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The San Jose City Council next week is expected to consider an ordinance that would freeze rents on all rent-controlled units for the rest of the year. At this week’s meeting, the council directed the city attorney to return Tuesday, April 21, with an ordinance that: Freezes rents on all rent-controlled units until Dec. 31, 2020.  Clarifies that it is not a service reduction if a landlord reduces amenities to comply with a public health order. Waives building/repair maintenance permit fees for rental properties under 20 units. Allows a landlord to lower rents and maintain the higher base rent for… Read More

Tagged: Tri-County

The Los Angeles County Board of Supervisors on Tuesday voted to give tenants a full year to cover rent that goes unpaid because of COVID-19. An earlier version of the moratorium had a six-month pay-back deferral period. The board also relaxed requirements that tenants show documentation of a COVID-19 related financial hardship, allowing renters to “self certify” their inability to pay rent. The board also expanded its policies to cover not only unincorporated areas of L.A. County, but also any cities that have not imposed their own COVID-19 eviction moratoria. CAA is working to obtain a list of such cities,… Read More

Tagged: Los Angeles

A bill in response to COVID-19 would allow the courts to force rental property owners in California to reduce rents by 25%. The bill, AB 828 by Assemblyman Phil Ting, D-San Francisco, also would force landlords to subsidize the rents of their tenants. Assemblyman Phil Ting Ting’s proposal ignores the robust rent and eviction controls already in place across California. It provides no assurances that landlords can collect rent, remove problem tenants, or get a fair hearing in the court system. Read CAA’s letter opposing AB 828 here. Landlords can help CAA fight this bill by sending a letter to… Read More

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The California Apartment Association today urged the California Judicial Council to revisit its decision to suspend virtually all evictions in the state, saying the council’s move creates an unlevel playing field that will protect banks and tenants but leave rental property owners vulnerable well after the COVID-19 crisis ends.  The council’s decision, made Monday during an emergency meeting, allows tenants, including those with the ability to pay, to withhold rent without fear of eviction but leaves landlords struggling to pay their mortgages without protection from foreclosure. CAA sent council members this letter, which includes recommendations to revise the eviction rule… Read More

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