Los Angeles Government Can’t Help Itself: Aims to Extend Current Limits on Rent Increases
By Jarryd Gonzales
When it comes to decision-making, college basketball sportscaster Dick Vitale quipped, “Life is simple. Make good decisions and good things happen. Make bad decisions and bad things happen.” The Los Angeles City Council and Board of Supervisors seem destined to make bad decisions that will result in more bad things happening.
Since the end of the pandemic, both elected bodies have unfairly punished property owners by limiting or not allowing for rent increases since 2020. The maximum allowable rent increase in Unincorporated Los Angeles County is limited to a 3% rent increase for all of 2023 (less than the rent control ordinance allows).
The City of Los Angeles still does not allow for any rent increases. The city’s ban on rent increases is supposed to end on January 31. For mobilehome parkowners, it is too little, too late.
And as of this week, even the too little, too late is being threatened. Los Angeles City Councilmember Hugo Soto-Martínez introduced a proposal to freeze rents for another six months, giving the City Housing Department time to complete an economic study on the formula setting for allowable rent increases in rent-controlled units. Unsurprisingly, Soto-Martínez has described himself as the only City Council tenant living in a rent-controlled apartment.
Fortunately, Councilmember Blumenthal intervened and shepherded a motion allowing a 4% maximum allowable increase (7% would be allowed under the rent control ordinance). This motion was initially set to be voted on by the city council on November 8, but is continued to November 14.
Not to be outdone by its government colleagues, on November 7, the Los Angeles Board of Supervisors passed a motion from Supervisor Horvath to extend its current limit on rent increases through June 30, 2024 – the Board did increase the maximum limit from 3% to 4%.
Los Angeles elected officials continue to make bad decisions despite the long-term consequences to private property owners. For questions or updates, please send a note to jarryd@goodprgroup.com.
Jarryd Gonzales is WMA’s Regional Representative for Central / Southern California.