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Rent Control Of Replacement Units Upheld

April 29, 2015


:cp-dr – excerpt

, Los Angeles County – A City of Los Angeles ordinance that subjects replacement rental units to the city’s rent control scheme has been upheld by the Second District Court of Appeal.

The city’s law provides that if a landlord demolishes a residential property that is subject to the city’s rent stabilization ordinance, and then builds new residential rental units on the same property within five years, the new units are also subject to the rent stabilization ordinance. The Apartment Association of Los Angeles County challenged the law as prohibited by the Costa-Hawkins Act, which exempts newly constructed units from local rent control measures. The court, however, disagreed with the association’s reading of state law…

At issue in the litigation was interpretations of the Ellis Act and the Costa-Hawkins Act (Civil Code § 1954.50 et seq.). In general, the Ellis…

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