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Los Angeles Mandates New Compliance Program for Non-RSO Property Owners

November 10, 2024 0 Comment Category: Uncategorized

On November 5, 2024, the Los Angeles City Council passed a sweeping compliance program affecting all non-RSO property owners in the city. Under this new ordinance, owners of properties not covered by the Rent Stabilization Ordinance (RSO)—including multifamily buildings constructed after 1978, single-family homes, condominiums, accessory dwelling units (ADUs), and Junior ADUs—must now register their rental units and display certification, aligning with standards previously set for RSO properties. Without this certification visibly posted and served to tenants, property owners will not be allowed to collect rent, creating a new potential tenant defense in unlawful detainer actions. To support this compliance, Davidovich Stein Law Group will update intake forms for property owners, helping them meet this new requirement smoothly.

Key Compliance Requirements for Non-RSO Property Owners

The newly approved program changes the legal landscape for non-RSO owners. Here’s a quick breakdown:

1. Relocation Fees: Property owners must pay relocation fees of up to $12,211 if annual rent increases exceed 10% or the Consumer Price Index (CPI) plus 5%, whichever is lower. This mandate is designed to relieve renters impacted by high rent increases.
2. Eviction Restrictions: Evictions are restricted to “Just Cause” reasons only, meaning property owners must have an approved reason to initiate eviction. For “No-Fault” evictions, owners must now pay tenants relocation fees of up to $27,500.
3. Rent Payment Thresholds: Evictions for unpaid rent are only permitted if the tenant’s unpaid rent equals or exceeds one month’s fair market rent, limiting eviction cases based on small arrears.
4. Tenant Harassment Protections: Owners face strict penalties for actions that interfere with a tenant’s peace, comfort, or enjoyment of their home. This includes limits on interactions that may disturb tenants’ quiet enjoyment of their space.
5. COVID-19 Pet Protections: Property owners must allow tenants to keep pets acquired during the COVID-19 pandemic, even if those pets were initially unauthorized.

How Davidovich Stein Law Group Can Help

These new requirements are complex, and the penalties for non-compliance are steep. Davidovich Stein Law Group is here to ensure property owners understand and meet every requirement under the new ordinance. From registration and tenant notifications to critical updates on intake forms, we provide comprehensive support to help owners protect their investments and avoid compliance issues. We’ll guide you through all documentation needs and set up safeguards to protect your rights as a property owner under this expanded program.

Prepare now and stay compliant—contact Davidovich Stein Law Group today.

Your bottom line is our top priority.