Cities in California’s Bay Area—Concord and Larkspur—are pursuing rent control this spring despite this failed policy’s long history of decreasing the availability of quality, affordable housing for renters. Their move builds on other efforts in the state to tighten the screws on California’s rent regulation policies.
Concord
In Concord, a rent control ordinance was enacted on April 19 and became effective immediately after a ballot initiative to repeal the ordinance was ultimately withdrawn. The ordinance limits annual rent increases to 60% of the Consumer Price Index (CPI) or 3%, whichever is lower, and applies to rental housing of two or more units built before February 1, 1995, and mobile homes. Notably, this is the first rent control ordinance specific to Concord and it includes a just cause eviction provision.
Much like other rent control regimes across the country, Concord’s rent control ordinance includes just cause eviction requirements that take away housing providers’ right to lease nonrenewal. Housing providers may evict for "for cause" reasons, including default in payment of rent, breach of the rental agreement, maintaining or committing a nuisance or waste, engaging in criminal activity in common areas or using the unit for an unlawful purpose, refusing the provider access to the unit or failing to vacate the unit following the conclusion of the lease. If the housing provider pursued a "no fault" eviction, the housing provider would be responsible for resident relocation payments in the amount of three times the U.S. Department of Housing and Urban Development (HUD) Fair Market Rent based on the number of bedrooms, plus a moving stipend of $3,000.
Larkspur
Across the San Francisco Bay in Larkspur, following the narrow success of Measure D in the March primary, advocates are seeking to place another, more stringent rent control question on the November ballot. Measure D codified an ordinance adopted on September 6, 2023, which caps annual rent increases to 5% plus inflation or 7%, whichever is lower. Further, the ordinance is retroactive to May 8, 2023, meaning any rent increase applied between May 8, 2023, and April 4, 2024, must comply. Any housing provider that raised rent above the maximum 7% increase must either reimburse the resident or issue credits for future rent owed.
Given the narrow success of the previous ballot initiative, advocates are again pushing an even more stringent rent control proposal to cap rent at 60% of the CPI or 3%, whichever is lower. Similar to Concord, this initiative ties in just case eviction provisions and would codify a resident's right to organize. Advocates have submitted 1,100 signatures to the Marin County Registrar of Voters who have until June 18 to verify the signatures to determine whether the initiative will make it to the ballot.
Deeper Dive: NAA and its affiliate partners are determined to defend the rental housing industry against these harmful policies. For more information about rent control, please contact Emma Craig, NAA’s Manager of Public Policy.