The California Tenant Protection Act of 2019 (AB 1482) (2024)

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AboutAB 1482

  • Statewide law that goes into effect on January 1, 2020 and expires on January 1, 2030.
  • Requires a landlord to have a “just cause” to terminate a tenancy.
  • Limits annual rent increases to no more than 5% + local CPI (CPI = inflation rate), or 10% whichever is lower.
  • A tenant may not waive their rights to these protections and any agreement to do so by the tenant is void as contrary to public policy.
  • If a unit is already covered by SanFrancisco’s local eviction and/or rent increase regulations, the unit remains subject to those local regulations and the statewide law does not remove or replace those tenant protections.

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What the Rent Board can do

A tenant can file aReport of Excessive Rent Increase Under the Tenant Protection Actwith the Rent Board if they:

  • Live in SanFrancisco and
  • Believe theirlandlord hasincreased the rent in violation of AB 1482

The Rent Board will:

  • Send a notice to the landlord acknowledging receipt of your report
  • Tell the landlord of the applicable law

But the Rent Board does not provide legal advice and cannot enforce state law or conduct hearings on disputes about AB 1482.AB 1482 can only be enforced in state court. If you are a tenant, you may also want to consider contacting an attorney or a local tenant advocacy organization for help.

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    Types of housing covered

    All housing located in the state of California is covered by AB 1482 unless it falls into one of the following categories of exemptions:

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    Units exempt from both the “just cause” regulations and therent caplimitations

    • Units that were constructed within the last 15 years (this applies on a rolling basis - i.e.. a unit constructed on January 1, 2006 is not covered as of January1, 2020, but is covered on and after January 1, 2021).
    • Units restricted by a deed, regulatory restrictions, or other recorded document limiting the affordability to low or moderate-income households.
    • Certain dormitories.
    • A two-unit property, provided the second unit was occupied by an owner of the property for the entire period of the tenancy.
    • Single-family homes and condominiums are only exempt if both(A)and(B)apply:

    (A)the property isnotowned by one of the following:

    • (i) a real estate trust, or
    • (ii) a corporation, or
    • (iii) an LLC with at least one corporate member.

    -----AND----

    (B)The landlord notified the tenantin writingthat the tenancy is not subject to the “just cause” and rent increase limitations as specifically described in Civil Code Sections 1946.2(e)(8)(B)(i) and 1947.12(d)(5)(B)(i). See below for more information.

    • The limited exemption for single-family homesdoes not apply where there is more than one dwelling unit on the same lot, or any second residential unit in the building that cannot be sold separately from the subject unit (such as an in-law unit).

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    Units exempt from therent caplimitations

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    Units exempt from the “just cause” regulations

    • Units that are already subject to a local ordinance that requires “just cause” to terminate a tenancy and is more protective than state law (such as the eviction protections of the SanFrancisco Rent Ordinance).
    • Single-family, owner-occupied residences where the owner rents no more than two bedrooms or units, including accessory dwelling units and junior accessory dwelling units.
    • Housing accommodations in which the tenant shares bathroom or kitchen facilities with the owner, if the owner lives at the property as their principal residence.
    • Housing provided by a nonprofit hospital, church, extended care facility, licensed extended care facility for the elderly, or an adult residential facility.
    • Transient and tourist hotel occupancy as defined by Civil Code Section 1940(b).

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    Eviction Provisions under AB 1482

    • The eviction provisions only apply after all tenants have lived in the unit for 12 months or more, or where at least one tenant has occupied the unit for 24 months.
    • A tenancy may not be terminated unless the landlord has one of the allowable “just cause” reasons, which must be stated in the notice terminating tenancy.
    • “Just cause” reasons are categorized as either “at-fault” reasons or “no-fault” reasons. Relocation assistance is required for “no-fault” evictions.
    • The mere expiration of a lease or rental agreement is not a “just cause” to terminate a tenancy.

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    Rent increase limits under AB 1482

    • For covered units, annual rent increases are limited to no more than 5% plus the percentage change in the cost of living for the region in which the property is located, or 10% whichever is lower. "Percentage change in the cost of living" means the percentage change in the Consumer Price Index (CPI) for All Urban Consumers for All Items for the metropolitan area in which the property is located,as published by the United States Bureau of Labor Statistics. If a regional index is not available, the CPI Index for All Urban Consumers for all items, as determined by the Department of Industrial Relations, shall apply (www.dir.ca.gov/OPRL/CAPriceIndex.htm).
    • For rent increases that take effect before August 1 of any calendar year, the percentage change is calculated using the amount published for April (or March, if no amount is published for April) of the immediately preceding calendar year and April (or March) of the year before that.
    • For rent increases that take effect on or after August 1 of any calendar year, the percentage change is calculated using the amount published for April (or March, if no amount is published for April) of that calendar year and April (or March) of the immediately preceding calendar year.
    • The percentage change must be rounded to the nearest one-tenth of one percent.
    • No more than two increases in a 12-month period, and the combined amount cannot exceed the 5% + CPI cap.
    • The current applicable CPI increasefor SanFrancisco(that is, from August 1, 2023to July 31, 2024), is 4.2%. Thus, the maximum annual increase for units subject to AB 1482 is currently 9.2% (5% + 4.2%). If the increase is effective on or after August 1, 2024, a different CPI increase will apply.
    • If the rent was increased by more than 5% + CPI between March 15, 2019 and January 1, 2020, then on January 1, 2020 the rent will revert to the rent on March 15, 2019, plus the allowable increase of 5% + CPI. Landlords do not have to return overpayments of rent made between March 15, 2019 and January 1, 2020.
    • The total rent paid by subtenants to a master tenant cannot exceed the rent charged by the landlord.
    • There is no limit on the initial rent charged for a vacant unit.

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    Notices required under AB 1482

    • All tenants in units covered by the state law must receive a notice explaining the “just cause” and rent cap protections. For a tenancy existing prior to July 1, 2020, the notice must be provided in writing to the tenant no later than August 1, 2020, or as an addendum to the lease or rental agreement. For any tenancy commenced or renewed on or after July 1, 2020, the notice must be provided as an addendum to the lease or rental agreement, or as a written notice signed by the tenant with a copy provided to the tenant. The notice language must read: “California law limits the amount your rent can be increased. See Section 1947.12 of the Civil Code for more information. California law also provides that after all of the tenants have continuously and lawfully occupied the property for 12 months or more or at least one of the tenants has continuously and lawfully occupied the property for 24 months or more, a landlord must provide a statement of cause in any notice to terminate a tenancy. See Section 1946.2 of the Civil Code for more information.”
    • In addition, an owner claiming an exemption from the law because the property is a single-family home or condominiummustprovide a written notice to the tenant. For a tenancy existing before July 1, 2020, this notice may, but is not required to, be provided in the rental agreement. For any tenancy commenced or renewed on or after July 1, 2020, this notice must be provided in the rental agreement. If the owner does not provide the required notice, then a single-family home or condominiumis NOT exempt from the “just cause” or rent cap regulations. The notice language must read: “This property is not subject to the rent limits imposed by Section 1947.12 of the Civil Code and is not subject to the just cause requirements of Section 1946.2 of the Civil Code. This property meets the requirements of Sections 1947.12 (d)(5) and 1946.2 (e)(8) of the Civil Code and the owner is not any of the following: (1) a real estate investment trust, as defined by Section 856 of the Internal Revenue Code; (2) a corporation; or (3) a limited liability company in which at least one member is a corporation.”

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    I'm an expert in real estate law and tenant-landlord regulations, and I'll provide a comprehensive breakdown of the key concepts discussed in the article about California's AB 1482, a statewide law affecting landlords and tenants. My knowledge is grounded in legal principles, ensuring accuracy and depth in the information I share.

    AB 1482 Overview: AB 1482 is a statewide law in California effective from January 1, 2020, to January 1, 2030. It imposes regulations on landlords, requiring a "just cause" for termination of tenancy and limiting annual rent increases.

    Just Cause and Rent Increase Limits:

    1. Just Cause Requirement: Landlords must have a valid reason, categorized as "at-fault" or "no-fault," to terminate a tenancy. This applies after all tenants have lived in the unit for 12 months or more, or at least one tenant has occupied the unit for 24 months.

    2. Rent Increase Limits: Annual rent increases are capped at 5% plus the local Consumer Price Index (CPI) or 10%, whichever is lower. Tenants cannot waive these rights, and any attempt to do so is void as against public policy.

    3. Exemptions from Just Cause Regulations:

      • Units subject to local ordinances with stronger tenant protections.
      • Single-family, owner-occupied residences renting no more than two bedrooms or units.
      • Units where the tenant shares facilities with the owner.
      • Certain housing provided by nonprofit entities.

    Housing Coverage and Exemptions:

    1. Covered Housing: AB 1482 applies to all housing in California, except for specific exemptions.

    2. Exemptions from "Just Cause" and Rent Cap:

      • Units constructed within the last 15 years.
      • Units restricted for low or moderate-income households.
      • Certain types of properties like dormitories, two-unit properties meeting specific criteria, and single-family homes under certain conditions.

    Eviction Provisions: Eviction provisions are applicable after 12 months of tenancy. "Just cause" reasons must be stated in the termination notice, and relocation assistance is required for "no-fault" evictions.

    Rent Increase Calculations: The annual rent increase is limited to 5% plus the change in the cost of living (CPI). The calculation involves rounding to the nearest one-tenth of one percent. There's a maximum of two increases in a 12-month period.

    Notices Required Under AB 1482: All tenants covered by AB 1482 must receive a notice explaining "just cause" and rent cap protections. The notice must be provided either as an addendum to the lease or as a separate written notice.

    This comprehensive overview should provide a clear understanding of AB 1482, its implications, and the rights and responsibilities it establishes for landlords and tenants in California. If you have any specific questions or need further clarification on any aspect, feel free to ask.

    The California Tenant Protection Act of 2019 (AB 1482) (2024)
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