by Brian Gordon & Vincent Medina | Lotus Property Services
Is rent control coming to Pasadena? There is a new initiative that was just filed with the City of Pasadena City Clerk’s Office mid November. According to reports in the Pasadena News Now, a notice of intent to circulate a petition was signed by Pasadena housing activist Michelle C. White; Nicole Marie Hodgson, leader of the Pasadena Tenants Union; and 85-year-old Pasadena renter Robert Roberts.
The Pasadena News Now stated that the notice was accompanied by a 36-page document called, “The Pasadena Fair and Equitable Housing Charter Amendment” which outlines that “The City of Pasadena does not currently regulate the amount of rent a landlord may charge, nor does it establish limitations on the termination of tenancies” and adds, “This measure is a charter amendment that would prohibit landlords from evicting tenants, except for specified reasons and limit the amount that landlords could increase the rent.”
This is a serious fight and as we mentioned in our previous article, cities like Glendale (Just Cause Evictions) were in a recent battle to fight stricter guidelines leading to rent control. Also, Long Beach is currently in an uphill battle against tenant rights activists pushing for rent control to be put on the ballot. Then there’s the recent bill AB1506, which aimed to repeal the Costa Hawkins Act, a 1995 law that barred rent caps on single family homes and apartments built after 1995. Now we have the City of Pasadena entering the arena of proposed rent control.
The petition submitted, if passed, would set base rents for units covered under the initiative. Basically the base rent would be set at the rent effective for a unit on November 15, 2017 and if tenancy was established after this date, then the effective move in rent rate would become the base rent. Subsequently, rents could only be increased based on the Consumer Price Index; however, would not be able to exceed a 4.5% increase.
This new petition filed would result in the City of Pasadena having to create a Rental Housing Board that would oversee and manage the administration of the rent controlled initiative. According to the article posted in the Pasadena News Now, the newly formed Board would be required to set up new regulations and rules that would create the allowed rent adjustments, and would operate totally independently from the City Council and City Attorney, except by request.
The full details of the petition and comments from the City Council and Mayor of Pasadena have yet to be released, but rest assured this will be an uphill battle from here. For more details you can find the article posted by the Pasadena News Now online or further details about the initiative or about the Pasadena Tenants Union at www.pasadenatenantsunion.com.
Find out what they are up to and see how aggressive they are in this push for rent control. Landlords, please get in contact with your local apartment association for the City of Pasadena, FAA “Foothill Apartment Association”. Together we can win this battle! Don’t forget to donate to local PACs (Political Action Committees) that campaign and push politically to fight off these rent control initiatives. You can find out who your local PAC is by contacting your local non-profit apartment association.
Brian Gordon & Vince Medina | Lotus Property Services, Inc.
Brian & Vince have developed a successful system of property management that creates value add opportunities for underdeveloped markets. Through their exclusive Development & Management Program, Brian & Vince have created a vast network of thousands of local, national and foreign investors.