Beverly Hills, a posh city in California, has its own rent control laws which limit the amount landlords can increase rent and also provides eviction protection to tenants. Beverly Hills Rent Stabilization Ordinance (RSO) was enacted in 1978 and has been revised a few times since then to benefit tenants renting homes, townhouses, condos, and co-ops. The RSO covers multi-family buildings constructed before 1995 that have five or more units.
Beverly Hills residents who are renting their homes need to be aware of the protections afforded by the rent control ordinance. Tenants can only be evicted for certain reasons such as non-payment of rent, breach of lease agreements, and illegal activities. The landlord must give a notice of termination to a tenant and a reason for eviction. Tenants have the right to a hearing before a Rent Stabilization Commission before they are evicted. The RSO also sets annual rent increase limits, which are usually announced by July 1st each year.
The RSO provides the following protections and benefits to tenants:
While the RSO is designed to protect renters, it also has implications for landlords. Landlords are required to comply with the RSO provisions when they rent their properties and cannot enter into agreements that go against the ordinance. For example, landlords cannot negotiate a higher rent increase than what is allowed by the RSO.
However, Beverly Hills landlords can apply for certain exemptions such as the substantial rehabilitation exemption and the Ellis Act exemption. The substantial rehabilitation exemption allows the landlord to exempt the rental unit from the RSO for 10 years if the landlord performs substantial rehabilitation on the unit. The Ellis Act exemption allows a landlord to evict all the tenants in the building and exit the rental business entirely.
Beverly Hills Rent Control is a vital protection for renters in this pricey California city. The RSO arms tenants with the legal tools to stay in their homes and keep rent increases within reasonable limits. Landlords must also abide by the RSO provisions while renting out their properties and fulfill their legal obligations to maintain the premises in habitable conditions. Overall, the RSO ensures fairness and stability in the rental market for both tenants and landlords.