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The annual max increase for LA's rent controlled apartments is back — as city puts off vote to reform rules
Tenants rally outside L.A. city hall to call for lower caps on annual rent increases.
(
David Wagner
/
LAist
)
Topline:
Starting Tuesday, rent increases for most apartment dwellers in Los Angeles will be capped at 3% — or up to 5% if utilities are included. The new limits are taking effect at a time when the L.A. City Council continues to put off voting on a plan to update the city’s decades-old rent control formula.
Who’s covered: The city’s rent control caps generally apply to tenants living in apartments built before October 1978. These older units make up about two-thirds of all L.A. apartments. Tenants in these apartments can now have their rent increased by up to 3% — unless landlords also cover the tenant’s gas and electricity bills, in which case another 1% can be added for each utility, bringing the maximum allowable increase to 5%.
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New rent increase caps start in LA as city delays updating rent control formula
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What’s new: The new rent hike caps are slightly down from the previous limits, which ran from 4% to 6%. Trends in local inflation determine how high landlords can raise rents. With inflation steadily declining in recent months, so too are the city’s allowable rent increases. The new 3% to 5% cap is set to remain in place through June 30, 2026.
Why no reforms yet? The city’s Housing Department has
recommended getting rid
of the additional 2% utilities bump, citing
an economic report
which found the surcharge unfairly increases costs on tenants. City housing officials have also recommended changes to how allowable increases are calculated. Those changes would have capped rent hikes at 2% on Tuesday. The current maximum of 5% is taking effect because the L.A. City Council has
yet to schedule a vote
on the proposed reforms.
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But the game has changed: Congress voted to eliminate funding for public media across the country. Here at LAist that means a loss of $1.7 million in our budget every year. We want to assure you that despite growing threats to free press and free speech, LAist will remain a voice you know and trust. Speaking frankly, the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news in our community.
We’re asking you to stand up for independent reporting that will not be silenced. With more individuals like you supporting this public service, we can continue to provide essential coverage for Southern Californians that you can’t find anywhere else. Become a monthly member today to help sustain this mission.
Thank you for your generous support and belief in the value of independent news.
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