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Lucy, Esq.
Lucy, Esq., Attorney
Category: Landlord-Tenant
Satisfied Customers: 28804
Experience:  Attorney
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I own a condo in a builing in los angeles. in the city's

Customer Question

i own a condo in a builing in los angeles. in the city's system, it indicates it is under the rent stabilization ordinance (i.e. rent control). i have tenants who have been there for a few years. The first year was a one - year lease that then automatically turned into month to month after the first year.
JA: Because laws vary from place to place, can you tell me what state the property is in?
Customer: California (los angeles)
JA: What are the terms of the lease? Any issues related to maintenance or upkeep?
Customer: typical terms/standard lease contract
JA: Anything else you want the lawyer to know before I connect you?
Customer: i am wondering what limits are on rent increases for month to month? current lease is easily 20-30% under market
Submitted: 2 months ago.
Category: Landlord-Tenant
Expert:  Lucy, Esq. replied 2 months ago.

Hi,

I'm Lucy, and I'd be happy to answer your questions today.

If the property is subject to Los Angeles' Rent Stabilization Ordinance, the law only allows you to increase the rent by 3% each year. You can ask that the tenant increase their security deposit by 3% at the same time the rent is increased. If you provide utilities, you're also allowed a 1% utility increase. You unfortunately are not allowed to increase rent to bring it to the market value or to increase a tenant's rent more often than once a year, even if they're on a month-to-month lease.

You're also allowed to increase the rent if the tenant moves someone new into the property, not counting a dependent child. There are a couple of other surcharges that might apply, listed here:

http://hcidla.lacity.org/What-is-Covered-under-the-RSO

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Customer: replied 2 months ago.
thanks. since it is month to month and i want to sell without tenants in the property, do i need a "reason" / eviction reason to ask the tenants to vacate, or can i simply request they vacate under the "notification" terms of the lease agreement (I think 30 day notice on a mo-to-mo)?
Expert:  Lucy, Esq. replied 2 months ago.

I'm afraid that the Los Angeles Rent Stabilization laws do not allow a landlord to evict a tenant for the purpose of selling the property. These laws override the basic provisions in your lease and the general state law that allows a landlord to evict on 30 or 60 days notice. The property is sold with the tenant in it, unless you have another permissible means for eviction.

Here is a list of permissible reasons for evicting a tenant:

http://hcidla.lacity.org/Eviction-Situations-and-Behaviors-Renters

Customer: replied 2 months ago.
if i just want to take over control of the property again, regardless of reason, with written notice i can, but I will have to provide relocation assistance even if i follow the terms of the lease agreement, which is just to provide the proper notice without any comments on 'for cause' etc? the lease agreement states: if this agt is a periodic tenancy, either party may terminate the tenancy by the service of at lease 30 days written notice, if the tenancy is less than one year, or by the service by either party of at least 60 days written notice if the tenancy is one year or longer at the time of the service of notice.
Expert:  Lucy, Esq. replied 2 months ago.

You still need a permissible reason for terminating the lease: You or a family member are moving in, you need to move a resident manager in, you're demolishing the building, or the unit is being permanently removed from the rental market.

Expert:  Lucy, Esq. replied 2 months ago.

A 60 day notice for a rent controlled property is not valid, even with relocation assistance, if the tenancy isn't being terminated for one of those reasons or if no reason is given.

Expert:  Lucy, Esq. replied 2 months ago.

Do you have any other questions about this?

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