Los Angeles Rent Stabilization Ordinance (RSO) Overview

The Rent Stabilization Ordinance (RSO) in Los Angeles is a local law that regulates rent increases and establishes strong protections for tenants in qualifying rental properties across the city.

What Is the RSO?

The RSO was enacted in 1978 to address housing affordability and protect tenants from excessive rent hikes and unjust evictions. It applies to most multi-family residential rental properties in Los Angeles that were built on or before October 1, 1978, as well as replacement units for demolished RSO-covered units.

Key Provisions and Coverage

• Coverage: The RSO applies to apartments, some condos, duplexes, triplexes, fourplexes, and mobilehomes in mobilehome parks. There are about 624,000 units in 118,000 properties under RSO protection in Los Angeles.
• Exemptions: Newer constructions (after 1978), most single-family homes, and certain other dwellings are not covered by the RSO but may be protected under the Just Cause Ordinance (JCO) or state law.
• Rent Increase Limits: For July 2024 - June 2025, rent increases are capped at 4% annually for eligible units, or up to 5% if gas/electricity is included in the rent.
• Eviction Protections: Tenants can only be evicted for "just cause" (such as nonpayment of rent or lease violations), and landlords generally must provide relocation assistance for no-fault evictions.
• Registration Requirements: Landlords must register their RSO-covered properties with the Los Angeles Housing Department and provide annual documentation.

Relation to Other Laws

• Properties not covered by the RSO may still fall under the Just Cause Ordinance (JCO), which also protects tenants against arbitrary evictions but does not cap rents unless state law applies.
• Statewide, the Tenant Protection Act (AB 1482) covers many properties not under RSO, capping rent increases and establishing eviction protections.

Practical Implications

• The RSO creates predictable rent increases and strong security for tenants in older rental buildings.
• Compliance is mandatory for landlords; failure to comply can result in penalties and legal disputes.
• Tenants and landlords can verify RSO coverage and access resources through the Los Angeles Housing Department.

References