California laws requiring apartment owners to ditch appliances that use fossil fuels could prompt more evictions and rent increases in the state, according to a report from the nonprofit Strategic Actions for a Just Economy.
The law could spur more evictions if landlords undertake major renovations to comply with the electrification rule. Some cities and counties in the Golden State have exceptions to renter-protection laws that allow landlords to evict tenants while making renovations.
Another law that limits rent increases at lease renewal may come into play if owners look to recoup the cost of renovations through rent increases. That law does not apply to properties built within the past 15 years.
The state has set aside funds for many more energy retrofits, including $622 million for homes in low-income communities. But the legislation enabling this work has not addressed the possibility of evictions, according to the report.
Nearly 80% of California’s low-income renters spend more than half their income on rent, the report says. Renovations to decarbonize buildings could cause rent increases that low-income households cannot afford or could temporarily force tenants to vacate buildings, which could trigger more evictions, the report says.
Related Stories
MFPRO+ Research | Aug 6, 2024
Matrix multifamily report for July shows ‘hopeful signs’
The multifamily market is showing strength in many ways, according to the July 2024 Matrix Multifamily National Report by Yardi Matrix.
Military Construction | Aug 5, 2024
Military housing presents opportunities and challenges to its private builders and landlords
At least one developer-builder, The Michaels Organization, bets on future construction and renovation.
MFPRO+ News | Aug 1, 2024
Canada tries massive incentive program to spur new multifamily housing construction
Canada has taken the unprecedented step of offering billions in infrastructure funds to communities in return for eliminating single-family housing zoning.
Student Housing | Jul 31, 2024
The University of Michigan addresses a decades-long student housing shortage with a new housing-dining facility
The University of Michigan has faced a decades-long shortage of on-campus student housing. In a couple of years, the situation should significantly improve with the addition of a new residential community on Central Campus in Ann Arbor, Mich. The University of Michigan has engaged American Campus Communities in a public-private partnership to lead the development of the environmentally sustainable living-learning student community.
MFPRO+ New Projects | Jul 31, 2024
Shipping containers converted into attractive, affordable multifamily housing in L.A.
In the Watts neighborhood in Los Angeles, a new affordable multifamily housing project using shipping containers resulted in 24 micro-units for formerly unhoused residents. The containers were acquired from a nearby port and converted into housing units at a factory.
MFPRO+ News | Jul 24, 2024
Most popular cities for renters mid-2024
Rental activity in the U.S. continues to grow halfway through 2024. With the work-from-home boom stabilizing, more renters are eying desirable cities to relocate to.
MFPRO+ News | Jul 22, 2024
Miami luxury condominium tower will have more than 50,000 sf of amenities
Continuum Club & Residences, a new 32-story luxury condominium tower in the coveted North Bay Village of Miami will feature more than 50,000 sf of indoor and outdoor amenities. The program includes a waterfront restaurant, dining terraces with resident privileges, and a private dining room outdoor pavilion.
MFPRO+ News | Jul 22, 2024
6 multifamily WAFX 2024 Prize winners
Over 30 projects tackling global challenges such as climate change, public health, and social inequality have been named winners of the World Architecture Festival’s WAFX Awards.
MFPRO+ News | Jul 15, 2024
More permits for ADUs than single-family homes issued in San Diego
Popularity of granny flats growing in California
Vertical Transportation | Jul 12, 2024
Elevator regulations responsible for some of ballooning multifamily costs
Codes and regulations for elevators in the United States are a key factor in inflating costs of multifamily development, argues a guest columnist in the New York Times.