‘Justice for Renters’ Makes 2024 Ballot
'Justice for Renters': Act to Replace Costa Hawkins Makes 2024 Ballot
The 'Justice for Renters Act', a bill that serves to replace The Costa Hawkins Rental Housing Act, has qualified for the November 2024 ballot. Costa Hawkins, which was enacted in 1995, prohibits local jurisdictions from passing rent control on condos, single family rentals, and multifamily rental units that were built after 1995.
Justice for Renters would serve to undo the protections of Costa Hawkins, exposing a large portion of the housing stock to new rent control ordinances.
In an already supply constrained State with development being further strangled by new bills & ordinances like SB330, SB8 and Measure ULA to name a few, the last thing that Californians need is more regulation.
The initiative is led by Michael Weinstein of the LA-based AIDS Healthcare Foundation. You can read the full Real Deal article here.
LA Apartment Vacancy Increases in First Half of 2023
The average vacancy rate in the Los Angeles apartment market is up 60 basis points from 4.3% to 4.9% since Jan 1st of this year.
The main driver of our increased vacancy rates is competition caused by new housing supply. Nearly 6,500 new rental units were added to our housing stock since the top of the year, the largest amount of units added in a 6-month period in many decades.
Burbank, the Westside and Downtown Los Angeles have seen the sharpest increase in vacancies due to a handful of major new multifamily developments in these areas. We've also seen that more-affordable units have been easier to rent and less effected by overall vacancy issues, while the higher end of the market is feeling more pain. Renter demand is forecasted to remain soft through 2023, and pick up again in 2024.
You can read more about the data at Costar here.
Weekly Market Activity – WeHo, Beverly Grove, Pico-Robertson, Fairfax, Mid-City
90019, 90035, 90036, 90046, 90048, 90069
8/4/23, Last 7 Days, 4+ Units
New Listings:
4637 W 18th St [90019] - 4 Units for $1.45M, $287/SF, 19.65 GRM (1928)
1920s 4-Plex in Mid-City with 1 vacancy. All 2-bed / 1-bath units. ADU potential in garages.
712 S Stanley Ave [90036] - 4 Units for $3.15M, $453/SF, $787K / Unit (1928)
100% Vacant 4-Plex in Miracle Mile. 6,836 SqFt Lot Zoned R3 (HPOZ). All 2-bedroom & 3-bedroom units.
3315 W 17th St [90019] - 4 Units for $1M, $317/SF, 17 GRM, $250K / Unit (1921)
All 1-bedroom units in Arlington Heights (Mid-City) with very low rents.
1033 S Curson Ave [90019] - 5 Units for $1.88M, $453/SF, 13.9 GRM, 4.65% Cap (1961)
Delivered with 2 vacancies. Retrofit completed. 37% Upside, long-term owner.
309 S Hamel Rd [90048] - 8 Units for $3.95M, $713/SF, 13.98 GRM, 4.56% Cap (1962)
All units fully remodeled with strong income. In-unit washer dryers. Offered with adjacent parcel.
5355 W 8th St [90036] - 4 Units for $2.5M, $413/SF, 2.67% Cap (1926)
Spanish-style 4-Plex in Miracle Mile. All 2-bedroom units. Probate sale.
While transactions are down and interest rates are up, my group is on track to 3x our production from 2022. If you are considering offloading an apartment building or exploring a 1031 exchange, reach out and we'd be happy to see how we can help.
You can also request a property evaluation here.
