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Los Angeles Greenlights Rent Hikes as Affordability Crisis Deepens

by Socal Journal Team
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December 1

After nearly four years of a rent freeze prompted by the COVID-19 pandemic, the Los Angeles City Council has officially voted to allow rent increases of up to 6% on units governed by the city’s Rent Stabilization Ordinance (RSO). The decision, passed on December 6, 2023, brings a major policy shift with significant implications for tenants, landlords, and the city’s broader housing landscape.

A Post-Pandemic Pivot

The rent freeze, enacted in March 2020 as part of the city’s emergency response to the pandemic, aimed to provide relief to struggling renters. With that moratorium now lifted, landlords can once again raise rents for the nearly 650,000 units covered by the RSO. These units include apartments built before October 1978, which fall under rent control rules designed to protect tenants from sudden spikes in housing costs.

Landlords had been vocal in recent months, citing escalating costs related to property taxes, repairs, insurance, and general upkeep. Many argued that continuing the freeze threatened the long-term viability of maintaining their buildings, some of which are decades old and in need of constant maintenance.

Balancing Property Rights and Tenant Protections

Supporters of the rent increase argue that the change was inevitable and necessary. “This decision is a necessary step to ensure property owners can maintain their buildings, but we must also protect our most vulnerable residents,” said Councilmember Nithya Raman, acknowledging the tension at the heart of the vote.

Tenant advocates, however, view the council’s move as poorly timed. With Los Angeles still grappling with a severe housing shortage, sky-high rents, and widespread homelessness, advocates warn that even modest rent increases could push more families toward displacement or eviction. Groups like the Coalition for Economic Survival and the LA Tenants Union condemned the policy shift, urging the city to expand rental assistance and explore stronger tenant protections.

Rising Housing Pressures

The rent hike comes at a time when over half of Los Angeles renters are considered rent-burdened—spending more than 30% of their income on housing. The city’s housing supply has lagged far behind demand, and despite new development efforts, affordable housing remains scarce. Evictions are also reportedly on the rise following the expiration of other pandemic-era tenant protections earlier in 2023.

City officials emphasized that while the 6% ceiling may be difficult for some tenants, it is a capped amount based on inflation metrics and is far below what landlords might pursue in an unregulated market.

A City at a Crossroads

This decision underscores Los Angeles’ ongoing struggle to find equilibrium between economic recovery and housing equity. As the city moves forward, councilmembers have pledged to monitor the policy’s effects and consider additional measures to support renters at risk of losing their homes.

Ultimately, the rent hike signals a broader shift in how the city is approaching post-pandemic recovery—attempting to normalize operations while contending with the persistent challenges of affordability, inequality, and displacement.

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