In the City of Los Angeles, most rental properties first built on or before October 1, 1978 are under the city's Rent Stabilization Ordinance (RSO), which caps increases at 3% from July 1, 2026 to June 30, 2027. Most newer buildings that are at least 15 years old fall under state law AB 1482 (Civil Code 1947.12), which caps increases at 5% plus CPI, up to 10% — 8.7% for LA-area increases starting August 1, 2026 through July 31, 2027. Buildings less than 15 years old are exempt from the state rent cap.
Quick comparison
| LA RSO | AB 1482 (Tenant Protection Act) | |
|---|---|---|
| Covers | Rental properties in LA City generally first built on or before Oct 1, 1978 | Most CA rentals 15+ years old not under stricter local control |
| Annual cap | 3% (Jul 1, 2026 – Jun 30, 2027); formula now 90% of CPI, 1% floor / 4% ceiling | 5% + regional CPI, max 10%; LA area 8.7% for increases starting Aug 1, 2026 – Jul 31, 2027 |
| Frequency | Once every 12 months | No more than two increments in 12 months for the same tenant, total within cap |
| Vacancy decontrol | Yes — reset to market on lawful vacancy (Costa-Hawkins) | Yes — new tenancy can start at market |
| Just cause | LA RSO just-cause and relocation rules | Civil Code 1946.2; LA's Just Cause Ordinance also covers most non-RSO units |
| Registration | Annual LAHD registration and fees | LA JCO registration for non-RSO units in LA City |
| Sunset | Local ordinance (no sunset) | Statute repeals January 1, 2030 unless extended |
How to tell which one applies
- Is it in LA City? Check ZIMAS (zimas.lacity.org) — the Housing tab shows RSO status.
- When was it built? LAHD says the RSO generally applies to rental properties first built on or before October 1, 1978.
- Is it 15+ years old? AB 1482's rent cap exempts housing issued a CofO within the previous 15 years (a rolling date).
- Is it a single-family home or condo? These can be exempt from AB 1482 if not owned by a REIT, corporation or LLC with a corporate member, and the required exemption notice was given to the tenant. A duplex in a single structure where the owner lived in one unit at the start of the tenancy and still does is also exempt (neither unit can be an ADU or JADU).
RSO changes in 2026
Effective February 2, 2026, LA changed the RSO formula to 90% of CPI with a 1% floor and a 4% ceiling (formerly 3%–8%). The annual increase can no longer include the extra 1%-per-utility add-on, and the 10% increase for an added dependent is gone. The allowable increase stays at 3% through June 30, 2027.
What it means for value when you sell
- RSO buildings trade mainly on in-place rents and upside on turnover. Buyers scrutinize rent rolls, tenure, buyout history and registration status.
- AB 1482 buildings have more room to keep rents near market, which usually shows up in pricing — but the just-cause rules still limit how fast a buyer can reposition.
- Either way, documentation wins. Clean rent rolls, LAHD registration, notices and estoppels reduce buyer retrades in escrow.
Just cause and evictions
Under both regimes, owners generally need a legal reason to end a tenancy. AB 1482's just-cause rules are in Civil Code 1946.2 and include relocation assistance for no-fault terminations. LA RSO and the LA Just Cause Ordinance have their own relocation amounts published by LAHD. The current versions of both state sections were rewritten by SB 567 (Stats. 2023, ch. 290), operative April 1, 2024. Get an attorney's read before serving any notice.
Frequently asked questions
Is my LA apartment building under rent control?
If it's a rental property in the City of Los Angeles first built on or before October 1, 1978, it is generally under the RSO, per LAHD. Check the Housing tab on ZIMAS for the official status.
What is the RSO rent increase for 2026–2027?
LAHD set the RSO allowable increase at 3% for July 1, 2026 through June 30, 2027, and it can be applied once every 12 months.
What is the AB 1482 rent cap in Los Angeles for 2026?
For increases starting August 1, 2026 through July 31, 2027, the LA-area cap is 8.7% (5% plus 3.7% CPI), per the California Attorney General.
Does AB 1482 apply to RSO buildings?
Generally no for the rent cap — units under a stricter local rent control ordinance follow the local rule. State just-cause protections also defer to qualifying local ordinances.
Are newer buildings exempt from AB 1482?
Yes. Housing that received its certificate of occupancy within the previous 15 years is exempt from the AB 1482 rent cap. The date rolls forward each year.
Can I raise rent to market when a tenant moves out?
Yes. Under the Costa-Hawkins Act, both RSO and AB 1482 units can generally be re-rented at market after a lawful vacancy.
When does AB 1482 expire?
Civil Code 1947.12 is scheduled to be repealed on January 1, 2030 unless the Legislature extends it.
Does rent control affect what my building sells for?
Yes. Buyers price RSO buildings largely on in-place rents and turnover upside, and AB 1482 buildings on closer-to-market rents. Accurate rent rolls and registration records help you hold your price through escrow.
Talk it through with David
If you own an apartment building in Los Angeles and want to know how this affects your sale price, net proceeds or timing, call David Saghian at (310) 401-1559 or request a free property valuation. The Saghian Group at Lyon Stahl has closed $425M+ in team sales ($325M+ personally) — here is how we count.
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This guide is general information, not legal, tax or investment advice. Rules change; confirm your situation with a California real estate attorney, CPA or qualified intermediary before acting. Last reviewed November 3, 2026.