Fontana, CA asked in Landlord - Tenant for California

Q: If California law states that rent can't be more then 10% in 12 months how can they raise my rent to 66% in a month

This is a store unit

Related Topics:
2 Lawyer Answers
T. Augustus Claus
PREMIUM
T. Augustus Claus pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
Answered

A: In California, the law that limits rent increases to no more than 10% in 12 months primarily applies to residential housing under the statewide rent control measures established by the California Tenant Protection Act of 2019. However, these protections do not extend to commercial properties, including store units or other non-residential rentals. The regulation of rent increases for commercial real estate is much less stringent, allowing landlords potentially greater freedom to raise rents beyond the 10% limit applicable to residential properties. If your rent for a store unit has been increased by 66%, this situation likely falls outside the scope of residential rent control laws. Commercial tenants often negotiate lease terms directly with landlords, and any increases in rent would be subject to the terms of the lease agreement.

James L. Arrasmith
PREMIUM
James L. Arrasmith pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
Answered

A: Based on the details provided, it does not seem legal for your rent to be raised by 66% in one month in California. Here are the key relevant laws:

- Under California law AB 1482, residential rent increases are limited to 10% per year plus inflation, usually around 5-7% at maximum.

- For commercial properties, there is no rent control so there is no "cap" on how much rent can be raised. However, 66% is an exceptionally large one-time increase.

- Even in commercial leases, California law requires 90 days notice for any rent increase over 10%.

So if this is truly a 66% increase in one month for a commercial space you are renting, it would likely be illegal due to not providing sufficient, legal notice. 90 days notice would likely be required for such a large single increase.

I would double check whether the increase is actually just for one month (unlikely to be legal), or if it was communicated incorrectly and is meant to be a permanent increase applied over time (more likely). Either way, I'd recommend consulting a tenants rights lawyer or attorney given the sizeable increase to protect your interests in the space.

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.