LAHD Issues New Renter Protection Notice: What Greater Los Angeles Apartment Owners Should Know

LAHD Issues New Renter Protection Notice: What Greater Los Angeles Apartment Owners Should Know By Shant Sherbetdjian | Greater Los Angeles Apartment Realtor & Multifamily Real Estate Broker

Apartment owners in the City of Los Angeles have another important compliance update to keep on their radar.

The Los Angeles Housing Department (LAHD) has published another Renter Protection Notification for applicable rental properties. For Los Angeles landlords and apartment building owners, this is another reminder of how important it has become to stay current with local rental housing requirements.

There is also another important takeaway. Don't just post a required notice. Document that you posted it.

In today's regulatory environment, something that may seem like a relatively minor administrative requirement can potentially become much more significant if a tenancy later results in an eviction or other dispute.

Los Angeles Landlords: Post It and Keep Evidence

If the latest LAHD Renter Protection Notification applies to your apartment property, make sure the current notice is properly posted in the applicable common areas and maintain evidence of the posting in your property records. Consider keeping:

• A copy of the notice that was posted
• Dated photographs showing the notice at the property
• The date the notice was posted
• A record of where it was posted
• Copies of updated notices that later replace the previous version

The takeaway is simple. Don't just comply. Document your compliance. If an owner later needs to pursue an eviction and a tenant raises the lack of a required posting as a defense, having records showing what was posted, where it was posted, and when it was posted could become important.

Because landlord tenant and eviction matters can depend heavily on the specific circumstances, property owners should consult with a qualified California landlord tenant attorney regarding their particular property and tenancy.

Apartment Ownership Across Greater Los Angeles Is Becoming More Complex

As a Greater Los Angeles apartment realtor and multifamily real estate broker, I continue to see firsthand how the regulatory environment is affecting apartment ownership and multifamily real estate transactions. One of the biggest challenges for apartment owners is that rental housing regulations can vary significantly depending on where a property is located.

An apartment building in the City of Los Angeles may operate under a very different regulatory framework than an apartment property in Glendale, Pasadena, Alhambra, San Gabriel, Montebello, Whittier, Burbank, or another Greater Los Angeles community. State laws may apply throughout California, while individual cities and jurisdictions can have additional local requirements. For owners with apartment buildings in multiple cities, it is especially important to understand the requirements that apply to each property rather than assuming the same rules apply everywhere.

Compliance Can Also Become Important When Selling an Apartment Building Regulatory compliance has become an increasingly important part of buying and selling apartment buildings in Greater Los Angeles.

Today's multifamily buyers are looking at more than the basic numbers. Rents, expenses, cap rates, unit mix, location, property condition, and potential upside are still extremely important. At the same time, we are seeing buyers conduct much deeper due diligence into the property and the existing tenancies they may be inheriting.

Depending on the property and transaction, buyers may review:

• Leases and rental agreements
• Rent rolls and rental histories
• Tenant and occupant information
• Property registrations
• Inspection reports
• Required notices and disclosures
• Deferred maintenance
• Existing violations or compliance concerns
• Other records associated with the property and its tenancies

For apartment owners preparing to sell, organized records can make it much easier to respond to questions that come up during a buyer's due diligence. This is why we encourage apartment owners to think about their records before they decide to sell, not once the property is already in escrow.

Keep a Compliance File for Every Apartment Building! Whether you own one rental property or a portfolio of apartment buildings across Greater Los Angeles, maintaining a dedicated compliance file for every property can be a good practice. When a government agency issues a notice that applies to your building, keep a copy. When you post a required notice, take a photograph. When a notice changes, keep the new version and document when it was posted. When an inspection is completed, retain the report. When you receive important correspondence from a housing department or another government agency, keep it with the property's records. The goal is to have a clear history of how the property has been operated.

If a question comes up months or even years later, you don't want to rely solely on someone's memory. You want documentation showing what was actually done.

Different Cities Can Mean Different Rules This latest LAHD notification applies to certain properties within the City of Los Angeles, but there is a larger lesson for apartment owners throughout Greater Los Angeles. Know the rules that apply where your property is located. An owner with apartment buildings in Los Angeles, Pasadena, Glendale, Alhambra, San Gabriel, Montebello, or another nearby city may be dealing with different local requirements at each property.

This is important for longtime apartment owners, but it is equally important for investors purchasing multifamily properties in cities where they may not have previously owned real estate. Understanding the local regulatory environment should be part of owning, operating, purchasing, and eventually selling an apartment building.

Thinking About Selling an Apartment Building in Greater Los Angeles? If you are considering selling an apartment building in Greater Los Angeles, understanding the property's rents, tenancies, physical condition, documentation, and regulatory status before bringing it to market can help identify potential issues before they come up during a buyer's due diligence.

Apartment buyers should also understand more than the financial performance and potential upside of an investment. They need to understand the property, the existing tenancies, and the regulatory environment they will be taking on at closing.

Shant Sherbetdjian and Southern California Apartment Group specialize in apartment building sales, acquisitions, and multifamily investment real estate throughout the Greater Los Angeles area.

About Shant Sherbetdjian

Shant Sherbetdjian is President of Southern California Apartment Group and a Greater Los Angeles apartment realtor and multifamily real estate broker specializing in apartment building sales, acquisitions, and multifamily investment properties.

With nearly two decades of experience in multifamily real estate, Shant works with apartment owners and investors throughout Greater Los Angeles, including Los Angeles, Glendale, Pasadena, Alhambra, San Gabriel, Montebello, Whittier, Burbank, and surrounding communities.

Shant and the Southern California Apartment Group team help apartment owners evaluate their properties, prepare apartment buildings for sale, reach qualified multifamily investors, and navigate transactions in an increasingly complex Greater Los Angeles apartment market.

If you are considering selling an apartment building, purchasing a multifamily investment property, or simply want to understand what your apartment property may be worth in today's market, contact Shant Sherbetdjian and Southern California Apartment Group.

Disclaimer: Southern California Apartment Group is a real estate brokerage and is not a law firm. This article is provided for general educational and informational purposes only and does not constitute legal advice. Laws, regulations, and agency requirements can change and may vary depending on the jurisdiction, property, and circumstances. Property owners should consult with a qualified California landlord tenant attorney regarding their specific situation.