City of L.A. Measure ULA Update – Increased Thresholds Eff. July 1st

Industry News,

Effective for transactions on or after July 1, 2025, there are updated thresholds under the City of Los Angeles’ Measure ULA, which was passed by voters in November 2022.

  • The updated real property transaction thresholds under Measure ULA will now be:

    • $5,300,000 (taxed at 4.0%)

    • $10,600,000 (taxed at 5.5%)

  • These taxes apply from “dollar one” of the sale transaction.

Measure ULA, also known as the "Mansion Tax," is a Los Angeles City initiative that increased property transfer taxes on high-value real estate sales to fund affordable housing and homelessness prevention programs.

  • Revenue generated is earmarked for the Home LA Fund, supporting:

    • Affordable housing development

    • Tenant protections

    • Homelessness prevention programs such as:

      • “Right to counsel” (free legal services)

      • Rental assistance

Certain real property transactions might be exempt from the Measure ULA tax, such as transfers to nonprofit organizations and government entities.

  • The Measure ULA Tax is applicable to qualified conveyances of real property interests that occur on or after April 1, 2023.


AAGLA Legal Challenge

A joint lawsuit was filed in December 2022 by:

  • The Howard Jarvis Taxpayers Association

  • The Apartment Association of Greater Los Angeles

The lawsuit challenges the constitutionality of Measure ULA, asserting:

  • The passage of the ballot measure in the City of Los Angeles violates:

    • The California Constitution

    • The Los Angeles City Charter

  • The lawsuit claims Measure ULA is "substantively invalid."

  • The lawsuit is still pending.


You Too Can Help Defeat Measure ULA

PLEASE help support the AAGLA Legal Fund at www.aagla.org/LegalFund.

Any contributions we receive help provide us with the resources needed to continue our legal fights on several fronts.

AAGLA is involved in multiple legal battles, including:

  • Our co-plaintiff litigation with the Howard Jarvis Taxpayers Association against the City of Los Angeles to overturn Measure ULA

  • Two additional lawsuits against the City of Los Angeles seeking to:

    • Overturn a harmful tenant protection ordinance

    • Recover damages for the past COVID-era rent freeze

  • Support of a Federal constitutional challenge against the City’s rent stabilization ordinance (RSO)

    • If successful, we will pursue similar challenges against other rent control jurisdictions

  • Other lawsuits are being planned


How to Contribute

You can make a contribution:

  • Online at: www.aagla.org/LegalFund

  • By mail:
    Make checks payable to:
    AAGLA Legal Fund
    Mail to:
    AAGLA Legal Fund
    621 South Westmoreland Avenue
    Los Angeles, California 90005