News Alert: Santa Monica Adopts Rental Registration Requirement for All Rentals

Industry News,

News Alert

Santa Monica Adopts Rental Registration Requirement for All Rentals

By Janet M. Gagnon

Chief Corporate Affairs Officer & SVP Government Affairs

On November 18th, the Santa Monica City Council unanimously passed a new ordinance that requires all rental housing providers to register all rental units with the City. The ordinance applies to duplexes, single-family properties, condominiums, townhouses, accessory dwelling units and junior accessory dwelling units as well as all non-stabilized multifamily properties.  The ordinance takes effect on January 1, 2026.

The ordinance does not specify the amount of the rental registration fee or administrative fines, which will be set at a later date. However, the ordinance does specify civil penalties for non-compliance of $200 per unit per month. Also, the lack of compliance by an owner can be used by renters as an affirmative defense against any legal action by the property owner to recover possession of the rental unit. Starting January 1, 2027 (one year after the effective date), rental housing providers who have not registered their units will not be entitled to collect rent.

In addition, rental housing providers will be required to provide specific information when registering each unit, including why a tenant is vacating the unit. Of course, no owner is able to force a renter to provide such information nor verify its accuracy. So, the City will be tracking information that is speculative at best.

According to the City, the intent of the rental registration requirement for non-rent stabilized properties is to use the information to enforce existing state law under the Tenant Protection Act of 2019 (Assembly Bill 1482) that limits annual rent increases for multifamily properties built more than 15 years ago to the Consumer Price Index plus 5% or a maximum of 10%, whichever is lower. In addition, the City will use the ordinance to enforce state anti-gouging law during times of emergency. Lastly, the City will use the registration to enforce several existing local ordinances, including: (i) notification to the city of any unlawful detainer actions, (ii) anti-harassment, (iii) Just Cause evictions, (iv) relocation assistance for No-Fault evictions, and (v) buyout agreement requirements.

This article is for informational purposes only. If you have any questions regarding your property or specific leasing issues and the requirements of any legal changes described herein, please consult with an attorney.

ORDINANCE