South Pasadena Adopts Permanent Ordinance on Evictions for Substantial Remodel- Pursuant to A.B 1482

Industry News,

At the January 20, 2021 South Pasadena City Council meeting, the Council adopted a permanent urgency ordinance establishing that a no-fault eviction for substantial remodel or demolition will not be effective unless certain requirements have been completed. During the meeting deliberations, the Council modified the ordinance language slightly from what had been required under their interim ordinance in effect since November 4, 2020. The interim measure was repealed and replaced with the permanent ordinance.

The ordinance adopted and effective immediately requires that no “just cause” eviction for “substantial remodel” or demolition shall be effective unless building permits were first secured from the City of South Pasadena, and, included with the notice of termination of the tenancy, the renter was provided with copies of the building permit(s) and with a detailed explanation of the scope of work, why the work cannot be reasonably accomplished in a safe manner with the renter in place, and why the work cannot be completed in 30 days and requires the renter to vacate the residential real property for that duration.

Since the beginning of November 2020, when this matter was first raised by the City Council, the Association has submitted letters and engaged with the City Council, Planning Commission, and City Staff noting that there has been no data provided evidencing a widespread issue and that current State law, through Assembly Bill 3088 “the Tenant, Homeowner, and Small Landlord Relief and Stabilization Act of 2020”, precludes no-fault terminations for substantial remodels through February 1, 2021 unless necessary to comply with health and safety requirements. Notwithstanding the current provisions of Assembly Bill 3088, under Assembly Bill 1482, if an owner fails to comply with State law’s provisions, the no-fault termination is rendered void and the owner may also be subject to punitive damages.

We highlighted the intricacies and nuances involved in the permit application process and the various factors and information needed to procure a permit. Requiring issuance of permits prior to serving a tenancy termination notice makes the permit application process extremely onerous disincentivizing owners from considering moving forward with often necessary renovations. The consequences of which will have broad ramifications and lead to the plausible deterioration of the City’s aging housing stock.