The rent control battle in California continues in spite of the recent defeat of Proposition 10 in November 2018.

With the recently proposed “CASA Compact” lawmakers hope to enforce new housing policies that will among other things impose rent control, allow in-law suites and taller multifamily properties to be built in the Bay Area.

Sadly, even though allowing things like in-law suites and taller multifamily properties to be built are good, tacking on rent control as part of that plan will only continue to stifle the development of new housing in this area because developers and some landlords will not be able to raise the rents in their properties.

What Comes Next?

Appeal for the CASA compact isn’t universal right now as many smaller bay area cities have voiced their opposition for it because they were not invited to the negotiation table.

Supply vs. demand still continues to be the main issue in California and as long as there’s a divide between local officials and developers, more housing won’t be built any time soon.

About the CASA Compact

The CASA compact proposes a 15-year rent cap throughout the Bay Area, which would prevent landlords from raising prices more than 5 percent a year, on top of increases for inflation. The compact also calls for a Bay Area-wide just cause eviction policy, which would prevent landlords from evicting tenants except for certain approved reasons. And it calls for new zoning policies that would allow for taller buildings near transit stops.

Right now, the CASA Compact is still in its early stages with landlords voicing their opinions that it goes too far while tenant rights groups feeling that it doesn’t do enough.

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