ABOUT THE ORDINANCE

APARTMENT RENT ORDINANCE COVERAGE

Properties covered by San José's Apartment Rent Ordinance include apartments with three or more units that were built and occupied prior to September 7, 1979.

Rental housing developments exempted from the ordinance include single-family homes, in-law units/granny flats/accessory dwelling units, duplexes, condominiums, townhomes, hotels, boarding houses rented to transient guests for periods of less than 30 days, nonprofit homes for the aged, school dormitories, rental units owned and operated by any government agency, any rental units first rented after September 7, 1979, and properties in unincorporated areas of San José.

To determine if a property is rent stabilized, or if you have questions about rent stabilization, please contact City staff at 408-975-4470.

ALLOWABLE RENT INCREASE UNDER THE ORDINANCE

Under the Apartment Rent Ordinance, the maximum allowable rent increase is one 5% increase in a 12-month period.

EXCEPTIONS TO THE ALLOWABLE RENT INCREASES

Rent increases that are exempt from these requirements include an increase after a rental unit has been voluntarily vacated, and an increase after a lawful eviction.

A landlord can petition to pass through costs to tenants for the following reasons:

• Specific Capital Improvements: The total monthly amount imposed may not exceed three percent of the monthly rent charged and is not considered rent. The improvement must have been completed within 12 months prior to the filing of the petition.
• Fair Return Increase: A special permanent rent adjustment may be approved by the City when the landlord offers proof that their operating expenses exceed income.

Tenants may also file a joint petition with their landlord for a 5% increase in rent per additional occupant.

SERVICE REDUCTIONS

A service reduction has occurred when the level of service provided by the landlord has been reduced without a corresponding decrease in rent. The ARO allows tenants to request an administrative hearing for a service reduction claim. The tenant has the burden of proof and must support their claim by submitting evidence such as maintenance record requests, photographs, and/or testimony. If the claim is proven, the Hearing Officer will determine the percentage that the usability of the rental unit was reduced and the duration of the reduction. If the rent increase is unreasonable, the Hearing Officer may reduce a rent increase, order a credit against paid rent, and/or impose a permanent or temporary reduction in rent.

HOUSING CODE VIOLATIONS

A housing code violation has occurred when there are health and safety defects which violate the San José Housing Code and/or California Civil Code Sections 1941.1 and 1941.2. The tenant has the burden to prove their claim by submitting evidence such as a Code Enforcement Inspection, which is considered presumptive evidence. Unless there is sufficient evidence to the contrary, violations listed in the report are considered to have been proven to exist. Issues of this type may also be classified as 'service reductions' under the City's ordinance. The Hearing Officer may reduce, disallow or reasonably condition any rent increase based on the severity of any violations.

FREEDOM TO EXERCISE RIGHTS

Apartment owners may not do the following in retaliation for tenants demanding their rights under the Ordinance:

• Threaten to sue, evict or terminate the tenancy of the tenant(s);
• Harass you until you leave;
• Reduce your services;
• Increase your rent; or
• Impose a security deposit or any other new charge.

If any of these actions occur, provide a written complaint to the Housing Department's Rent Stabilization Program.

ABOUT THE ORDINANCE

The Tenant Protection Ordinance specifies landlord responsibilities and tenant rights regarding notices to terminate. Under the Tenant Protection Ordinance (TPO), landlords of multifamily dwellings, guesthouses and unpermitted units are only authorized to terminate tenancy for the 13 listed causes. Upon serving a tenant with an eviction notice, landlords must submit a notice of termination to the Housing Department's Rent Stabilization Program.

While most units are protected by the Tenant Protection Ordinance, to learn more about the eviction process, please navigate to the Eviction Process page.

Online Submission Portal

Landlords may submit a Notice to Terminate Tenancy with Just Cause using our simple online form to the Housing Department's Rent Stabilization Program.

Important Resources & Documents

• Notice of Termination Portal - Online Submission
• Required Posting
• Resources and Referral Notice
• Fact Sheet

Just Cause Reasons Due to Tenant Actions

1. Nonpayment of rent
2. Material or habitual violation of the lease
3. Damage to the apartment
4. Refusal to agree to a similar or new rental agreement
5. Disorderly behavior/disturbing the peace
6. Refuse access to the apartment when requested in accordance with law
7. Unapproved holdover subtenant
8. Criminal activity

Just Cause Reasons Due to Landlord Decisions or Consequence of Actions

1. Substantial rehabilitation of the apartment
2. Removal of apartments from the rental market under the Ellis Act
3. Owner move-in
4. City code enforcement actions requiring a move out
5. Convert an unpermitted apartment for permitted use

Relocation benefits must be paid when a tenant is being removed from an apartment for reasons 9-13. Benefits are paid based on the size of the unit occupied by the tenant:

• Studio: $6,925
• 1-Bedroom: $8,400
• 2-Bedroom: $10,353
• 3-Bedroom: $12,414

Landlord & Tenant Responsibilities

Landlord Responsibilities

• Provide a copy of the Tenant Protection Ordinance Required Posting to tenants or post the notice of tenant rights in a common place in building.
• If giving a notice of termination, serve a written copy to the tenant with the proper amount of notice according to State law. Ensure at least one of the 13 just causes is included on the notice and copy of the Resources and Referral Notice.  
• Provide a copy of the notice of termination to the City within three days of serving notice to the tenant. Landlords may submit on the Notice of Termination Portal or email attachments to TPO@sanjoseca.gov. 
• Provide relocation benefits at the time of service to the tenant, if applicable.
• Do not disclose or threaten to disclose tenants' immigration or citizenship status to authorities for the intent of retaliation.

Tenant Responsibilities

• Review the Rental Guide for Tenants & Landlords to understand rights as a renter in the City. You can view the frequently asked questions for more information about renting in San Jose. 

• If you receive a notice of termination, be sure it is in writing and you receive the proper amount of notice according to State law.

• Ensure the notice has at least one of the 13 just causes listed as the reason for the notice being served. Find information about legal resources and referrals.

• Contact the Rent Stabilization Program to ensure the landlord submitted the notice to the City.

For questions or more information, please contact the Rent Stabilization Program at TPO@sanjoseca.gov.

About the Ordinance

The Ellis Act Ordinance applies when an owner or developer plans to demolish or remove apartments from the rental market. This Ordinance applies to apartments that are three units or more that were:

• Before 1979 and are rent stabilized subject to the Apartment Rent Ordinance. The Ellis Act Ordinance requires 50% of new apartments built on the site of previously rent stabilized apartments be subject to the Apartment Rent Ordinance. The owner is responsible for providing the noticing requirements and relocation benefits to the displaced tenant households.
• Built after 1979 and are not rent stabilized. The owner is responsible for providing the noticing requirements and relocation assistance to the displaced tenant households.

RESOURCES

• Ellis Act Ordinance Fact Sheet
• Ellis Act Ordinance Frequently Asked Questions
• Required forms and instructions

STEPS TO INITIATE THE ELLIS ACT PROCESS

What to expect for owners and developers

The Ellis Act Ordinance allows a property owner seeking in good faith to recover possession of a rental unit and remove units from rental housing use if the property owner plans on demolishing or permanently withdrawing the units from the rental housing market. First, please determine if your property is rent stabilized or non-rent stabilized. Please contact Rent Stabilization Program staff at 408-975-4480 to set up a meeting. 

Step 1: Complete the required forms and instructions. All households must be provided with a minimum of 120 days’ notice. Special populations including residents over the age of 62, disabled, terminally/catastrophically ill, and residents with school-aged children must be given up to one-year notice.

Step 2: Set up bank account for Escrow for the relocation fees. The bank must have a branch in the City of San José. Relocation fees are based on bedroom size. Tenant household may be eligible to receive additional relocation benefits depending on special eligibility.  Relocation counseling fee for tenant household must be paid to the City prior to the service of the Notice of Intent to Withdraw to tenant household.   

Step 3: Prepare the filing fees. For 2022-2023, the filing fee is $2,833 for the first 10 units and $951 per additional unit after 10 units.

Step 4: Submission to the City to RSP@sanjoseca.gov. Copies of each form must be sent to the City within 10 days of service to tenant households.

Step 5: At the time of delivery of the Notice of Intent to Withdraw to each tenant household, the owner must deposit into the escrow account the relocation fees. Any additional relocation benefits must be deposited into the escrow account as soon as the completed tenant qualification forms has been verified by the relocation specialist and approved by the City.  

Step 6: If the apartments return to the rental market within ten years, tenants have a right to return to their apartments. If the apartment is demolished and rebuilt, the right to return does not apply. 

Step 7: If an owner is offering to rent newly built apartments where former rent stabilized units existed, they must inform the City how they will satisfy the re-control provisions by either re-controlling a portion of the units or providing 20% onsite affordable rental units. If re-control applies, the owner must register each of the newly constructed rent stabilized units. Onsite affordable units must meet the standards and affordability restrictions under the Inclusionary Housing Ordinance. 

ELLIS ACT WITHDRAWAL PROCESS

What to Expect for Tenants

A property owner may recover possession of a rental unit either to demolish it or to remove it permanently from rental housing use. If you receive an Ellis Act Ordinance notice from your owner because your owner wishes to take over the rental unit, you can expect the following:

• You will receive a Notice to Withdraw that has been filed by your owner.
• Your case will be referred to the City’s Relocation Consultant to provide you support during your relocation.
• The amount of relocation fees you may be entitled to will be determined.

Your Rights and Responsibilities

• 120-Day Notice: You are entitled to a 120-Day Notice.
• One-Year Extension: You may be entitled to a one-year extension from the date the owner delivered the Notice of Intent to Withdraw if you are low-income, over the age of 62, disabled, terminally or catastrophically ill, or have school-aged children.

Relocation Assistance

You may be entitled to relocation assistance. The City’s Relocation Consultant will determine the amount of relocation benefits you are entitled to, otherwise the determination will be based on the information provided by your owner.

The Mobilehome Rent Ordinance, and its companion Mobilehome Regulations, regulate rent increases on mobilehomes and mobilehome lots.

ORDINANCE COVERAGE

The City’s Mobilehome Rent Ordinance covers spaces for which plumbing, electrical and sewer permits were issued prior to September 7, 1979. Some mobilehome spaces may be exempt from the Ordinance.

To determine if a property is rent-controlled, you can click here to view a map of rent-controlled properties or you may call the Rent Stabilization Program staff at (408) 975-4480. When viewing the map:

1. Select "Mobile Home Parks" on the menu on the left side of the screen to view properties covered by the Mobilehome Rent Ordinance.
   (If the menu does not automatically show when you open the map, click the blue box with the three white horizontal lines inside to open the menu.)
2. Type in the property address at the top left and press enter.
3. Click on the purple areas to learn more about the mobilehome parks located there.

ALLOWABLE RENT INCREASES

Under the Mobilehome Rent Ordinance, annual increases on space rents are limited to 75% of the change in the San Francisco-Oakland All Urban Consumer Price Index (CPI), with a minimum increase of 3% and a maximum increase of 7%.

If the rent on a mobilehome space was not increased in the prior year, the park may combine the percentages for two years.

Rents may not, with a few exceptions, be increased when the mobilehome is sold or transferred. Examples of exceptions are abandonments, eviction by a court, or a dealer pull-out.

PARK OWNERS MAY FILE PETITIONS

A park owner may petition for a hearing by an Administrative Hearing Officer to request approval to increase rents above the maximum annual percentage. Residents who will be affected by the increase may participate in the hearing process.

SERVICE REDUCTIONS

A service reduction occurs when the level of service provided by the park owner has been reduced without a corresponding decrease in rent. The State Mobilehome Residency Law allows mobilehome park residents to make a written request for a meeting on service problems with the park owner or their representative. If this meeting does not resolve the problem, the City's Rent Stabilization Program may be able to assist both parties in negotiating a solution. You may also be able to seek a remedy through small claims or other courts.

CONTACT INFORMATION

The Rent Stabilization Program may be contacted at (408) 975-4480 or by e-mail.

We are located at:

San José City Hall
12th Floor
200 East Santa Clara St.
San José, CA 95113

San José City property owners who chose to convert a mobilehome park to resident ownership or any other use must comply with Municipal Code, Chapter 20.180, the Mobilehome Conversion Ordinance. Both property owner and mobilehome resident play an active role in the process. To learn more about your rights as a property owner or mobilehome resident, see the resources below.  

• Mobilehome Conversion Park Ordinance
• Conversion of Mobilehome Parks to Other Uses Council Policy
• Request for Proposals for Relocation Consultant Services Information Memorandum
• Winchester Ranch Mobilehome Park FAQ
• Mobilehome Conversion versus Closure FAQ

ABOUT THE ORDINANCE

The Housing Payment Equality Ordinance prohibits discrimination against housing voucher holders who apply for rental housing in San José. The ordinance enables applicants who receive financial assistance to be considered in an equal manner to all other applicants. The ordinance is intended to expand housing opportunities for voucher holders, many of whom have previously faced discrimination. The Housing Payment Equality Ordinance Fact Sheet summarizes the provisions of the Ordinance.

PROHIBITED ACTIVITIES BY LANDLORDS

• Advertising that housing vouchers are not accepted
• Assessing an applicant's ability to pay based on an amount greater than the portion of rent to be paid by the applicant
• Imposing rental terms on voucher holders that differ from terms for other rental applicants

PROPERTIES COVERED

• All rental properties
• Single-family homes exempt when landlord lives in home

MECHANISMS OF ENFORCEMENT

• The San José Housing Department may issue warning letters for violations of the Ordinance.
• The San José Housing Department may provide legal referrals to address such violations through Superior Court and California’s Department of Fair Employment and Housing.

The Housing Payment Equality Ordinance can be found in the San José Municipal Code, Chapter 5.10.