Thinking about buying or holding rentals in Calabasas and wondering what “no rent control” really means for your bottom line? You are not alone. Investors often assume no local cap equals a free hand on rents, timelines, and turnover. In reality, statewide rules and city processes still shape how you model rent growth, serve notices, and budget for compliance.
This guide breaks down the key rules that affect Calabasas rentals, how they touch your underwriting and operations, and the communication practices that help you stay compliant and protect returns. Let’s dive in.
No rent control, not no rules
Calabasas does not operate a municipal rent stabilization ordinance like the one in the City of Los Angeles. That said, statewide protections still apply to many units. The Tenant Protection Act of 2019, widely known as AB 1482, sets annual rent increase limits and just cause eviction standards for covered tenancies. California notice rules for rent increases and lease terminations also apply in Calabasas.
City programs can add administrative steps for landlords, such as rental registration or notification requirements. These do not cap rents, but they carry fees, deadlines, and possible inspections that affect your operating plan. Always confirm current requirements with the City of Calabasas before you close or implement lease changes.
AB 1482 at a glance
Rent increase cap
For covered units, AB 1482 limits annual rent increases to the lesser of 5 percent plus local CPI or 10 percent total. You must plan rent growth around this limit during an existing tenancy. The cap resets at turnover in line with market conditions, subject to proper notice and any other applicable rules.
Just cause basics
Once a tenant has occupied a covered unit for 12 months or longer, you need a permitted reason to terminate the tenancy. AB 1482 outlines “at fault” and “no fault” causes and includes procedures you must follow for each. Build conservative timelines into your turnover planning where just cause applies.
Common exemptions
Not all units are covered. Newer construction, certain single family homes and condos, and some small landlord scenarios may qualify for exemptions. Exemptions depend on owner type and required notices. Confirm coverage status unit by unit before you underwrite rent growth.
Notice for increases
California requires written notice before rent increases. For increases of 10 percent or less, a 30 day notice is generally required. For increases above 10 percent, a 90 day notice is generally required. Notice timing affects when higher revenue becomes effective, so factor that into cash flow timing.
Registration and notices in Calabasas
Calabasas has implemented landlord‑facing registration or notification processes that are administrative in nature. Thresholds, reporting fields, and penalties can change. The safest move is to confirm current details with the City Clerk or Community Development Department before acquisition or renewal cycles.
Here is what these programs often include:
- Who must register: Sometimes all rental properties, other times owners above a portfolio threshold such as multi‑unit buildings or owners with several units.
- Information required: Owner and local manager contacts, number and type of units, property addresses, and sometimes occupancy data.
- Fees and renewals: Annual or per‑unit fees, plus late penalties for non‑registration.
- Inspections: Registration can tie to scheduled inspections or faster response to complaints, which can surface deferred maintenance.
- Tenant notices: You may need to provide tenants with program information or display a registration number on certain postings.
What this means for you: plan for administrative time, budget for fees, and keep clean records that show good‑faith compliance. If your portfolio crosses a threshold due to an acquisition, registration obligations may begin immediately.
Underwriting impacts you should model
Revenue side
- Rent caps: For covered units, cap annual increases at the AB 1482 limit when modeling in‑place tenancies. Use market rent assumptions at turnover only, with realistic lease‑up time.
- Turnover pace: Just cause protections can lengthen tenancies. Lower voluntary churn often benefits stability but reduces near‑term mark‑to‑market.
- Rent roll diligence: Validate coverage or exemptions for each unit, especially single family homes and condos. Align mark‑to‑market forecasts with what you can legally implement and when you can serve notice.
- Notice timing: A planned increase does not hit revenue until notice periods expire. Map increase effective dates on a calendar to smooth cash flow projections.
Expense and reserves
- Registration and compliance: Add registration fees to operating expenses and set aside a reserve for possible inspections or corrections.
- Legal and eviction costs: Build conservative legal reserves. Just cause procedures can increase time and cost to replace a nonpaying tenant.
- Capex for habitability: Inspection programs can surface safety or code work. Budget for smoke and carbon monoxide detectors, plumbing and electrical fixes, and other common remediation items.
- Insurance: Multi‑unit holdings can influence premiums or safety requirements. Confirm pricing and policy conditions during diligence.
Valuation and cap rates
- Complexity premium: Older buildings and portfolios with many covered tenants can trade at modestly higher cap rates due to operational complexity.
- Discounted growth: In your DCF, temper mid‑tenancy growth to reflect AB 1482 caps and realistic turnover timing.
- SFR nuance: For single family rentals, verify the exemption status of each address. Owner type and required notices matter and can change valuation assumptions.
A practical diligence checklist
Use this checklist before closing on a Calabasas rental asset:
- Rent roll and deposits: Collect move‑in dates, current rent, concessions, and security deposits for every unit.
- Lease review: Check renewal language and any clauses that limit increases or set notice terms.
- AB 1482 coverage: Confirm construction age, owner type, and occupancy history for each unit. Identify exemptions and document required notices where applicable.
- City compliance: Request copies of any registration certificates, inspection reports, notices of violation, or correspondence with the city.
- Fees and penalties: Verify fee schedules, renewal dates, and any late fee exposure.
- Legal history: Ask the seller for eviction history and average time to gain possession for nonpayment situations.
- Capex and code: Estimate repairs needed to pass inspections or cure open items.
Tenant communications that protect you
Notices and service
- Standardize forms: Use templates that incorporate required legal notices, including AB 1482 language where needed and any city registration numbers if applicable.
- Service and proof: Use consistent delivery methods allowed by law and keep proof of service in a centralized file.
- Timeline discipline: Track 30 day and 90 day notice windows and set reminders so increases and terminations take effect as planned.
Disclosures at move‑in
Provide required federal and state disclosures at lease signing. Examples include lead‑based paint for pre‑1978 units, mold disclosures, and bed bug policies. Add local tenant‑rights information if the city requires it.
Management practices
- Central records: Keep rent ledgers, notices, inspection results, and renewal confirmations organized and accessible.
- Training: Make sure your on‑site or third‑party manager understands Calabasas registration steps, appeal processes for violations, and AB 1482 procedures.
- Preventive maintenance: Budget for safety upgrades and routine repairs that reduce violations, tenant complaints, and turnover delays.
How this shapes strategy in Calabasas
In a city without municipal rent control, statewide rules still set the pace for your rent growth and turnover strategy. The winners usually do three things well. They model rent caps accurately, they manage notice timelines with discipline, and they stay ahead of administrative requirements like registration and inspections. If you can do those three, your cash flow should track to pro forma with fewer surprises.
At the same time, acquisition selection matters. Assets with clear exemption status, clean compliance files, and minimal deferred maintenance tend to outperform. That is where local knowledge and strong diligence make a difference before you write an offer.
Work with a local advisor
If you are evaluating rentals in Calabasas or the surrounding Conejo Valley, you deserve straightforward guidance you can put to work right away. Potter Group pairs boutique, high‑touch service with deep neighborhood knowledge and the backing of a respected regional brokerage. We help you source, evaluate, and negotiate the right assets, then coordinate a smooth path to closing with your legal and management teams. Work With Us to move from research to results.
FAQs
Does Calabasas have rent control for rentals?
- Calabasas does not operate a municipal rent stabilization ordinance, but statewide rules like AB 1482 still set rent increase caps and just cause standards for many units.
How does AB 1482 affect Calabasas landlords?
- For covered units, AB 1482 limits annual rent increases to the lesser of 5 percent plus CPI or 10 percent and requires just cause to end a tenancy after 12 months of occupancy.
What notice is required for rent increases in California?
- Generally 30 days written notice for increases of 10 percent or less and 90 days for increases above 10 percent, with proper service and documentation.
Are single family rentals in Calabasas exempt from AB 1482?
- Some single family homes and condos can be exempt depending on owner type and required notices. Confirm exemption status for each unit during diligence.
What should I budget for local registration programs?
- Plan for annual registration or per‑unit fees, potential late penalties, and possible inspection remediation costs. Confirm current fees and deadlines with the city before closing.
