The first half of 2026 has been an unusually active stretch in California’s rental housing legislation. By late May, several bills that would have added new compliance burdens, screening restrictions, and cost caps on housing providers had been blocked, halted, or held in committee — a meaningful set of wins for property owners. At the same time, Los Angeles County’s countywide emergency rent restrictions — first imposed after the January 2025 wildfires — expired at the end of May 2026, closing a 16-month chapter that has shaped owner operations across the county.
For South Bay property owners, the legislative news in May 2026 is mostly favorable, but it does not mean the regulatory environment has loosened in a sustained way. This update summarizes the key developments through late May 2026 and what they mean for owners going into the second half of the year.
LA County’s Countywide Emergency Rent Restrictions Expire — But Statewide Protections Remain
On May 19, 2026, the Los Angeles County Board of Supervisors declined to extend the countywide post-wildfire rent restrictions that had been in place since the January 2025 fires. With no extension in place, the restrictions remained in effect only through May 28, 2026. AAGLA, which had advocated against further extensions, issued a victory alert on May 20.
The expired LA County restrictions had capped rent increases countywide at 10% above pre-fire advertised levels, regardless of whether the property was inside a local rent control jurisdiction. They applied to vacant units being re-listed and to many existing tenancies, and were originally framed as anti–price gouging protections in the aftermath of the January 2025 wildfires.
Important caveat: at the time the LA County restrictions ended, not every emergency rent cap in Southern California had lifted. Separate statewide protections under California Penal Code §396 — triggered by the Southern California Storms emergency declared on December 24, 2025 — applied in Los Angeles, Orange, Riverside, San Bernardino, San Diego, and Shasta counties. Those storm protections are no longer listed as active by Cal OES. Under §396, rent increases on covered units generally may not exceed 10% above the price advertised, offered, or charged immediately before the emergency was declared. Emergency declarations change often, so owners should confirm the current status of active emergency declarations on the Cal OES list before issuing any rent increase notice. For a deeper walk-through of which protections remain active, see our guide to California price gouging protections in 2026.
The end of the LA County countywide restrictions does not change rent caps imposed by:
- AB 1482 — the statewide Tenant Protection Act, which still governs annual rent increases on covered properties.
- The Los Angeles Rent Stabilization Ordinance (RSO) for properties inside the City of Los Angeles.
- Other local rent stabilization ordinances in cities such as Beverly Hills, Culver City, Inglewood, and Santa Monica.
- Other valid emergency declarations tied to specific incidents, such as post-disaster price gouging rules.
What changes is that the additional countywide ceiling no longer applies. Owners outside local rent control jurisdictions are back to AB 1482’s standard formula for covered properties, plus any statewide emergency protection that is active at the time. Some properties, such as certain single-family homes and condos (with the required exemption notice) and buildings first occupied within the last 15 years, are exempt from AB 1482’s cap. For South Bay owners in cities without local rent control — including Torrance, Redondo Beach, Hermosa Beach, Manhattan Beach, El Segundo, Hawthorne, and Gardena — this is a meaningful return to baseline state law. Gardena owners should also note the city’s required rent mediation process for increases over 5%.
Bills That Stalled in the 2026 Session
Through May 2026, the California Apartment Association reported that several rental housing bills had been halted, blocked, or shelved in committee — typically a strong signal that the proposals will not advance in the current session. The bills include:
Criminal history screening restrictions. A measure (AB 2064) that would have added criminal history as a protected category under California’s fair housing and civil rights laws, significantly limiting housing providers’ ability to screen applicants on that basis, was held in the Assembly Appropriations Committee on May 14. The bill had drawn extensive opposition from housing providers concerned about resident safety and liability exposure.
Eviction pause during immigration enforcement. A bill (SB 1243) requiring California courts to pause eviction cases when tenants cited immigration enforcement as the reason for nonpayment was blocked in the Senate Appropriations Committee on May 14. The measure would have meaningfully delayed unlawful detainer actions and would have prohibited related fees.
Eviction ban tied to federal shutdowns. A separate bill (SB 1155) that would have prohibited California landlords from evicting federal employees and contractors whose income was affected by a federal government shutdown was held in the Senate Appropriations Committee on May 14.
Pet rent and deposit caps. A proposal (AB 2609) to cap what rental housing providers can charge for pet rent and additional pet-related security deposits stalled in the Assembly on April 27 after opposition from the California Apartment Association.
Tax bill targeting large single-family rental investors. A bill (AB 1611) that would have ended state tax deferral on 1031 exchanges for investors owning 50 or more single-family rentals was held in an Assembly committee on April 27.
Oil well disclosure and methane monitoring. A proposal (AB 1725) that would have required certain landlords and sellers in two Los Angeles County census tracts to disclose oil wells within 300 feet and install methane monitoring systems in covered multifamily rental housing was held in the Assembly Appropriations Committee on May 14.
What This Means Practically
For most South Bay owners, the practical implications of the legislative news through late May 2026 are:
- No new statewide cap on pet rent or pet deposits, beyond existing California security deposit limits. (A separate 2026 law, SB 1296, will require landlords to provide a written pet policy starting April 1, 2027.)
- No new statewide restrictions on criminal history screening for the 2026 session.
- No new statewide pause on evictions tied to immigration enforcement.
- No new oil well disclosure or methane monitoring obligation for multifamily owners in affected areas.
- Standard AB 1482 rules continue to govern rent increases for covered properties — including the August 1, 2026 reset.
In short, the rules for owners going into mid-2026 look much like they did at the start of the year, but with several proposed expansions of liability and cost taken off the table for now.
What’s Still Worth Watching
Several items remain worth watching, and AAGLA issued action alerts through May on bills it considers either harmful or supportive of rental housing providers. Owners should continue to monitor:
- The August 1, 2026 AB 1482 reset, which set the maximum allowable increase for the Los Angeles metro area at 8.7%.
- Local ordinance activity in cities with rent stabilization, particularly proposals to tighten just-cause requirements or further limit allowable increases.
- City of Long Beach activity on just-cause changes — the City Council’s Housing and Public Health Committee held a hearing on May 19, 2026 and took no action, but the issue remains under discussion.
- New ballot measures — Redwood City, for example, has qualified a rent control measure for the November 2026 ballot, and similar measures may surface in other jurisdictions.
- Local enforcement of habitability and registry requirements, including the Los Angeles City Controller’s new searchable list of the city’s top 100 problem rental properties, ranked by housing violation complaints.
The 2026 session has since ended, and the Legislature can reintroduce stalled concepts in the next session. Owners who want to advocate on these issues should consider staying engaged with AAGLA, the California Apartment Association, or other industry groups that track and respond to legislative activity.
How a Property Management Company Can Help
Following California legislation and Los Angeles regulatory activity at the level of detail required to run a multifamily portfolio is a meaningful time commitment. A professional property management company should already be tracking these developments, evaluating which apply to each property’s specific jurisdiction and structure, and adjusting operational practices accordingly — without requiring the owner to read every committee analysis.
At Jamico Properties, we track California rental housing legislation throughout the year, monitor AAGLA and CAA action alerts, and adjust our owners’ lease language, screening criteria, notice templates, and rent increase practices as the regulatory environment changes. We also flag local ordinance activity in each South Bay city we serve, apply current AB 1482 caps and any active emergency price gouging protections for each property’s region, and keep portfolios aligned with state compliance items like SB 326 and SB 721.
If you own multifamily rental property in California and want a partner who helps keep your operations aligned with current law, request a free rental analysis or contact us to discuss your portfolio.
This article is for informational purposes only and is not legal advice. Property owners should consult an attorney or qualified housing professional for guidance specific to their property.
About the Author
Christie Slatcher is the owner and CEO of Jamico Properties, a family-owned property management company that has looked after rental property in the South Bay and in Tulsa since 1995. Her team manages more than 2,400 units across both markets, from single rentals to multi-unit buildings. She writes from what actually comes up in the day to day, not from theory.
Jamico Properties, a DBA of Jamison Management Company. DRE #01356743.