As the California state legislature considers a new statewide rent control bill, NMHC led a coalition of national and state real estate industry groups to voice their opposition to the legislation. The bill passed the California Assembly last month, and imposes an Oregon-style rent cap on all rental housing. The letter, sent to all California State Senators, states:
"To tackle the housing affordability crisis, we need public-private partnerships to help bring the price point down to create more affordable housing, more supply overall to address the critical housing shortage, including by reducing the regulatory cost of building a home, and an increase in direct assistance to renters. It’s more effective to tie assistance to a renter rather than a rental unit."
NMHC joined with the National Apartment Association, Mortgage Bankers Association, California Mortgage Bankers Association, Nareit, the Institute of Real Estate Management and all of its California affiliates.
The letter comes on the heels of the California Legislative Analyst’s Office (LAO) review of a potential 2020 ballot measure to expand rent control. That review found that the measure could cost the state $10s of millions or more annually – a similar analysis given to Proposition 10.
Just last week New York passed sweeping rent control legislation, joining the growing national movement of state capitals eying new measures on rent control.