If you manage residential rental property in the City of Los Angeles, the single most important question about any given unit is whether it falls under the Rent Stabilization Ordinance (RSO), because the answer changes almost everything: how much you can raise the rent, whether you need a legal reason to end a tenancy, whether you owe a displaced tenant relocation assistance, and what you must file with the city and when. The RSO covers approximately 650,000 units across the city, and it is stricter than California's statewide rent law. A manager who applies the state AB 1482 rules to an RSO building, or who treats an RSO termination like an ordinary lease non-renewal, is exposed to real penalties.
The RSO also just changed in ways a 2026 manager needs to know. Effective February 2, 2026, Los Angeles amended the annual rent-increase formula and eliminated the utility and dependent add-ons that landlords had long relied on. This guide walks the current framework: which units the RSO covers, how the (newly changed) rent-increase rules work, the just-cause eviction requirement and how it differs from the separate Just Cause Ordinance, the relocation-assistance and Ellis Act rules, and the filing and registration obligations that trip up managers who assume the lease is the only thing that governs.
Which units does the LA RSO cover?
The threshold question is the building's age. The RSO generally applies to rental units in the City of Los Angeles that were first built on or before October 1, 1978. That single date captures a huge share of the city's older multifamily stock, apartment buildings across Hollywood, Koreatown, Mid-Wilshire, Silver Lake, Echo Park, and the older rental neighborhoods, approximately 650,000 units in about 118,000 properties. Coverage includes apartments, condos, townhomes, duplexes, ADUs and JADUs, rooming houses, certain residential units attached to commercial buildings, hotels and motels occupied by the same tenant more than 30 consecutive days, and mobile homes and RVs in mobile-home parks. Some property types, including certain individually owned condominiums and townhomes, are subject to additional RSO exemptions or rent-regulation limitations, so a manager should verify the property's specific status with LAHD. Replacement units built after a demolition of RSO units (under LAMC § 151.28) can also be covered.
Two points matter for a manager sorting a portfolio. First, coverage is property-specific, and the reliable way to confirm it is LAHD's RSO property search, not an assumption based on the neighborhood. Second, even if a unit is not RSO-covered, it is probably not unregulated: units built after October 1, 1978 that fall outside the RSO are generally covered by the City's separate Just Cause Ordinance (JCO) and/or California's statewide AB 1482, both discussed below. So in the City of Los Angeles, the practical question is rarely "regulated or not", it is "which layer of regulation applies."
How much can a landlord raise rent under the RSO (and what changed in 2026)?
Under the RSO, rent may be increased once every 12 months, by the allowable annual percentage set by the Los Angeles Housing Department (LAHD) under the Rent Adjustment Commission's formula (LAMC § 151.06). The specific percentage is set by the city and changes over time, so a manager should always confirm the current allowable figure with LAHD (which publishes it and provides a rent-increase calculator) rather than rely on a number from an older guide.
What a 2026 manager especially needs to know is that the rules changed. Effective February 2, 2026, Los Angeles amended the RSO formula and eliminated two of the add-ons landlords had long used:
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The formula changed to 90% of CPI (down from 100% of CPI), which lowers the long-run allowable increase.
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The utility add-ons were eliminated. Landlords can no longer tack on the additional percentage (historically 1% each for gas and electric) for providing those utilities.
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The additional-dependent add-on was eliminated. The prior 10% increase a landlord could charge when an additional dependent was added to the tenancy is no longer permitted.
In practical terms, the allowable RSO increase is 3% for the period July 1, 2025 through June 30, 2026, and remains 3% for July 1, 2026 through June 30, 2027. Under the new formula, future annual increases may range from 1% to 4% depending on CPI. Because the allowable percentage is set by the city, verify the current LAHD figure before serving any increase. On the add-ons, be precise about what changed: the utility percentage add-on and the 10% additional-dependent add-on were eliminated, but a 10% increase for an additional tenant (who is not a dependent) moving into the unit is still permitted under the RSO's additional-occupant rules; confirm the timing and conditions with LAHD before applying it. So the safe operating rule is: take the current LAHD-published allowable annual percentage, once every 12 months, and do not apply the eliminated utility or dependent add-ons. The RSO cap is separate from, and generally lower than, the AB 1482 statewide cap, so for an RSO unit the RSO number controls.
Do you need just cause to evict under the RSO?
Yes. This is one of the RSO's most important, and most misunderstood, features. Under the RSO, a landlord may not terminate a covered tenancy without a valid, legally defined just cause, even after a lease expires. There is no "we just don't want to renew" in an RSO unit. The just-cause reasons fall into two families:
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At-fault reasons (tenant-caused): failure to pay rent, failure to address a lease violation, nuisance or damage, illegal use, refusal to renew a similar rental agreement, refusal of reasonable access, or an unapproved subtenant remaining at the end of the lease term.
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No-fault reasons (not tenant-caused): owner or immediate-family move-in, resident-manager move-in, demolition and permanent removal from the rental market (Ellis Act), government order, or conversion to affordable housing.
The at-fault/no-fault distinction is not academic, it drives money and paperwork. No-fault evictions require the landlord to pay relocation assistance and to file a Declaration of Intent to Evict with LAHD. And, importantly for compliance, all at-fault notices to terminate an RSO tenancy must be filed with LAHD within three business days of serving them on the tenant (LAMC §§ 151.09.C.9 & 165.05.B.5); no-fault evictions run through the separate Declaration of Intent process. That three-day at-fault filing rule is a genuine trap, a landlord who serves a proper at-fault notice but never files it with LAHD has still failed a procedural requirement. The RSO's just-cause eviction still runs through California's unlawful-detainer court process; RIOO's guide to the California eviction process and timeline covers that court procedure, which is where an RSO termination ultimately gets enforced.
The Just Cause Ordinance (JCO): the separate layer for non-RSO units
Because so many LA rental units are not RSO-covered (post-1978 buildings, many single-family homes and condos), Los Angeles created a separate protection so those tenants are not left with no eviction protection at all. Effective January 27, 2023, the City's Just Cause Ordinance (JCO) extends just-cause eviction protection to most rental units in the City that are not covered by the RSO, including many single-family homes and condominiums built after October 1, 1978.
The key difference: the JCO does not cap rent the way the RSO does, it is an eviction-protection ordinance, not a rent-control ordinance. But it does require a just-cause reason to terminate, and it provides relocation assistance in certain situations (for example, when a tenant moves out in response to a large rent increase). One timing point matters for a manager: JCO protections generally attach once the tenant has lived in the same unit for at least six months, or the original lease has expired, whichever comes first, subject to statutory exceptions. And registration in Los Angeles is not limited to RSO units: RSO and JCO properties must be registered annually with LAHD, subject to applicable exemptions. As of the current schedule, the annual per-unit fees are $38.75 for RSO and $31.05 for JCO (with a separate SCEP inspection fee), due in January each year.
So a manager operating a post-1978 LA portfolio cannot assume "no RSO means no rules." The practical rule is to determine, per unit, whether the RSO applies and, if it does not, whether the JCO and applicable state-law protections such as AB 1482 apply, including any exemptions. RIOO's guide to California rent control and AB 1482 covers the statewide layer that backstops the non-RSO units.
Relocation assistance and the Ellis Act
Relocation assistance is where an RSO no-fault eviction gets expensive, and a manager underwriting one has to build the cost in. When a landlord ends an RSO tenancy for a no-fault reason, the landlord must pay the tenant relocation assistance in an amount set by the ordinance (the amount varies by unit size and by tenant category, with higher amounts for eligible tenants such as the elderly, disabled, and those with minor children, or lower-income tenants), and current LAHD guidance provides that the assistance must generally be made available within 15 days of serving the termination notice. These are not token sums, and they are a required precondition of a lawful no-fault eviction, not an optional courtesy.
The Ellis Act is the specific mechanism a landlord uses to go out of the rental business by withdrawing all the units in a building from the rental market. In Los Angeles, the Ellis process requires filing a notice of intent with LAHD, giving tenants at least 120 days' notice (one year for qualified elderly or disabled tenants), and paying the applicable Ellis relocation assistance under the current LAHD schedule, with the amount based on the tenant and unit category. The Ellis Act also carries re-rental restrictions if the owner later returns the units to the market. For a manager, the takeaway is that "clearing" an RSO building is a heavily regulated, expensive, LAHD-filed process, not a private decision.
Registration, filing, and anti-harassment: the compliance layer
Beyond rents and evictions, the RSO carries an ongoing compliance layer a manager has to run. Owners of RSO units must register the units with LAHD and pay the annual per-unit fee ($38.75 per unit on the current schedule), and JCO-covered properties also have annual registration and fee requirements ($31.05 per unit), subject to applicable exemptions, with new owners generally having 45 days to register. A unit that is not properly registered can face limits on the landlord's ability to raise rent or pursue certain actions. As noted, at-fault termination notices must be filed with LAHD within three business days of service, and no-fault evictions run through the Declaration of Intent process with the required fees and relocation payment. Los Angeles also has a Tenant Anti-Harassment Ordinance (TAHO), effective August 6, 2021 and amended December 29, 2024, which prohibits a defined list of landlord conduct intended to pressure a tenant out (from cutting services to abusive communication) and carries its own penalties, so a manager's tenant communications and pressure tactics are themselves regulated. And beginning August 20, 2025, landlords must provide tenants a Notice of Right to Counsel at the start of the tenancy and attach it to any eviction notice.
The through-line across all of it is that in an RSO unit, the city, not just the lease, governs the tenancy, and much of compliance is procedural: register, file the right notice within the right window, pay the right relocation amount, take only the allowable increase. A manager who keeps the registration current, files terminations on time, and documents the just-cause basis and any relocation payment is the one who stays out of trouble; the penalties in Los Angeles fall hardest on the procedural misses. Because so much of that turns on tracking per-unit coverage status, registration renewals, notice-filing deadlines, and rent-increase timing across a portfolio, running the leases and their compliance dates through a disciplined lease management process is what keeps an LA operation audit-ready rather than exposed.
What a Los Angeles property manager should actually do
Putting the RSO together, the LA priorities are specific and procedural:
Determine, for every unit, whether the RSO applies (pre-1978) and, if it does not, whether the JCO (most non-RSO units, from January 27, 2023) and/or AB 1482 (statewide backstop) apply, including exemptions, using LAHD's property search rather than assumptions. For RSO units, take only LAHD's current allowable annual increase, once per 12 months, and do not apply the eliminated utility or dependent add-ons (confirm the live figure with LAHD before serving any increase). Never end an RSO tenancy without a valid just-cause reason, file every at-fault termination notice with LAHD within three business days of service, and complete the required LAHD Declaration of Intent filing for no-fault evictions. For any no-fault eviction, budget and pay the required relocation assistance; for an Ellis Act withdrawal, plan for the 120-day/one-year notice, the LAHD filing, and the relocation cost under the current schedule. Keep registration current and the annual fee paid, for both RSO and JCO units. Provide the Notice of Right to Counsel, and treat tenant communications with care under the Anti-Harassment Ordinance. Above all, document everything, the coverage determination, the increase calculation, the just-cause basis, the filings, and the relocation payments, because Los Angeles enforcement turns on the paper trail.
Frequently Asked Questions
1. How do I know if my Los Angeles unit is covered by the RSO?
The main test is the build date: the RSO generally covers rental units first built on or before October 1, 1978, including apartments, many condos and townhomes, duplexes, ADUs, some single-family rentals, and mobile homes in parks (certain individually owned condos and townhomes have additional exemptions or rent-regulation limits). The reliable way to confirm is LAHD's property search (enter the address and check the RSO status) rather than guessing from the neighborhood. If a unit is not RSO-covered, it is likely still covered by the City's Just Cause Ordinance and/or California's AB 1482.
2. How much can a landlord raise rent under the LA RSO in 2026?
Rent may be raised once every 12 months by the allowable annual percentage LAHD sets. The allowable RSO increase is 3% for the period July 1, 2026 through June 30, 2027 (the prior period, July 1, 2025 through June 30, 2026, was also 3%). Effective February 2, 2026, the formula changed to 90% of CPI (from 100%), with future annual increases ranging roughly 1% to 4% depending on CPI, and the old utility and additional-dependent add-ons were eliminated (a 10% increase for an additional tenant who is not a dependent is still allowed under the additional-occupant rules). Confirm the current figure with LAHD before serving an increase
3. Do I need just cause to evict a tenant in an RSO unit?
Yes. The RSO requires a valid at-fault (tenant-caused) or no-fault (owner-side) just-cause reason to end a covered tenancy, even after the lease expires. All at-fault RSO termination notices must be filed with LAHD within three business days of serving them on the tenant; no-fault evictions require the separate LAHD Declaration of Intent process, plus paying relocation assistance. Either way, the case still runs through California's unlawful-detainer court process.
4. What is the difference between the RSO and the Just Cause Ordinance (JCO)?
The RSO (pre-1978 units) provides both rent control and just-cause eviction protection. The JCO, effective January 27, 2023, extends just-cause eviction protection to most units not covered by the RSO (generally post-1978 buildings, including many single-family homes and condos), but it does not cap rent, it is eviction protection, not rent control. JCO protections generally attach after six months of tenancy or when the original lease expires, whichever comes first, and JCO-covered properties must also register annually with LAHD ($31.05 per unit on the current schedule, versus $38.75 for RSO). AB 1482 is the statewide backstop that may also apply.
5. How much is relocation assistance in Los Angeles?
It depends on the type of eviction, the unit, and the tenant. For an RSO no-fault eviction, the landlord must pay a relocation amount set by the ordinance, which varies by unit size and is higher for eligible tenants (elderly, disabled, households with minor children, and lower-income tenants), and it must generally be made available within 15 days of serving the termination notice. For an Ellis Act withdrawal, the amount depends on the applicable LAHD relocation schedule and the tenant's circumstances; confirm the current amount with LAHD before proceeding, since these are adjusted over time.
6. Do I have to register my rental with the city?
Yes. RSO and JCO properties must be registered annually with LAHD, subject to applicable exemptions, and new owners generally have 45 days to register. On the current schedule, the annual per-unit fees are $38.75 for RSO and $31.05 for JCO (with a separate SCEP inspection fee), due in January. Failing to register properly can limit a landlord's ability to raise rent or take certain actions. Registration is part of an ongoing compliance layer that also includes filing termination notices with LAHD, providing the Notice of Right to Counsel, and complying with the Tenant Anti-Harassment Ordinance.
7. Does the RSO or AB 1482 control if both could apply?
For an RSO-covered unit, the RSO controls, because AB 1482 exempts units already covered by a more restrictive local ordinance, and the RSO's caps and eviction rules are stricter. AB 1482 matters mainly for LA units that are not RSO-covered (for example, buildings built after 1978 but not otherwise exempt from AB 1482). The practical approach is to identify each unit's governing regime, and any exemptions, rather than assume one law applies portfolio-wide.
Note: This article is for general informational purposes only and is not legal advice. It reflects the City of Los Angeles Rent Stabilization Ordinance (LAMC Chapter XV, including §§ 151.06 and 151.09) and related measures, the Just Cause Ordinance (effective January 27, 2023), the Tenant Anti-Harassment Ordinance, and the February 2, 2026 RSO rent-increase amendments, as of 2026. The allowable rent-increase percentage, relocation-assistance amounts, and per-unit fees are set by the Los Angeles Housing Department and change over time. Confirm the current figures and requirements with LAHD (housing.lacity.gov) and a qualified California attorney before serving a rent increase, terminating a tenancy, or acting on a dispute.