Removing Units from Rent Control
Hayward City Council recently passed an 18-month moratorium, or temporary suspension, on the decontrol process (removing units from rent control) . For more information, please review, Hayward City Council adopts emergency legislation to preserve remaining rent-controlled housing, in our news section.
State law allows a landlord of a rent-controlled unit to charge a "market-rate" rent once they lease to a new tenant. However, limits on rent increases may still apply. Hayward’s ordinance allows landlords to “decontrol” a rental unit, which is a process for removing limits on rent increases for future rent increases, as long as the following occurs:
- The landlord has obtained a written certification from the City Building Official prior to re-renting which states that the unit complies with applicable Hayward codes;
- The landlord has made improvements to the unit prior to occupancy by a new tenant;
- The landlord has provided a written document to the Rent Review Office within thirty (30) days of re-renting that states the unit has been properly decontrolled according to the rules of the Ordinance.
The value of the required improvements is adjusted annually based on the Consumer Price Index (“CPI”). This is published by the U.S. Department of Labor in February of each year.
For information regarding the decontrol application of a particular unit, please contact the Rent Review Office.