Proposition I (“eye”) was passed by the voters of San Francisco on November 8, 1994, and took effect on December 22, 1994. Proposition I repealed the exemption from rent control for owner-occupied buildings containing 4 units or less, and established the base rent for Newly Covered Units as the rent that was in effect as of May 1, 1994.
Landlords of Proposition I Affected Units may petition the Rent Board for rent increases in excess of the annual allowable increase where the landlord did not increase rents between 5/2/89 and 5/1/94. Where there was no increase between 5/2/91 and 5/1/94, the landlord may be entitled to an increase of 7.2%. Where there was no increase between 5/2/90 and 5/1/94, the landlord may be entitled to an increase of 11.2%. Where there was no increase between 5/2/89 and 5/1/94, the landlord may be entitled to an increase of 15.2%.
If a rent increase based on the past rent history of a Proposition I Affected Unit is justified, it becomes part of the tenant’s base rent and can only be imposed on the tenant’s anniversary date after serving the tenant with a proper written notice of rent increase. Please note that the landlord must file the Proposition I petition before serving the notice of increase. The notice can be served at any time after the petition is filed, even after the Rent Board issues a decision. If the notice is served before the petition is filed, the notice is void and cannot be the basis for a lawful rent increase.
To obtain a copy of the Petition for Proposition I affected units, please contact the Rent Board's counseling line or visit the office.
Tags: Topic 324