Inglewood 45-day Moratorium
Mayor James Butts of Inglewood proposed an initiative to adopt an emergency ordinance that imposed a temporary ban on certain rent increases in Inglewood.
In the proposal, the mayor’s office recommended to the City Council that they impose a 45-day moratorium, with the possibility to prolong the halt for an additional year. The measure calls to temporarily prohibit evictions and limits rent hikes to 5% each year on certain properties in Inglewood. The mayor also recommended that the necessary staff be administered with the task to complete a comprehensive report on increasing rents to be submitted to the City Council within the next 30 days.
The measure received a unanimous 5-0 approval by the Inglewood City Council this past Tuesday, March 5th. The ordinance is set to take effect immediately and tentatively prohibits Ingelwood landlords from evicting tenants and raising rents more than 5%.
The statute applies to all rental units that were built prior to February 1, 1995, complying with the Costa-Hawkins Rental Housing Act, which bars California cities from regulating buildings that were built after 1995. That means that the moratorium applies to rental buildings such as apartments and duplexes but exempts single-family homes and condos.
The median income for Inglewood residents trails that of the Los Angeles County, with the Inglewood median income being $44,377, while the median annual income for the county is at $61,338. Inglewood ’s median property values similarly trail behind county values, with the median property value in Inglewood being $355,300, and the median property value for the County is at $537,900.
Due to the lower property values, Inglewood is one of the cheaper areas to rent in Los Angeles. However, the area’s value and rents are gradually increasing due to the commercial investment dollars that are flowing into the city.
The ordinance has occurred as a response to the rise in property values that the new $2.9 billion NFL stadium, that is set to open in 2020, has created.
According to realtor.com, the median listing price for a home in Inglewood in 2016 was $398,000 and once the Ram’s move to Inglewood became official in 2017, the median listing price jumped to $448,000. Property values are expected to continue to rise with the opening of the stadium and surrounding attractions.
Inglewood officials have ratified the moratorium to buy themselves time to come up with a permanent solution to curb evictions and control rental prices in the area.
Ultimately, the opening of the NFL stadium is set to place Inglewood on an upward trajectory and is expected to bring Inglewood a wave of positive economic growth that residents are struggling to keep up with and officials are working to regulate.
Are you curious to see how this will affect your property? Don’t hesitate to reach out to one of our experts. Call 310-425-9838 today! We’re always available to answer any of your real estate questions!
[maxbutton id=”12″ url=”https://www.lyonstahl.com/contact/” text=”Contact Us!” ]