Helpful information for California multi-family investors. Read below. To learn more, contact Blake or Dustin. #multifamilyrealeste #investmentrealestate
Yesterday, I had the opportunity to attend an informative seminar hosted by Steven Hrdlicka, where he reviewed new laws impacting landlords in California. Two key takeaways every investor should know: 1. Balcony & Elevated Elements Inspections (AB 2579) The deadline for initial inspections has been extended to January 1, 2026 (previously January 1, 2025). While this gives landlords more time, it’s crucial to act early. Many inspections are uncovering significant structural issues that require costly repairs. Landlords should start budgeting and planning for these repairs to meet the new deadline. 2. Changes to ADU Laws (SB 1211, AB 2533, SB 1077, SB 1037) New legislation now allows multi-family properties to build up to 8 ADUs, up from the previous max of 2. However, the number is capped based on the property’s existing unit count. For example: A 6-unit property can add up to 6 ADUs. A 100-unit property can add a maximum of 8 ADUs. The new laws also allow ADUs to be built on existing parking spaces without requiring replacement or additional parking for the new units. While this creates exciting opportunities, eliminating parking could make the property less practical for residents, potentially reducing a landlord’s ability to attract and retain high-quality tenants.