San Francisco seeks to expand rent control protections through new ordinance

A local rent control ordinance seeks to expand San Francisco's laws to cover more renters, but it's dependent on California voters passing Proposition 33 in November.

Why it matters: Rent control limits the amount a landlord can raise rent each year, but San Francisco residents who live in apartments built after 1979 are not eligible due to state laws.

• Prop. 33, if passed, would allow cities to set their own laws without any state-implemented limits.

Driving the news: District 3 Supervisor Aaron Peskin on Tuesday introduced an ordinance at the Board of Supervisors meeting that would expand San Francisco's protections to cover renters in multi-family buildings built on or before Nov. 5, 2024.

• The ordinance, which Peskin estimates would extend to an additional 100,000 renters, would not impact future developments.

What they're saying: "This legislation is a guarantee to all San Francisco renters," Peskin told Axios. "Every San Franciscan deserves access to stable housing and freedom from rental price gouging."

• Peskin added that he rejects "the false choice between housing stability and housing development," and that the ordinance shows the city can "expand protections to all renters without negatively impacting development."

The fine print: This ordinance needs the support of the Board of Supervisors and Mayor London Breed, and would only go into effect if California voters approve Prop. 33 .

• Currently, the state's Costa-Hawkins Rental Housing Act limits cities in several key ways, including restricting them from applying rent control laws to housing built on or after Feb. 1, 1995 and making single-family homes exempt.
• Those restrictions would no longer apply under Prop. 33.

The other side: Local developer Oz Erickson said efforts to expand rent control are an "economic disaster," adding that they "will completely red line" SF, the San Francisco Chronicle reports.

• Other Prop. 33 opponents , which include the California Small Business Association, California YIMBY and more, argue the state ballot initiative would make housing in California more expensive and raise the cost of living.

What we're watching: In 2018 and 2020, California voters rejected similar measures seeking to beef up rent control protections.

• An August survey showed mixed support for Prop. 33, with 40% of voters in support of the measure and 34% against it.