BREAKING: Calif. rent control bill officially dead after failing to advance in Assembly

A bill that would have imposed stricter rent caps and expanded eviction controls across California failed to advance today, halting the measure for this legislative session.

AB 1157 by Assembly member Ash Kalra, D-San Jose, did not move forward following a hearing Tuesday in the Assembly Judiciary Committee, where lawmakers heard testimony from Debra Carlton, the California Apartment Association's executive vice president of state public affairs, and a representative of the California Building Industry Association. The bill required seven votes to pass the committee but fell short, receiving four votes in favor, three against and five members not voting.

The bill sought to make sweeping changes to California's existing rent cap law by sharply limiting allowable rent increases and extending rent control to housing types that are currently exempt. Specifically, the measure would have lowered the statewide rent cap to 2% plus inflation, capped at 5%, expanded rent control to single-family homes, condominiums, accessory dwelling units and individually owned townhomes, and eliminated the 2030 sunset date in the California Tenant Protection Act, passed as AB 1482 in 2019.

CAA opposed the legislation, warning that the changes could discourage investment in rental housing, push small property owners out of the market and worsen California's housing shortage.

During earlier committee hearings, CAA cited research from the California Legislative Analyst's Office and academic institutions showing that strict rent control policies reduce housing availability and discourage new construction. The association and other opponents also pointed to the repeated rejection of stricter rent control measures by California voters in recent statewide elections.