Scott Ledesma, Generation Contracting & Emergency Services, Inc.
Shannon Kelly, Independent Owner Dandy Lion Real Estate
HONORARY LIFE ADVISOR
Wesley Harker
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FEATURED COLUMNS:
OUR VISION
Reenvisioning quality housing for all
OUR MISSION
To create a thriving rental housing community through advocacy, education, and collaboration
SCRHA Housing Provider & Resident Rights and Responsibilities
As members of the Southern California Rental Housing Association, we are partners in creating a thriving community by providing quality rental housing for all We value our residents, our fellow members, and our community and are working to support a healthy housing ecosystem through advocacy, education, and collaboration.
As housing providers, we believe we have the responsibility to provide California renters with:
Quality housing with habitable and healthy living conditions. Freedom from arbitrary eviction, retaliation, or discrimination in line with all federal and state fair housing laws
Fair and equal resident protections and policies that balance the needs of renters, housing providers, and the community
A voice in housing decisions with respect and access equal to that of housing providers
An innovative and collaborative housing ecosystem where government, businesses, housing providers, and rental advocates work together to solve the region’s housing issues by identifying the underlying problems and crafting balanced solutions
Adherence to housing quality and equity standards and regulations
All California renters also have a responsibility to their housing provider to:
Review and follow rental agreement terms, including timely rental payments
Maintain a clean and habitable home
Be a good neighbor by respecting others’ peace and quiet. Provide timely reporting of any issues and necessary repairs. Keep open lines of communication with the property owner or manager
Aiesha Blevins
2024 President Southern California Rental Housing Association
President’s Message: Unity on Display
Today, I can’t help but reflect on the Town Hall with profound gratitude and immense pride While we are all deeply concerned about the dire consequences if the ballot initiative passes, I felt incredibly inspired by the strong attendance and industry engagement at the Town Hall .
I extend my heartfelt thanks to every speaker who took the stage to share their expertise on how this ballot initiative could shape the future of rental housing in California . Make no mistake; if this passes, it will affect every single rental housing provider in the state for decades . While we have successfully fought previous attempts, the Justice for Renters Act will be one of the most important fights of our time.
After hearing from the industry leaders and talking to our members, I truly believe we can work together to stop rent control in California again .
In light of the legislative challenges that we face in November, it’s all the more important to recognize excellence in rental housing . The Mark of Excellence Awards is our platform to do just that . It’s not just about the recognition, but also about the opportunity to learn from each other and grow as a community . Nominations are now open, but closing soon, so submit your nominations to start the judging process!
The Mark of Excellence Awards Ceremony is not just a fun night in a beautiful venue; it’s a chance to celebrate the dedication and service provided by our teams who make so many feel at home in Southern California . Don’t miss out on this opportunity to recognize the rental housing providers who set a shining example for their colleagues and residents I
look forward to celebrating with everyone during the 30th-anniversary awards ceremony on November 1 at Sycuan Casino Resort .
As I reflect on the power of the industry, I would like to take a moment to encourage your continued involvement as an SCRHA member Your ideas and contributions are invaluable to us . Whether you’re interested in shaping the educational programming of SCRHA or sharing your ideas for events or the Mark of Excellence, I encourage you to serve on a standing committee . In addition to guiding SCRHA, serving on a committee is the perfect opportunity to work with rental housing colleagues while strengthening your professional network .
By applying the dedication and excellence on display at the Mark of Excellence Awards to our robust advocacy efforts and buoyed by the relationships we forge, the Southern California Rental Housing Association truly is the voice of the rental housing industry
WAlan Pentico, CAE
Executive Director
Southern California Rental Housing Association
Executive Director’s Message: Town Hall Rewind
hile summer is often a time of rest and relaxation, SCRHA has been hard at work advocating for our members and the rental housing community of Southern California . We recently hosted a Rent Control Ballot Measure Town Hall featuring many expert speakers who gave us a deeper understanding of the potential ramifications of the so-called “Justice for Renters Act” that will be on the November ballot
The Town Hall began with an overview of the Justice for Renters Act from Molly Kirkland, SCRHA Director of Public Affairs. This overview set the stage for the wide-ranging discussions covering everything from the impact on property values, home sales, and new construction to a deeper dive into vacancy control and the difference between evictions now or under rent control Matt McGarty with Russo, McGarty & Associates Inc , Campaign Consultants, shared campaign updates .
I was honored to share the stage with so many industry leaders who understand the danger that this ballot initiative poses to Californians Your involvement is crucial It’s not too late to get involved and make a difference if you missed the Town Hall. The previous attempts to repeal Costa-Hawkins and open the door to rent control were hard-fought victories, but we can’t be complacent . We must once again work together to defeat the rent control ballot measure in November .
While I was encouraged by the robust turnout of concerned industry individuals, we must continue
showing up and taking action to stop rent control . The first step is subscribing to our emails and Action Alerts at www .socalrha .org . These emails are how we update our members and make it easy for you to share your concerns with elected officials.
Another important step in supporting our advocacy is contributing to the SCRHA Political Action Committees with voluntary contributions . The SCRHA Issues PAC is the best vehicle for helping the association support or oppose ballot measures that impact your property, whether it be rent control or tax measures . Increasingly local governments and special interest groups are going to the ballot box to impose additional costs and burdens on property owners The SCRHA Candidate PAC is used to support local and state candidates for office who understand the challenges faced by rental housing providers and business owners These contributions are VOLUNTARY because we cannot legally charge you for political action committee fundraising . THAT SAID, we strongly urge you to donate . A contribution now is a small price to pay compared to a costly regulation down the road .
Visit our website at www socalrha org to make an online contribution or to find more information about the ballot initiative and what you can do to support our efforts. While the rental housing industry is currently facing complex challenges, I have seen us band together to conquer attacks on our industry and overcome regulatory challenges . Your support is invaluable . I know we can do it if we work together, so thank you for your active support .
SPONSOR THE MARK OF EXCELLENCE AWARDS
O V E M B E R 1 , 2 0 2 4 5 : 3 0 P M - 9 : 3 0 P M S Y C U A N C A S I N O R E S O R T
Sponsoring Mark of Excellence elevates your brand visibility in the rental housing community and provides unparalleled access to industry leaders and decisionmakers.
Expected Attendance: ~600
Event Historically Sells Out
Diamond Sponsorship
$8,500 SCRHA Members | $10,500 Non-Members
One Table of 10 Opportunity to Set Up “Nominee Merch Giveaway” Table
Two Sponsor Reps in the Awards Presentation Script
Early Access to SCRHA Room Block
Complimentary Group Photo
Ruby Sponsorship
$6,500 SCRHA Members | $7,500 Non-Members
Six (6) Complimentary Tickets
Purchase 4 Additional Tickets to Reserve a Table
Special Recognition at No-Host Bars
Two Sponsor Reps in the Awards Presentation Script
Sapphire Sponsorship
$5,500 SCRHA Members | $6,500 Non-Members
Four (4) Complimentary Tickets
Purchase 6 Additional Tickets to Reserve a Table
Two Sponsor Reps in the Awards Presentation Script
Emerald Sponsorship
$3,250 SCRHA Members | $4,000 Non-Members
Three (3) Complimentary Tickets
Purchase 7 Additional Tickets to Reserve a Table
Two Sponsor Reps Included in the Awards Presentation
Script
Crystal Sponsorship
$1,500 SCRHA Members | $2,500 Non-Members
Two (2) Complimentary Tickets
Purchase 8 Additional Tickets to Reserve a Table
Two Sponsor Reps in the Awards Presentation Script
Pearl Sponsorship
$1,000 SCRHA Members | $1,500 Non-Members
Two (2) Complimentary Tickets
Purchase 8 Additional Tickets to Reserve a Table
Two Sponsor Reps in the Awards Presentation Script
newmanwindows
SOUTHERN CALIFORNIA RENTAL HOUSING
LICENSE #570472
Each year, the Southern California Rental Housing Association celebrates the Mark of Excellence Awards recognizing outstanding achievements in the Rental Housing Industry. Nominations are now open! Get started today to give your nominees the most time to complete their submissions.
KEY DATES
JULY 19
Nominations Close
JULY 26
Deadline to Submit Nominee Applications
JULY 29
Nominee Tickets Open
AUGUST 2
Deadline to Submit Walk-Up Song Submissions
AUGUST 29
Nominee Party
NOVEMBER 1
30th Anniversary Mark of Excellence at Sycuan Resort & Casino
Company | Individual Leasing Professional of the Year 1-100 Units | 101-300 Units | 301+ Unit
Multi-Site Manager of the Year 1-300 Units | 301+ Units
Maintenance Supervisor of the Year 1-300 Units | 301+ Units
Maintenance Tech of the Year 1-300 Units | 301+ Units
Porter of the Year
1-100 Units | 101-300 Units | 301+ Units
Property Manager of the Year 1-100 Units | 101-300 Units | 301+ Units
Repositioned Property of the Year 1-300 Units | 301+ Units
Property of the Year 1-29 Units | 30-100 Units | 101-300 Units | 301+ Units
Property Management Company of the Year
NextGen Category to Be Announced NEW!
Community Relations Manager of the Year NEW!
Donna Webber Company
John Belanich Company
Creaser & Warwick, Inc.
DNC Limited Partnership
RJW Properties, Inc.
Laura Sperry Company
Wakeland Housing & Development
ATI Restoration, LLC
CE LE B R ATIN G an ANNIVERSARY
The Kevane Company, Inc.
Elinor van den Akker Company
Beverly J . Gimbel
RG Investment Real Estate Services Inc.
Frederic and Karen Wise
David Olson Company
Muraoka Enterprises Inc.
People Helping Others Prop. Mgmt.
William D Snell Company
Law Offices of Andrew C. Laubach
Attar Enterprises
Caesar Oriol Company
Mike Haas Company
Leslie and Rita Clarke
Fred and Shirley Salzer
Mission Heights Ltd
Fleetwood Properties
Vladimir Nicolayeff Company
Thomas Eklund Company
Rolf Steeve Company
Jesse and Maria Beltran
Kenneth Rundlett Company
Bob Woodard Company
Laurence and Carolyn Kaiser
McDonnell Property
Errol Tonsky Company
Harriet Bossenbroek Company
Gregory Robinson Company
Park Haven Apartments
George and Connie Rawlins
Richard Hancock Company
MG Properties
Hanken, Cono, Assad & Co .
Sierra Mar Properties LLC - Paul Hasley
Mary Ann Tarantino Company
Henry Cagle Company
Fergin Properties
Terry Moore, CCIM, Inc.
MPA Management
Jerry Conway Company
Kornfeld and Levy, Certified Public Accountants
La Jollan Townhomes| Murray LLC
IHA Partners Inc.
Gary and Judy Smith
Jeffrey Malik Company
Willin Properties
Dutch and Margaret Swagemakers
G. Beit-Ishoo / SeaDate
All Points Real Estate
George and Celida Haddad
Thomas Geantil Company
Al Smithson Company
Jeff Lewis Company
Longley Family Trust - Nancy Longley Trustee
Larry O’Dell Construction
San Diego Housing Commission
Sprague Pallas & Assoc .
Waltwood Properties
Marilynn Nemeroff Company
BF Investments, Inc .
Nancy Mullins Company
DaSilveira Family Trust
Park Place Management
NLJ, LLC
Gulotta Properties
Brothers II
Horizon Properties Management Service
Melroy Asset Management
Mercer Investments, Inc .
account, or were taken under new ownership, the member will not appear
contact the publications department at publications@socalrha.org
Kastoria, LLC| Leaf & Cole, LLP
Walz Properties| Fortuna Investment Group
Paul and Suzanne Honeycutt
Mark Marshall Company
Darlene Lubkay Company
Elizabeth Dammassa-Uglik Company
Darren and Jan Magot
David & Doreen Clifton
REC Properties| Peasquitos Point Apts.
Dennis & Tina Daneri
James Naill Company
Perry and Felecia Vlahos
Mira Bella Apartments | Simpson Property Group
Robert Bayer Company
Araz Yacoubian Company
Roberta Litvinoff Company
Holy Cross Cemetery
Sherry Bird Company
Phillip Tran Company
Sciuto Properties
David Zernik Company
Tom Brady Company
Elisabeth Wolcott-Yuen Company
Louis Greco Company
Axiom Real Estate
Rose Marie Hadley Company
Delta Property Management
Barry Treahy Company
Dennis and Marian Pierce
Katherine Packard Company
Michael Bart Company
Jesus and Yolanda Arroyo
Dwayne Watson Company
Betty Bark Company
Jim Stjerne Company
David M. Pierce
Christine Whitacre Company
John Peters Company
Tamra Fuller Fountas
O’Neil Enterprises
Opti-Fit
Buchanan Property Management Corp.
13th & Market | UDR
Brian Steer Company
216 & 220 Glover LLC, 215 & 219 Fourth Ave LLC
Jon Groeschel Company
Eagle Property Management
Arbors at California Oaks Apartment Homes
Vera Coburn Company
5545 Kiowa LLC
JDS Security
Arbor Terrace | Westlake Housing
Kiley Berlinski Company
Silverado Apartments (RCMI)
Regents Court Apartments | Greystar
SatisFacts Research
The Anastasiu 1996 Trust
account, or were taken under new ownership, the member will not appear here. If you feel that your
be
this list and is not, please contact the publications department at publications@socalrha.org
Welcome New Members
PROPERTY MANAGERS
800 Broadway | RPM
Luma at El Corazon | Sudberry Properties Inc
Victory on Paseo | Cardinal
INDEPENDENT OWNERS
Derek Seaman Co
Melissa Ouellette Company
3167 Market | Greystar
Tali Howard Company
Hermila Mendoza
Davin Richmond Company
La Posada Properties
Arthur Pathe Company
Julien Willard Company
Charles Peterson Company
September 12, 2024 | 10:30 AM - 6:00 PM
The SCRHA Golf Classic brings together rental housing professionals for a day of golf and prizes on a beautiful championship course. Register early for this popular event!
What to Expect
Full Golf Tournament: Using the scramble format with Peoria scoring, the Golf Classic makes it easy for golfers of all abilities to enjoy a day on the links. Shotgun start at noon,
Skill Contests: Show off your skills and win prizes for the longest drive, closest to the pin, and the putting contest
Prize Giveaways: Attend and win! Sponsor giveaways and opportunity drawings throughout the day give you more opportunities to win!
Register A Foursome
$1,150 Members | $1,585 Non-Members
Player ticket includes lunch voucher, sleeve of balls, free range balls, and opportunity drawing entries! Rental clubs are offered subject to availability
The Southern California Rental Housing Association partners with industry leaders to provide value-added products and services These businesses offer special discounts, rates, and services to members of the Southern California Rental Housing Association.
A GUIDE TO SQUATTERS’ RIGHTS
By Mark Miller, Pacific Legal Foundation
Everywhere we turn these days, we see stories of individuals taking up residence in properties they don’t own . It’s called “squatting,” but it’s nothing more than trespassing . This explainer clarifies why squatting is immoral and illegal, why it’s growing, and how to stop it
WHAT IS SQUATTING?
“Squatting” describes moving into a property without any legal claim or title to the property Such a person is “squatting”—living on—someone else’s property without consent from the owner Many cities and states give squatters “rights” in the sense that they treat a squatter like a tenant in a landlord-tenant dispute, protecting the squatter from being quickly removed from the property .
Such laws are puzzling because the property owner in these circumstances did not agree to be a landlord to these so-called “tenants ” Yet these jurisdictions allow squatters to remain in private property, excluding the property owner For example, New York City makes it extremely difficult for property owners to evict squatters once the squatter has been in a property for just 30 days —a policy Joe Rogan criticized as “basically allowing people to steal people’s houses . ”
IS SQUATTING THE SAME AS “ADVERSE POSSESSION”?
The squatting we are seeing today on TikTok and in big cities is not the same as “adverse possession” within the meaning of American history and tradition, although in the past the two terms were often used interchangeably
Adverse possession is a common law concept, developed centuries ago, that arose when property appeared to be abandoned and someone came along and wanted to lay claim to the property The adverse possessor had to openly possess the property and often had to begin paying the property taxes, and at the end of several years of adverse possession, the possessor had to go to court to get court approval for this new ownership of the property
Historically, American law would not protect the kind of trespassing that is occurring today For one, the properties squatters are seizing are not abandoned . One recent squatter rented a Los Angeles mansion on Airbnb and then stopped paying, squatting in the multimillion -dollar home for over a year In a New York case featured by John Stossel, squatters moved into a widow’s home while she was selling it . These blatant acts of trespassing are a far cry from traditional adverse possession of abandoned properties .
IS SQUATTING UNCONSTITUTIONAL?
Yes Based on the Supreme Court’s decision in Pacific Legal Foundation’s Cedar Point Nursery vs . Hassid case, Pacific Legal Foundation believes many state laws that allow squatters to reside on a property for months, if not years, amount to unconstitutional Fifth Amendment takings of private property without just compensation . In the matter of Cedar Point Nursery, the Supreme Court explained that governmentapproved physical occupations of private property are takings . That would be the case here, where state or local laws —like in New York City and California— are being relied upon by squatters to live on private property, despite the fact that they have no legal right to live on those properties where they are squatting .
Although Pacific Legal Foundation believes squatting amounts to an unconstitutional taking, the courts have not recently considered the argument If you find yourself facing a squatter on your property, please the Pacific Legal Foundation to see if your case could be the one that establishes that squatting is unconstitutional .
IS SQUATTING NEW?
It’s not new . It is a practice that can be traced to the 1960s and ’70s when it was seen as a kind of “social
justice” to say you had a right to housing and to ignore property rights . You don’t have something you need? Then just take it We saw this in Europe and here in the United States
But it’s getting worse, for reasons I’ll discuss below Why has squatting become such a widespread problem? Two reasons:
(1) The law of supply and demand . Over the past several decades, our local, state, and federal governments have made it harder and more expensive to build housing Restrictions on where and what you can build—including outright prohibitions on duplexes and granny flats in many places have limited the supply of affordable housing options . Meanwhile, we have more people than ever in America that need housing: Our population grows every year, and the poverty rate is up . That’s the growing demand . Unless we increase supply, the problem will get worse
(2) Courts move extremely slowly on evictions Too many states, especially the blue states like Illinois and New York, protect squatters like they are tenants, making it hard to remove them from your home . SQUATTERS are not TENANTS . But the law doesn’t always recognize the difference
Please turn to page 22
Sophisticated squatters, like we’re seeing on TikTok, know that the courts can take months, if not a year or more, to evict a squatter
In one recent Seattle case featured in National Review, a landlord tried to evict a serial squatter from his $2 million home . But thanks to a tenant advocacy group that defended the squatter, and a backed-up court system, it took the landlord seven months even to get a hearing Meanwhile the squatter lived in the home rent-free .
WHAT CAN THE GOVERNMENT DO TO SOLVE THE SQUATTING PROBLEM?
Two things:
(1) Build, baby, build! The government needs to make it easier for developers to build LESS RED TAPE That will lower the cost of housing
(2) Make it easier for property owners to remove squatters from their property quickly . Squatters don’t care about the law, but they do care about consequences . We need states to make it much easier for property owners to remove squatters . The State of Florida has taken the lead on this,
passing a law just this year that requires law enforcement to remove a squatter from your property unless the squatter can show he paid rent in the past or has a lease . We need more laws like this in other states
States should also consider passing laws that allow self-help Owners who know the squatter has no right to be on the property should be protected by law if they take matters into their own hands and eject the squatter . This would be a new kind of Stand Your Ground law like we ’ve seen when a homeowner is faced with a burglar or trespasser
IN THE MEANTIME, WHAT CAN PEOPLE DO TO PROTECT THEMSELVES?
Most importantly, GET TO KNOW YOUR NEIGHBORS AND LOCAL LAW ENFORCEMENT . If you are acquainted with your neighbors and local police officers or sheriff’s deputies, they’ll know if something is amiss on your property, and they’ll let you know . I remember when my snowbird grandparents were away for the winter from their home in New Jersey, the police and their neighbors would call them in Florida if they saw something at their vacant home that looked funny . That doesn’t happen today because people don’t know each other like they used to .
Make sure your property looks lived-in . Vacant homes are targets for squatters Put locks and deadbolts on doors and set alarms The harder it is to get into your home, the more it deters a squatter from breaking in .
Put up “No Trespassing” signs . Again, squatters are looking for easy- target properties that look simple to take over . If you show that you mean business, the squatter is less likely to try your property .
CALENDAR Register at socalrha.org
Register for events and classes online at socalrha.org. Please note, that all in-person classes
Questions? Contact us at events@socalrha.org or 858.278.8070
July 22 8:00A - 5:00P
CAM:
Certified Apartment Manager Full Series
ICON KEY Virtual
It is time to take that leap in the rental housing industry by becoming a Certified Apartment Manager (CAM). Earning your CAM allows you to demonstrate that you have the knowledge and ability to manage an apartment community and achieve owners’ investment goals
24
B2B Membership Networking & Information Mixer
SkyDeck at Del Mar
ICON KEY July
4:30P - 6:30P
Tired of google searching for reliable service providers? Do you want to create new professional connections and get in-person time meeting some of the best Southern California Rental housing service provider companies? Join us for happy hour as we get together with property management companies of all sizes to decompress, network, and get to know some of the companies that make up the Southern California Rental Housing Association .
July 30 10:00A - 11:00A
Why It’s Getting Tougher to Know Your Applicant: Tenant Screening
“Background screening is arguably the most important part of an investors and property manager’s responsibility, but poor practices and new laws make learning about your applicants more difficult. Learn how to safely and confidently use background checks while navigating upcoming legislation .
Instructor: Dan Firestone, Senior Vice President, CIC”
ICON KEY
August 8
Small Claims Court Luncheon
Marina Village Room E12
12:00P - 2:00P
Join us for a luncheon discussion delving into the intricacies of the small claims court process tailored for landlords
We’ll explore the step-by-step procedures from filing a claim to presenting evidence and provide insights to help you efficiently navigate legal complexities. Whether you’re a seasoned landlord or new to the field, this session promises practical knowledge to bolster your confidence in pursuing legal recourse effectively.
ICON KEY
August 22
August 15
Fair Housing Part I & II
9:00A - 4:00P
A staple in the property management industry, this two-part series provides an in-depth look for individuals looking for refresher training or for a company looking to train new and seasoned employees Register today and understand how you can learn valuable tips from a risk management perspective
ICON KEY
10:00A - 11:00A
The Screening Deep Dive: Detecting Deception in Rental Applications
Join us for an illuminating webinar where we explore the intricacies of detecting fraudulent information in rental applications . In the realm of property management, ensuring the reliability and honesty of prospective residents is paramount
This session will delve into the best practices for employment, tenant, and income verifications as critical components of a thorough screening process
ICON KEY
ENSURING YOUR BUILDING’S RESILIENCE TO EARTHQUAKES: IS IT BUILT ON SOLID GROUND?
by Ali Sahabi, Optimum Seismic
Apartment buildings in the Greater San Diego Area may sit on soil that is prone to liquefaction, landslides or other instability when shaken by an earthquake.
If your apartment building is located in Mission Bay, Mission Valley, Tierra Santa, Linda Vista, and many other San Diego communities, it’s best to have your building checked by professional structural engineer
These destructive reactions to earthquake shaking can happen when ground vibrations cause soil particles to lose contact with each other In the case of liquefaction, the ground vibrates like Jell-O – significantly increasing the potential for damage to buildings
You can check the City of San Diego website for an interactive map showing local liquefaction zones, landslide areas and earthquake faults – and zoom in to see if your building falls within those areas Visit https://www . sandiego . gov/development-services/ zoning-maps/seismic-safety-study to access the map
WHEN SOIL TURNS TO SOUP
Liquefaction . It’s a little like quicksand, but many times more deadly .
The United States Geological Survey defines it as the phenomenon that takes place when loosely packed, water-logged sediments at or near the ground surface lose their strength in response to strong ground shaking
When it occurs beneath buildings and other structures, the results can be catastrophic .
It’s what contributed to the devastation of the 1989 Loma Prieta earthquake – when soil and debris used to fill in a lagoon to build the Marina District subsided, fractured and caused horizontal sliding of the ground surface
The Atlantic magazine describes it as “horrifying . ”
“Videos of its occurrence look like found-footage documentaries of the Second Coming,” the magazine wrote “Buildings seem to simply slip away, the earth
gives out, and the once-steady structures slide into the morass . ”
But the science behind the phenomenon is straightforward . Liquefaction tends to occur where water has been – near rivers, harbors, reclaimed land, marshes – or in the case of Mexico City – on a lake that was filled in to build a community.
SLIPS AND SLIDES
Landslides are another concern for earthquake-prone communities .
Earthquakes are a major cause of landslides, according to the USGS, which classifies landslides into five types: falls, topples, slides, spreads, and flows.
Falls are abrupt movements of rocks or boulders that become detached from steep slopes of cliffs, but they can also be represented by falls in the earth itself
Topples describe instances when a section of land, such as a cliff, will fall onto lower elevations beneath it.
Slides describe a downward movement of a mass of land, like large quantities of sand moving down a playground slide .
Spreads refers to a fracturing of the earth, followed by slippage, like a custard dessert that has not set
Flows are the most destructive type of landslide to structures, as they often occur without warning, move too quickly to escape, and due to velocity and material are often very powerful and destructive, the USGS explains .
Guarding Against Risk
The more scientists and engineers learn about ground movement responses to earthquakes, the better we can guard against damage .
Stanford University launched an unprecedented study to repurpose underground fiber-optic cables to measure soil properties in urban areas . In telecommunications, data are transmitted in the form of light traveling through fiber-optic cables, which are bundles of thin, glass rods . To measure soil properties, these Stanford researchers are looking at the tiny defects in those cables .
These cables – while underground – are constantly twitching under the vibrations of ocean waves, trains, even traffic. Researchers shoot a series of light pulses into a fiber-optic cable and track how the reflected light wobbles – helping them to quickly determine how much the ground shakes . These measurements reveal a lot about the properties of the soil where the cable is buried
We are bound to learn much more in the future about the way soils behave under seismic shaking .
Until then, it is wise to learn the type of soil your building was constructed on in the San Diego area know and the risks that soil may pose to your tenants and your rental income .
The Optimum Seismic team has been making California cities safer since 1984 by providing full-service earthquake engineering, steel fabrication and construction services for multifamily residential, commercial and industrial buildings . With more than 4,000 earthquake retrofit and renovation projects completed, Optimum Seismic’s work includes soft-story multifamily apartments, tilt-up, non-ductile concrete, steel moment frame and unreinforced masonry (URM) buildings . To arrange a complimentary assessment of your building’s earthquake resilience, contact Optimum Seismic at (833) 9787664 or visit optimumseismic com
DECONTROL vs. CONTROL Vacancy
San Diego County
Vacancy decontrol allows property owners to bring rents to fair market rates when a tenant moves out.
A 2024 ballot initiative seeks to ban vacancy decontrol and instead allow local governments to limit the rent that property owners can set for move-ins (vacancy control). For those who have owned their properties for many years, rents are often 30% to 40% below market for long term renters. Under vacancy control, owners who are renting below market may never catch up, as shown in the example below.
Ex. A tenant first rents a 2-bedroom apartment in 2020 at $1,909 per month. Assuming a local rent cap of 3% per year, the rent is $2,086 in 2023 when the tenant vacates the unit.
What is the rent you can set upon vacancy and the financial impact of vacancy decontrol vs. control? Over a five-year period, you could lose $27,297 for each 2-bedroom rental unit.
Decontrol
Control
Owner is prohibited from raising rent to fair market and is restricted to $2,086.
CalRHA Policy Update
The May Revise was released by the Governor and then Legislative Leaders announced their own Budget Proposal in response to the May Revise to address the $45 billion shortfall in 2024-25 and the $30 billion shortfall projected for 2025-26 .
With regard to housing, the Legislative Leaders’ plan provides $1 billion to HHAP Round 6 to provide local governments continued funding to combat the homelessness crisis, approves $500 million for Low Income Housing Tax Credit program, as proposed by the Governor, and rejects proposed cuts to Multifamily Housing, Regional Early Action Planning (REAP) 2 .0, and Housing Navigation and Maintenance Program Budget negotiations are in the final stages, as the Legislature needs to pass the budget bill by June 15th and the Governor signs the budget by July 1st
Legislative Update
When the Assembly Appropriations Committee took up bills in mid-May, one bill that we were opposing, AB 2187 (Bryan), which would have created the Office of Tenants’ Rights and Protections, was held so it is dead for the year . In another win, AB 2785 (Wilson), which would have required a landlord to, within 30 days of receiving a tenant’s security, deposit the sum into an account of a bank or other financial institution regulated by the state or federal government, was shelved by the author for the year . Bills are now being heard in the second house
A priority bill, AB 2216 (Haney, D-San Francisco), dealing with pets, will be significantly amended In order for AB 2216 to garner the votes to pass the Assembly Floor, Assembly member Haney committed to taking the following amendments in the Senate:
• 15 or less exempt
• 16 or more required to take 1 pet
• Beginning with a second pet, you can charge $50 per month .
• Landlords can collect an additional security deposit 50% more up to $1000 cap .
• Delayed implementation until April 1, 2025. Allow pet deposit for carpet cleaning
• Allow the landlord to demand proof of liability insurance and the landlord can be added as an additional insured .
• Tenants can’t have restricted pets.
• Clarify it doesn’t impact existing or renewal of leases .
CalRHA has met with the Chair of the Senate Judiciary Committee, Tom Umberg, in order to discuss these and other amendments
The CalRHA sponsored bill, AB 2278 (Carillo, D-Los Angeles) - Publishing Rental Rates, is set for a hearing in the Senate Judiciary Committee on July 11th, where it is slated to pass on consent This bill would have the Attorney General publish the maximum allowable annual rent by July 1st of each year .
Other updates on key legislation are as follows:
AB 2347 (Kalra) - Evictions - Would make various procedural changes to landlord-tenant law, including specified extensions of time for tenants to respond to notices and eviction papers AB 2347 extends the time for the defendant’s response to be filed from five court days to 10 court days after the unlawful
Please turn to page 34
B2B MEMBERSHIP NETWORKING & INFORMATION MIXER
JULY 24, 2024 | 4:30 PM - 6:30 PM
Join us for happy hour as we get together with property management companies of all sizes to decompress, network, and get to know some of the companies that make up the Southern California Rental Housing Association
The event will be an open-style B2B networking mixer with a bit of fun at the SkyDeck in Del Mar! We will be giving out wristbands to help everyone identify member type
This free event is open to Non-Supplier Members and Non-Members.
RSVP is required.
Associationwide Sponsors
detainer complaint and summons is served on the defendant It also prohibits the clerk from entering default in an unlawful detainer action less than three court days after the plaintiff files the proof of service of the summons and complaint . AB 2347 is pending a hearing in the Senate Judiciary Committee - OPPOSE
AB 2498 (Zbur) - Rent Relief - Establishes the California Housing Security Program (the Program) to provide counties with funding to administer a housing subsidy to eligible persons to reduce housing insecurity and help Californians meet their basic housing needs, subject to an appropriation The bill would create a 2-year pilot in eight counties, including Los Angeles, Orange, and San Diego The bill is pending a hearing in the Senate Housing Committee - SUPPORT
AB 2584 (Lee, D-Milpitas) - Corporate Owned Single-Family Homes - Would prohibit owners of more than 1,000 homes from buying more singlefamily properties This bill is pending a hearing in the Senate Judiciary committee and CalRHA is part of a coalition that is opposing the bill . - OPPOSE
AB 2747 (Haney) - Credit Reporting - Requires specified landlords to offer each tenant obligated on a lease the option of having the tenant’s positive rental payment information reported to at least one nationwide consumer reporting agency This bill is set for a hearing in the Senate Judiciary on June 18th - OPPOSE
AB 2801 (Friedman) - Security Deposits - As introduced, the bill would have prevented using security deposits for professional carpet cleaning . However, the bill has been significantly amended and is less onerous . CalRHA has met with the author’s office and Chair of the Senate Judiciary
Committee about a possible carve-out for small operators/opt-in . AB 2801 is set for a hearing in the Senate Judiciary Committee on June 11th
SB 1201 (Durazo) - Beneficial Owners - SB 1201 requires corporations, limited liability companies (LLCs), and real estate investment trusts to report information about their beneficial owners, as specified, on periodic reports that those business entities are required to file with the Secretary of State (SOS) and that are made available to the public . This bill is set for a hearing in Assembly Banking Committee on June 17th - OPPOSE
The legislative calendar for 2024 is as follows:
• June 15 - Budget bill must be passed by midnight
• June 27 - Last day for legislative measure to qualify for the November 5th General Election ballot
• July 3 - Last day for policy committees to meet and pass bills
• July 4 - August 4 - Summer Recess
• August 16 - Last day for fiscal committees to meet and pass bills
• August 23 - Last day to amend bills on the Floor
• August 31 - Last day for each house to pass bills
• September 30 - Last day for the Governor to sign or veto bills .
About Us - The California Rental Housing Association represents 25,000 members totaling more than 676,000 units, made up of small, medium and large rental housing owners throughout the State of California
forward-thinking. Now, Gen Z is not as concerned with recreation or downtime at the office, rather a financial investment in their future. However, stock options and a standard 401(k) won’t cut it when they are actually searching for “student loan assistance, tuition reimbursement, and maternity and paternity benefits.” This generation values a work-life balance and is highly optimistic for the future, so these types of benefits will not only attract but also encourage them to stay and take advantage of these opportunities.
They Want to See Diversity and Inclusion
This highly educated, highly diverse generation is craving a passion and dedication to diversity and inclusion from their employers. As a result, “86% of
Financial advisory Why to Buy When Interest Rates are High
BY CHRISTOPHER MILLER, MBA SPECIALIZED WEALTH MANAGEMENT
Areal estate management company recently sent a newsletter to their clients advising them to avoid doing 1031 Exchanges upon sale, and to hold onto their cash in expectation of “good deals ahead when interest rates drop . ” First, I can’t believe they are advising their friends to guarantee themselves up to 30% losses by paying unnecessary taxes Next, as I’ve detailed in previous articles, after a 30% loss, an investor needs a 45% increase immediately to break even! (and nobody in-vests with a goal of breaking even .) If a potential price drop is in the future, it’s hard to believe the deals will be that good Lastly, I think substantial evidence points towards lower interest rates meaning higher real estate prices
The property value boom between 2008 and 2022, fueled by continuously sub-6% mortgage rates, is a good example of what lower interest rates will do Economically, this makes sense: if a buyer can afford to borrow more, then he can afford to pay more and sellers can ask for more
WHAT IS THE MARKET GOING TO DO?
This is a question I get a lot . My answer depends on
what market you are talking about . It’s im-portant to point out that all real estate isn’t the same –single family residences, multifamily invest-ment properties, retail strip centers, single-tenant NNN leased retail, hotels and office all have dif-ferent demand drivers and economic forces acting upon them For example, when the government shut the economy down in 2020, hotel values plummeted while single tenant NNN spaces leased to “necessity retailers” stayed open and skyrocketed in value as investor dollars chased stability . Apartment values in growing metropolitan areas rose as renters moved to more open economies in search of work . Sub3% interest rates caused the value of single-family residences to reach new heights .
SHORT TERM REAL ESTATE MARKET OUTLOOK NOT AS IMPORTANT
“What will the real estate market do in the next two years?” I suggest that, since investment real estate is an asset usually held for longer terms, this question isn’t as important as many think it is . If we are buying cash flowing investment real estate today and holding it for the next 10 to 20 years, our chief concern should be what the value will be 1 or 2 decades from now – not 24 months from now
Christopher Miller is a Managing Director with Specialized Wealth Management and specializes in tax-advantaged investments including 1031 replacement properties . Chris’ real estate experience includes work in commercial appraisal, in institutional acquisitions for a national real estate syndicator and as an advisor helping clients through over five hundred twenty five 1031 Exchanges Chris has been featured as an expert in several industry publications and on television and earned an undergraduate business degree and an MBA emphasizing Real Estate Finance from the University of Southern California . Chris began his real estate career in 1998 . Call him toll-free at (877) 313 – 1868 .
INFLUENCE OF INTEREST RATES ON VALUE
Remember that interest rates are controlled by the US Government’s Federal Reserve Interest rates will be set higher to curb inflation when needed and lowered to encourage economic growth The Fed will therefore want to drop interest rates as soon as possible and keep them as low as they can
I think it is reasonable to assume that the Fed would like to see interest rates in the 5% or lower range again over the next several years . If we agree that an interest rate decline in the future can lead to rising prices, A buyer today can take advantage of lower prices and simply refinance his debt in the future when interest rates drop and values climb
HOW HAVE RISING RATES AFFECTED VALUES?
While interest rates have more than doubled since December of 2021, prices have continued to rise Economics tells us this is because demand is higher than supply – high demand for a product can lead to higher prices . (Think about gasoline .) A 30-year $1 million loan at 3% has a monthly mortgage payment of $4,216 compared to $6,653 at 7% . Even with monthly payments that are as much as 57%, (as in our 7% loan example), higher today; prices are
still higher than last year . This tells me that today’s buyers are expecting interest rates to drop as well . Investors today are buying at 7% with a plan to refinance once rates decline to the 5% range .
IF YOU THINK RATES WILL COME DOWN IN THE FUTURE, YOU SHOULD BUY TODAY
That “save your money until interest rates drop” advice that inspired this month’s article has it backwards . If you think interest rates will drop in the future – and evidence indicates that you aren’t alone in this belief – then you will want to buy today . That way, you can start collecting in-come and depreciation benefits today If rates drop and cause values to rise, you can then refinance to potentially create more cash flow for yourself rather than buying at those higher prices . Inves-tors may be able to take advantage of higher values to do cash out re-finances, and then use the proceeds to buy more real estate – putting themselves well ahead of those who waited for rates to drop If you have any questions, my toll-free office number is (877) 3131868
STOP PAYING FOR TENANT SCREENING
San Diego
Prevent Fraud & Bad Debt: How Tech Can Protect Communities
by Max glassburg, Yardi breeze
The rental industry has long since been a lucrative target for fraudsters, and recent years have only made it worse While online leasing has streamlined the leasing journey for many applicants, it has also opened the door for bad actors to manipulate the system, resulting in unpaid rent and bad debt for rental owners
The good news is that you can deter fraud from the very start Read on to explore how technology can enhance security and efficiency across your online leasing process
THE RISE OF REAL ESTATE FRAUD
Real estate crimes have increased each year since the pandemic The FBI’s internet crime report shows internet-based real estate crimes soared from $213 million in 2020 to a staggering $397 million in 2022 . The rental industry was no exception, with many fraudsters taking advantage of the rising popularity of online leasing
According to the Pulse Survey conducted by NMHC, 93 3% of survey respondents reported experiencing fraud within the last 12 months with 70 .7% seeing an
increase in the same time period .
Fraudulent documents have evolved to become increasingly complex It is now more challenging to detect false applications without the help of technology . And in this digital age, relying on onsite teams to play detective is not practical or efficient
COMBATTING FRAUD WITH TECHNOLOGY
With the help of AI and automation, tech can detect fake IDs and altered paystubs instantly, stopping criminals who are trying to exploit the system .
Of the options out there, consider a system that is easy to use, easy to train on and able to seamlessly connect to your property-level data Overall, you want to choose tech that makes it easy for quality applicants to apply while providing an uninterrupted experience from prospect to resident .
HOW FRAUD PREVENTION TECH CAN BENEFIT EVERYONE INVOLVED
Implementing an automated screening solution is not just about preventing fraudulent applicants during the leasing process It’s a proactive approach that can be integrated into various stages of your customer’s lifecycle
EASY TOURING
Enabling ID verification before in-person and selfguided tours enhances security before your prospect enters your property It can also be used to manage resident visitor and vendor access, enhancing security within your communities .
FASTER LEASING
If you implement a connected identity verification solution that seamlessly guides prospects into the applicant stage, prospects who have already verified their identity for a tour won’t have to repeat the
process if they proceed with an application This makes it easy for prospects to complete their application and streamlines the approval process for your staff
STAFF EFFICIENCY
Using technology to automatically cross-check information and detect any inconsistencies that may indicate potential fraud is a huge game-changer for leasing teams But the tech doesn’t stop at identity verification . You can also leverage automation to authenticate applicant incomes, further ensuring that your applicants are able to afford the rent . Not only does this decrease your staff’s manual workload, but it’ll also remove the burden of being detectives
ONGOING VERIFICATION
Be sure to provide residents with access to a secure portal where they can update their information, as necessary . This contributes to a seamless and secure ongoing resident experience .
TECHNOLOGY: BLESSING OR CURSE IN FRAUD PREVENTION?
As the rental industry navigates the challenges posed by rising internet-related real estate crimes, technology emerges as both a solution and a deterrent Online leasing, when coupled with robust ID and income verification solutions, accelerates the leasing process and strengthens the industry against fraud
Max Glassburg is a senior marketing writer at Yardi . He is usually found writing blog content for Yardi Breeze and especially enjoys connecting with
MAXIMIZING SAVINGS AND SUSTAINABILITY: A
COMPREHENSIVE GUIDE TO REDUCING WATER AND UTILITY COSTS THROUGH RUBS THIS SUMMER
Contributed by the Livable Content Team
Ratio Utility Billing Systems (RUBS) are becoming increasingly relevant as a means of cost savings, especially in multi-family dwellings They provide a transparent and equitable method for allocating utility costs based on factors like occupancy and unit size, while encouraging individual conservation efforts . With summer approaching and utility bills expected to rise, implementing water-saving practices under a RUBS structure can lead to substantial financial and environmental benefits for property owners . Let’s
explore how you can apply various strategies to maximize savings by minimizing water consumption throughout the summer months .
PRACTICAL TIPS FOR REDUCING WATER CONSUMPTION
Repair Leaks Promptly: Even minor leaks can waste a substantial amount of water over time Regularly inspect faucets, toilets, pipes and irrigation systems for leaks repairing them fully and promptly
Remember, a dripping faucet or running toilet can waste hundreds of gallons of water each day Regular inspections and quick repairs are essential for financial efficiency
Install Water-Efficient Appliances: Replacing old appliances with water-efficient models can significantly reduce water consumption . Look for appliances with the WaterSense label, which indicates that they meet EPA’s criteria for water efficiency . For example, a WaterSense-labeled washing machine can save a household an average of 3,000 gallons of water per year compared to a standard model
Additionally, replacing shower-heads, faucets and toilets with low-flow alternatives can substantially reduce water usage without compromising performance Low-flow shower-heads use less than 2 .5 gallons of water per minute, compared to standard shower-heads that use up to 5 gallons per minute . Similarly, low-flow faucets can save up to 30% of water compared to standard models .
Landscaping Considerations: Optimize outdoor water usage by watering plants early in the morning or late in the evening to minimize evaporation . Consider using a soaker hose or drip irrigation system, which delivers water directly to the roots, reducing runoff and water waste . Additionally, collect rainwater in barrels for irrigation purposes, further reducing the strain on municipal water supplies Finally, when choosing plants for landscaping, consider plants that require less water, especially in dry climates .
Educate Tenants: Unlike traditional utility billing, where costs are often divided equally among Residents regardless of individual usage, RUBS incentivizes responsible consumption By establishing a direct correlation between water usage and billing amounts, Residents are encouraged to adopt water-saving habits, as their financial well-being becomes intertwined with their conservation efforts This shift in perspective can lead to a significant reduction in water wastage, resulting in significant economic and environment benefits
Provide Tips: Offer information on water-saving practices, like shorter showers, turning off the faucet while brushing teeth and only running full loads of laundry or dishes
Incentivize Conservation: Consider offering small rewards for Residents who consistently conserve water
Promote Water Conservation Awareness : Encourage Residents to adopt water-saving practices by sharing tips and information through community newsletters, bulletin boards or social media groups . Organize workshops or educational events to raise awareness about the importance of water conservation and the benefits of RUBS .
BENEFITS OF WATER CONSERVATION UNDER RUBS
Implementing these water-saving practices under a RUBS structure can yield multiple benefits . Residents can experience a significant reduction in their utility bills, freeing up financial resources for other essential needs Additionally, the collective effort to conserve water can reduce the strain on local water resources, ensuring a sustainable future for the community . Lastly, the reduced water consumption can lower the energy required for water treatment and distribution, contributing to a smaller carbon footprint and a healthier environment
Embracing water conservation under a RUBS framework with Livable can lead to a win-win situation for Property Owners, Residents and the environment By adopting simple yet effective water-saving habits, Residents can minimize their utility costs while contributing to a sustainable future . With summer approaching and water usage expected to increase, implementing these practices can make a substantial difference in reducing water consumption and maximizing financial savings .
START SAVING TODAY!
Livable’s Ratio Utility Billing System (RUBS) is the ultimate solution for Property Owners and managers seeking to simplify utility cost allocation and promote conservation . Our customizable system fairly distributes utility expenses for water, sewer, trash and more, taking into account various factors such as unit occupancy, square footage, and amenities By implementing Livable’s RUBS, you can alleviate the burden of complex billing processes, encourage responsible resource usage among residents, and ultimately increase your property’s net operating income . Experience the ease and efficiency of Livable’s RUBS and unlock a new level of utility management for your property .
Livable is dedicated to conserving water and other natural resources while helping independent rental owners get more from their investments To learn more about Livable’s innovative cost recovery solutions and educational initiatives for residents, visit livable com/apn
SOUTHERN CALIFORNIA RENTAL HOUSING ASSOCIATION -
Five Peaks Property Management . . . 619 814 .7505
Flats LLC
A
AMK Property Management 619 546 0015
Abode Communities 213 225 2868
All Points Real Estate
Alliance Investment Corp
619 .298 .7724
858 .597 .4900
AltaCima Apartment Homes 858 565 8333
American Assets Trust, Inc 858 350 2564
Antelope Ridge (Sentinel Real Estate) 951 672 8181
Arbor Terrace | Westlake Housing 619 293 3612
Arbors at California Oaks Apartment Homes
951 .461 .3264
Asset Property Management 858 560 9363
Award Property Mgmt 619 471 1755
B
Bob Cota Realty 619 465 9934
Brennan And Associates Inc
. 619 .475 .2470
Brentwood Management Co 619 220 8595
Bridge Property Management 801 716 5795
Brycorp, Inc 619 920 7174
Buchanan Property Management Corp 619 269 0276
C
CASAVIDA
858 .454 .8857
CFI 858 200 4260
Cambridge Management Group, AMO 619 497 0771
Campus Village 1, 2 & 3 | 6 Star Properties619 583 3339
Professional Real Estate Management 619 .297 .7736
Providence Real Estate Management Corporation
760 525 8705 R
R A Snyder Properties, Inc
Red Tail Residential 951 234 5204
Rehmann Realty Group 619
forward-thinking. Now, Gen Z is not as concerned with recreation or downtime at the office, rather a financial investment in their future. However, stock options and a standard 401(k) won’t cut it when they are actually searching for “student loan assistance, tuition reimbursement, and maternity and paternity benefits.” This generation values a work-life balance and is highly optimistic for the future, so these types of benefits will not only attract but also encourage them to stay and take advantage of these opportunities.
This highly educated, highly diverse generation is craving a passion and dedication to diversity and inclusion from their employers. As a result, “86% of
Gen Z job seekers cite a commitment to diversity important factor in deciding whether or not to accept Here it is very important company to talk the talk the walk. Diversity and cannot just be a phrase company’s mission statement a committee that meets quarter. This dedication to be seen in initiatives asking one’s pronoun preference, adequate accommodations those who are differently-abled, policies to ensure fair and pay, etc.
They Want an Offer, and Want it NOW
Standard HR procedures it difficult to establish a committee and follow the protocol when extending Gen Z wants no part of
A new rent control initiative will be on the November 2024 ballot.
Local jurisdictions will have free rein to impose and expand rent control. PROPERTY OWNERS WHY
Your rental income and property value will decline.
Will prohibit rent increases upon vacancy (also known as vacancy de-control) by eliminating the owner's ability to charge the market rate when a tenant vacates the unit.
Imposes rent control on all properties i ncluding single-family homes and condominiums by eliminating AB 1482 protections.
If you are renting your units below market, you may never catch up because the initiative allows local jurisdictions to "cap" how much you may increase rent following a vacancy.
Rent "caps" would apply to single-family homes and condominiums.
To stop this so-called "Justice for Renters" initiative in 2024, CalRHA and its affiliates are asking for your support and contribution to fight this third attempt by the same anti-housing activists behind Propositions 10 and 21 from 2018 and 2020. CalRHA and its regional associations collectively need to raise a minimum $5 million dollars, so we're all in this together.
To make a contribution, please scan the QR code. Thank you for your generosity.
$80 million dollars. This next fight will cost even more. $5 MILLION TARGET
The last rent control fight cost the broader housing industry
Funds will be deposited into a dedicated account specifically for fighting the initiative.
We defeated both the 2018 and 2020 rent control initiatives. With your support, we can do it again. SUCCESS TOGETHER
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VALUE OUTREACH ADVOCACY
VALUE
Recognized resource hub that inspires diverse membership growth & engagement from all sectors of rental housing.
The ultimate resource for all things related to rental housing.
ADVOCACY
Rental housing friendly public policy & elected and appointed officials
OUR VISION
Reenvisioning quality housing for all
OUR MISSION
To create a thriving rental housing community through advocacy, education, and collaboration
Robust funding for rental housing policy creation
Character & integrity that negates need for regulation
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