If you believe your property is exempt from the Rent Adjustment Program, you may get a Certificate of Exemption. If you do not have this certificate, you must submit a petition to the RAP to get this certificate. The City will grant a Certificate of Exemption only for units that are permanently exempt from the Rent Adjustment Ordinance.
Owners can petition for exemption based on the following justifications:
- New Construction: This may apply to individual units. The unit was built and a certification of occupancy was issued for it on or after January 1, 1983.
- Substantial Rehabilitation: This applies only to entire buildings. You must have spent at least 50 percent of the average basic cost for new construction for the rehabilitation. The Chief Building Inspector determines the average basic cost for new construction. This determination uses tables that are specific to the time of the completed rehabilitation.
- Single-Family or Condominium (Costa-Hawkins): Applies to Single Family Residences and condominiums only. Owners will need answer the following questions:
- Did the prior tenant leave after being given a notice to quit (Civil Code Section 1946)?
- Did the prior tenant leave after being a notice of rent increase under Civil Code Section 827?
- Was the prior tenant evicted for cause?
- Are there any outstanding violations of building, housing, fire, or safety codes in the unit or building?
- Is the unit a single family dwelling or condominium that can be sold separately?
- Did the petitioning tenant have roommates when he/she moved in?
- If the unit is a condominium, did you purchase it? If so: 1) from whom? 2) Did you purchase the entire building?
- When did the tenant move into the unit?