CA CRE Alert: Significant Legislative Bills That Could Impact Your Business
BOMA Cal is actively engaging in advocacy efforts in Sacramento, focusing on pivotal bills that could influence the commercial real estate sector. Read more about the priority bills here.
What You Need to Know
Bills Supporting Business Growth:
- AB 2433 makes it easier to get building permits by offering different fee options and allowing private professionals to help. This could speed up the process for developers and investors.
- AB 3196 makes it easier to resolve arguments about commercial property. It sets clear time limits for when hearings need to happen. This helps businesses because they don't have to wait around as long, which means they can avoid extra costs and stress.
- AB 3068 & AB 2910 encourage turning commercial spaces into homes or mixed-use areas. These laws would allow cities to offer money to encourage these changes and simplify the process of getting permission to do so.
- SB 1227 wants to make San Francisco's Downtown livelier by giving special permission to certain projects so they don't have to follow all the usual environmental rules. The idea is to encourage more building and growth in the city.
Bills to Watch:
- SB 1103 introduces rent control measures. For example, limiting how much landlords can ask for as a security deposit from small businesses and nonprofits. They can only ask for up to one month's rent as a security deposit.
- AB 2364 imposes janitorial production rate limits, cutting the amount of space a janitor can clean by more than half the current average of 5,000-6,000 square feet.
- AB 2374 extends the time janitors must be kept after losing their jobs to 90 days and requires preferential hiring based on seniority, potentially raising operating costs for properties and tenants due to the retention of extra employees.
How It Impacts You
These proposed changes can significantly impact commercial real estate professionals. Take AB 2433 for example, it could speed up getting permits, which means less time and money spent. Then there's AB 3196, which lays out clear schedules to cut down on arguments and costly legal battles. Plus, AB 3068 and AB 2910 might open doors for new investments.
However, staying informed about potential regulations like rent control and janitorial service rules is crucial, as they may affect operational costs and leasing agreements.
Stay Connected
Staying informed and advocating for our interests is paramount in navigating these evolving regulations. This ensures commercial real estate professionals can adapt and thrive in this changing legislative landscape.
Please stay connected with us at BOMA on the Frontline for the latest news impacting members.
