Los Angeles Rent Control Calculator

How Los Angeles Rent Control (LARSO) Works

The Los Angeles Rent Stabilization Ordinance (LARSO), codified under Los Angeles Municipal Code §151.00 et seq., has governed rent increases in the City of Los Angeles since 1979. Enacted during a period of severe housing inflation, the ordinance now covers approximately 650,000 rental units across the city — making it one of the largest rent stabilization programs in the United States.

The Allowable General Adjustment (AGA)

Each year, the Los Angeles Housing Department (LAHD) publishes an Allowable General Adjustment (AGA) that determines how much landlords may raise rent on covered units. The AGA takes effect every July 1 and applies to rent increases with effective dates during the following 12-month period.

Effective July 1, 2026, the City of Los Angeles adopted a new AGA formula based on 90% of the annual change in the Consumer Price Index for All Urban Consumers (CPI-U) for the Los Angeles-Long Beach-Anaheim metropolitan area, with a minimum floor of 1% and a maximum ceiling of 4%. This replaced the previous formula that used 100% of CPI with a 3% floor and 8% ceiling.

Previous Formula vs. New Formula

Under the previous formula (in effect through June 30, 2026), the AGA was set at 100% of the CPI change, with a floor of 3% and a ceiling of 8%. This meant that even in years of low inflation, landlords could raise rent by at least 3%.

The new formula effective July 1, 2026 significantly tightens the cap:

• Calculation: 90% of annual CPI-U change (LA-Long Beach-Anaheim)
• Minimum floor: 1% (down from 3%)
• Maximum ceiling: 4% (down from 8%)

With the current LA-area CPI-U running at approximately 3.3%, 90% of that figure yields about 3.0% — which is the current AGA rate of 3.0%. This is far below the statewide AB 1482 cap, which for the Los Angeles region calculates to approximately 8.8% (5% + 3.8% CPI).

LARSO vs. AB 1482: Key Differences

Understanding how LARSO interacts with the statewide Tenant Protection Act (AB 1482) is critical for Los Angeles landlords. When a property is covered by LARSO, the more restrictive local ordinance applies — not the statewide cap. Here are the key differences:

• Rent cap: LARSO typically allows 3% increases vs. AB 1482’s 8.8% (for the LA region). Tenants in LARSO-covered units pay significantly less in annual increases.
• Construction cutoff: LARSO uses a fixed date — October 1, 1978. AB 1482 uses a rolling 15-year window (currently buildings with a certificate of occupancy before 2011).
• Tenancy duration: LARSO protections apply from day one of a tenancy. AB 1482’s just cause eviction protections only kick in after 12 months of continuous occupancy.
• Vacancy decontrol: Under both LARSO and AB 1482, landlords may generally reset rent to market rate when a unit is voluntarily vacated. However, LARSO imposes additional restrictions on some types of vacancies, particularly those resulting from no-fault evictions.
• Registration: LARSO requires annual unit registration with the LAHD. AB 1482 has no registration requirement.

The October 1, 1978 Construction Cutoff

LARSO applies to residential rental units in buildings for which a certificate of occupancy was issued before October 1, 1978. This fixed date is a critical distinction from AB 1482’s rolling 15-year window. It means the universe of LARSO-covered units does not expand over time — only buildings that existed before that date are subject to the ordinance. New construction, including buildings completed after October 1, 1978, is generally not covered by LARSO (though it may still fall under AB 1482 once it reaches 15 years of age).

Just Cause Eviction Under LARSO

LARSO provides 14 enumerated just cause reasons for eviction, which are more detailed than AB 1482’s at-fault and no-fault categories. These include standard grounds such as nonpayment of rent, breach of lease, nuisance, and illegal use, as well as no-fault grounds like owner move-in, demolition, and withdrawal from the rental market under the Ellis Act. Critically, LARSO’s just cause protections apply immediately upon tenancy — there is no 12-month waiting period as required under AB 1482.

CPI Index Used

The CPI index referenced in the LARSO AGA formula is the Consumer Price Index for All Urban Consumers (CPI-U) for the Los Angeles-Long Beach-Anaheim metropolitan statistical area, published by the U.S. Bureau of Labor Statistics. This is the same CPI region used in the AB 1482 calculation for properties in the greater Los Angeles area, but the formulas applied to that CPI figure differ substantially between the two laws.

Read our complete AB 1482 guide for statewide rules →

Relocation Assistance Requirements

When a landlord initiates a no-fault eviction of a tenant in a LARSO-covered unit, the landlord is required to provide relocation assistance payments. The amounts are updated annually by the LAHD and depend on the tenant’s eligibility category.

Current Relocation Amounts

Qualified tenants include seniors aged 62 or older, disabled individuals, and families with minor children (under 18). These tenants receive significantly higher relocation payments.

When Relocation Is Required

• Ellis Act withdrawal — when a landlord permanently removes all units in a building from the rental market
• Owner or relative move-in — when the owner seeks to occupy the unit for personal use
• Demolition — when the building is being demolished for new construction
• Major rehabilitation — when extensive renovations require the unit to be temporarily vacated
• Government order — when a government agency orders the unit vacated for health or safety reasons
• HUD or affordable housing conversion — when the unit is being converted to affordable or government-subsidized housing

Relocation payments must be made before the tenant vacates. Failure to pay relocation assistance can result in penalties and invalidation of the eviction notice.

Frequently Asked Questions