South Shore Apartments in Alameda filed over $24 million in construction costs for a Capital Improvement Plan and are trying to pass on some of those costs to its tenants using a little known law.Renters at one of the city of Alameda’s largest apartment complexes are in an uproar over a potential rent increase due to a little-known law that allows landlords to pass the costs of improvements onto their tenants.
Some residents say Alameda's rent increases are exorbitant and unfair, especially if their landlord is an out-of-state corporation and not a small business owner. Over 200 South Shore tenants have signed a petition asking Alameda City Council to block the increase from going through. However, Alameda city officials said their hands are essentially tied and that the South Shore residents may be on the hook for the rent increase, although a final decision has yet to be issued.
Alameda’s CIP passed in 2016 with the intent to improve the quality of the city’s housing stock and to prevent homes from becoming decrepit and condemned. To date, Alameda city officials have only approved one CIP on a three-unit building. Renters do have a remedy, they can elect to not accept the increase and move out, at which point the landlord may have to pay the tenant for relocation costs.
If the CIP is approved, the South Shore tenants may challenge the approval and bring forth evidence of shoddy work. They may also petition the Rent Program for enforced rent reductions based on quality of living issues, such as mold, the director said.