END OF SESSION - OPPOSE SB 522

     FLOOR ALERT

SB 522, (Wahab) Punishing Property Owners for Natural Disasters

                                                                           OPPOSE

SB 522 is PENDING on the THIRD READING FILE.

The Apartment Association of Orange County is OPPOSED to SB 522 and respectfully asks for a NO VOTE.

 SB 522 will have drastic negative effects on the rental housing market as it aims to make units that were built to replace destroyed units by disaster subject to rent control limits based on the value of the unit that was destroyed.

Among the reasons to OPPOSE are as follows:

• This bill is EXTREMELY harmful to property owners as they are being punished for rebuilding property lost during a natural disaster.
• It is OBVIOUS that rebuilt property is going to cost much more than to upkeep existing property and this bill would ensure that property owners cannot recoup their losses from any disaster.
• This bill will negatively impact the housing market overall as there will be a significant incentive to NOT REBUILD. IT WILL PUSH prospective and existing property owners to invest elsewhere.

For these reasons, we respectfully request that you OPPOSE SB 522.