2 BERKELEY RENTAL NEWS

MOVING OUTBreaking a leaseA tenant who breaks a fixed-term lease could be held responsible for rent forthe remainder of the lease term unless a replacement tenant is found. If thelease allows subletting, then the tenant should find a subtenant; if subletting isforbidden, the landlord is obligated to “mitigate damages” by trying to re-rentthe unit as soon as possible once the tenant vacates. Civil Code section 1951.2states that the tenant can be held responsible for expenses associated with thetenant’s early termination of the lease. This could include lost rent. Therefore,we recommend that the tenant assist the landlord in trying to re-rent the unitas soon as possible to reduce the chance of being saddled with these expenses.In most cases, the tenant and landlord can work together to find a suitablereplacement, thus ensuring minimal losses on both sides.

Roommate Replacement

When a group rents an apartment and individual tenants leave, the remainingtenants are allowed to replace their outgoing roommates. A tenant moving outshould give 30 days’ notice to her/his roommates and to the landlord. Theroommates should try to find a responsible replacement, and provide a rentalapplication to the landlord, who may request an interview. A landlord canreject a replacement only if s/he has reasonable grounds—e.g., the person doesnot qualify for tenancy under the landlord’s standard application process.

If a landlord unreasonably denies a tenant the right to replace a roommate in aunit under Berkeley rent control, there could be a significant impact on the rentlevel. Rent Stabilization Board Regulation 1270 allows a rent ceiling reductionin proportion to the decrease in number of tenants imposed by a landlord. Forexample, if three tenants were leasing an apartment for $1,500, then the rentceiling would be reduced to $1,000 if one tenant left and the landlord prohibit-ed a replacement. Whether the landlord imposes this by unreasonably rejectingeach proposed person or by refusing to consider anyone at all (even if the land-lord prohibits subletting in the rental agreement), the Regulation still permits arent ceiling reduction. Faced with the prospect of a significant rent decrease,landlords often decide to permit a replacement tenant.

Not good cause for eviction . . .

Under the Rent Ordinance, an owner cannot evict a tenant for violating thelease because the tenant sublet the unit if the landlord has unreasonably with-held consent to sublet. In order for this protection to apply, the original tenantmust remain an actual occupant of the rental unit and the number of tenantsmay not exceed the base occupancy level established at the inception of thetenancy. We strongly advise tenants and landlords who are having a problemwith roommate replacement to speak with a Rent Board housing counselor assoon as possible before taking any action.

Becoming a co-tenant . . .

If a landlord makes the replacement tenant a co-tenant by adding their nameto the lease, then the landlord will not qualify for a vacancy increase until thisreplacement tenant also moves out. Call a Rent Board housing counselor if youneed further assistance in proceeding with a roommate replacement issue.

MOVING INWhile you’re looking for a place . . .1. Make sure you can afford the rent!

Signing a one-year lease may obligate a tenant to pay the rent for the entireyear. If you move out before the lease ends, it is possible that you may be heldresponsible for paying rent if the unit is not re-rented before the lease periodexpires. If you want to rent a certain apartment, but you think the rent is toohigh for the current market, you might negotiate with the landlord to lower therent. Remember that losing out on an individual apartment is much better thanhaving to pay rent on a place where you’re not even living.

2. Get it in writing!

Request that the rental agreement be in written form, and make sure both youand the landlord sign it. Get receipts for any payments that you make in excessof the first month's rent. This is especially important if you pay in cash.

3. Ask the landlord if last month’s rent will be applied.

Rental contract language varies, and can be difficult to interpret. Be clear onwhat the landlord’s intentions are with all money collected (beyond the firstmonth’s rent) at the beginning of a tenancy. All money paid in excess of thefirst month's rent is considered a security deposit, and you are entitled tointerest on the entire amount. Deposits can be used for last month's rent orsecurity—or a combination of the two—depending on what the leasestipulates.

4. Call the Berkeley Rent Board to determine if the unit isunder rent control.

Additional protections are offered to tenants in units covered by rent control.This information is useful when negotiating rent and a rental term.

5. Make sure the unit has the basics.

Some items that could be visible at the time of the showing are smoke detec-tors and a working phone jack. Each rental unit is required to have them.

As the summer approaches, many tenants will experience some change in their tenancy, or perhaps have a housemate move out. There aremany ways a tenancy can come to an end. Regardless of how the tenancy ends, however, state law requires that the tenant give 30 days’written notice to the landlord if the tenant is terminating the tenancy. This applies even to tenants planning to leave at the end of a fixed-term

lease. For each situation described below, both tenants and landlords should be aware of how their actions will affect the tenancy.

AND IF YOU’RE STAYING …Renewing a leaseMany tenants stay in their rental units long after their original lease agreementexpires. For units under Berkeley rent control, tenancies continue even if alease period expires. Landlords and tenants should be aware that when a fixed-term lease is close to expiration, a landlord:

CAN

1. Request that the tenant sign a substantially identical renewal lease.

2. Require 30 days’ written notice from a tenant who wishes to move out.

3. Assume the tenancy will continue on a month-to-month basis if the tenantdoes not inform them in writing at least 30 days prior to a planned move-out date.

CANNOT

1. Require the tenant to sign a new lease after the previous lease has expiredand the tenancy has converted to a month-to-month agreement. (Californiastate law provides that if, after the expiration of a lease, a landlord acceptsrent, the tenancy will become month-to-month under the same terms of theoriginal lease.)

2. Require a tenant to sign a lease that changes any material term of the origi-nal lease. Examples of material terms are:

� Lease period � Rent amount � Services provided

� Space provided � Late fees � Security deposit amount

SHOULD I STAY OR SHOULD I GO?As the expiration date of your lease nears, it is time to consider whether youwill stay in your current living situation or move on. In many cases, it is a loteasier to remain in the same place and not have to deal with the expense andhassle of moving. But consider: On the one hand, you might be able to find abrand-new apartment that is significantly cheaper, and you could start a newlease with a new, lower rent ceiling. However, do not discount the idea ofnegotiating a lower rent with your current landlord. Just remember: If you andyour landlord can agree on a discounted rent for a certain period of time,your original rent ceiling remains the same. So if you signed an annual leaseat $1,500, and then negotiate a rent of $1,400 on a month-to-month basis atthe end of the year, your landlord does retain the right to raise your rent backto $1,500 at any time with a 30-day notice.

The following median rents for new tenancies that began between October 1and December 31, 2007, as reported to the Rent Stabilization Board, couldaffect your decision. Remember, this information provides only a baselineunderstanding of the rent charged for Berkeley units. A number of other fac-tors, such as location, services, and size of the rental, affect the amount of rentthe tenant and owner agree to in a lease.

Studio $900 1 BR $1,150 2 BR $1,475 3 BR $2,200

ONCE YOU MOVE IN . . .� Take date-stamped photos of any damage, so that you are able to docu-ment the condition of your apartment when you moved into it.

� Send these pictures to your landlord with a letter identifying any substan-dard conditions and keep copies for yourself.

� Have a friend, neighbor or other neutral party witness the condition ofthe rental unit.

3SPRING 2008

It is almost impossible not to haveheard about the fallout from thesubprime mortgage lending debacle.Foreclosures are have reached an all-time high, and both property ownersand tenants have been caught up inthe maelstrom. Luckily, in a city withrent controls and eviction protections,tenants of a building going throughforeclosure still have rights.

A foreclosure is an extremely unpleas-ant and stressful time for all peopleinvolved, especially for the owner ofthe property. Tenants, however, expe-rience a great deal of stress during aforeclosure as well, mostly due to theuncertainty surrounding such anevent.

One thing that should remain fore-most in the minds of Berkeley ten-ants is that in this city, an evictionsolely due to foreclosure is not law-ful. If a bank wishes to evict any ten-ants, the bank must cite one of thetwelve good causes outlined in theBerkeley Rent Ordinance, just as anyproperty owner would.

A change in the building’s ownership– which is ultimately what a foreclo-sure is, since the bank has taken overownership – does not amount to goodcause for eviction. Many banks issueeviction notices as a matter of courseonce they have taken over the proper-ty. In most cities, they can do thisbecause most cities do not provide

good cause for eviction protection totenants.

Another issue for tenants of a fore-closed property to consider is that ofpaying rent. Tenants sometimes hearrumors that a foreclosure is likely, andstart wondering whom they shouldpay rent to, or even if they shouldcontinue to pay rent at all.

Tenants should always assume thatthe owner has retained title to thebuilding and continue paying rent tothat owner until they are told other-wise by a financial institution.

Once a tenant has received a noticefrom a financial institution informingthem of the foreclosure and change inownership, tenants should make everyeffort to contact that financial institu-tion and inquire about how to makerent payments.

Many foreclosure notices include a

notice to quit, addressed to all occu-pants of the property. Tenants shouldnot ignore such notices. Just becausethe bank does not have the right toevict a tenant does not mean that theinstitution will not make the attempt.

Tenants who have received suchnotices should take the followingaction:

1. Call the Rent Board. Staff mem-bers will request a copy of thenotice that the tenant has receivedand contact the financial institutionto provide information on Berkeleyrental laws, particularly the evictionprotections.

2. Consider contacting an attorney.You may want to select a privateattorney who is familiar withBerkeley rental laws. Tenants canalso inquire at the Rent Boardwhether they qualify for represen-tation at a non-profit agency fund-

ed by the Board. But it is wise tofind an attorney, and to do itquickly. Failure to respond to evena faulty notice can result in evic-tion, so tenants should enlist theaid of a professional who is adeptat navigating the legal system.That way, tenants can avert themissteps that could result in ajudgment against them.

3. Either the tenant or the tenant’slegal representative should contactthe financial institution (foreclo-sure notices should include a con-tact name and address), stating thetenant’s intent to continue payingrent, to confirm that the bank’srepresentative is the correct personto whom rental payments shouldbe addressed, and to state that thetenant understands that Berkeley’srental laws do not allow eviction inthe event of foreclosure.

If tenants even suspect that a foreclo-sure is in the works and have ques-tions, they should always free to con-tact a Rent Board housing counselor.

If tenants act quickly and utilize allthe resources that are available tothem, including the informationavailable at the Rent Board, theyhopefully can avoid an unlawful andneedless disruption to their lives. �

Be Forewarned on Foreclosures!Building in default? Berkeley’s rental laws offer protection!

FORECLOSURE FIVE1. Foreclosure is NOT a good cause for eviction!

2. Continue to pay your rent!

3. Don’t ignore notices!

4. Get representation – we can help!

5. Check out our foreclosure brochure atwww.ci.berkeley.ca.us/rent

As spring gives way to summer,many Berkeley tenants prepareto move out of their rentalunits. Neighborhoods near the uni-versity are especially affected by theannual migration of students at theend of the academic year. Too often,unwanted furniture and other itemsare left on the sidewalks in the mis-taken belief that “someone will wantthem.” Leaving furniture and otheritems curbside not only is illegal (theCity can impose fines up to $1500), italso tarnishes our beautiful city andharms the environment. Most ofthese items end up in landfills.Unwanted electronic items includingtelevisions, computers and monitorsare considered hazardous waste due tothe materials used in their manufac-ture. Never dispose of these and otherelectronic items in general trash con-tainers or leave on sidewalks.

A new program sponsored by theCity of Berkeley and UC Berkeleyaims to reduce the environmental andsocial impacts of students who moveat the end of the spring semester.Building on efforts started last year,

the City and University are employinga variety of strategies to divert wastefrom landfills by increasing the recy-cling and reuse of unwanted items.Look for door hangers and otherinformational materials each spring.By following three easy steps listedbelow, all Berkeley residents canreduce their eco-footprint. If you areplanning on moving out:

1. Plan Ahead. If you know you’llbe moving over the summer, nowis the time to think about whatyou’ll be taking with you or storingand what you’ll want to discard.Planning ahead gives you time toresponsibly dispose of unwanteditems.

2. Donate or Sell. Several non-prof-its will gladly accept reusable fur-niture, appliances, clothing, etc.and some will even pick up youritems free of charge. Nationalorganizations like GoodwillIndustries and the Salvation Armyhave stores and donation centers inBerkeley and neighboring cities.There are many other local organi-

zations that accept reusable goodsto support a variety of causes. TheCity of Berkeley’s Reuse Guide(see link below) provides the con-tact information for these localorganizations. If you plan aheadand want a little cash back to helpwith moving costs, online market-places like Craigslist and eBay aregreat ways to find willing buyers.

3. Schedule a free pick-up. If youlive in a rental property with fewerthan 4 units you are eligible forone free “bulky waste pickup”every calendar year. Call the Cityof Berkeley at (510) 981-7270 toschedule an appointment. Up tothree cubic yards (roughly 20 largegarbage bags) of disposable mate-rial will be picked up curbside,free of charge. If you live in alarger building, talk with yourlandlord about requesting an extradumpster. Other tenants in yourbuilding will likely also need theseservices and your landlord willwant to avoid fines for illegallydumped items in front of theproperty. �

Helpful Resources:City of Berkeley,Refuse Customer Service:(510) 981-7270

City of Berkeley, Reuse Guide:http://www.ci.berkeley.ca.us/pw/swm/reuseguide.pdf

A soft landing for unwanted items

4 BERKELEY RENTAL NEWS

Design by Design Action Collective. Printing by Inkworks Press.Printed with vegetable oil inks on 100% post-consumer content paper.

Rent

Stabiliza

tion

Progra

m2125

Milvia

Street

Berkeley,C

A94704

CONTA

CTIN

FORMATIO

N:

Phone:(510)

981-RENT

Fax:(510)

981-4910TDD:(510)

981-6903E-mail:re

nt@ci.berkeley.ca.us

OfficeHours:

Monday–Frid

ay

9:00a.m.–4:45

p.m.

ExceptWednesdays

12:00noon–6:30

p.m.

Wha

t’sinsid

ethis

issueofthe

Berke

leyRenta

lNew

s...

�June

3rdEle

ctio

nInfo

�Fo

reclosure

Evictio

nPro

tectio

ns

�Moving

In/Moving

Out

Guid

e

PRSR

TSTD

USPOSTAGE

PAID

BERKELEY,

CA

PERMIT#18

SPR

ING

2008THEN

EWSLETTER

OFTH

EBER

KELEY

REN

TSTA

BILIZA

TIONBOARD

¡HABLAMOSESPA

ÑOL!

InquilinosyPropietarios

Obteng

aeste

Boletín

enEspañol

LaMesa

de

Esta

biliza

ciónde

Rent

as

de

Berkeleyaho

raofrece

latraduc

-ciónde

este

boletín

enesp

año

l.Si

dese

aobte

nerun

acopia

—o

sius

ted

tiene

pre

gun

tasso

bre

lare

nta

enBerkeley–porfa

vorlla

me

a:

Ang

elin

aTo

scano

981-49

02

It’sAllabout

theInterest

Didyouknowthatwhenatenant

movesout,thelandlordmustreturn

interestonthesecuritydepositin

additiontothedeposititself?The

interestiscalculatedonthedeposit

forthemonthsbetweentheprevious

November1andthemove-outdate.

Needhelpfiguringouthowmuchis

owed?Giveusacall,orvisitour

Websiteat

ww

w.ci

.ber

kele

y.ca

.us/

rent

/

andclickon“SecurityDeposit

InterestRate.”Wepublishthe

“move-out”rateeachmonthonour

siteandprovidea“calculator”for

yourconvenience.

Message from the Director

It’s been a lively year,marked by a strong andsteady demand for theservices of the Rent Board.I am proud to say that I amregularly contacted by own-ers expressing gratitude for

the high-quality and courteous service they receivefrom our office. I have also been touched by severalof the cases that have come to my attention thispast year involving long-term tenants in our com-munity. The profound impact our agency has beenable exert in successfully resolving those cases andkeeping these thirty-, forty- and fifty-year Berkeleyresidents in their homes has been impressive.

June 3 election – Rent control on state ballotThe future of rent control and many other tenantprotections will be decided by California votersthis June. In the interest of voter education, wehighlight the issues pending in next month’s elec-tion. Up for voter consideration are two proposi-tions: Prop 98 and Prop 99, which affect rentcontrol, tenant protections and property rights.Many believe environmental protections, waterrights, and zoning laws will also be affected by thedecision of voters on these measures. Please seeour Page 1 summary of Prop 98, as well as thearguments for and against and links to additionalinformation.

ACTransit Campaign:Real people/Real solutionsWe’re bringing some real-life Rent Board storiesto the public’s attention in our new ACTransitbus shelter ad campaign. These ads feature fourlong-term tenants who, as a direct result of theBerkeley Rent Board and Ordinance, were able to

stave off illegal evictions and/or prohibitive,unwarranted rent increases that would have forcedthem out of their Berkeley homes. The ads canbe seen at bus shelters throughout the city for thenext year.

Tenants protected even if foreclosure hitsAs mentioned above, rent control’s protections donot extend only to long-term tenants. The past yearhas been marked by the effects of the subprimemortgage meltdown, and the number of foreclo-sures is skyrocketing. Our Page 3 article outlinesthe specific issues that all tenants should consider iftheir rental property is foreclosed on. Bottom line:In most cases, Berkeley tenants do not have to leavea rental unit because of a foreclosure.

New board member selectedFinally, I wish to extend a warm welcome to ournew Interim Rent Board Member Corie Calfee,who was appointed at the Board’s March 17meeting to fill the seat vacated when ChrisKavanagh resigned. Ms. Calfee, a graduate ofboth UC Berkeley’s Boalt School of Law andGoldman School of Public Policy, is a land-useattorney in San Francisco.While at Cal, Ms.Calfee co-edited the Ecology Law Quarterly andworked at the Fischer School for Real Estate andUrban Economics. We anticipate that she willbring a unique combination of education andexperience to our Board.

I foresee a busy summer, as the Rent Board con-tinues to fulfill its much-needed mission of pro-tecting the rights of both owners and tenants inthis city. As always, if you seek any informationon your rental, or have comments on this newsletter,give us a call at our new number: 981-RENT!

Your friendly Rent Board Housing Counselors nowoffer their FREE counseling expertise in two newvenues!

Berkeley Central Library, 2090 Kittredge St:Counselors will be available on the second Saturdayof each month in the Berkeley History Room, sec-ond floor, from 11:00 a.m. to noon.

North Berkeley Senior Center, 1901 Hearst Ave:Housing Counselors will also offer one-on-onecounseling sessions with seniors on the thirdMonday each month, from noon to 3:00 p.m.

Counselors will assist both tenants and owners byanswering questions on housing topics, includingsecurity deposits, rent control, evictions and unpaidrent. For more information, please contact NickTraylor at (510) 981-RENT.

The East Bay Municipal Utility District has agreednot to shut off services to tenants in foreclosedapartment buildings for the time being. TheDistrict unanimously agreed to continue a morato-rium begun in February on water shut-offs to mul-tifamily buildings whose owners stopped paying thewater bill. Prior to the EBMUD meeting, the RentBoard unanimously adopted a resolution supportingthe action and had the Chair urge EBMUD toapprove the proposal.

New counseling options

EBMUD Won’t LeaveTenants High and Dry

Tryour

newnu

mber:

981-REN

T!

RECYCLE & UNION BUGS