Ellis Act Eviction California: Landlord Compliance Guide

Ellis Act Eviction California: Landlord Compliance Guide

The Ellis Act is the only statutory mechanism in California that lets a landlord exit the rental business and remove a rent-controlled building from the market without proving cause against any tenant. It is also one of the most heavily regulated and litigated landlord remedies in the state. A single procedural misstep can result in a withdrawal that the city will not record, six-figure relocation liability, or a deed restriction that bars rental use of the property for ten years.

Key Takeaway: Government Code §§ 7060-7060.7 (the Ellis Act) gives California landlords the right to withdraw an entire rental property from the rental market and evict all tenants. Required notice is 120 days, extended to one year for tenants 62 or older or disabled. Relocation assistance in the City of Los Angeles ranges from $9,650 to $24,650 per unit (2026 LAHD figures). The withdrawn property cannot be re-rented at market rate for at least five years and is subject to constraint up to ten years.

Borna Houman Law represents Los Angeles property owners through Ellis Act withdrawals across LARSO, Santa Monica, Beverly Hills, West Hollywood, and unincorporated LA County jurisdictions.

What Is the Ellis Act and When Should a Landlord Use It?

The Ellis Act (Government Code §§ 7060-7060.7) was enacted in 1985 in response to Nash v. City of Santa Monica (1984) 37 Cal.3d 97, in which the California Supreme Court held that local rent control could compel a landlord to remain in the rental business. The Ellis Act overrules that result. It guarantees the right to go out of the rental business in any local jurisdiction.

The Ellis Act is the right remedy in three situations:

  1. Sale to an owner-user. The buyer plans to occupy the building or convert it to condominiums and does not want to inherit existing tenancies. Note: condo conversion timing rules are jurisdiction-specific.
  2. Demolition and redevelopment. The owner intends to demolish the building or convert it to a non-residential use.
  3. Permanent removal from the rental market. The owner wants to leave the rental business entirely and either sit on the asset or sell to a non-rental user.

The Ellis Act is the wrong remedy when the goal is to evict one or two specific tenants while keeping the rest of the building rented. That is what just-cause eviction under AB 1482 and local ordinances exists for. Ellis is all-or-nothing: every tenant in every unit must go.

How Does the Ellis Act Eviction Process Work in Los Angeles?

The procedure has nine steps. In the City of Los Angeles, the LA Housing Department (LAHD) administers Ellis filings. In Santa Monica, it is the Rent Control Board. In West Hollywood, the Rent Stabilization Department. Each city has its own forms, fees, and deadlines on top of the state-level Government Code requirements.

Step Action Statutory authority Deadline
1 Notice of Intent to Withdraw filed with the city Gov. Code § 7060.4(b); LAMC § 151.23 Day 0
2 Memorandum recorded against the property Gov. Code § 7060.5 Within 30 days of step 1
3 Notice of Termination served on each tenant Gov. Code § 7060.4(c) Concurrent with step 1
4 Tenant election to extend (62+ or disabled) Gov. Code § 7060.4(b)(2) 60 days after termination notice
5 Relocation assistance paid (LA: half upfront, half at vacating) LAMC § 151.09(G); LARSO RAC schedule Per local rule
6 Tenancy terminates at end of 120 days (or 1 year) Gov. Code § 7060.4(b) Day 121 or Day 366
7 Unlawful detainer filed if tenant remains CCP § 1161 After expiration
8 Constraint period begins Gov. Code § 7060.2 Day of last unit vacated
9 Re-rental restrictions: 5-year market-rate ban; 10-year right of first refusal Gov. Code § 7060.2 Years 1-10

The Notice of Intent and the Notice of Termination are not interchangeable. The first is filed with the city. The second is served on tenants. Both must include statutorily required language. Local jurisdictions add their own required disclosures (LAHD Form Notice of Termination of Tenancy, Santa Monica Form 213, etc.).

What Are the Relocation Assistance Requirements Under the Ellis Act?

The Ellis Act itself does not require relocation assistance. Local jurisdictions do. In LA County, every Ellis-affected tenant in a rent-controlled unit is entitled to relocation assistance set by the local Rent Adjustment Commission and adjusted annually.

Jurisdiction Standard tenant Qualified tenant (low income, senior, disabled, or with minor) Schedule reference
City of Los Angeles (LARSO) $9,650 $24,650 LAHD 2026 RAC schedule
Santa Monica Per Santa Monica RCB resolution; tied to FMR Higher tier for seniors and disabled SMMC § 4.36.020
West Hollywood Tiered by length of tenancy and household Senior/disabled tier WHMC Title 17 Ch. 17.52
Beverly Hills Statutory schedule under BHMC § 4-6-6 Higher tier BHMC Ch. 4-6
Unincorporated LA County $10,500 (2026) $23,500 (2026) LA County Code § 8.52

These figures are jurisdictional minimums and adjust annually. In our experience handling Ellis withdrawals in LA, the most common compliance failure is paying the standard amount when one or more occupants qualify for the higher amount. A tenant with a child under 18 in the household qualifies in LA City. So does a household with any member 62 or older.

What Are the Re-Rental Restrictions After an Ellis Withdrawal?

The Ellis Act imposes both state-level and local-level restrictions on what a property owner can do with the building after withdrawal. These restrictions are not cosmetic. They run with the land for up to ten years.

The 5-year market-rate ban

Under Government Code § 7060.2(a), if any unit is re-rented as a residential rental within 5 years of withdrawal, the rent for the first 2 years is capped at the legal rent in effect at the time of withdrawal, plus annual rent control increases. The unit re-enters the rent control system as if it never left. Re-renting at “market rate” within this period exposes the owner to civil liability and treble damages.

The 10-year tenant right of first refusal

Under Government Code § 7060.2(b), if any unit is offered for rent within 10 years of withdrawal, the displaced tenant has the right to re-rent the unit at the legal pre-withdrawal rent plus controlled increases. The owner must serve a written offer at the tenant’s last known address. Failure to do so is a separate cause of action.

The deed restriction

The recorded memorandum (step 2) puts the entire chain of title on notice. A buyer who acquires the property mid-constraint inherits the full set of Ellis restrictions. This depresses the marketability of the property during the constraint period and is one reason that Ellis is best timed in coordination with a planned demolition or condo conversion permit.

What Are the Most Common Ellis Act Mistakes Landlords Make?

The most common mistake we see is treating Ellis as a tactical eviction tool against one tenant. It is not. It is a permanent strategic decision about the building. Other recurring mistakes:

  1. Skipping the Notice of Intent and going straight to a termination notice. The state filing is mandatory. A termination notice without a city filing is void.
  2. Underpaying relocation by misclassifying tenant status. Senior, disabled, low-income, and minor-occupant status all trigger the higher tier. Owners are required to ask, document, and pay.
  3. Re-renting too early. Re-renting the building (or any unit in it) within 2 years to a non-controlled rent triggers civil liability. Within 5 years, it triggers re-imposition of rent control on the unit.
  4. Failing to serve the right-of-first-refusal offer. If the owner re-rents within 10 years and does not first offer the unit to the displaced tenant, the tenant has a private right of action.
  5. Confusing Ellis with owner move-in eviction under SB 567. They are separate remedies with different consequences. Owner move-in (Civil Code § 1946.2) lets the owner or a family member occupy a single unit; Ellis takes the entire building off the market.
  6. Filing without coordinated demolition or sale plans. Ellis without a plan creates a vacant, deed-restricted property carrying tax and maintenance costs for years.

How Does Ellis Act Interact With Local Just-Cause Eviction Laws?

The Ellis Act preempts local ordinances that would prohibit going out of business. It does not preempt local relocation assistance, notice content, or post-withdrawal rules. Every Ellis withdrawal in California is therefore subject to two layers of compliance:

  • State law: Government Code §§ 7060-7060.7 sets the floor: notice periods, constraint periods, and the basic right.
  • Local law: The city or county where the property sits adds relocation amounts, filing fees, form notices, recording requirements, and post-eviction monitoring.

For a deeper look at the broader California landlord eviction toolkit, see our step-by-step landlord eviction guide. For situations short of a full Ellis withdrawal, the 3-day notice to quit and AB 1482 exemptions analysis walk through the alternatives.

How Long Does an Ellis Act Eviction Take in Los Angeles?

Realistically, 5 to 14 months from filing the Notice of Intent to vacant possession of the building. The 120-day notice period is the floor. Tenants who qualify for the one-year extension and who elect it push the timeline past day 365. Tenants who refuse to vacate after the notice period expires require an unlawful detainer, which adds 30 to 90 days depending on whether the tenant contests.

Holdover tenants are not a defense to Ellis. They are an enforcement matter handled in superior court under Code of Civil Procedure § 1161 et seq., with the Ellis withdrawal serving as the cause for the unlawful detainer. The court does not re-litigate the Ellis decision; it only adjudicates whether the procedures were followed.

Frequently Asked Questions About Ellis Act Evictions in California

Can I do an Ellis Act on a single unit?

No. The Ellis Act applies to the entire “accommodation,” defined under Government Code § 7060(b) as the property’s residential rental units. A single unit on a multi-unit parcel cannot be withdrawn alone. Single-family rentals can be Ellis-withdrawn because they are the entire accommodation.

How much does Ellis Act relocation cost a landlord in Los Angeles?

In the City of LA, the 2026 schedule pays $9,650 per standard tenant unit and $24,650 per qualified tenant unit (senior, disabled, low-income, or with a minor). A 10-unit building with a mix of qualified and standard tenants typically costs $130,000 to $200,000 in relocation alone, plus filing fees and legal costs.

Can I sell the building immediately after Ellis?

Yes. The Ellis constraints run with the land, not the owner. The buyer takes the property subject to the recorded memorandum and is bound by the 5-year market-rate ban and the 10-year right of first refusal. Sale price reflects the constraint.

Do tenants have to leave at the end of the 120-day notice?

If the notice was served correctly and no tenant qualifies for the one-year extension, yes. Tenants who refuse to vacate face an unlawful detainer action. Tenants who qualify for the senior/disabled extension and properly elect it can stay until day 366.

Does the Ellis Act apply to commercial property?

No. The Ellis Act applies only to residential rental property. Commercial leases are governed by their own terms and by Code of Civil Procedure § 1161 for unlawful detainer.

Can I demolish the building before all tenants vacate?

No. Demolition permits issued by Los Angeles Building & Safety require proof that the building is vacant. Coordination is critical: demolition costs, permit timing, and the Ellis notice period must all align so that the building is not sitting empty under tax assessment longer than necessary.

Talk to a Los Angeles Ellis Act Lawyer

The Ellis Act is unforgiving of procedural errors. A misnamed tenant, a missed local filing, an underpaid relocation, or a recorded memorandum with the wrong legal description can void the withdrawal and reset the clock, often after the building is already vacant and carrying costs. Borna Houman Law handles Ellis Act withdrawals across the City of LA, Santa Monica, West Hollywood, Beverly Hills, Culver City, and unincorporated LA County, including the coordinated demolition and condo conversion timelines that go with them.

Call (888) 42-BORNA to schedule a confidential consultation.

Disclaimer: This article is for general information about California Ellis Act procedures and is not legal advice. Local rules and statutory amounts change annually. Reading this article does not create an attorney-client relationship with Borna Houman Law. For advice on a specific property or proposed withdrawal, contact our office directly. See the California Legislature’s text of the Ellis Act for current statutory language.

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