California Gov. Gavin Newsom reached a deal with apartment owners and developers Friday on legislation that would cap how rapidly rents can rise as the state grapples with a housing crisis.
The deal would cap annual rent increases at 5% plus inflation, with a 10% maximum increase. That’s lower than the 7% threshold lawmakers had previously negotiated amid strong resistance from the real estate and development industries. Staff members Newsom’s office shared details of the deal, which is not yet in print. Read more.