A California appeals court delivered a significant victory to residents of a mobilehome park in San Leandro, CA, when it ruled that the City of San Leandro properly denied a request by the owners of Bayshore Commons to raise rents by more than ten times the limit imposed by the City’s mobilehome space rent control law.

Mobilehome space rent increases in San Leandro are governed by the City’s Mobilehome Space Rent Stabilization Ordinance. The Ordinance was established to balance park owners’ need for a fair return with the residents’ rights to be protected from unreasonable rent increases.

In its decision, a panel for the First District Court of Appeal upheld the trial court and the City’s initial denial of Bayshore Commons’ request to increase rents beyond the limit imposed by the City’s Ordinance.

The ruling will immediately benefit the residents of Bayshore Commons, many of whom are low-income or elderly, by maintaining affordable rent for the space where their homes are installed. The residents are represented by the Public Interest Law Project and Centro Legal de la Raza.

“Centro Legal has been honored to stand alongside our clients to protect their housing rights and ability to remain in the homes they purchased as their forever homes,” said Karina Mora, Tenants’ Rights Managing Attorney at Centro Legal de la Raza. “The appellate decision here upholds the hard-fought victories we have had over the past four years, and most importantly, means that the residents can afford to stay in their homes.” 

In its rent increase application to the City of San Leandro, Bayshore Commons had sought rent increases based on its own calculation of operating expenses, which alleged increases due to inflation, the doubling of management expenses by the park’s management company (Harmony Communities), and substantial lost income from lot vacancies.

The appeals court took all three issues under review and agreed with the trial court and City that Bayshore Commons failed to substantiate its operating expense calculation. The court ruled in favor of the mobilehome park residents on all three issues.

“The city enacted this ordinance to protect vulnerable mobilehome residents, who are frequently low-income or elderly, from unreasonable rent increases, while enabling park owners to receive a return on their investment,” said Palmer Buchholz, Staff Attorney at the Public Interest Law Project and counsel to two residents of Bayshore Commons. “The court’s interpretation was both reasonable and aligns with the broader purpose of the ordinance.”

It is estimated that 1.6 million Californians live in mobilehome parks, including seniors, people with disabilities, and farmworkers. Mobilehomes are an important source of affordable housing in California.

About The Public Interest Law Project (PILP): PILP is a statewide public interest support center in California that spearheads major public interest impact litigation and systemic advocacy and works to advance racial and economic justice for and with low-income communities and communities of color. Founded in 1996, PILP provides technical assistance, training, research, litigation, and advocacy support to public interest law programs and community-based organizations on law and policy issues related to housing, land use, public benefits, anti-displacement, community preservation, and civil rights.

About Centro Legal de la Raza: Centro Legal de la Raza is a legal services agency that protects and advances the rights of low-income, immigrant, Black, and Latinx communities through bilingual legal representation, education, and advocacy. By combining quality legal services with know-your-rights education and youth development, Centro Legal de la Raza ensures access to justice for thousands of individuals throughout Northern and Central California.

Media Contact: Palmer Buchholz, Staff Attorney at the Public Interest Law Project (pbuchholz@pilpca.org); Karina Mora, Managing Attorney at Centro Legal de la Raza (kmora@centrolegal.org).