Proposition 33 was a California ballot measure on November 2024 that would have repealed the Costa-Hawkins Rental Housing Act, allowing cities to impose rent control on post-1995 buildings. It failed 62% to 38%.
Prop 33 was the third statewide attempt to repeal Costa-Hawkins (following Prop 10 in 2018 and Prop 21 in 2020). All three have failed. The margin of failure has remained roughly 60%/40% across cycles, suggesting durable voter rejection of broadening local rent control authority.
Prop 33's failure was the single biggest landlord win of 2024. Costa-Hawkins survives, which preserves the post-1995 premium in LA multifamily valuations. The risk that Costa-Hawkins could be repealed in a future cycle remains — it's the quiet load-bearing variable under the entire post-1995 cohort's pricing.
From the Sterman LA Multifamily Glossary — defined the way a broker with $1.41 billion across 254 closed transactions actually uses these terms.
Michael Sterman, Senior Managing Director Investments, Marcus & Millichap.
Thinking about selling? Get a no-obligation evaluation from a broker with $1.41 billion across 254 closed LA multifamily transactions.
Request Free Evaluation →