Guest Opinion | Anthony Edson and Deborah Lutz: Take a Closer Look at What’s Really at Stake. Vote No on Prop 33

In Monday’s opinion piece, Ryan Bell labeled the arguments against Prop 33 as “lies.” Bell didn’t mention that he is the paid Chair of the Pasadena Rental Housing Board, or that he failed to persuade his fellow Board members to endorse Prop 33. Even the LA Times, a traditional proponent of very progressive policies, has opposed Prop 33, citing its harmful effects on housing supply and rental property quality. Bell avoids these concerns, but the reality is that Prop 33 would extend rent control to new properties, bring single-family homes and condos under regulation, and introduce vacancy price control for new tenants, further destabilizing our rental market in Pasadena that was dramatically restricted by the passage of Measure H in 2022.

Prop 33 overlooks critical issues that must be addressed before attempting to dismantle the Costa Hawkins Rental Housing Act. Cities like Santa Monica and San Francisco illustrate the economic pitfalls of vacancy rent control. By 1995, these cities were suffering the consequences of vacancy control, which led to housing shortages and discouraged property owners from keeping apartments on the market. In Santa Monica and West Hollywood, smaller apartments struggled under strict regulations, and developers were deterred from investing in new properties. The result? Less affordable housing, the very issue rent control purports to solve.

Repealing Costa Hawkins would allow cities to impose stricter rent controls, but without boosting housing supply, these measures could backfire. Limiting rent increases for new tenancy can discourage property owners from maintaining or developing new units, ultimately harming tenants. Vacancy decontrol is essential for sustaining a balanced rental environment, allowing housing providers to reinvest in their properties. When landlords can adjust rents to market rates as new tenants move in, they can better afford improvements, such as new appliances and HVAC systems. Bell, however, fails to address this and instead suggests a vague commitment to keeping rents “affordable” between tenancies, a move that could further stifle housing developments.

The broader context here is important. Bell has previously stated a different agenda, previously stating, “We were being cautious because we needed to win an election while still being clear about what we were demanding.” He even suggested that his goal is to convert rental housing into public housing, hinting that Prop 33 may serve as a step toward a more extreme objective beyond rent regulation.

While Bell claims that landlords will still profit under Prop 33, the truth is more complex. Many small property owners rely on rental income to cover mortgages and maintenance. Denying them the ability to adjust rents for new tenants would most certainly inflict financial strain on all housing providers and reduce housing quality. Bell argues that the Rent Board is working to ensure landlords receive “fair returns”, but discussions on this topic have been stalled since August 15. The Board, dominated by unelected and unaccountable tenant advocates, has attempted to hinder rent increases, even when costs rise, raising concerns about its fairness.

Rather than doubling down on rent control, we should consider alternatives to increase housing supply and incentivize development. Policies like easing zoning regulations, funding affordable housing projects, and offering tax incentives for landlords to keep rents lower may be more effective in addressing the core issue of housing affordability.

Time remains to hold the Rent Board accountable. Attend the upcoming meeting on Thursday, October 17, at 6 p.m. in the City Council Chambers, where the Board will discuss fair returns and its controversial $425,000 no-bid contract with an unvetted consultancy firm. Ultimately, Prop 33’s activist supporters try to make their third attempt at overturning Costa-Hawkins appear noble, the vast consequences require a more nuanced examination. Let’s consider the economic impact and pursue solutions that address the root causes of housing affordability without destabilizing our rental market.

Anthony Edson was born and raised in Pasadena, and his family have owned multi-family apartment units for the past 25 years.

Deborah Lutz is a long-time Pasadena resident and has owned rental units for the past 27 years.