Two separate bills have reached Sacramento to amend the Ellis Act, also described as a “glaring loophole” that has affected hundreds of people in the city. Senator Leno’s bill would force building buyers to own a property for five years before deciding to evict.
Leno’s bill, which would apply only to San Francisco, would give the city the authority to force buyers to own a building for at least five years before they evict tenants using the Ellis Act, a state law that allows an owner to kick out renters if he or she takes the building off the rental market.
The law was originally intended to allow landlords to get out of the rental business . But what Leno describes as a “glaring loophole” in the law is now being exploited by cash-hungry buyers who were never in the rental business to begin with.