Introduction

LOCAL GOVERNMENT PROTECTION

The evolution of mobilehome living from the post-World War II days of “trailers" to current day manufactured housing has seen many changes.  With manufactured housing and mobilehomes now being "immobile", prefabricated homes, and mobilehome park ownership now a lucrative business; homeowners have encountered an increasing need for some kind of local government protection to safeguard their interests. Of all issues faced by mobilehome owners, none is more important than the question of how much space rent a homeowner will be required to pay.

MRL SILENT ON SPACE RENTS

Since 1963, the Golden State Manufactured-home Owners League (GSMOL) has been actively involved in the creation, adoption, and passage of State laws to protect its members. The Mobilehome Residency Law (MRL), as contained in sections 798 et. seq. of the California Civil Code, has been enacted to protect homeowners from unlawful eviction, unlawful rental agreements, or various other unfair business practices by park owners. But it is important to note that State law does not regulate space rents in mobilehome parks. In fact, the MRL is completely silent on the issue of how much rent a park owner can charge. It is left to local jurisdictions, counties and cities, to fill this protection gap.

A UNIQUE NEED

As a direct consequence of shortages of spaces, low vacancy rates, and rapidly rising rents, over 100 California cities and counties have now enacted some form of mobilehome rent stabilization. Many have not enacted other forms of residential rent control, such as for apartment rents. This is further evidence of the mobilehome owner's unique need for protection, which many local governments now recognize and require.

VOLUNTARY PROGRAMS NO SUBSTITUTE

As an alternative to rent regulation, park owners are fond of proposing voluntary programs such as rent subsidies or deferrals for residents who cannot afford rent increases. These may be helpful for a few needy residents, but should not be viewed as a substitute for the protection from unreasonable rent increases that all homeowners require. Unfortunately, park owners cannot be counted upon to voluntarily restrict rent increases to amounts which are fair. Nor can it be assumed that a fair long-term lease can be negotiated to solve the issue.

Source: The GSMOL Mobilehome Rent Stabilization Ordinance Handbook, Second Edition: Guidelines for Drafting and Enacting a Mobilehome Rent Stabilization Ordinance.

Prepared by: Bruce Stanton, Esq. Corporate Counsel
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