Palacio De Anza v. Palm Springs Rent Review Commission

This case involves a dispute between the landlords of a Palm Springs apartment complex (Palacio) and the Palm Springs Rent Review Commission (Commission) concerning the proper application of Palm Springs’ initiative rent-control provisions to the rents to be charged at that apartment complex. The real parties in interest are the tenants of the apartment complex (Tenants).

Palacio appeals from a judgment of the trial court denying Palacio’s petition for a writ of mandate to compel the Commission to grant Palacio a hardship rent increase.

Facts

On April 8, 1980, the citizens of the City of Palm Springs adopted an initiative rent-control ordinance (Initiative Ordinance). In general terms, this Initiative Ordinance: (1) limited rent increases to rates of no more than three-fourths of the percentage increase in the Consumer Price Index (CPI) over any period of time in question; (2) prohibited rent increases from being imposed more frequently than once a year; (3) did not contain a “hardship increase” provision for landlords other than a provision which declared the ordinance to be nonapplicable to those rental properties as to which the initiative ordinance would operate in…