Channing Properties v. City of Berkeley

Channing Properties appeals from a judgment on the pleadings in favor of the City of Berkeley and City of Berkeley Rent Stabilization Board in an action regarding the city’s laws regulating the removal of housing from the residential rental market. It claims the judgment must be reversed because state law preempts the local laws in question.

Statement of the Case and Facts

Appellant Channing Properties is the owner of rental property in the City of Berkeley (the City) consisting of 33 residential units. On June 29, 1989, appellant filed a complaint for declaratory relief as to the validity of the City’s laws restricting removal of housing from the rental market. Appellant challenged certain provisions of the Berkeley Municipal Code (B.M.C.) as imposing more stringent requirements on landlords wishing to remove residential property from the rental market than allowed under the Ellis Act (Gov. Code, § 7060 et seq.; hereinafter Act), including requirements that such landlords provide tenants six months’ notice before removing the property from the rental housing market and pay $4,500 per unit for relocation expenses. On November 16, the complaint was amended to add “2601…