Is Ellis Act Eviction Wave Heading to Los Angeles?

BeyondChron is reporting today that well-known TIC attorney Andy Sirkin is taking his sermon on the road, this time to Los Angeles.

"On March 8, Andrew Sirkin, one of San Francisco’s most prominent land use attorneys involved with converting rental housing into Tenancy in Commons (TICs), will hold a public seminar in Los Angeles detailing the use of TICs as a means to homeownership. The event may reflect that the supply of 2 to 4 unit buildings in San Francisco that can be converted to TICs is decreasing, and those that profit from TIC conversions hope to expand their market to other cities. Their success remains dubious, as the housing market in Los Angeles may not be difficult enough to create buyers willing to share mortgages with strangers. However, should TICs catch on down south, the area could see a dramatic spike in Ellis Act evictions alongside a significant shift in their housing market."

"Perhaps most troubling, the seminar will also include information on the using the Ellis Act to evict tenants so a condo conversion can take place. The Ellis Act remains a rarity in Los Angeles, but should TICs become popular there, the city could see a major increase in evictions and the displacement of primarily low-income residents that accompanies them."

"If TICs became commonplace in L.A., along with the rash of Ellis Act evictions that would likely accompany their grown, there could be a silver lining for tenant advocates – attempts to change state law governing the use of the Ellis Act could gain steam. Los Angeles’ large population gives it a high number of state representatives, and widespread displacement could generate enough uproar to push these representatives to action."

"However successful Sirkin’s seminar in Los Angeles is, it remains certain that TICs - and the Ellis Act evictions that often accompany there creation - are not going anywhere anytime soon."