Santa Barbara City Council Votes to Consider Rent Increase Moratorium

Edhat Staff
Edhat Staff
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Apartment complex at the corner of San Pascual and Sola Streets in Santa Barbara's westside neighborhood (Google Maps)

The Santa Barbara City Council voted 4–3 on Tuesday, December 16, 2025, to direct staff to return in January 2026 with options for a temporary rent increase moratorium and related tenant protections.

The City Attorney advised that such a moratorium could include a roll-back date to when the matter was first formally considered, a common practice intended to prevent inconsistent or speculative rent increases before a moratorium takes effect.

If the moratorium is adopted as an urgent measure, requiring five votes, it would go into effect immediately. Otherwise, it would take 45 days to become effective. 

Councilmember Wendy Santamaria suggested setting the roll-back date to October 14, when the topic was formally revisited and concerns about speculative rent increases began to emerge.

Tenant Protection Act

When it hears the matter again in January, the Council will also consider amendments to the city’s Tenant Protection Act related to eviction protections, specifically addressing Ellis Act issues and similar concerns.

Instead of a moratorium on the Ellis Act, the City Attorney suggested that the staff should use other tools. These include implementing local restrictions as amendments to the existing Just Cause provisions.   

Council member Meagan Harmon said this could involve adopting state law provisions that the City is yet to add into its tenant protection ordinance. These include preventing the withdrawal of less than all accommodations or ensuring tenants are offered the right of return if units re-enter the market. 

The public comment period included several speakers arguing for a pressing need for a strong ordinance and interim protections. 

Fundamental Policy Questions

Staff requested feedback on several policy areas that will shape the ordinance. 

Council members discussed whether to exempt or include owner-occupied duplexes, older accessory dwelling units (ADUs), and units owned by nonprofits or those that are government-subsidized or regulated.

Staff noted that state law already requires exemptions for certain unit types, including most single-family homes, newer construction, and deed-restricted affordable housing.

Council members opposed broad exemptions for unit types beyond those required by state law, favoring an appeals-based approach to address individual hardship cases.

Councilmember Harmon requested that staff explore an “affordability exemption” tied to Area Median Income (AMI).

Staff discussed whether the program should have caps in income or if there should be exemptions for circumstances, such as owner financial distress, or to maintain property solvency. 

Many council members expressed concern that income-based restrictions could incentivize property owners to avoid renting to lower-income tenants and would add significant administrative complexity.

Council members also discussed the potential creation of a rental registry database. Staff proposed using the existing business tax certificate process to collect rental data, rather than developing a new and costly standalone database.

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53 Comments

  1. look…i live in the lower westside. not a popular spot, and not very “santa barbara”. its just the ‘hood. rental prices are breaching $5200 for a small 2 bedroom…seriously. this is enough! the wages paid in town do not support this. we are having to find employees for city jobs, that live in other cities. We can’t hire police as the pay won’t cover their rent. Most of our PD come from Santa Maria, Lompoc, Buellton, Ventura, Oxnard, LA. I only know of 1 officer that lives in the area. Students can’t afford the rent near SBCC, I have spoken to many that have given up and are heading back home. I’ve watched vacancies pile up as landlords raise rent so high that it pushes families out. The places stay vacant and is used as a tax right off. Meanwhile, we have students and families that are going homeless and leaving SB. I also see more and more people leaving and homes selling incredibly fast. Three on our street sold in the past 6 months. All 3 are now Air BnBs. If SB city doesn’t do something about this and quickly, they are going to have a lot less people around working the jobs that run our city, businesses, diners, and trolleys/busses. So in the past 25 years, our local economy and housing market have become so unbalanced that is just screws people right out of a home/condo, apartment rental and then their career or jobs forcing them to move away. That is the reality of the situation unless you’re making over 100k a year.

    • KNEIN – you’re 100% correct. Well, except for the lower westside not being “very ‘santa barbara.'” I love it down there and those homes are some of the oldest in town. VERY SB if you ask me!

      But yeah, when a city’s workforce and essential workers like cops, nurses, public defenders, teachers, etc can’t afford to live here and face a 30+ minute (if there’s miraculously no traffic) every day just to come all the way to SB to be paid a pittance AND lose valuable time with family, the town will continue its path towards a business wasteland.

      The whole “not everyone is entitled to live here” BS is no longer applicable at this point. We are isolated geographically and no one should be expected to commute and lose even more hours with their families just to work here.

    • If they are all AirBnBs then they are likely illegal–unless the owner lives on site, or they are in the hotel zone on either side of star street. You should drop a dime to the city and ask to confirm if they have permits.

  2. Wow – what is next?
    Perhaps they should limit the sq feet a person is allowed to reside in? Shanghai allows 642 sq feet per person, more than that your taxes go up.
    Maybe limit the size of unit you can rent by the number of people in the household. Singles can only rent studios up to 500 sq feet, a couple a 1 bedroom up to 650 sq feet etc. That should free up rentals.
    Where does this end?
    It is getting too big government for me — bureaucracy and overreach.

  3. For those here who constantly complain about all the foreign students at SBCC and UCSB, how about only capping rent for local students? Allow landlords to raise rent on foreign students to prevent them from taking spots at our colleges, right? If you want to keep them from coming to our schools, this would be a great plan to keep them from finding housing here. Right?

  4. Tough to be a property owner here in SB. Good luck going forward with this socialist trend. Renters will wind up living in garbage conditions or moving away if this continues. I don’t have dog in this game, but it’s just common sense – which is lost on the majority of the Council. Renters will ALWAYS want something cheaper. Duh.

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