Higher rents for small tenants.
Most independent storefronts lease on triple-net (NNN) terms, which pass licensing fees, admin time and compliance costs directly to the tenant. The mom-and-pop shops the Board wants to protect end up paying for it.
L.A. County · Commercial Rental License Plan (CRLP)
A new county license would raise rents on the small businesses it claims to protect.
On September 1, the Board of Supervisors began designing a mandatory license and lease-reporting registry for commercial landlords in unincorporated L.A. County. This plan directly affects commercial property owners. Under standard triple-net leases, these costs pass straight through to the storefronts renting the space.
01 / THE ISSUE
THE PROPOSAL
What the County
is drafting.
180-day study approved Sept. 1, 2026. Draft ordinance language due back late February 2027. Select any item to read the motion's full wording.
01Commercial Rental License Plan (CRLP)
Commercial landlords in unincorporated Los Angeles County would be required to obtain a CRLP as a condition of leasing commercial property.
02Annual Reporting and Disclosure
The proposed program is directed to consider disclosure of landlord information, unit size, tenancy or vacancy status, rent amount, lease duration, length of tenancy, years of operation, use, certain judgments or administrative findings, and tax delinquency. Information would be verified annually, with vacancy-status changes potentially reported within 30 days.
03License Suspension and Compliance
The motion directs staff to consider suspension of a CRLP following a final court determination of a violation of the County Commercial Tenant Anti-Harassment Ordinance. During a suspension, staff is asked to consider restrictions on rent increases and no-fault evictions to the maximum extent permitted by State law.
04Special Status CRLP
The motion calls for consideration of a Special Status CRLP for landlords who commit to limiting rent increases to no more than 3% per year for ten years, with potential eligibility for County procurement preferences, tax incentives, and other incentives to the extent legally permissible.
05Relocation Assistance
For a commercial tenant who relocates as a result of a violation of the Commercial Tenant Anti-Harassment Ordinance, the motion directs preparation of an ordinance providing relocation assistance equal to the greater of three months of the tenant's gross receipts or three months of fair-market rent for an equivalent location in the area, plus moving costs, with recommendations for a cap.
06Redevelopment
County Counsel is also directed to recommend ordinance language concerning relocation assistance for commercial tenants displaced by redevelopment projects in unincorporated areas, including possible payment verification before demolition or building permits are issued.
01 / THE ISSUE
What the CRLP is, and why it would hurt the businesses it's meant to help.
A plain-language guide to the Commercial Rental License Plan, what the County is studying and what we're asking for instead.
What happened
On September 1, 2026, the Los Angeles County Board of Supervisors approved a motion from Supervisors Holly J. Mitchell and Hilda L. Solis directing county staff to design a Commercial Rental License Plan (CRLP) program for unincorporated areas.
The vote did not create a law yet. It started a 180-day feasibility study. County Counsel and county departments must come back with draft ordinance language, definitions and enforcement plans. Decisions made during these six months will shape what the Board votes on.
Read the motion wording
Commercial Rental License Plan (CRLP)
Commercial landlords in unincorporated Los Angeles County would be required to obtain a CRLP as a condition of leasing commercial property.
Annual Reporting and Disclosure
The proposed program is directed to consider disclosure of landlord information, unit size, tenancy or vacancy status, rent amount, lease duration, length of tenancy, years of operation, use, certain judgments or administrative findings, and tax delinquency. Information would be verified annually, with vacancy-status changes potentially reported within 30 days.
License Suspension and Compliance
The motion directs staff to consider suspension of a CRLP following a final court determination of a violation of the County Commercial Tenant Anti-Harassment Ordinance. During a suspension, staff is asked to consider restrictions on rent increases and no-fault evictions to the maximum extent permitted by State law.
Special Status CRLP
The motion calls for consideration of a Special Status CRLP for landlords who commit to limiting rent increases to no more than 3% per year for ten years, with potential eligibility for County procurement preferences, tax incentives, and other incentives to the extent legally permissible.
Relocation Assistance
For a commercial tenant who relocates as a result of a violation of the Commercial Tenant Anti-Harassment Ordinance, the motion directs preparation of an ordinance providing relocation assistance equal to the greater of three months of the tenant's gross receipts or three months of fair-market rent for an equivalent location in the area, plus moving costs, with recommendations for a cap.
Redevelopment
County Counsel is also directed to recommend ordinance language concerning relocation assistance for commercial tenants displaced by redevelopment projects in unincorporated areas, including possible payment verification before demolition or building permits are issued.
L.A. County Board of Supervisors meeting · Plays automatically, muted — tap for sound
Sept. 1, 2026: Board approves studyNow: Drafting and inputLate Feb. 2027: Staff report back[DATE TBD]: Board hearing and vote
45,000+
commercial spaces in unincorporated L.A. County would fall under the registry
30 days
to report any lease or vacancy change, or risk losing the license to rent
3 months
of gross receipts or market rent, plus moving costs: the relocation payout under discussion
180 days
until staff report back. The rules are being written now, and that's when input counts.
UNDER STUDY
What the CRLP would require.
Mandatory licensing
A county license required as a condition of leasing any commercial space.
Annual disclosures
Unit sizes, exact rents, lease terms and tenant tenure reported every year, and within 30 days of any vacancy change.
Violation history
Applications must disclose any past harassment, discrimination, health code or tax delinquency issues.
License suspension
The County could suspend a license if a court finds a violation of its Commercial Tenant Anti-Harassment Ordinance.
Also under study: Mandatory relocation assistance for businesses displaced by redevelopment, with payouts discussed at the greater of three months' gross receipts or three months' fair-market rent, plus moving costs. The study will also look at limiting fee pass-through to tenants and using the registry to connect storefronts with county aid.
WHY IT BACKFIRES
We share the goal. This policy works against it.
Everyone wants neighborhood businesses to stay open. But the CRLP's mechanics would push costs onto tenants, slow new housing and invite a lawsuit the county would pay for.
Fewer new homes.
Relocation payouts of up to three months' gross receipts put an unpredictable price on turning aging strip malls into mixed-use housing, which runs against California's housing goals.
A bureaucratic bottleneck.
No two commercial leases are alike. Tracking 45,000+ custom contracts would bury the Department of Consumer and Business Affairs in paperwork and slow help for the businesses that need it most.
Losing a license over paperwork.
Suspending a license over a missed 30-day filing makes lenders treat local commercial property as high-risk. Investment dries up, and landlords stop taking chances on new tenants. The likely result is more empty storefronts.
It also invites a lawsuit. California's Costa-Keene-Seymour Act of 1987 bans local commercial rent control. Licensing mandates and heavy relocation penalties amount to soft rent control, and taxpayers would pay to defend them in court.
TAKE ACTION
02 / TAKE PARTTwo ways to be heard. Pick one, or do both.
Supervisors track every constituent contact. A personal message from a business owner in their district carries real weight.
01
Contact Kelly LoBianco for a seat at the table
Send Kelly LoBianco a meeting request from your own email. Your details fill in the letter for you.
Write your email →02Email your supervisor (2 minutes)
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Write your letter →QUESTIONS & ANSWERS
Frequently
asked.
Is the CRLP a law yet?
No. On September 1, 2026 the Board voted to study and design the program. Staff have 180 days to return with draft ordinance language. That's why now is the time to weigh in, before the details are locked.
Who would it affect?
Commercial property owners in unincorporated L.A. County, including East L.A., Florence-Firestone, Willowbrook, Altadena and the Antelope Valley. Under triple-net leases, it would also affect the small businesses renting from them.
Isn't this meant to protect small businesses?
Yes, and we share that goal. Our concern is how it would work. Compliance costs flow to tenants, relocation mandates discourage new development, and license penalties make lenders and landlords more cautious. Small businesses would have fewer options and pay higher costs.
I'm in a city like Pasadena or Long Beach. Does this matter to me?
The program as proposed covers unincorporated areas only. But all five supervisors vote on it, and county programs often become models for cities. Your supervisor still wants to hear from you.
What happens after I sign up?
We'll email you hearing dates, comment deadlines and quick actions. We'll only text you if you opt in, and you can reply STOP at any time. We never sell or share your information.
Who is behind this campaign?
A coalition of concerned property owners.
JOIN THE COALITION
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STAKEHOLDER PARTICIPATION
Contact Kelly LoBianco AND TELL HER YOU WANT INPUT ON THE CRLP.
Send a request to Kelly and your Supervisor to be included in the stakeholder process for the proposed Commercial Rental License Plan (CRLP).
- 1Your Information
- 2Review Letter
- 3Send Request
Your Information
TAKE ACTION · ABOUT 2 MINUTES
Tell your supervisor: no on the CRLP.
Choose your community and we'll match you with the right office. Your letter is ready to go. Edit it to add your own story, then send.
Supervisor contact information and community-to-district matches require verification before the directory and letter-sending tools can open. Districts 1 and 4 also need review after the November 2026 election.
Preview the letter
Subject: Please reject the proposed Commercial Rental License Plan (CRLP)
Dear Supervisor [Last name],
My name is [Name], and I am a [role] in [community]. I am writing to register my opposition to the Commercial Rental License Plan (CRLP) program the Board directed staff to design on September 1.
I share the Board's goal of keeping small businesses in our neighborhoods. But this framework would work against it:
- Most small storefronts lease on triple-net terms, so licensing, reporting and compliance costs pass straight through to tenants.
- Mandatory relocation payouts would discourage the mixed-use housing our commercial corridors need.
- Tracking more than 45,000 unique commercial leases would bury the Department of Consumer and Business Affairs in paperwork and slow help to the businesses that need it.
- Suspending a license over a missed 30-day reporting deadline is an outsized penalty that will make lenders and landlords wary of taking a chance on new tenants.
Please use the 180-day study period to pursue approaches that help small businesses directly: stabilization grants, utility and tax credits, and faster, cheaper permitting.
Please log my opposition to the CRLP for the record.
Sincerely, [Name] / [Business] / [Community]