What is Being Proposed?
The Los Angeles Housing Department (LAHD) is requesting that the City Council remove seven residential properties from the Rent Escrow Account Program (REAP) and terminate the rent reductions currently in place for tenants at these properties. The properties are scheduled for City Council consideration on November 12, 2025.
Why?
REAP is a code enforcement program that places properties with serious housing violations into escrow, reducing rent payments until violations are corrected. The LAHD is recommending removal because all seven properties have met the requirements under Los Angeles Municipal Code Section 162.08—meaning they have corrected all cited violations and satisfied other conditions, including paying outstanding utility bills. The properties are now in compliance and no longer need the enforcement mechanism.
Key Details
The seven properties being removed are located at: 1029 S Union Ave (31 units) — violations corrected as of July 2025 815 S Bonnie Brae St (three separate cases for the same building) 325 W 53rd St 327 N Welcome St 846 N Neptune Ave, Wilmington Common violations cited included fire protection equipment and maintenance issues. Once removed from REAP, rent will be restored to original levels 30 days after tenants receive notice.
Impact
For Tenants: Rent reductions will end, with payments returning to pre-REAP levels. Tenants should receive notice of this change. For Landlords: The escrow accounts will be closed and remaining funds (after LAHD recovers administrative fees and penalties) will be returned to property owners. Landlords must also prepay for two additional annual inspections. For the City: This removes properties from active enforcement and releases escrowed funds, though administrative costs and fees are recovered first.