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Rent regulation & tenants

Protected unit (SB 330)

Housing Crisis Act category: rent-restricted, rent-controlled, or lower-income-occupied units whose demolition triggers replacement and relocation duties.

Definition

Under the Housing Crisis Act (SB 330, Gov. Code § 66300), a "protected unit" is a residential unit whose demolition triggers replacement duties: units that are deed-restricted affordable, subject to any form of rent or price control, occupied by lower-income households now or within the past five years, or withdrawn from the rental market under the Ellis Act within the past ten years.

A project that demolishes protected units must replace every one, give existing occupants relocation benefits, and offer displaced lower-income occupants a right of first refusal for a comparable unit in the new building at an affordable rent.

Why it matters in an underwrite

The five- and ten-year lookbacks mean protection travels with the building's history, not its current rent roll: a vacant or market-rate building can still be full of protected units because lower-income households occupied it within five years, or because rent control applies to it. For redevelopment sites, the replacement-plus-relocation-plus-right-of-return package is a real cost stack — and it is also the trade that keeps an SB 330 demolition lawful where an Ellis-only route would poison later streamlining eligibility. Screen every teardown's occupancy history before pricing the land.

Sources & related guides

See also

See the term in the law itself

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Last reviewed 2026-07-29. General information, not legal advice.