Multifamily and Duplex Properties for Sale in East Palo Alto: Zoning and Rent Rules

What multifamily in East Palo Alto looks like

East Palo Alto is the only city in San Mateo County with local apartment rent stabilization, and that single fact drives almost every investment decision here. The rental stock includes large apartment complexes west of the freeway, small apartment buildings and duplexes on residential streets, single-family homes with ADUs, and mobile home parks. Before you look at a rent roll, find out which units are regulated, what their certified maximum rents are and whether the owner has kept up with registration. For financing, see financing 2-4 unit properties and apartment building loans.

Where the zoning allows it

East Palo Alto’s residential zones were restated with the Development Code amendments of February 6, 2024.

Where the code lists two heights, the greater one applies. C-G allows no housing at all. In the Ravenswood plan area, the Ravenswood Specific Plan sets uses; its 4 Corners Gateway subdistrict calls for apartments or condominiums over ground-floor retail.

ADUs and SB 9. ADUs and JADUs are permitted by right in all four residential zones under Chapter 18.96. State SB 9 rules apply to qualifying R-LD lots. Ask the Rent Program how a new ADU will be treated under the rules below, and read our ADU investment guide and SB 9 lot split guide with that in mind.

Rent rules: East Palo Alto rent stabilization

The Rent Stabilization Program administers the 2010 Rent Stabilization and Just Cause for Eviction Ordinance, which covers most residential tenancies. A separate 1988 ordinance still governs mobile home park spaces.

Annual General Adjustment (AGA). Regulated rents can rise once in any 12-month period, by the AGA plus any banked prior AGAs.

• Notice. Landlords give a 30-day notice on the city’s form and send the Rent Program a copy within 10 days.
• Banking. Unused AGAs may be banked, but no increase may exceed 10% in 12 months.
• Recent rates. The city’s 2024-25 notice set the AGA at 1.9%, including fees for housing services. A third-party summary of the city’s guide reports 2.0% for July 1, 2026 through June 30, 2027; confirm the current figure with the Rent Program.
• Eligibility. Landlords qualify for the AGA only if every unit is registered and fees are paid, the property substantially complies with the ordinance, and the units are habitable.

Who is covered. The city’s exemption notice lists these partial exemptions from the rent provisions:

• single-family homes and Costa-Hawkins condominiums
• units with a certificate of occupancy dated on or after January 1, 1988
• two- and three-unit properties where the owner, or the owner’s parent, child or sibling, has lived for at least a year
• nonprofit and tax-credit units under regulatory agreements

The exemption for post-1988 construction does not cover units replacing Ellis Act withdrawals noticed after March 9, 2010. Hotels, care facilities, cooperatives and units shared with the landlord are fully exempt. Exemptions must be documented, and a unit that loses its exemption must be registered within 60 days.

Just cause. Evictions require one of the ordinance’s listed reasons. Termination notices and unlawful detainers must be filed with the Rent Program within five days of service. The city’s landlord requirements page states that single-family homes are not exempt from just cause.

State law. The Attorney General’s rent cap page lists East Palo Alto among cities with local rent ordinances. For units outside local rent limits, AB 1482 may still apply at 8.8% for San Mateo County increases from August 1, 2026. See our AB 1482 guide and just cause eviction guide.

East Palo Alto rental property rules

• Annual registration. All rental units are registered with the Rent Program by January 1 each year, with fees paid.
• New tenancies. Each new tenancy gets a Change in Tenancy registration within 30 days, with the lease and the signed bilingual Notice of Ordinance uploaded.
• Rent ceilings. The Rent Program issues Certificates of Maximum Allowable Rent at registration or on request, and tenants cannot be charged more. Parking, utilities and other service fees are generally treated as rent.
• Tenant petitions. Tenants may petition for rent reductions where rent exceeds the certified maximum or services decline. If a unit is not registered, they may petition to withhold rent.
• Tenant Protection Ordinance. Chapter 14.02 requires a rights information sheet, keys for every adult and new locks at each new tenancy. It bars harassment and retaliation, and it provides relocation help when units are demolished or tenants must move out for repairs, per the city’s notice of ordinance.
• Transfer tax. The County’s documentary transfer tax is $1.10 per $1,000. We did not verify a city transfer tax.

Older buildings, flood exposure and repairs

Much of the regulated stock predates 1988 by definition, so plan for older systems. Rent Program petitions let tenants seek reductions for unrepaired habitability problems, so deferred maintenance is a direct income risk here. Wood-frame buildings with tuck-under parking warrant a seismic retrofit review, and buildings of three or more units with elevated walkways need SB 721 balcony inspections. Parcels near the Bay and San Francisquito Creek should be checked for flood zone status and insurance.

Underwriting an East Palo Alto multifamily purchase

1. Request the Rent Program registration history and current Certificates of Maximum Allowable Rent for every unit.
2. Determine each unit’s exemption status from documents, especially the certificate of occupancy date and any owner-occupancy claim.
3. Model regulated rents at the AGA only, with any banked increases, capped at 10% a year.
4. Confirm registration fees are paid and no tenant petitions or eviction filings are pending.
5. Collect leases and estoppel certificates confirming rent and fee charges.
6. Rebuild expenses with reassessed taxes, program fees and repair reserves in our rental property analysis.

Questions people ask

Sources & notes

1. East Palo Alto Rent Stabilization Program
2. Rent Program, landlord requirements
3. Rent Program, notice of exemptions and documentation required
4. Rent Program, notice to landlords, 2024-25 AGA and notice of the 2010 ordinance
5. Chapter 18.10, Residential Zones, Chapter 18.12, Mixed Use Zones and Chapter 18.14, Commercial Zones (GoCodebook)
6. Chapter 18.18, Specific Plans
7. San Mateo County Assessor-County Clerk-Recorder, documentary transfer tax
8. California Attorney General, rent caps

Note: The 2026-27 AGA figure comes from a third-party summary; the city’s own rent increase guide blocks automated access. We did not read the ordinance text itself, the regulations, the registration fee schedule, the 1988 mobile home ordinance or the relocation amounts.

General information, not legal or tax advice. Last reviewed October 2026 by Matthew Martinez.

Related: East Palo Alto real estate guide · Commercial real estate in East Palo Alto · Multifamily investing guide · Investor services