Multifamily and Duplex Properties for Sale in San Rafael: Zoning and Rent Rules

What multifamily in San Rafael looks like

San Rafael holds more apartments than any other city in Marin. The stock runs from duplexes and small fourplexes in the neighborhoods around downtown to garden apartment complexes in the Canal area and larger buildings near Highway 101. Newer mixed-use projects are going up downtown under the 2021 form-based code. It is also the Marin city with the most local landlord rules, so a buyer’s underwriting has to cover city ordinances as well as state law. For financing, see financing 2-4 unit properties and apartment building loans.

Where the zoning allows it

Chapter 14.04 sets density by minimum lot area per unit. The number after "MR" or "HR" tracks that figure in thousands of square feet.

District	Two-family	Multifamily	Lot area per unit / height
R (R5 to R2a) single-family	Duplex permitted only as Section 14.16.282 allows	Not allowed	Lot minimums 5,000 sq ft to 2 acres. 30 ft
DR Duplex Residential	Permitted	Not allowed	2,500 sq ft per unit. 30 ft
MR2, MR2.5, MR3, MR5 Medium Density	Permitted	Permitted	2,000 to 5,000 sq ft per unit. 36 ft
HR1, HR1.5, HR1.8 High Density	Permitted	Permitted	1,000 to 1,800 sq ft per unit. 36 ft
PD Planned Development	Use permit	Use permit	Per the PD plan
O and R/O offices	—	Permitted	1,000 sq ft per unit
GC, NC, C/O, FBWC commercial	—	Administrative use permit	1,000 sq ft per unit, or 1,800 in NC
DMU downtown	—	Per form-based code	Per the Downtown Precise Plan

So an HR1 lot of 10,000 square feet supports about ten units before any density bonus, while the same lot in MR3 supports three. In the -EA overlay over some Eichler neighborhoods, height drops to 17 feet and one habitable floor.

ADUs and SB 9. ADUs and JADUs are permitted in every residential and commercial district. See our ADU investment guide. San Rafael carries out SB 9 through its own urban lot split chapter, which applies to single-family lots. Hillside and fire-hazard parcels need extra review. See our SB 9 lot split guide.

Rent rules: state law plus San Rafael’s just cause and mediation ordinances

Rent caps. San Rafael has no local cap. AB 1482 applies to covered units. The Attorney General’s rent cap page sets the San Francisco Area maximum at 8.8% for increases taking effect August 1, 2026 through July 31, 2027. See our AB 1482 guide.

Just cause. Chapter 10.105, Ordinance 1972 of June 2019, last amended in April 2024, covers properties with three or more units. It exempts government-run or subsidized units, developments where at least 49% of units are affordable, on-site manager units and owner-occupied units. Before ending a tenancy, a landlord must hold a valid city business license and have given the tenant-rights notice. No-fault grounds are limited to withdrawal from the rental market, which requires 120 days’ notice; an owner or family move-in, where the owner must move in within three months and stay a year; substantial rehabilitation; and a tenant’s refusal of a substantially similar lease. Willful violations can bring treble damages. See our just cause eviction guide.

Mandatory mediation. Chapter 10.100, Ordinance 1971, applies to rented homes of any size in the city, including single-family houses and condos. A tenant who gets notice of an increase above 5% in 12 months has 10 days to request mediation. The increase cannot take effect until mediation ends or 30 days pass. If the landlord does not take part in good faith, no increase takes effect. Landlords must give a notice of these rights at lease signing, at renewal and with every increase. An increase served without that notice is unenforceable until it is cured.

San Rafael rental property rules

Periodic inspections. Chapter 12.310, Ordinance 1974 of November 2019, requires code enforcement to inspect buildings with three or more rental units on a parcel at least once every five years. The city sets an annual fee by resolution. Owner-occupied units and condominiums are exempt.
Caretakers. Every apartment building must post the caretaker’s or owner’s contact information. With 16 or more units, the owner must have a resident caretaker or a staffed office with a posted after-hours line.
Canal-area relocation. Chapter 10.111, Ordinance 1992 of March 2021, applies in Census Tract 1122.01, the federal Opportunity Zone. After 30 days of tenancy, a no-fault termination requires 60 days’ notice. The landlord must pay twice the greater of the unit’s rent or HUD Fair Market Rent, plus deposit, moving and per diem amounts set by the council. Households with a child, a senior 62 or older, or a disabled member get one more month. Payment is due at least 30 days before move-out.
Other chapters. The city also has a source-of-income rule, a short-term rental program and mobilehome rent stabilization under Title 20.

Older buildings, the Canal and transfer costs

Much of San Rafael’s apartment stock dates from the 1960s and 1970s. Wood-frame buildings with tuck-under parking deserve a seismic retrofit review. Buildings with three or more units and elevated balconies need SB 721 inspections. Properties along the Canal and the bay may fall under the Canalfront Review overlay and flood hazard rules, so check flood insurance. At closing, the city’s transfer tax of $2 per $1,000 of full consideration applies on top of the county’s $0.55 per $500, per the Recorder.

Underwriting a San Rafael multifamily purchase

Confirm the zone and lot area, and calculate legal unit count from the per-unit lot area figure.
Ask the seller for the last city periodic inspection report, any open code cases and the inspection fee history.
Confirm the seller holds a current city business license and has served the required tenant-rights notices. Without them, rent increases and terminations can be challenged.
Model increases at or below the AB 1482 cap, and plan for mediation on anything above 5%.
For Canal-area buildings, map the parcel against Census Tract 1122.01 and price relocation exposure for any planned rehab.
Collect leases, the rent roll and estoppel certificates, then rebuild expenses with reassessed taxes and both transfer taxes in our rental property analysis.

Questions people ask

Does San Rafael have rent control?

There is no city rent cap. AB 1482 applies to covered units, and any increase over 5% in 12 months can be sent to mandatory mediation.

Which San Rafael rentals are covered by just cause?

Properties with three or more units, other than subsidized, mostly affordable, manager-occupied and owner-occupied units.

Does a duplex need city inspections?

The periodic inspection program starts at three rental units on a parcel. A duplex is outside it, though mediation rules still apply.

What does a buyer pay in transfer tax?

The county’s $0.55 per $500 and the city’s $2 per $1,000, with the city tax figured on full consideration including liens.

What is different about the Canal area?

Units in Census Tract 1122.01 carry extra relocation payments for no-fault terminations under Chapter 10.111.

How many units can I build on an HR1 lot?

About one unit per 1,000 square feet of lot area, up to 36 feet, before any state density bonus.

Do I need a business license to rent units?

Yes. The just cause chapter makes a valid city business license a condition of ending a tenancy.

Sources & notes

Note: We did not read the urban lot split, short-term rental, source-of-income or mobilehome chapters, Section 14.16.282, or the council’s current relocation and inspection fee resolutions. The tract map in Chapter 10.111 is an image, so confirm parcel eligibility with the city.

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

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