Riaz Capital acquired Alameda’s Del Coronado Apartments. Meanwhile, regulatory changes are impacting property owners: the Corporate Transparency Act requires most pre-2024 business entities to file BOI reports by January 2025, Berkeley voters passed Measure BB implementing stricter tenant protections including a 5% rent increase cap, and Oakland advances new landlord regulations limiting rent increase banking and expanding tenant petition deadlines.
Bay Area Developer Acquires Alameda Complex at 37% Discount
Riaz Capital has purchased the 72-unit garden-style Del Coronado Apartments in Alameda for $17.5M, marking a significant discount from its 2022 listing price of $27.7M, according to Costar. The developer plans to rebrand the property under its ArtHaus banner, featuring exterior murals and value-add upgrades including solar energy. Riaz recently completed ArtHaus Jack London in downtown Oakland and secured a $30M construction loan for a project at 820 W. MacArthur. With the 2023 completion of ArtHaus Six and Magnolia projects adding 140 units, Riaz aims to reach 1,000+ units across the East Bay by 2026.
The Corporate Transparency Act: What Business Entities Need to Know
The Corporate Transparency Act requires most LLCs, C-Corporations, and S-Corporations formed before January 1, 2024, to file a Beneficial Ownership Information (BOI) report with FinCEN by January 1, 2025, unless they qualify for specific exemptions. Under the act, beneficial owners (those who own 25% or more of the company or exercise substantial control) must provide personal information through FinCEN’s electronic filing system. Non-compliance can result in penalties, making it crucial for business owners of these corporation types to file by the deadline. File at https://boiefiling.fincen.gov.
Berkeley Voters Pass Measure BB, Expanding Tenant Protections
Measure BB prevailed over a competing landlord-backed initiative, implementing several new restrictions on property owners and expanding tenant rights. Key changes include prohibiting evictions for nonpayment until rent debt reaches HUD’s Fair Market Value threshold, ending RUBS billing after February 6, 2024, and codifying tenants’ rights to organize in properties with 10+ units. The measure also reduces the maximum annual rent increase from 7% to 5%, though this is largely symbolic. Berkeley’s rent increase limit (65% of CPI) determines the Annual General Adjustment, which in 2025 will be 2.1%.
Oakland Committee Advances New Landlord Restrictions
Bornstein Law reports that Oakland’s Community and Economic Committee considered new rental regulations proposed by outgoing Councilmember Dan Kalb on November 19th. The proposals include limiting CPI rent increase banking to five years and restricting both rent increases and no-fault evictions for landlords delinquent on business taxes. The measure would extend tenant petition deadlines from 90 to 180 days. District 6 Councilmember Kevin Jenkins was the sole dissenting vote, expressing concerns about potential impacts on landlord-tenant relationships.