Selling an Apartment Building in Beverly Hills

Selling an apartment building requires property-specific pricing, complete operating records, focused marketing, and careful negotiation through due diligence and closing.

What the Sale Process Covers

  • Property-specific valuation and pricing
  • Offering materials based on verified operating records
  • Direct outreach and marketplace exposure
  • Written comparison of price and material offer terms
  • Due diligence and closing coordination

Beverly Hills: What Sellers Should Know

Beverly Hills is an independent city with a limited multifamily inventory. Its Rent Stabilization Ordinance has two parts, known as Chapter 5 and Chapter 6, with different increase limits. Los Angeles rent rules and Measure ULA do not apply.

One requirement is unusual. The municipal code makes it unlawful for an owner or broker to sell residential property until a notice of sale has been filed with the city's director of building and safety.

Local Rules That Affect a Sale in Beverly Hills

Rent stabilization

  • Chapter 5 covers buildings from before September 20, 1978 where the original rent was $600 or less. Chapter 6 covers the other covered units. Single-family homes, most condominiums, and buildings with a certificate of occupancy after February 1, 1995 are exempt.
  • The Chapter 6 increase is 3.6%, set in June 2026 as the greater of 3% or the CPI change. The Chapter 5 figure is updated monthly and was 3.39% as last published on October 14, 2026.
  • One increase is allowed per 12 months with 30 days' notice. Market rent is allowed after a voluntary vacancy or certain for-cause evictions.

Notice of sale and registration

  • A notice of sale must be filed with the director of building and safety before a residential property is sold. It names the seller and buyer and gives the property and the scheduled sale date.
  • The rent registry also requires the seller's written notice of the sale, and the new owner must update the registration within 30 days of closing.
  • Units are registered annually, and new-tenant rents must be registered within 30 days. An owner who is not in substantial compliance cannot take the annual increase.

Relocation

  • Relocation fees apply to terminations for landlord use, demolition or condominium conversion, and withdrawal from the rental market, among others.
  • Fees effective July 1, 2026 are $8,636.20 for a studio, $12,756.96 for a one-bedroom and $17,283.53 for two or more bedrooms, plus $2,000 for a senior, disabled or minor tenant.

Transfer tax

  • Beverly Hills's city transfer tax is the standard half-rate that state law credits against the county tax, so the combined rate is $1.10 per $1,000 of price.
  • There is no tiered or "mansion" tax.

Seismic retrofit

  • The 2019 ordinance covers wood-frame multifamily soft-story buildings where the permit was applied for before January 1, 1978.
  • The published final-inspection deadlines ran from June 2022 to July 2023, so buyers will ask for proof of completion. Confirm your building's tier and status with the city.

What Buyers Will Ask For

  • The rent registry record for each unit, showing which chapter applies and the registered rent
  • Proof of annual registration and substantial compliance
  • A rent roll with move-in dates and the last increase for each unit
  • Seismic retrofit records, including final inspection
  • Twelve months of income and expense records

Review the apartment building valuation methodology used to compare income, expenses, comparable sales, current competition, condition, and regulatory status before a pricing recommendation is made.