How the 2026 Election Could Affect LA’s Multifamily Market
The 2026 election could influence Los Angeles’ multifamily market, although the impact will likely develop gradually.
Nithya Raman’s election as Los Angeles’ next mayor could possibly bring greater focus to housing production, increased density near transit, and reducing barriers to multifamily development. If those priorities become policy, developers could benefit from a more predictable approval process.
California voters also approved Proposition 1, an $11.25 billion housing bond that includes funding for affordable multifamily rental housing and housing rehabilitation. This could create additional opportunities for developers working on affordable-housing projects.
Measure ULA will also remain an important issue for investors in the City of Los Angeles. While the transfer tax provides funding for housing and homelessness programs, UCLA research has linked it to a decline in multifamily permitting. Any future changes could affect property sales and development activity.
The market is already experiencing increased supply. Greater Los Angeles occupancy was approximately 94.1%, with more than 23,000 units under construction. This could create additional competition and limit rent growth in certain submarkets.
The election is unlikely to immediately change property values. Instead, its greatest impact may be on investor expectations. Properties with strong locations, stable occupancy, and limited regulatory exposure should remain attractive, while owners and developers will continue watching how housing policies evolve.
