D. (Amended by Ord. No. 188,795, Eff. 2/2/26.) The maximum rent or maximum adjusted rent may be increased annually based on 90 percent of the difference between the average of the Consumer Price Index for All Urban Consumers for All items in Los Angeles-Long Beach-Anaheim, CA for the most recent consecutive 12-month period ending on September 30 and the average of the same index for the prior consecutive 12-month period ending on September 30, calculated as a percentage and rounded off to the nearest whole number.
The allowable annual rent adjustment shall be 90 percent of the percentage change rounded off to the nearest whole number as determined by the Department. If the allowable annual rent adjustment is less than one percent, a landlord may increase the maximum or maximum adjusted rent by up to one percent. In no event, however, may an annual rent increase under this subsection exceed four percent. An annual rent adjustment under this subsection may be applied to any annual rent increase that first becomes effective on or before July 1, through June 30, of each year. The Department shall publish in a newspaper of general circulation the allowable annual rent adjustment on or before May 30 of each year. No rent increase may be imposed pursuant to this subsection within twelve consecutive months of the effective date of a prior rent increase pursuant to this subsection or Subsections A., B., C., D., or F.1. of this section.
Any annual rent increase not previously noticed and served during the period beginning June 1, 2025, through June 30, 2026, shall comply with this subsection. Any such rent increase shall not exceed three percent and shall not include any additional increase based on the landlord’s payment of utilities.