The City of San José houses the largest mobilehome park community in the state of California, with more than 10,700 homes in 58 parks around the city. San José was one of the first in the state to establish a mobilehome rent ordinance. Now, more than 40 years later, the City is updating its proposal to modernize and respond to shifting environments, with a goal to protect affordability and stability for mobilehome owners.

A summarized, printable version is available here

Una versión resumida y imprimible está disponible en español

Có sẵn phiên bản tóm tắt có thể in được bang tiếng Việt

The City of San José’s Mobilehome Rent Ordinance (MRO) was created more than 40 years ago to regulate space rent increases each year. It established basic rights and processes for park owners and, to a lesser extent, residents. Key elements of the original ordinance:

• The ordinance applies to mobilehome spaces where plumbing, electrical, and sewer permits were issued before September 7, 1979.
• Annual rent increase is typically 3%. Annual space rent increases are tied to the Consumer Price Index (CPI): The allowable increase is 75% of the San Francisco–Oakland All Urban CPI, with a minimum of 3% and a maximum of 7%, and typically only one increase is allowed every 12 months.
• Park owners may file petitions (called a “Fair Return”) to get permission to raise rent increases above the standard annual limit, if they believe their costs have increased more than rents they receive. These are reviewed in a hearing where affected residents can participate.
• Currently, most resident disputes about rent, utility charges, and other park issues can only be addressed by filing a complaint with the State, utility agencies, or in Superior Court.

• To protect affordability and stability for mobilehome owners, while responding to increasing costs for park owners, the City’s proposed updated ordinance will:
• Establish an annual park registration to track turnover and space rent over time. This will identify needs, enforce rules, and inform City policy decisions.
• Create a petition process so that residents can resolve disputes about rents charged.
• Make it possible to review or reconsider decisions made by hearing officer during the petition process
• Allow up to a 10% increase in rent after a mobilehome has been sold to a person who intends to live in it, to help park owners offset the growing costs of maintenance and upkeep and potentially limit Park Owner Fair Return petitions that affect all mobilehome owners.

The City understands the severe lack of affordable housing in the region and the need to preserve “naturally occurring” affordable housing like mobilehomes. These updates are meant to increase stability for mobilehome residents. Aging park infrastructure and rising utility costs have increased management costs for park owners, which could justify greater rent increases under the Fair Return process. The proposed changes to the MRO would allow for predictable rent increases on newly-sold mobilehomes rather than unpredictable, potentially high parkwide rent increases under a Fair Return.

What is the process for updating the MRO?

Based on trendlines identified by City staff, an initial proposal was drafted and presented to City Council on January 27, 2026. Feedback from the community, Housing and Community Development Commission, and City Council was incorporated into the current proposal. Now, City Staff is conducting community input sessions with mobilehome residents and gathering feedback through our Community Engagement Survey. Feedback collected during this phase will be incorporated into the final report and recommendations presented to City Council in December 2026.

A Fair Return petition allows a park owner to make a request to the City to increase rents above the annual limit by submitting financial information for the City to evaluate whether the Park Owner is receiving a “fair return.” If the park proves that its net income (revenue - costs) has not kept up with the rate of inflation, a hearing officer may award a one-time rent increase above the annual limit for all covered spaces in the park.

Both. The City and the State have different roles and oversight when it comes to mobilehomes and parks.

• The State regulates roads, water, sewage and code inspections (source: https://www.hcd.ca.gov/mmh/parks).
• The City of San José regulates some rent increases and park maintenance claims (source: Chapter 17.22 Mobilehome Rent Ordinance).
• The only time park maintenance claims can be addressed by the MRO is when a park has filed a Fair Return petition. Currently, disputes about rent, utility charges, and other park issues can only be addressed by filing a complaint with the State, utility agencies or in Superior Court.

While the City currently maintains a detailed database of all rent-stabilized apartments, the database for mobilehomes contains only basic information about the parks and ownership. An annual park registration would allow the City to gather information to observe how mobilehome rents and ownership are changing over time, which will aid enforcement and settle disputes about rent. Any names of mobilehome owners in the registration would be kept confidential in line with City policy and protected from disclosure.

No.  The MRO allows the transfer to child, joint tenant, or personal representative after the death of a mobilehome owner without rent increase.

Source: City of San Jose Municipal Code 17.22.450.D.2

Under the new proposal, yes. Under the current ordinance, there is no formal process for a mobilehome resident to challenge a rent increase. Under the proposed rules, a mobilehome resident would be able to challenge a rent increase by filing a petition for review by a City hearing officer. Additionally, the new MRO would allow Fair Return petition decisions by hearing officers to be reviewed or reconsidered. The ability to challenge hearing officer decisions in State Superior Court remains.

Cities around the County and State are updating their mobilehome park rules because they similarly need to respond to a changing environment and increasing costs for mobilehome park owners, with a goal to protect affordability and stability for mobilehome owners. For example, in the city of Lancaster the law was amended in 2025 so that now, after the sale of a mobilehome, the space rent price can now go to market rates. In contrast, the City of San José’s proposed MRO balances the long-term health of park infrastructure with stability and affordability.

SANTA CLARA COUNTY

Source: Mobile Home Park Owners Allegiance Rent Stabilization Ordinances and staff research

How is the City reaching residents to let them know about the proposed changes and collect feedback?

The City is offering several ways to learn  about the proposed changes and provide feedback to shape the final report and recommendations presented to City Council:

• Updated website: www.sanjoseca.gov/mobilehomes
• Surveys are available to complete in:
  • English (survey)
  • Spanish (Enlace a la encuesta)
  • Vietnamese (Liên kết khảo sát)
• Virtual community meetings are being held across the summer into the fall, with information presented along with the chance to ask questions
• The City is connecting with residents directly onsite at mobilehome park meetings. Contact us if you would like Housing Department staff to present at your park:
  • Call: (408)-975-4480 or
  • Email: mobilehomes@sanjoseca.gov
• Public Meetings

WE WANT TO HEAR FROM YOU

Give us your feedback by filling out a survey based on the proposed updates: https://bit.ly/m/MRO-Survey