Brief

The Los Angeles Housing Department has submitted a Real Estate Asset Program (REAP) case (No. 833046) involving the property at 127 North Bonnie Brae Street (APN 5157-027-013). The file was introduced on May 18, 2026, and referred to Council on May 19, 2026. REAP is the city's program for managing and strategically deploying real estate assets to advance housing and community development goals. The file remains open and pending Council action.

Full summary

The Rent Escrow Account Program is the city's mechanism for penalizing landlords who fail to maintain safe housing conditions: when a property is placed into REAP, tenants pay reduced rents into an escrow account rather than directly to the landlord, and funds are withheld until violations are corrected. The four-unit building at 127 North Bonnie Brae Street was entered into REAP on March 26, 2025, under Case No. 833046, after LAHD's Code Enforcement Division cited 38 violations related to heating and ventilation. One of the four units was subject to the rent reduction and escrow arrangement. LAHD has now determined that all cited violations have been corrected. The department's Code Enforcement Division independently verified the corrections, the contractor Strategic Actions for a Just Economy provided an advisory opinion confirming completion of the work, and the property owner has settled any outstanding utility charges with LADWP. LAHD is therefore requesting City Council approval to terminate the rent reduction, close the escrow account, and remove the property from the program. If Council approves the resolution, rents will be restored to their original pre-REAP levels 30 days after LAHD mails tenants a notice of restoration. Escrow funds will be disbursed in a set order: first to cover LAHD administrative fees and penalties, then any outstanding fees under the municipal code, then any unpaid rent registration fees under the Rent Stabilization Ordinance, with any remaining balance returned to the landlord. LAHD will also conduct an expedited follow-up inspection of the property and require the owner to prepay fees for two additional annual inspections beyond the standard program. The file was submitted to the City Clerk on May 18, 2026, referred to Council on May 19, and was scheduled to be heard at the May 27, 2026, Council meeting. The matter falls within Council District 13, represented by Hugo Soto-Martinez. Council action to adopt the resolution remains pending.

Activity (2)

• 2026-05-19 Los Angeles Housing Department document(s) referred to Council.
• 2026-05-18 Document submitted by Los Angeles Housing Department, dated May 18, 2026.

Documents (1)

• 2026-05-18 Report from Los Angeles Housing Department · report