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We are pleased to report that SB 939 (Senator Wiener) did NOT pass the Senate Appropriations Committee today, which means the bill will no longer move forward. NAIOP took a strong and active position in opposition to this bill, which would have been highly detrimental to commercial landlords and set a dangerous precedent for the status of existing lease agreements in the state.
NO ON SB 939 WEBSITE AND DIGITAL AD NOW LIVE – YOU CAN HELP!
The bill that would nullify leases and require you to go without rent for many months, took another step today in the Legislature. We need your help to stop it!
Click here to visit the Stop SB 939 (Wiener) website and learn more.
Please forward this website link to your member companies and/or your employees. Encourage them to:
A large coalition of groups is supporting our industry to stop this measure. Please help by getting information out far and wide.
NAIOP, a premier commercial real estate development and owners association, announced its opposition to California Senate Bill 939. SB 939 is pending before the state legislature and threatens to replace a loss in business revenue problem with a statewide commercial mortgage crisis. If passed, SB 939 would, on a statewide basis, give commercial tenants a unilateral termination right, with no future obligations, including by their third-party guarantors, upending previously reliable contractual obligations. In doing this, it sets a dangerous precedent, undermining the validity of existing, mutually negotiated lease agreements in the state.
Just a few days ago, SB 939 passed the Senate Judiciary Committee on a minimum number of votes.
We remain opposed to the bill as the amendments taken so far do not sufficiently address our concerns. We anticipate a battle once the Legislature continues its discussions and ultimately moves toward a vote before June 26th.
NAIOP members should be aware of recently proposed California legislation, SB 939 introduced by Senator Scott Wiener (SF), and its potential for having a significant impact on existing commercial leases. If passed, SB 939 would place small property owners into foreclosure by forcing them to float rent for all tenants and gives restaurants the right to walk away from a lease without squaring up for owed rent or paying for property improvements