What is a CPI-linked rent increase in California?
A CPI-linked rent increase ties the annual rent adjustment to the federal Consumer Price Index. California statewide rent caps that include a CPI factor (such as California's AB 1482, which uses 5 percent plus regional CPI capped at 10 percent total) measure CPI for the relevant region in the 12 months preceding the increase. A landlord using CPI-linked rent in a non-rent-cap California jurisdiction can use any CPI measure (national, regional, or "all urban consumers" CPI-U), but the lease must specify which one and the calculation method. Tenants should verify the math: published CPI numbers are public on the Bureau of Labor Statistics website, and a 1 percent error in CPI calculation on a 1-year tenancy at $1,500 rent is $180 over-paid. California requires 30 days notice for rent increases of 10% or less and 90 days notice for increases above 10%. AB 1482 caps annual increases at the lower of 5% + local CPI or 10% flat, with exemptions for natural-person single-family owners and buildings under 15 years old.
Source: Cal. Civ. Code 827(b)
This is an informational answer based on Cal. Civ. Code 827(b) as of early 2026. It is not legal advice. Housing law changes year to year and local ordinances (especially in rent-controlled or rent-stabilized cities) can override or add to state law. For contested cases, consult a California-licensed attorney.