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Petaluma residents facing possible displacement
The owner of Petaluma's low-income Little Woods Villa mobile home park is seeking to close the facility, arguing that rent control has made the park financially unviable.
Petaluma, California - The owner of Petaluma's low-income Little Woods Villa mobile home park is seeking to close the facility, arguing that rent control has made the business financially unviable.
Longtime residents have expressed fear of displacement and have protested proposed $1,500 rent increases alongside restricted parking access on the property.
Petaluma city officials state that a mandatory relocation impact report will ensure residents are adequately compensated if the park shuts down.
Mobile home park closures across California are reaching a critical inflection point as local governments try to shield homeowners from steep lot rent increases while park owners argue that decades-old rent caps are threatening their businesses.
In Petaluma, the owner of Little Woods Villa, a low-income mobile home park, wants to close the facility entirely. Park owners contend that rent control regulations have suppressed rates for decades, turning the properties into financial losses and leaving little incentive to fill seven vacant lots.
"Park owners have asked for one simple thing: 'Vacancy decontrol,'" owner Nick Ubaldi said. "'Allow rents to reset to market rates when a home sells. This gives park owners a one-time catch-up after decades of suppression. That is all that's needed to keep these businesses open and viable.'"
Ubaldi added that current restrictions have devalued the properties so severely that the vacant land is now worth far more than operating the park as an active community.
Under regulatory rules, however, owners cannot shut down a park without paying a relocation tab reaching into the millions of dollars to compensate affected residents.
"They made a substantial investment in the mobile home parks and to live there, and the relocation impact report will make sure that they are adequately compensated," Petaluma Assistant City Attorney Dylan Brady said.
For current residents, both the proposed park closure and the proposed steep rent increases present severe challenges.
"I don't know how they're going to get us out of here because there's nowhere else to move," said 73-year-old resident John Telesmanic, who has lived at the park for 41 years and has leukemia. "I'm not moving."
Telesmanic pushed back against a proposed $1,500 rent increase, calling it unreasonable given that owners have already received annual 6% rent increases. Christopher Brown, a resident for 33 years, said the proposed increase would exceed his entire income.
Residents also allege that management has used inconvenience tactics to pressure tenants, including fencing off a parking area with space for roughly 80 cars.
"They've closed off the parking down at the end ... and done nothing with it. So, it's one of the intimidation and inconvenience tactics they've done to try and force our hands," resident Jay Stewart said.
Brown noted that the parking restrictions have forced him to park his vehicle at a Park 'n' Ride between a quarter-mile and a half-mile down the road.
The dispute at Little Woods Villa underscores a broader tension across California, where state mandates require cities and counties to dramatically increase housing stock even as existing low-income options face the threat of elimination.