The city of Los Angeles is expected to charge hundreds of thousands of dollars in fines after it resolves multiple lawsuits against owners of illegal short-term rentals and party homes in the Hollywood area that will wreak out for neighboring residents.
“Due to excessive noise, harmful behavior, destructive behavior, public rights, garbage and vandalism, it is known to affect the quality of the community and threaten public safety,” said Hydee Feldstein Soto in a press release Tuesday.
Among the buildings mentioned in the settlement are Franklin Apartments, a stable building located on 6871 Franklin Avenue. The city attorney’s office accused the building’s owner and manager of deleting 10 long-term rental units for use as illegal short-term rentals.
Soto said that in 2020, the 10 units turned into underground hotels, “causing nuisance activities and complaints from other neighbors.”
The law requires short-term rental properties to be Family Sharing Ordinanceor HSO. Units with stable rentThis limits landlords with annual rent increases and is prohibited from short-term rents.
According to the city attorney, the property owner failed to register the unit under the HSO and was taken away from the market for a long time.
The building’s owner and manager, MC PICO Properties LLC and Monem Corporation, were ordered to pay a civil fine of $150,000, according to the city attorney’s office. As part of the settlement, the property manager must issue a sign to acknowledge that the property prohibits short-term rentals and returns 10 units to the long-term rental market.
“We will not tolerate party homes that destroy our communities and threaten public safety, or sit down when breaking the law, and rent-stable housing is deprived of the market,” Soto said in a statement. “These actions send a clear message that we will comply with those responsible for violations in violations.”
Soto also announced a settlement Litigation in 2023 The city submitted a business called “Nightfall Group” for Ultimate Host LLC, which hosts high-end homes. According to the lawsuit, police have been called 250 times over two years to illegally operate multiple Hollywood properties with the ultimate host as a party house. Soto accuses the nightfall group of drivers of party housing issues in the city.
According to the lawsuit, owner Mokhtar Jabli illegally operates the business by leasing his primary residence by violating the city’s short-term lease law. Soto said other owners who work with the Nightfall Group also rented their long-term rent as short-term rent as party homes.
In this case, at least three defendants settled – Kirill “Kirke” Eisenberg, 5554 Green Oak LLC and Jungle Kerry – and were ordered to pay civil penalties of $215,000, $45,000 and $20,000, respectively, according to the City Lawyer’s Office. As part of the solution, they must tell all guests that loud and unruly gatherings are prohibited.
The city attorney’s office said the lawsuit with other defendants is under trial. The company and property managers mentioned in the lawsuit did not immediately respond to Tuesday’s request for comment.