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Understanding SB 326 and SB 721: Key California Legislation for Landlords

Understanding SB 326 and SB 721: Key California Legislation for Landlords

Understanding SB 326 and SB 721: Key California Legislation for Landlords

As a property manager in California, ensuring the safety of your buildings and complying with state regulations is a fundamental part of your responsibilities. Two key pieces of legislation—SB 326 and SB 721—directly impact the safety and maintenance of balcony and elevated exterior structures in multi-unit residential buildings. These laws aim to prevent structural failures that can lead to accidents and fatalities, while also promoting greater accountability for property owners and managers.

In this blog, we’ll dive into the specifics of SB 326 and SB 721, what property managers need to know, and how these laws influence daily operations. By understanding these laws, property managers can avoid costly legal issues and provide safer environments for their tenants.

1. What Are SB 326 and SB 721?

Senate Bill 326 (SB 326) and Senate Bill 721 (SB 721) are both California state laws designed to address the safety of balconies, decks, and elevated exterior structures. They were enacted in response to tragic incidents in which balconies collapsed, leading to serious injuries and fatalities.

  • SB 326 (enacted in 2019) requires that owners of multi-unit residential buildings with certain exterior structures, including balconies and decks, conduct regular inspections to ensure the safety of these elements.
  • SB 721 (enacted in 2018) expands on SB 326 by adding more specific provisions for the inspection and maintenance of these elevated structures in buildings with at least three dwelling units, providing stricter timelines and outlining more detailed requirements for inspections.

Both laws address a significant issue in California: the safety of elevated outdoor structures, which are particularly vulnerable to issues like rot, termites, corrosion, and wear and tear due to the state’s climate and seismic activity.

2. Key Provisions of SB 326 and SB 721

SB 326 – Inspection of Exterior Elevated Structures

Under SB 326, property owners are required to ensure that balconies, decks, stairs, and other exterior elevated elements are inspected by a licensed structural engineer. The inspections focus on identifying structural deficiencies that could pose a safety risk.

  • Applicability: SB 326 applies to buildings with three or more dwelling units. This includes apartments, condominiums, and other multi-unit residential buildings that have exterior elevated structures, such as balconies, decks, and stairways.

  • Inspection Requirements: The law requires these inspections to take place at least once every six years. A licensed structural engineer must examine the building’s exterior elements for signs of wear, including but not limited to:

    • Cracks or damage to the structure
    • Water damage or rot, especially in wooden balconies
    • Termite damage and infestation
    • Corrosion of metal components
  • Reporting and Documentation: After the inspection, the structural engineer must submit a written report detailing the findings. This report must be shared with the property owner or property manager and may need to be filed with local authorities, depending on the municipality.

  • Repairs and Remediation: If the inspection reveals any safety concerns or structural issues, repairs must be made promptly. The property owner or manager is responsible for ensuring that all necessary repairs are completed in a timely manner, and they may need to submit evidence of the repairs to local authorities.

SB 721 – Expanded Regulations for Elevated Structures

SB 721 builds upon SB 326, with more specific guidelines for the inspection and maintenance of exterior elevated structures. While SB 721 is similar to SB 326, it focuses on adding more detailed requirements, particularly with respect to the structural integrity of these elements.

  • More Frequent Inspections: One of the key differences between SB 721 and SB 326 is that SB 721 requires inspections of exterior elevated elements in buildings with three or more dwelling units every six years. The inspections are similar to SB 326, but SB 721 applies more stringent requirements to ensure that property owners and managers comply with structural safety standards.

  • Timely Reporting of Findings: SB 721 requires owners to address any structural deficiencies within 120 days after the inspection report is issued. This provision aims to avoid prolonged risks to tenants by ensuring that repairs are completed quickly.

  • Seismic Considerations: In areas prone to earthquakes, such as California, SB 721 requires that these inspections also consider the seismic integrity of elevated structures. Buildings located in high-risk seismic zones may require additional structural reinforcement.

  • Compliance Deadlines: SB 721 mandates that all inspections be completed by January 1, 2025. This gives property managers and owners time to schedule inspections and make necessary repairs but also introduces a firm deadline for compliance.

3. Why Are SB 326 and SB 721 Important for Property Managers?

As a property manager, ensuring compliance with SB 326 and SB 721 is essential for several reasons:

  • Safety of Tenants: The primary goal of these laws is to protect the safety of tenants by preventing dangerous structural failures. Balconies and elevated exterior structures are often used as outdoor living spaces, and when they collapse or fail, the results can be catastrophic. By adhering to the inspection and maintenance guidelines set out by SB 326 and SB 721, property managers can reduce the risk of such accidents.

  • Liability and Legal Risks: If a balcony or elevated structure fails and causes injury or death, property managers and owners could face significant legal consequences. Failing to comply with SB 326 and SB 721 could be considered negligence in the event of an accident. Compliance helps mitigate the risk of lawsuits and potential financial penalties.

  • Property Value and Insurance: Regular inspections and repairs of balconies and exterior structures can help preserve the value of the property. A well-maintained building is more attractive to tenants, and it can also lower the cost of insurance premiums. Insurance companies may require proof of compliance with SB 326 and SB 721 in the event of a claim related to structural damage.

  • Preventative Maintenance: By scheduling regular inspections and addressing issues proactively, property managers can avoid costly emergency repairs and mitigate the likelihood of unexpected maintenance expenses. Preventing small issues from escalating into larger problems saves money and protects the building’s overall integrity.

4. How Landlords Can Comply with SB 326 and SB 721

To comply with these laws, property managers should take the following steps:

1. Schedule Inspections

  • Ensure that a licensed structural engineer inspects balconies, decks, stairs, and other elevated structures every six years. Keep track of inspection dates and deadlines to ensure timely compliance.

2. Address Issues Promptly

  • If the inspection report reveals any issues, take immediate action to address them. This could involve scheduling repairs, replacing damaged components, or reinforcing the structure to meet safety standards.

3. Keep Documentation

  • Maintain a record of all inspection reports, repair work, and communication with contractors and engineers. This documentation is crucial in demonstrating compliance with SB 326 and SB 721 in case of a legal dispute or insurance claim.

4. Work with Qualified Professionals

  • Hire qualified engineers and contractors who are experienced with the requirements of SB 326 and SB 721. They should understand California’s specific building codes and be able to provide accurate assessments and recommendations.

5. Plan for Seismic Safety

  • For properties in high seismic risk zones, ensure that inspections include seismic considerations. Retrofit older buildings as necessary to comply with modern earthquake safety standards.

6. Communicate with Tenants

  • Notify tenants about the importance of balcony and deck safety and encourage them to report any concerns or maintenance issues promptly. This helps create a culture of safety and accountability.

5. Conclusion: Staying Compliant with SB 326 and SB 721

Sail Properties is familiar with this law and has hired vendors to complete inspections on various properties.  SB 326 and SB 721 are vital pieces of legislation that protect the safety of tenants and the integrity of multi-unit residential buildings in California. By understanding the specific requirements of these laws and taking proactive steps to comply, property managers can reduce the risk of accidents, avoid legal issues, and preserve the value of their properties.

Whether you're managing a small apartment complex or a large condominium building, ensuring that exterior elevated structures are inspected, maintained, and repaired as needed is a key responsibility. By following the guidelines set forth in SB 326 and SB 721, you not only keep your property safe but also build a reputation as a responsible and proactive property manager.

In a state like California, where natural disasters and dense urban living present unique challenges, compliance with balcony safety laws should be a top priority. Staying informed and implementing these safety measures will help protect tenants, reduce liability, and contribute to the long-term success of your property management operations.


Disclaimer: This information contained here are provided for informational purposes only and do not constitute legal advice. The author of this document is not an attorney, and the information presented should not be considered as a substitute for professional legal advice. We are licensed Real Estate agents and are not permitted to give legal nor tax advice.

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