What Apartment Owners Need to Know About SB-721

As a property owner in California, staying compliant with state regulations is crucial to protecting your investment and ensuring tenant safety. One such regulation that has garnered attention is SB-721—the “Balcony Inspection Bill.” Enacted to enhance structural safety in multi-family buildings, this law specifically focuses on elevated exterior elements such as balconies, decks, and stairways. Here’s what you need to know to stay on top of your responsibilities.

Overview of SB-721

SB-721, signed into law in 2018, mandates the regular inspection of elevated exterior elements (EEEs) in multi-family residential buildings with three or more units. This includes:

Balconies

Decks 

Porches

Exterior stairways

Walkways

These structures, which rely on wood framing or similar materials susceptible to weathering, decay, and termite damage, must be periodically inspected to ensure their structural integrity. The law aims to prevent tragic incidents, such as collapses, that can result in injuries, fatalities, and significant liabilities for property owners. By requiring proactive inspections, SB-721 establishes a safety-first approach to property management, emphasizing preventive maintenance over reactive repairs.

Inspection Requirements

SB-721 requires inspections to be conducted by a qualified professional such as a licensed architect, civil engineer, or general contractor. Here are the key deadlines and requirements: 

Initial Inspection Deadline: The first inspection must be completed by January 1, 2025. This deadline ensures that property owners have ample time to assess their structures and address any issues before safety concerns escalate. 

Reinspection Schedule: Inspections must occur every six years after the initial inspection. This recurring schedule is designed to catch early signs of deterioration that may develop over time due to weather exposure or normal wear and tear. 

Components to Inspect: The inspections focus on the waterproofing systems, structural framing, and any evidence of damage such as rot, rust, or other forms of deterioration. Special attention is given to areas prone to water intrusion, as moisture is a primary cause of structural damage in wooden components.

Report Submission: A detailed report must be submitted to the property owner and retained for future reference. This documentation not only helps track the condition of the property but also serves as evidence of compliance in case of inquiries from local enforcement agencies. 

Consequences of Non-Compliance 

Failing to comply with SB721 can result in significant consequences for property owners: 

Fines and Penalties: Local enforcement agencies may impose fines for non-compliance, which can quickly add up depending on the severity and duration of the violation.

Legal Liability: In the event of an incident caused by structural failure, property owners may face lawsuits and financial damages. A single accident could lead to extensive legal costs and reputational harm.

Tenant Safety Risks: Beyond legal consequences, neglecting inspections puts tenants at risk of harm, potentially tarnishing your reputation as a landlord. Ensuring the safety of elevated exterior elements is not just a regulatory requirement—it’s a moral obligation to your tenants and community. 

Common Challenges and Solutions 

For many property owners, complying with SB-721 may seem daunting at first. However, breaking the process into manageable steps can ease the burden: 

Finding Qualified Inspectors: One of the challenges is identifying professionals with the necessary qualifications and experience. Start by researching local licensed architects, engineers, and contractors who specialize in structural inspections.

Budgeting for Costs: Inspections and repairs can be costly, especially for older buildings. To manage expenses, consider creating a reserve fund specifically for maintenance and repairs. Proactive budgeting can help mitigate the financial impact of unexpected issues.

Scheduling and Coordination: Coordinating inspections with tenants can be tricky, particularly in fully occupied buildings. Notify tenants well in advance and schedule inspections during times that minimize disruptions. Clear communication can help maintain good tenant relations throughout the process.

Steps for Apartment Owners

If you own an apartment building subject to SB-721, here are some actionable steps to ensure compliance:

Schedule an Inspection: Contact a licensed professional to conduct the inspection before the January 1, 2025 deadline. Early scheduling can help you avoid last-minute delays and ensure thorough evaluations. 

Budget for Repairs: Set aside funds to address any identified issues. Proactive maintenance not only ensures compliance but also enhances the longevity of your property. Addressing minor issues early can prevent costly major repairs down the line. 

Maintain Documentation: Keep all inspection reports and records of repairs in case they are requested by local authorities. Proper documentation also provides peace of mind and demonstrates your commitment to tenant safety. 

Communicate with Tenants: Inform your tenants about the inspection schedule to minimize disruptions and ensure cooperation. Transparency fosters trust and helps tenants feel secure in their living environment. 

The Importance of Proactive Maintenance 

Regular inspections and maintenance do more than just satisfy legal requirements—they protect your investment. Elevated exterior elements are among the most vulnerable components of a building, constantly exposed to weather conditions that can accelerate wear and tear. By investing in regular upkeep, you not only reduce the risk of accidents but also enhance the overall value of your property. 

Proactive maintenance also reflects positively on your reputation as a landlord. Tenants are more likely to renew leases and recommend your property to others if they see that you prioritize their safety and comfort. In a competitive rental market, demonstrating a commitment to maintaining high standards can set your property apart. 

Conclusion

SB-721 is a critical piece of legislation aimed at enhancing safety in multi-family housing. By staying proactive and ensuring timely inspections, you can safeguard your tenants, protect your investment, and avoid costly penalties. Take the necessary steps now to ensure your property remains compliant and secure for years to come. Remember, compliance with SB-721 is not just about meeting legal obligations—it’s about fostering a safe and thriving community for everyone involved.

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