The city of Santa Barbara is asking a federal judge to dismiss a lawsuit that alleges the rent freeze it passed in January is “unconstitutional.”
Attorney Barry Cappello filed the suit in April on behalf of property owners, but Santa Barbara responded swiftly with a request to have the lawsuit thrown out.
“The complaint had weaknesses that were appropriate to attack,” said John Doimas, the Santa Barbara city attorney.
A federal judge from the United States District Court, Central District of California is reviewing the motion and has until October to render a decision, Cappello said.
“The City Council failed to conduct adequate due diligence and dismissed legitimate concerns about the long-term effects of rent control when it passed these ordinances,” Cappello said. “The individual property owners who filed suit are standing for all other Santa Barbara property owners.”
In April, the Santa Barbara Rental Property Association along with other plaintiffs filed a lawsuit against the city of Santa Barbara alleging its rent freeze ordinance took private property without just compensation.
The City Council voted in January to freeze rent increases until the end of the year, which would also allow the city to continue drafting a proposed rent stabilization ordinance that would cap rents at 60% of consumer price index, or at 3%, whatever is lowest. The program would also cost the city at least $2 million annually to administer.
As of last year, the median cost for a two-bedroom apartment in Santa Barbara was $3,836, according to a city of Santa Barbara 2025 rent survey for the South Coast.
A decision from a judge on the motion to dismiss the case could take days or weeks, Doimas, the city attorney, said.
Santa Barbara’s rent freeze expires by the end of December, making way for the City Council’s rent stabilization ordinance proposed to take effect by the beginning of 2027.
The rent stabilization ordinance would apply to rental units built before 1995, and to single-family homes owned by a corporation or LLC, and not occupied by an owner.
The draft of the rent stabilization ordinance has continued to move forward through the council, nearing final approval by the end of July.
