Rent Board Recommendation
to City Council:
Tenant Buyout Agreement Policy
November 4, 2025
Nicolas Traylor, Executive Director- Richmond Rent
Program
Lina Velasco, Director of Community Development
Presentation Overview
1. Provide an overview of Tenant Buyout
Agreements and related issues.
2. Summarize policy options considered by the
Rent Board.
3. Present the Rent Board’s recommended policy
option.
4. Seek City Council direction to draft an
ordinance based on the recommended approach.
What is a Tenant Buyout
Agreement?
•A Tenant Buyout Agreement, or 'Cash for Keys,'
is a voluntary contract where a tenant agrees
to vacate a rental unit in exchange for
compensation.
•Why Landlords Offer Buyouts:
• Avoid eviction proceedings
• Prepare property for sale/redevelopment
• Increase rental income
• Manage difficult tenancies
Risks of Unregulated Buyouts
•Tenants may feel pressured or misled
•Vulnerable households risk losing affordable
housing
•Unregulated buyouts undermine rent control and
just-cause eviction protections
Policy Rationale
• Prevent Coercion & Harassment: Protect
tenants from pressure tactics
•Ensure Informed Consent: Require clear
disclosures and rescission rights
•Protect Affordable Housing: Prevent
displacement of rent-controlled tenants
•Align with Regional Practices: Similar
ordinances in SF, Oakland, Berkeley, LA, etc.
Case Study Insights
Common Elements:
•Standardized disclosure forms
•Rescission periods (25–45 days)
•Mandatory filing of agreements
•Enforcement mechanisms
Unique Provisions:
• Language access (LA, Oakland)
• Database transparency (San Francisco)
Policy Options Overview
•Option 1 – Low Oversight: Minimal
requirements, short rescission, no penalties
•Option 2 – Moderate Oversight: Longer
rescission, relocation standard, modest
penalties
•Option 3 – High Oversight: Pre-filing, 45-day
rescission, full relocation payments, stronger
penalties, Rent Program oversight
Why Option 3?
•45-day rescission period
•Pre-negotiation filing with Rent Program
•Minimum payouts equal to relocation payments
•Rent Program tenant contact confirmation
•Public (non-identifying) database
•Stronger penalties for noncompliance
Preventing Circumvention of
the Rent Ordinance
•Unregulated buyouts allow landlords to bypass
•Just Cause for Eviction requirements
•Relocation payment obligations
•Tenant rights to return or retain rent control
protections
Administration and
Implementation
•Develop disclosure/educational materials
•Conduct workshops and outreach
•Provide housing counseling
•Maintain database and annual reporting
•Coordinate with City Attorney and Community
Development
Next Steps
Council supports Option 3, staff will:
1. Collaborate with the City Attorney to draft
the ordinance
2. Work with Community Development and City
Manager on implementation
3. Return to Council for final adoption
Recommended Action
Receive the presentation and Direct the City
Attorney’s Office to work with the Rent Program
to draft a Tenant Buyout Agreement Ordinance
incorporating Option 3: High Level of Oversight