Avoid tenant relocation during seismic retrofit

[Aleko Petkov]

Hi,

I own an 8-unit building in Los Angeles, that's on the city's list for a mandatory seismic retrofit. We just handed out the Tenant Habitability Plan (THP) notices today, and one of the tenants wants to apply for permanent relocation.

Is there a way to avoid that? The work doesn't require relocation, and no utilities will be disrupted. Parking would be affected, and I would be willing to compensate tenants for the inconvenience, but that doesn't justify relocation - at $8-$15k per unit! From what I've read, the THP protects tenants from being evicted without compensation, but this is the opposite - I'm trying to keep all the tenants, while complying with city-mandated ordinance.

I've seen many occupied buildings that are undergoing seismic retrofits, so I'm wondering how landlords deal with relocation requests. What are my options? The retrofit is expensive already, I simply cannot afford to spend another $50k to have a half-vacant building (assuming only half the tenants choose relocation). Has anyone tried to politely decline, citing city-approved permits that don't require relocation? Do you offer everyone some fixed compensation amount, or negotiate with each tenant separately? If push comes to shove, can I just... refuse, and take my chances in small-claims court?

Thanks,

Aleko