Legal Question in Real Estate Law in California

Subleasing Agreements

I have been subleasing an apartment in San Francisco for the past year. There was a verbal agreement up front that after 6 months I would take over the lease in my own name. The person subleasing to me has charged me $100 more per month than he is paying the owner of the building, so I have basically put $1200 in his pocket. The original agreement was that the extra $100 was to cover the stove and refrigerator he had replaced while living there, without seeking compensation from the owner. However, now that he has decided to pass the lease on to me he plans on removing the refriferator and getting reimbursement from the owner for the stove. Is it legal to charge more than the going rate for a sub-lease agreement?


Asked on 7/25/01, 3:18 pm

1 Answer from Attorneys
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: Subleasing Agreements

Generally it is legal to mark up the rate in the underlying lease when subleasing. Among the facts that would justify same (if justification were necessary) is changed market conditions.

However, you are in a rent-controlled city. The general rule may have been modified by the rent control ordinances--and very likely has. You will need an answer from an attorney (not me) who practices in S.F. and knows the local rules. Sorry.

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Answered on 7/30/01, 6:43 pm


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