EPS provides rigorous analysis and insightful solutions to address complex challenges in real estate development, land use policy, and local government finance. We are motivated by the role our work can play in shaping places where people live and we strive to create high-quality urban environments that advance the principles of diversity, resiliency, and shared prosperity.
EPS offers a wealth of experience, robust technical expertise, and the ability to offer insightful solutions to address the challenges and opportunities of urban development.
EPS presented a two-part economic and fiscal evaluation of the proposed Redwood City Fair and Affordable Housing Ordinance, a local voter initiative proposed for the November 3, 2026 ballot. The Ordinance would establish a comprehensive Rent Stabilization and Tenant Protections Program, including limits on annual rent increases, expanded just cause eviction protections, relocation assistance, anti-harassment provisions, right-to-return requirements, and tenant and landlord petition processes.
EPS provided two separate presentations to the City Council summarizing the results of its analysis conducted pursuant to California Elections Code Section 9212 analysis on June 8th and July 7th, 2026. Together, the initial and supplemental reports and presentations provide the City Council and community with a comprehensive assessment of how the proposed Ordinance could affect tenants, housing providers, housing investment and preservation, affordable housing operations, and Redwood City’s long-term fiscal responsibilities.
Report link: 9212 Supplemental Report
Presentation link: 9212 Presentation
Measure ULA, the so-called “Mansion Tax,” was passed by voters in the City of Los Angeles in 2022 to add an additional transfer tax of 4.0% – 5.5% on all property sales over $5 million to fund affordable housing and homelessness services. Critics and academic studies have noted that Measure ULA seems to have slowed new construction and property sale transactions, which some attributed to the measure’s negative impact on real estate profit margins. The LA City Council is considering placing an amendment to Measure ULA on the November 2026 ballot that would provide exemptions to certain types of properties.
EPS was engaged by the Office of the City Administrative Officer (CAO) at the City of Los Angeles to analyze the impacts of the proposed changes, including exemptions for recently built multifamily, commercial, and mixed-use projects, as well as exemptions for disaster-damaged properties and properties sold at a loss.
EPS presented findings last month to a committee of the Los Angeles City Council. EPS’s research indicated that the proposed exemptions for newly constructed buildings could lead to more housing units being built because new construction would be more financially feasible. Most of the additional units would be market-rate, though some homes would be affordable units produced as inclusionary units in mixed-income buildings or funded through linkage fees generated by the unlocked development pipeline. This affordable housing production would partially offset the impact of lost ULA revenue, which also helps fund new affordable housing. The analysis also showed that losses in ULA tax revenue are partially offset by long-term property tax revenue generated by the long-term expansion of development, which boosts the City’s property tax base.
The analysis also showed that losses in ULA tax revenue are partially offset by long-term property tax revenue generated by the long-term expansion of development, which boosts the City’s property tax base. EPS also estimated the potential loss of ULA revenue from providing a three-year exemption for fire-damaged or otherwise disaster-impacted homes and of exempting properties sold at a loss.
EPS’s housing production estimates built on housing supply simulation model results from past research by the Terner Center for Housing Innovation. EPS also incorporated findings from researchers at University of California, Irvine, and Harvard University to estimate property tax impacts. In its analysis, EPS relied on ULA transaction data provided by the LA Housing Department, permit data from the LA Department of Building and Safety, sales data obtained from the LA County Assessor, home sale data from Redfin, and real estate data from Costar.
