Is the landlord required to pay interest on security deposit?
Yes. A landlord that is subject to the RSO is required to pay a 5% simple interest per annum on all security deposits held for at least one year. (Effective 12/6/90) Rental units subject to the RSO Geographically, the RSO applies to the entire City of Los Angeles, which includes San Pedro and the San Fernando Valley. Residential units covered by the RSO, which must be registered by the landlord, include: apartments, condominiums, town houses, duplexes, three or more dwelling units on the same loft, mobile homes, mobile home pads, and rooms in a hotel, motel, rooming house or boarding house occupied by the same tenant for 60 or more consecutive days.
