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Committee advances SB 709 to require clearer pricing disclosures for self‑storage customers
Summary
SB 709 would require self-storage operators to disclose the duration of promotional pricing, whether rates may change during the first year and how customers can terminate agreements; consumer groups said the bill would curb 'bait-and-switch' rate hikes that can trap low-income people and those experiencing displacement.
Senate Bill 709, authored by Senator María Elena Menjivar, would require storage operators to disclose promotional rates’ duration, whether a rental rate is subject to change, the maximum amount a consumer could be charged within a specified period, and clear termination procedures. Supporters said these transparency measures are designed to prevent the common “existing customer rate increase” — where introductory promotional rates are followed by steep hikes that can force financially vulnerable people to give up essential belongings.
Witnesses for the bill described cases where customers signed up for low introductory rates and soon saw their monthly fees rise many times over. Rebecca Gonzales of the Western Center on Law and Poverty said storage units often contain critical documents and possessions for people experiencing homelessness; she cited a case in which a 9x10 unit rose from $197 to $388 between 2018 and 2023.
Industry witnesses—including the California Self Storage Association and national trade representatives—said they support transparency but urged the committee to limit the disclosure period to six months rather than a year because most customers rent short term and project pricing beyond six months is speculative and could lead operators to raise introductory rates. The author pushed back with data and said several industry sources report median or mean lengths of stay exceeding six months in many markets and that victims of disasters often use storage for extended periods.
The committee accepted a motion to move the measure forward after the author and industry signaled they would continue negotiating the disclosure window and precise language; the bill passed out of committee to the next referral for further consideration.
