The complexities of commercial real estate regulations can be challenging—especially in California, where we tend to be at the forefront of regulations that rapidly evolve to address sustainability, safety, and development.
As commercial property managers, we prioritize compliance, and not only because we’re here to help you avoid penalties and lawsuits. We also want to protect your investments and build trust with tenants and the community.
As we move through 2025, let’s outline the key regulations affecting California commercial properties and provide some actionable steps to ensure your properties remain compliant.
Key Areas of Compliance for 2025
What will commercial rental property owners need to know? If you’re working with us, we’re staying on top of all the new and existing laws for you. If you’re managing on your own or not sure of what’s needed, here are some of the key areas that need immediate attention.
1. Energy and Sustainability Standards
Environmental concerns and legislative actions to combat climate change have made energy efficiency a top priority in California. The 2025 updates to Title 24 Building Energy Efficiency Standards will include stricter energy benchmarks for newly constructed and renovated buildings. We are recommending that commercial property owners:
- Conduct an energy assessment for their properties.
- Upgrade to energy-efficient systems such as LED lighting, solar panels, and modern HVAC systems.
- Leverage incentives like the California Public Utilities Commission’s rebate programs for green construction and retrofits.
2. Building Safety and Seismic Regulations
California’s location along major fault lines requires strict adherence to seismic safety standards. For 2025, additional updates to seismic retrofitting mandates are expected to require older commercial properties to meet enhanced safety criteria. Prepare for this by scheduling a structural analysis with a certified engineer. Implement necessary retrofitting measures to meet updated safety codes.
Some of the investors we work with are exploring funding options like property-assessed clean energy (PACE) loans to spread out upgrade costs.
3. Water Use Efficiency
In the High Desert, we have a unique relationship with water.
Expected drought conditions throughout California mean water conservation laws for commercial properties will become even more stringent under new updates to Urban Water Management Plans. If you haven’t already, consider installing low-flow fixtures and appliances across properties. Create landscaping with drought-resistant plants to reduce irrigation costs, and monitor water usage with advanced metering technologies to ensure efficiency.
4. Accessibility Requirements (ADA Regulations)
It’s crucial to ensure your properties remain accessible to all tenants and visitors. The California Building Standards Code continually refines its accessibility rules, and new updates for 2025 are likely to emphasize expanded access and accommodations.
Practical Strategies for Compliance
Staying ahead of 2025’s regulatory changes requires a proactive, strategic approach. Partner with experts in order to stay in compliance and protect your property. We’ve been managing commercial spaces long enough to know that navigating California’s complex commercial real estate regulations is no small feat, and that’s why you don’t want to do it alone.
We specialize in audits, retrofitting guidance, and personalized solutions that will meet the unique needs of your High Desert commercial investments.
Compliance is a legal obligation, but it’s also an important part of your professional reputation. Let’s take a look at where you are, and what might help you protect yourself.
Please contact us at Preston-Lee Management Company, Inc. We’ve been providing property management services in the High Desert for more than 30 years.
