Since January 1, 2026, California’s Assembly Bill 723 has changed the rules for how real estate photos can be used in advertising. Signed into law in October 2025 and codified as Business and Professions Code § 10140.8, AB 723 requires real estate professionals to clearly disclose when listing images have been digitally altered — and to make the original, unaltered version available to viewers.
The law applies to brokers, agents, developers, and anyone marketing real property in California. That includes commercial and industrial listings, not just residential.
Here’s what owners, tenants, and buyers should know.
What AB 723 actually regulates
The law draws a line between two categories of photo work: images that materially change how a property looks, and standard edits that simply make a photo clearer or better composed.
A disclosure is required when an image has been modified — using editing software or AI — to add, remove, or change physical elements of the property. That includes:
- Adding or removing furniture, fixtures, equipment, or flooring
- Changing paint colors, landscaping, or exterior finishes
- Altering views, neighboring structures, or visible street features
- Virtual staging or AI-generated content showing items that aren’t actually there
No disclosure is required for standard edits that don’t change the substance of the property:
- Lighting and exposure corrections
- Color or white-balance adjustments
- Sharpening or straightening
- Cropping, resizing, or angle adjustments
The simplest way to think about it: making a photo look better is fine. Making it look different triggers the disclosure rule.
How disclosure works
When an image qualifies as digitally altered, the broker or agent must include a clear and conspicuous statement on or next to the photo indicating that it has been altered.
For print advertising — flyers, mailers, brochures — that disclosure must be paired with a link, URL, or QR code that takes viewers to a publicly accessible page showing the original, unedited photo.
For online advertising — MLS listings, brokerage websites, social media — licensees who control the platform can either follow the print rule (disclosure plus link/QR code) or simply post the altered and unaltered versions side-by-side, labeled “Digitally Altered” and “Original – Unedited.”
Why this matters for commercial and industrial real estate
Most of the public conversation around AB 723 has focused on residential listings, where virtual staging is common. But the law applies just as squarely to commercial and industrial property marketing — and there are some specific places it shows up in our world:
- Conceptual buildout renderings shown alongside real photos
- Sky replacements that change time of day or weather
- Removed power lines, dumpsters, or neighboring equipment
- Enhanced or added landscaping
- AI-generated workers or vehicles inserted into common areas
If any of these appear in marketing materials, they need to be clearly labeled, with the original image accessible.
What didn’t change
It’s worth noting what AB 723 didn’t do. It didn’t ban edited photography. It didn’t require disclosure of standard color correction or composition cleanup. And it didn’t change the existing prohibition on false or misleading advertising under Business and Professions Code § 10140 — that rule has always been in place. AB 723 just added a specific framework for the kind of digital alteration that’s become much easier in the age of AI.
What this means at Trico
For 55+ years, our approach to industrial space has stayed pretty simple: we walk you through the building, point out what works and what doesn’t, and let the property speak for itself. The best leasing decisions get made in person, not on a screen.
AB 723 fits that philosophy. Greater transparency in real estate marketing is good for tenants, good for buyers, and good for firms that want long-term relationships rather than one-time deals. No surprises when you walk the property. No fine print to read between.
That’s the standard we want to keep meeting, and it’s how we’ll keep finding a home for your business.
If you’d like to talk through what’s available in our Orange County portfolio, give us a call at 714.751.4420.
Trico Realty, Inc. — Business Park & Freestanding Industrial Specialists. DRE #00342120. This article is general information about California Assembly Bill 723 and is not legal advice; consult a real estate attorney for guidance on your specific situation.