Jan 08, 2025
CHARLOTTE, N.C. – The North Carolina Attorney General’s office is suing six landlords alleging they illegally raised rents for tenants. This lawsuit says that six property management companies have been using Real Page, a software program to generate inflated rent prices. The lawsuit says this impacts 70,000 units across the state and the majority of them are in Charlotte. “Rent is going up every year and there’s a lack of accountability for the landlords and a lack of power on the tenant side,” Jessica Moreno, Housing Justice Organizer for Action NC said. The new lawsuit aims to hold landlords accountable for the sky high rent. North Carolina Attorney General Jeff Jackson claims Greystar Real Estate Partners LLC, Blackstone’s LivCor LLC, Camden Property Trust, Cushman & Wakefield Inc and Pinnacle Property Management Services LLC, Willow Bridge Property Company LLC and Cortland Management LLC used Real Page, an AI software program to share information that would otherwise be private to set rent prices. “[They are sharing] the rents that they’re charging, their vacancy rates, the terms of the contract. Normally in a free market, landlords are going to guard that information and try to use that as an advantage, but what’s happening with this piece of software is they’re sharing that information, which puts renters at a disadvantage,” AG Jackson said. The six property management companies are accused of using real page to illegally set rent for about a third of one and two bedroom units in the Charlotte metro. Greystar owns more than 100 properties in Charlotte alone. “We need to get the court involved and send a very clear message that the use of this technology and that these tactics of raising people’s rents unlawfully are wrong,” AG Jackson said. Last summer, then Attorney General Josh Stein sued RealPage for inflating rents. Housing advocates say they hope state and local representatives take a closer look at how to hold landlords accountable with legislation. Advocates also want policy makers to make rent affordable before more people are priced out of the market. “I think it’s good that we that there are lawsuits happening, but lawsuits take a lot of time, and we’ve known about these issues for a long time now,” Moreno said. “So, we’re hopeful to see some real changes in the community.” The Attorney General says his office is researching to find out exactly how much rent was inflated and who has been impacted the most. WCCB reached out to the companies in the suit. Greystar says it has always conducted business with the utmost integrity and denies engaging in anti-competitive practices. The company says it plans to fight to defend themselves in the lawsuit. A spokesman from Cortland says they have reached a settlement with the Department of Justice that would resolve the investigation and are waiting for the courts approval. Action NC encourages renters to learn more about their rights as a tenant.
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