A federal lawsuit into the property management software company RealPage indicates it uses data to suggest rental prices to landlords, which allegedly unlawfully decreases competition and leads to collusion to raise prices.
Earlier this week, the Justice Department expanded the lawsuit to six large landlords operating in 43 states and D.C. Nevada is monitoring the action but has not yet joined.
“The amended complaint alleges the landlords — Greystar Real Estate Partners LLC (Greystar); Blackstone’s LivCor LLC (LivCor); Camden Property Trust (Camden); Cushman & Wakefield Inc and Pinnacle Property Management Services LLC (Cushman); Willow Bridge Property Company LLC (Willow Bridge) and Cortland Management LLC (Cortland) — participated in an unlawful scheme to decrease competition among landlords in apartment pricing, harming millions of American renters,” the press release indicated. “Together, these landlords operate more than 1.3 million units in 43 states and the District of Columbia.”
In Reno, according to a Washington Post analysis, the share of multifamily units managed by these companies is estimated at 24%.
Greystar is reported to operate Aspen Ridge, Ballpark Apartments, Fifteen51, The Highlands and Innova, while Cushman and Wakefield which acquired Pinnacle Property Management is reported to operate the Kallan at Verdi Village, Park on Virginia, Whittell Pointe and Zephyr Pointe.
RealPage says it’s not a monopoly and that the suit should be dismissed.
In the Justice Department press release it was indicated that Landlord Cortland agreed to cooperate and enter into a settlement “to end the use of common rental pricing algorithms and competitively sensitive data to set rents.”
Our Town Reno reporting, January 2025