NV AG’s office says alleged apartment price-fixing is ‘on our radar’

BY: MICHAEL LYLE, Nevada Current

The Nevada Attorney General’s Office said the real estate tech firm RealPage, which has faced accusations of price-fixing rents in multiple states, is on its “radar” but wouldn’t say if it was investigating corporate landlords that use the software.

A ProPublica investigation in 2022 found rental pricing software by RealPage used algorithms, which collect lease transaction data and advertised rates, to effectively tell landlords the highest rent an apartment applicant is able to pay, and then charge it.

There have been more than 30 lawsuits nationwide alleging that RealPage has colluded with corporate landlords to inflate rent prices, according to Stateline.

Accountable.US, a center-left watchdog group, sent letters to nine attorneys general offices around the country since 2023 warning there might be price-fixing in their rental markets. Nevada wasn’t one of them.

The group said in an email with Nevada Current that of the six publicly traded property management companies tied to RealPage, one was Mid-America Apartments, which manages 721 units in the state.

ProPublica’s reporting also singled out one of the nation’s largest property management firms, Greystar, which lists 44 apartment complexes under its management in Southern Nevada and five in the Reno area.

Alicinia Whiters, a spokeswoman for the Attorney General’s office, said they are aware of the RealPage but couldn’t provide additional details on what the office is doing in response to allegations of price fixing.

“RealPage is on our radar at the Nevada Attorney General’s Office,” said. “We cannot share any specifics regarding the existence or nonexistence of an investigation. AG (Aaron) Ford is constantly monitoring threats to consumer rights and safety and is open to all possible options, from litigation to legislation, in order to protect Nevadans’ access to affordable housing.”

Arizona Democratic Attorney General Kris Mayes filed a lawsuit against RealPage in January. Stateline reported that North Carolina, Democratic Attorney General Josh Stein is also investigating the tech firm.

RealPage has pushed back against the reporting on the software and in a June statement called the investigation “false and misleading.” The real estate tech firm is scheduled to have a conference at Wynn Las Vegas starting Aug. 10

The corporate landlords that use RealPage’s software have reported nearly $300 million in profits in the first quarter of 2024, according to Accountable.US.

“Where there is smoke there is fire and any big property company that has used RealPage should face a probe,” Liz Zelnick, the Director, Economic Security & Corporate Power Program for Accountable.US, said in a recent press briefing. “No renter in America should be price gouged under a potentially illegal rent fixing scheme.”

This story was originally published by Nevada Current and has been republished under a Creative Commons license.