Aggregator

by Heather Vogell

ProPublica is a nonprofit newsroom that investigates abuses of power. Sign up to receive our biggest stories as soon as they’re published.

Renters filed a lawsuit this week alleging that a company that makes price-setting software for apartments and nine of the nation’s biggest property managers formed a cartel to artificially inflate rents in violation of federal law.

The lawsuit was filed days after ProPublica published an investigation raising concerns that the software, sold by Texas-based RealPage, is potentially pushing rent prices above competitive levels, facilitating price fixing or both.

The proposed class-action lawsuit was filed in U.S. District Court in San Diego.

In an email, a RealPage representative said that the company “strongly denies the allegations and will vigorously defend against the lawsuit.” She declined to comment further, saying the company does not comment on pending litigation.

The nine property managers named in the lawsuit did not respond immediately to a request for comment.

They included some of the nation’s largest landlords, such as Greystar, Lincoln Property Company, Equity Residential, Mid-America Apartment Communities and FPI Management — which together manage hundreds of thousands of apartments.

Four of the five renters named in the suit were Greystar tenants. A fifth rented from Security Properties. Their apartments were located in San Diego, San Francisco and two Washington state cities, Redmond and Everett.

The lawsuit accused the property managers and RealPage of forming “a cartel to artificially inflate the price of and artificially decrease the supply and output of multifamily residential real estate leases from competitive levels.”

RealPage’s software uses an algorithm to churn through a trove of data each night to suggest daily prices for available rental units. The software uses not only information about the apartment being priced and the property where it is located, but also private data on what nearby competitors are charging in rents. The software considers actual rents paid to those rivals — not just what they are advertising, the company told ProPublica.

ProPublica’s investigation found that the software’s design and reach have raised questions among experts about whether it is helping the country’s biggest landlords indirectly coordinate pricing — potentially in violation of federal law. In one neighborhood in downtown Seattle, ProPublica found, 70% of more than 9,000 apartments were controlled by just 10 property managers, who all used RealPage pricing software in at least some of their buildings.

RealPage told ProPublica that the company “uses aggregated market data from a variety of sources in a legally compliant manner.”

The company also said that landlords who use employees to manually set prices “typically” conduct phone surveys to check competitors’ rents, which the company says could result in anti-competitive behavior.

“RealPage’s revenue management solutions prioritize a property’s own internal supply/demand dynamics over external factors such as competitors’ rents,” a company statement said, “and therefore help eliminate the risk of collusion that could occur with manual pricing.”

The lawsuit said that RealPage’s software helps stagger lease renewals to artificially smooth out natural imbalances in supply and demand, which discourages landlords from undercutting pricing achieved by the cartel. Property managers “thus held vacant rental units unoccupied for periods of time (rejecting the historical adage to keep the ‘heads in the beds’) to ensure that, collectively, there is not one period in which the market faces an oversupply of residential real estate properties for lease, keeping prices higher,” it said. Such staggering helped the group avoid “a race to the bottom” on rents, the lawsuit said.

RealPage brags that clients — who agree to provide RealPage real-time access to sensitive and nonpublic data — experience “rental rate improvements, year over year, between 5% and 12% in every market,” the lawsuit said.

RealPage encourages property companies to have daily calls with a RealPage pricing adviser and discourages deviating from the rent price suggested by the software, the lawsuit said.

The lawsuit was filed by four law firms and a nonprofit, Justice Catalyst Law, dedicated to developing cases and legal strategies that advance economic and social justice. Gary Smith Jr., one of the lawyers involved, said the investigation into the case had been going on for more than a year.

“Today’s lawsuit plausibly alleges that Lessors of rental units have coordinated to drive rents up to unprecedented levels, exacerbating the nation’s affordable housing crisis,” Smith said in a media release.

RealPage counts some of the largest property managers in the country among its clients. Many favor cities where rent has been rising rapidly, according to a ProPublica analysis of five of the country’s top 10 property managers as of 2020. All five use RealPage pricing software in at least some buildings, and together they control thousands of apartments in metro areas such as Denver; Nashville, Tennessee; Atlanta and Seattle, where rents for a typical two-bedroom apartment rose 30% or more between 2014 and 2019.

Greystar and FPI Management each control hundreds of buildings in metro areas where rents have risen steeply in recent years. And Equity Residential, Lincoln Property Company and Mid-America Apartment Communities each manage dozens of buildings in high-growth markets.

RealPage’s clients may gravitate toward high rent-growth markets for several reasons. For instance, tenants in those areas will bear more rent hikes and so offer an opportunity to landlords to make more money.

But, RealPage says its software, formerly known as YieldStar, steers pricing that beats the market in areas where it operates.

“Find out how YieldStar can help you outperform the market 3% to 7%,” RealPage urges potential clients on its website.

Haru Coryne and Ryan Little contributed data analysis.

The Art of Food – a juried art exhibit. See how local artists create artwork with the theme of food as a way to talk about feeding the mind, body

The post The Art of Food – a juried art exhibit appeared first on Explore St. Louis.

Los Angeles City Hall

Credit: chrisinphilly5448

Leaked audio of Los Angeles politicians engaging in crass and racist conversation has roiled local politics for days after it was posted anonymously to Reddit over the weekend. Since then, the president of the city’s unusually powerful council renounced that title, announced she would take a leave of absence, then resigned yesterday. Figures as prominent as President Joe Biden had called for her resignation, as well as those of other council members caught on tape. The head of the influential Los Angeles County Federation of Labor, who was also a participant in the conversation, has resigned.

The audio and ensuing reporting are undeniably newsworthy, and the resulting shake-up could transform the political situation in the country’s second largest city. But as is so often the case, some have treated the leak itself as the “real” transgression. A representative for the Federation of Labor sent a letter warning The Los Angeles Times that the conversation had been illegally recorded. (To its credit, the LA Times responded by noting that U.S. law does “not prohibit or punish the receipt and publication of newsworthy information.”) The group appears to have successfully removed what it calls the “illegal” audio from Reddit, per an internal memo that was, yes, leaked to the press.

Unauthorized leaks are frequently the source of critically important stories, but there is almost always a chorus of complaints that the origin of this reporting somehow taints the reporting. That’s nonsense. A central mission of Freedom of the Press Foundation — through its security trainings for journalists, development of SecureDrop software for encrypted anonymous communication, and advocacy for legal protections for reporters covering sensitive material — is to foster an environment where important leaks can get the fearless press coverage they deserve.

—

What we’re reading:

• PACER users to receive refunds in $125 million settlement with U.S. judiciary: The U.S. government has agreed to refund up to $350 in fees incurred between 2010 and 2018 by users of PACER, the federal system for accessing court records. This settlement only covers past charges, but legislators are considering a proposal to free PACER going forward, which we have strongly endorsed.
• Warriors ‘aggressively investigating’ who leaked the Draymond Green punch video to TMZ: The Golden State Warriors are reportedly pursuing “every legal course of action” to find the leaker of a video that shows a physical altercation between superstars Draymond Green and Jordan Poole. Local sports reporters have defended the newsworthiness of the leak.
• Iranian security forces step up arrests of journalists amid anti-state protests: At least 28 journalists have been arrested in Iran over the past month as the government violently cracks down on protests in that country, according to the Committee to Protect Journalists. The protests began over the death in custody of 22-year-old Mahsa Amini, who had been arrested for allegedly violating morality codes about conservative dress. Freedom of the Press Foundation condemns both the crackdowns and these arrests.
• Fight over social media’s role in terror content goes to Supreme Court: The Supreme Court agreed last week to hear two cases about Section 230 of the Communications Decency Act, one of the most important laws underpinning the Internet. Both cases pertain to content related to supposed terrorism-related content posted by users to social media sites.
• Devices illegally seized in investigation of reporter’s murder, Review-Journal argues: A judge this week granted the Las Vegas Review-Journal’s request to block authorities from reviewing devices seized from the home of slain reporter Jeff German, which are expected to include source names and notes. FPF — and dozens of press freedom advocacy and news outlets — argue the temporary injunction should be permanent. Our U.S. Press Freedom Tracker is following the device search and seizure.

The Federal Reserve Bank of St. Louis said it will “think differently” about its president and CEO, James Bullard, appearing at non-public events after news reports that he spoke at a private policy forum last week sponsored by Citigroup that was open to its clients.

With unbearable sadness, we announce that we’ve lost our friend and colleague, Rick Bonasch on October, 19, 2022. Rick was the brightest light in the world of community development and beyond. He was patient, genuinely interested, clever, and kind. Maybe most importantly, Rick was kind. He loved his work, St. Louis, and all the varied […]

The post Rick Bonasch, Beloved Colleague at Rise, Passes Peacefully at 63 appeared first on Rise.

Elon Musk’s deal to buy Twitter is likely to close within a week. The deadline before the Court of Chancery wakes back up is October 28th, which is rapidly approaching. I’ve discussed in the past ways in which I think Musk could actually be good for Twitter, but it requires having a pretty basic understanding […]

This is from the Treasury Department today. The 2022 federal deficit was half what it was in 2021.

EDWARDSVILLE - Sugarfire 618, St. Louis BBQ Society, and Global Brew Tap House Edwardsville are coming together to host the inaugural 'Que & Brew Festival.' The event will run this weekend from 11 a.m. to 11 p.m. on Saturday and from 11 a.m. to 5 p.m. at Edwardsville City Park located at 101 S Buchanan St. The event will host a pro series and backyard BBQ competition as well as a craft beer festival. There will be a wide variety of BBQ on offer and over 40 craft and domestic beers as well as craft cocktails. There will also be live music on both days. For more information including band lineups, beer selections, and BBQ competition schedules visit their website at www.edwqueandbrew.com .

Continue Reading

SPRINGFIELD - Land of Lincoln Honor Flight announces the final 2022 flight will take off on Tuesday, November 1 st from Springfield Abraham Lincoln Capitol Airport to Washington DC. Ninety-four (94) Central Illinois veterans – 1 World War II veteran, 5 Korean era veterans and 88 Vietnam era veterans - are ready to experience a day of appreciation for their service on Land of Lincoln Honor Flight’s Mission #64. These veterans and their eighty-three (83) Guardians (who cover the cost of their own expenses) will arrive at the airport Tuesday morning at 4:15 AM, having traveled from the 52 Illinois cities and communities of Argenta, Atlanta, Bath, Bement, Bloomington, Catlin, Champaign, Coffeen, Colchester, Cornland, Danville, Decatur, Delavan, Effingham, Findlay, Forrest, Franklin, Girard, Greenup, Gridley, Hillsboro, Jacksonville, Jerseyville, LaSalle, Lincoln, Mahomet, Marshall, Mason City, Mattoon, Meredosia, Morrisonville, Moweaqua, Normal, Oconee, Ogden, Oreana, Palmer,

Continue Reading

An investigation is underway after police say two people robbed a man in south St. Louis who paid for a sex arrangement.

ALTON - YWCA is hosting its annual Trivia Night Fund Raiser on Saturday, November 5 at the beautiful and comfortable Best Western Premier Conference Center, Alton, and would like the community to join us at this fun-filled event. Doors open at 6 pm. Trivia starts promptly at 7 pm. “We are so excited to be back in person for Trivia and at this new location! We have a fun-filled and challenging evening planned with attendance prizes, a Bucket of Booze raffle, a 50/50 drawing, a Heads or Tails game, Trivia prizes, and more. Tables and individuals are welcome to join in the fun and support YWCA.” said Dorothy Hummel, Executive Director. Tickets are $25 a piece and tables of 8 persons run $200. 50/50 and Basket Raffles will be held during the evening. Program Sponsorships for Child Enrichment, Girls Circle, and Boys Council programs are still available at $250. Cash bar for both alcoholic and nonalcoholic drinks available. YWCA will provide popcorn and pretzels for

Continue Reading

RANDOLPH COUNTY - A 63-year-old Mascoutah woman died in a fatal car crash at 3:26 p.m. on Thursday, Oct. 20, 2022. The woman's name is not being released by Illinois State Police pending next-of-kin notification. The Following Preliminary Information is Being Released by Illinois State Police District 13 WHAT: Three-Vehicle Fatal Traffic Crash WHERE: Illinois Route 150 west of Briarhill Road, Randolph County WHEN: Oct. 20, 2022, at approximately 3:26 p.m. VEHICLES: Unit 1 – White 2011 Kia Sorento Unit 2 – White 2006 Chevrolet Silverado Unit 3 – White 2018 Nissan NV200 DRIVERS : Unit 1 – Robert C. Appel, a 33-year-old male from Sparta, IL – Transported to an area hospital with non-life-threatening injuries. Unit 2 – Jared D. Bargman, a 33-year-old male from Chester, IL – Transported to an area hospital with non-life-threatening injuries. ISP PRELIMINARY REPORT: Preliminary investigative details indicate the following

Continue Reading

We will win this election if we convince voters we care about their economic well-being.

ST. LOUIS — Attorneys for Missouri and five other Republican-led states are asking a federal appeals court to reconsider their effort to block the Biden administration’s program to forgive hundreds of millions of dollars in student loan debt.

"Global Threads: The Art and Fashion of Indian Chintz," the new main gallery exhibition at the Saint Louis Art Museum, is a lesson in both textiles and trade.

WOOD RIVER – Midwest Members Credit Union is proud to sponsor the “Oiler of the Month” program at EAWR High School. A Senior student is selected each month by members of the EAWR faculty. Each student is awarded a certificate and a Subway gift card. The Seniors selected each month will have the opportunity to compete for a $1,000.00 “Oiler of the Year” scholarship at the end of the school year. September’s winner is Mary Nguyen. Mary is a Senior at EAWR and is involved with volleyball, cheerleading, track & field, cross country, spirit club, soccer, student council, drama club, and many more activities. Mary has received honors for Rookie of the Year - cross country, 110% track & field, High Honor Roll & Renaissance Program. After graduation, Mary plans to obtain a degree in biomedical engineering at an undecided college near St. Louis. Congratulations Mary and we all wish you good luck in your future! Midwest Members Credit Union has been

Continue Reading

MARYVILLE – To express his gratitude to the brave men and women who have served the country in the armed forces, State Senator Kris Tharp is hosting a free breakfast event for veterans and their spouses. “I’ll be forever grateful for the courage and sacrifice of our veterans and active duty military members,” said Tharp. “They have devoted their lives in a way that has blessed many others, and I hope they will join us at this free event.” The breakfast event will be held from 9 to 11 a.m. on Saturday, Oct. 29 at the On The Hill Golf Course & Lounge – Legion Post #199, located off of Route 157 in Edwardsville. Mother’s Catering will provide the meals and a speaker from the Illinois Department of Veterans Affairs will give remarks. RSVP’s are requested and can be made by calling Senator Tharp’s office at 618-251-9840 or visiting www.SenatorTharp.com/VeteransBreakfast .

Continue Reading