Two Colorado nonprofit groups are calling on Attorney General Phil Weiser to investigate collusion and price fixing among large landlords using software to increase rental prices. Towards Justice and the Community Economic Defense Project urged the Attorney General’s Office to look into allegations of price-fixing by companies managing thousands of apartments in Colorado. This comes as the U.S. Department of Justice has reportedly launched a probe into RealPage, a software company that helps set rents based on data.
Colorado legislators have also taken action to curtail alleged collusion, with a proposed bill to ban the use of RealPage’s software ultimately failing after RealPage’s lobbyist intervened. The nonprofits and lawmakers are concerned about the impact of artificially inflated rents on tenants, particularly as eviction filings in Denver hit record levels.
The call for investigation also follows a lawsuit filed by a renter in Denver accusing RealPage and landlords of participating in a price-fixing cartel. Additionally, the FBI raided the headquarters of Cortland Management, a property owner with operations in Colorado, as part of an antitrust probe.
Rep. Steven Woodrow, who co-sponsored the failed bill, emphasizes the importance of investigating potential market manipulation in the housing sector. The Colorado nonprofits estimate that most large corporate landlords in the state use RealPage’s software, and they are urging Weiser to take action to ensure fair competition and pricing in the rental market.
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