Greystar Management Services LLC, the largest landlord in the United States with nearly 950,000 rental units under management, has agreed to a $7 million settlement following allegations of participating in an algorithmic rent alignment scheme. The announcement was made by California Attorney General Rob Bonta as part of a coalition of nine attorneys general involved in an ongoing antitrust lawsuit against RealPage, a software company.
According to the terms of the settlement, Greystar will stop using any software that utilizes competitively sensitive information to align rent prices. The company also agreed to cooperate with authorities in the continued prosecution of RealPage and other defendant landlords.
Attorney General Bonta stated: “Whether it’s through smoke-filled backroom deals or through an algorithm on your computer screen, colluding to drive up prices is illegal. Families across the country are staring down an affordability crisis. Companies that intentionally fuel this unaffordability by raising prices to line their own pockets can be sure I will use the full force of my office to hold them accountable. California is stronger when we protect tenants and a competitive economy.”
The January 2025 complaint alleges that Greystar and other landlords used RealPage’s revenue management system to share confidential pricing data and coordinate rental rates. This process allowed landlords not only to discuss sensitive topics such as pricing strategies but also ensured that nonpublic data would be used for price recommendations benefiting all participants using RealPage’s algorithms.
In California alone, Greystar manages about 333 multifamily properties utilizing RealPage’s pricing software. Over recent decades, housing demand has far exceeded supply in California, contributing to rising costs and making it increasingly difficult for residents—especially renters—to afford housing.
Under the proposed settlement, which still requires court approval, Greystar must pay $7 million in penalties and fees distributed among participating states. Additional requirements include refraining from using anticompetitive algorithms based on rivals’ sensitive data; avoiding sharing such information with competitors; accepting oversight from a court-appointed monitor if they use uncertified third-party pricing algorithms; abstaining from meetings hosted by RealPage involving competing landlords; and cooperating with ongoing monopolization claims against RealPage.
Attorneys general from North Carolina, Colorado, Connecticut, Illinois, Massachusetts, Minnesota, Oregon, and Tennessee joined Attorney General Bonta in reaching this agreement.
Antitrust enforcement is considered vital for maintaining fair markets by preventing practices that harm consumers through inflated prices or reduced competition. The California Department of Justice has established an Antitrust Complaint Form for reporting suspected violations.
