WASHINGTON, D.C. — The Justice Department has reached a proposed settlement with Greystar Management Services LLC, the largest landlord in the United States, to end its involvement in an algorithmic pricing scheme.
The settlement aims to resolve claims that Greystar, along with other landlords, shared competitively sensitive data to generate pricing recommendations using RealPage’s algorithms, which allegedly included anticompetitive rules aligning competitors’ pricing.
Greystar manages nearly 950,000 rental units across the country, including more than a dozen communities in the Pittsburgh area.
The Justice Department’s Antitrust Division is actively enforcing against algorithmic coordination and other anticompetitive practices in rental markets nationwide.
The complaint alleges that Greystar and five co-defendants discussed pricing strategies, rents and selected parameters for RealPage’s software directly with each other, raising concerns about anticompetitive behavior.
The proposed settlement marks a significant step in the Justice Department’s efforts to address anticompetitive practices in the rental market, potentially impacting how rental prices are determined across the country.
Greystar posted the following in response to today’s announcement by the Justice Department:
“Greystar firmly believes that its use of RealPage’s revenue management software complies with all applicable laws. That is why Greystar has vigorously defended itself in these matters and will continue to defend itself against any claims brought by regulators. Today’s settlements do not change that belief and the settlements contain no admission of wrongdoing.”
According to Greystar’s website, the company manages 15 properties in Moon, Coraopolis, Bethel Park, Bridgeville and in Lawrenceville, among others.
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