PHOENIX — Thousands of Arizona renters could be eligible for part of a $1 million agreement a landlord reached with the state to settle price-fixing allegations.
Arizona Attorney General Kris Mayes announced the settlement with Wiedner Property Management LLC on Wednesday. She sued the Washington-based company and nine other corporate landlords two years ago over their use of algorithmic software, prosecutors say, which led to inflated rents.
“We're here to send a signal that you cannot cheat Arizona renters in the state of Arizona, at least not while I'm the attorney general,” Mayes said.
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The settlement will be distributed through the nonprofit Wildfire, which offers rental assistance and other aid programs.
“Wiedner will pay $1 million directly and directed specifically to Arizona renters,” Mayes said.
Mayes estimates the payments will be about two months’ rent. She said securing “real money” for renters was a top priority, unlike how the U.S. Department of Justice settled its own case against RealPage.
It’s not clear how many Arizonans are affected, but Wiedner rents out more than 10,000 units in Arizona.
Current tenants and those who rented from Wiedner anytime from 2016 to now will be able to apply.
Wildfire will receive half of the money in the Wiedner settlement on Feb. 28, with the rest landing in January 2027.
'That is price-fixing'
Prosecutors alleged Wiedner and other landlords unlawfully colluded with each other to fix rental prices by using revenue management software from RealPage Inc.
“We allege that RealPage built algorithmic software that collected confidential pricing and occupancy data of competing landlords and then told those landlords what rents to charge,” she said.
Mayes has also sued RealPage, whose employees regularly met with landlords and pressured them to accept the software’s rent recommendations.
“That is price fixing,” she said. “It is illegal, and it hurt real people all across Arizona.”
What's in the settlement
Wiedner has not admitted to any wrongdoing.
The company has stopped using RealPage’s software, and the settlement blocks it from using similar products or sharing rental data with other property managers.
The state is dismissing its claims against Wiedner, who is also required to submit regular reports to the attorney general’s office.
Mayes said she is vigorously pursuing claims against RealPage and the other landlords.
“We're not giving up on this case. We're going to fight for renters,” she said. “We're going to fight like hell for people who are harmed by these corporate landlords, and we're not going to give up until we get a fair deal for these renters who were hurt.”
