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Seattle City Council Member Wants City Rent Control

Seattle City Council Member Wants City Rent Control

Seattle City Council Member Kshama Sawant has held a special city council committee meeting to formally present her draft plan and ordinance for rent control in Seattle.

Sawant formally unveiled her proposed ordinance, which states, “Seattle faces an affordable housing and homelessness crisis as rising rents have forced thousands of Seattle renters out of their homes, neighborhoods and the city.

“Between 2010 and 2018, average rents in Seattle rose 69 percent while inflation for urban wage earners in Seattle rose only 20.3 percent,” the ordinance states.

The proposed ordinance says the “maximum annual rent increase shall be a percentage equal to the rate of inflation,” for urban wage earners, which was 3.4% last year in the greater Seattle area, according to the Bureau of Labor Statistics, and according to published reports.

Sawant’s draft legislation follows her six-year-old call for rent control, a 2015 City Council resolution supporting the repeal of a State-wide rent control ban, plus an April letter from the Seattle’s Renters’ Commission urging the council and Mayor Jenny Durkan to pass a rent control ordinance in Seattle, according to reports.

Washington state law prohibits rent control

Washington state law currently prohibits rent control.

Sawant said her legislation, if passed, wouldn’t take effect until that ban is repealed. The full city council likely won’t take up the matter until December, after budget negotiations have ended.

The Rental Housing Association of Washington has suggested setting up a community fund to offer rental assistance for people in need.

The association says that rent controls discourage new housing construction during periods of shortage by distorting the market signals needed to maintain equilibrium in the market place.

Sawant told the Capitol Hill Seattle blog that she was prepared for a hard fight over rent control. “It’s going to be hard, it’s not going to be easy,” she said. She expects “some vicious opposition. We have to prepare ourselves for that.”

Seattle City Council Member Wants City Rent Control
City Council Member Kshama Sawant says the fight over rent control “is going to be hard.”

Sawant pointed to supporters of rent control, especially small landlords, who she says are supporters “because they don’t gouge their renters,” according to the Capitol Hill Seattle Blog.

Resources:

20% inflation vs. a 69% rise in Seattle rents: Sawant’s rent control legislation unveiled

Sawant’s rent control proposal takes aim at Seattle’s pricey housing market

Mayor Says New “Renting in Seattle” Program to Provide Resources for Landlords and Renters

Portland Apartment Jobs Almost 60 Percent Of All Real Estate Jobs

Portland Apartment Jobs Almost 60 Percent Of All Real Estate Jobs

Apartment jobs in the multifamily industry are almost 60 percent of all the real estate jobs in Portland, according to the latest jobs report from the National Apartment Association.

Portland is among the top cities in the U.S. for apartment jobs, along with Columbus, Virginia Beach and Austin.

More than 14,000 positions were available in the apartment industry as apartment communities reached their peak for this year’s leasing season according to the August edition of NAAEI’s Apartment Jobs Snapshot.

Portland Apartment Jobs Almost 60 Percent Of All Real Estate Jobs

Along with Portland, the highest concentration of job postings were in Columbus, Virginia Beach, Austin, and Orlando in Central Florida.

Central Florida has seen robust population and job growth which in turn has increased apartment demand.

This month’s spotlight highlights leasing consultants

Portland Apartment Jobs Almost 60 Percent Of All Real Estate Jobs
Portland Apartment Jobs Almost 60 Percent Of All Real Estate Jobs

For example, the demand for these positions was more than four times the U.S average in Austin.

The top specialized skills employers are looking for included leasing, customer service, property management, sales, and Yardi Software.

Portland Apartment Jobs Almost 60 Percent Of All Real Estate Jobs

 National apartment association jobs report background

The NAA jobs report focuses on jobs that are being advertised in the apartment industry as being available, according to Paula Munger, Director, Industry Research and Analysis, for the National Apartment Association’s Education Institute.

“Our education institute is a credentialing body for the apartment industry. They hear often that one of the biggest problems keeping our industry leaders up at night is the difficulty in finding talent, attracting talent and retaining talent,” Munger said.  “Labor-market issues are happening in a lot of industries, certainly with the tight labor market we have.”

NAA partnered with Burning Glass Technologies. “They have a labor-job posting database that is proprietary,” she said, and they can “layer on data from the Bureau of Labor Statistics (BLS). We looked at that and thought we could do something that is really going to help the industry and help benchmark job titles and trends as we go forward,” Munger said.

5 Maintenance Tips For Long-Lasting Carpet In Your Rentals

Long-lasting carpet in your rentals, and in fact flooring in rental properties in general, is always a challenge. Especially getting your rental carpet flooring to last longer.

The maintenance checkup this week provided by Keepe focuses on ways to make your carpet last longer and be sure you are protecting your investment and income as well as keeping your tenants happy.

Rental carpet flooring can be one of the most high-maintenance parts of a property. Signs of wear and tear as well as stains and dirt are most visible on carpet.

Poor carpet care is easy to spot and tough on the eyes, which can make an otherwise appealing space loose its value. Improving poor carpet conditions generally means needing a complete replacement, which can be a lengthy and costly project.

5 tips to long-lasting carpet in your rentals

The tips below outline more affordable and effective ways to protect carpet floorings and preserve their longevity.

No. 1 – Consider stricter pet policies

Carpet is not a pet-friendly surface.

It absorbs odor, and can easily hold onto hair and stains.

Indoor ‘accidents’ can take an unpleasant turn, and their odor can linger long after cleanup is attempted. The best way to ensure carpet flooring can be adequately repaired and cared for on the long run is to set a higher security deposit for pet-friendly properties, which can then be utilized to repair carpet damage as needed.

Always make sure to thoroughly communicate with your tenant what kind of responsible pet care is expected for animals to continue living in the property.

No. 2 – Schedule a deep-cleaning service once a year if you want long-lasting carpet in your rentals

5 Maintenance Tips For Long-Lasting Rental Carpet Flooring

Most carpet manufacturers recommend having a yearly professional deep-cleaning as a way to prolong the life of carpets.

It is best to steer clear of providers who utilize harsh chemicals, which can be harsh on carpet fibers and might lead to discoloration.

No. 3 – Include hard-surface areas

Constructing a hard-surface area to act as a “barrier” against the dirt and debris brought in from outside can be extremely helpful when it comes to protecting carpet from direct exposure.

A small tile or vinyl landing can be easily added in front of main entryways, and tenants should be encouraged to utilize floor mats to wipe their shoes on.

No. 4 – Provide tenants with approved detergents for spot-cleaning rental carpet flooring

It is fundamental to inform tenants about the risks of letting stains dry on carpet fibers, which usually results in permanent staining and visible marks.

Utilizing an effective and carpet-friendly detergent and blot cleaning right away is the most effective approach to avoid permanent stains.

Consult a trusted professional carpet cleaner about ideal detergents and make the recommended product available to tenants.

No. 5 – Invest in area-appropriate flooring

5 Maintenance Tips For Long-Lasting Rental Carpet Flooring

Carpet performs best and lasts longest in low-traffic areas, away from outside debris, food, moisture and pet exposure.

It is ideal to remove carpet from kitchens and dining areas, opting for vinyl, tile and laminate options instead.

This will avoid the high risk of food stains and spills while improving the look of the property.

Other rental property maintenance help from Keepe.

4 Outdoor Flooring Options For Your Rentals

20 Easy, Affordable Maintenance Projects To Update Your Rentals

7 Types Of Kitchen Countertops For Your Apartments

13 Ways To Pet Proof Your Rental Property

About Keepe:

Keepe is an on-demand maintenance solution for property managers and independent landlords. The company makes hundreds of independent contractors and handymen available for maintenance projects at rental properties. Keepe is available in the Greater Seattle area, Portland, Phoenix, San Francisco Bay and San Diego areas.

 

Portland Regulators Get Tough New Registration Deal with Airbnb

Portland regulators, through the city’s revenue department,t have reached a memorandum of understanding with Airbnb

Portland regulators, through the city’s revenue department,t have reached a memorandum of understanding with Airbnb requiring the short-term rental company to provide data to the city and to remove listings that violate Portland’s regulations.

Airbnb will have to provide the city the names and addresses of hosts to the city.

Thomas Lannom, the director of Portland’s Revenue Bureau, called the data-sharing agreement  “the toughest in the nation” in an email to the mayor and city council, according to reports.

“We appreciate Airbnb’s willingness to engage with the City of Portland on the pass-through registration data-sharing agreement. We look forward to turning the page on our past disagreements,” Lannom said in a release.

Effective November 1, 2019, Airbnb will launch an online registration system requiring new hosts to share their data with the City of Portland and asking existing hosts to allow their data to be shared with the city. Hosts that do not consent to having their data shared will be removed from the Airbnb website by January 1, 2020.

Portland Airbnb regulations mean Airbnb to pay cost of registration deal

Airbnb has agreed to pay the city’s revenue division $20,000 for the implementation of the new system and $5,000 per year thereafter for its maintenance and support. The Portland-Airbnb pass-through registration agreement is the most comprehensive such agreement in the country according to officials.

“We are pleased to have worked with Portland lawmakers to update the registration process, making it easier for hosts to register and providing tools that allow the City to enforce its laws. This solution protects home sharing and helps the city enforce short-term rental registration while safeguarding the privacy and safety of our hosts and guests. Over the coming weeks, we will continue working closely with the city and our community to help bring our hosts into compliance,” said Laura Spanijan, Airbnb Senior Public Policy Director, in a release.

Mayor Ted Wheeler had pushed for the changes last year after city auditors found many short-term rentals operating illegally without permits and some using fictitious hosts.  “Airbnb and other short-term rental companies have been operating like ‘the Wild Wild West’ in Portland, but now ‘there’s a new sheriff in town.’ ”

Resources:

Portland Launches New Airbnb Data-sharing Agreement

Portland Reaches Rental Data Sharing Agreement with Airbnb

Portland Mayor To Take On Short-Term Fake Rental Owners And Airbnb

5 Fall Maintenance Checkup Items For Your Rental Property

How To Handle Rental Maintenance During COVID-19

Here are 5 fall maintenance checkup items for your rental property from Keepe maintenance.

Property managers and landlords are probably aware their properties can be a mess to deal with this time of year after a lot of summer activity and summer storms.

So here is a list of preventative maintenance to-do’s and 5 fall maintenance checkup items for your rental property for the upcoming season.

1. Have a Debris and Leaf Clearing Schedule

 It is important to be consistent by creating a fall cleaning schedule for your properties. Make sure that leaves are not clogging your drains and causing slippery surfaces. It is your responsibility to maintain the safety of your tenants.

2. Check Damaged Tree Branches and Bushes

It is important to inspect the condition of large trees surrounding your property to determine the possibility of breaking. Trim trees and bushes back until they are at a safe distance from your properties to avoid any injuries and/or damage to your properties.

3. Roof and Gutter Cleaning

Doing a routine semi-annual roof and gutter cleaning for your properties could potentially save you thousands of dollars in repairs as it would prevent water damage to your rental property foundation. A repair that can cost $10,000 or more. Make sure that the roof and downspouts are completely clear to prevent clogging when winter approaches.

5 Fall Maintenance Checkup Items For Your Rental Property
A summer hail storm like this could leave you with roof or gutter damage that needs to be part of your fall maintenance checkup

4. Service Furnaces

 Fall is an ideal time for your annual furnace checkups. With cold weather coming, it is crucial to ensure that your property’s furnace is working at full capacity. Making sure that your furnaces are functioning well has many added benefits as well, including energy savings and a prolonged life on the furnace itself. Much easier to do now before a tenant calls with a complaint later in the year.

5. Check All Doors and Windows

Drafts coming from your windows and doors could be another potential major source of energy loss in your properties. It is important to thoroughly inspect each window and door to make sure that air is not seeping through the cracks as these could increase you or your tenants’ heating expenses.

Weather-stripping and caulking are great preventive methods for these window and door drafts.

About Keepe:

Keepe is an on-demand maintenance solution for property managers and independent landlords. The company makes hundreds of independent contractors and handymen available for maintenance projects at rental properties. Keepe is available in the Greater Seattle area, Portland, Phoenix, San Francisco Bay and San Diego areas.

Other rental property maintenance help from Keepe.

4 Outdoor Flooring Options For Your Rentals

20 Easy, Affordable Maintenance Projects To Update Your Rentals

5 Maintenance Tips For Long-Lasting Rental Carpet Flooring

Is The Water Heater At Your Rental Property Ready For The Big One?

7 Types Of Kitchen Countertops For Your Apartments

Rents Rise Again To $1,472 Average As Signs Stay Favorable

Rents Rise Again To $1,472 Average As Signs Stay Favorable

Multifamily rents rose in August, keeping alive a long streak of 3 percent-plus year-over-year growth, according to the latest report from Yardi Matrix.

Another month, another good performance by the multifamily market in August, as the average U.S. rent increased by $2 to $1,472.

  • The multifamily market’s healthy growth was displayed in August, when the average U.S. multifamily rent increased by $2 to $1,472. Although year-over-year growth fell 10 basis points from July to 3.3 percent, rent growth has remained exceptionally consistent, and has been at least 2.7 percent since the beginning of 2018.
  • Rent growth is healthy to above-trend in virtually every major market. Las Vegas (7.6 percent), Phoenix (7.0 percent) and Sacramento (5.0 percent) have been among the top metros for rent growth for some time, while other markets have been taking turns at the next level.
  • Consistency extends in a number of directions. For example, the growth for the luxury Lifestyle segment has increased to roughly the same level as that of the Renter-by-Necessity segment.

The market’s accomplishments are not a mystery —the combination of strong demographic trends, social changes that create demand for apartments, demand for new housing and the country’s long period of economic growth have propelled the segment, Yardi Matrix says in the report.

Rents Rise Again To $1,472 Average As Signs Stay Favorable

The economy is one potential question

With the exception of the economy’s performance, most of those trends are long term in nature.

  • Market volatility and the inversion of the yield curve are producing concerns about the stability of the economic cycle, despite fairly healthy fundamental factors such as employment numbers.
  • Much of the concern is generated by issues that could be characterized as political risk, such as the trade war with China and global growth in Europe and Asia.
  • The multifamily market is also seeing an increase in potential moves toward rent control. All of these need to be monitored.

Rent control risks

The U.S. commercial real estate market has its own political risks, including new rent control laws in place in New York and Oregon with California coming soon, and the growing chorus to enact rent control in other parts of the country.

New York’s rent control has had an immediate negative impact on property values and will likely lead to less supply and deterioration of existing rent-stabilized stock.

Home rule in states such as California has allowed NIMBYism (not in my back yard) to stifle badly needed housing development, and attempts at more regional approaches are failing.

Given the underlying economic performance and favorable demographic trends, it will take more than some bad policy to disrupt the multifamily market, but it’s also prudent to be watchful of events and to plan accordingly, Yardi Matrix said in the report.

Recent report:

National Average Multifamily Rents Up Again in July, Hitting $1,469

California Passes Rent Cap Bill 0f 5 Percent

California Passes Rent Cap Bill 0f 5 Percent

California lawmakers have passed a five-percent-plus-inflation rent cap bill that will have an effect on the state’s estimated eight million renters of apartments and some rental homes.

California Rent Control Bill 1482 means yearly rent increases over the next decade will be limited to five percent plus inflation, up to a maximum of 10 percent, and tenants will receive protections against being evicted without cause.

Gov. Gavin Newsom, who put together the deal to pass the bill, said he would sign it. The California rent cap would take effect January 1.

“These anti-gouging and eviction protections will help families afford to keep a roof over their heads, and they will provide California with important new tools to combat our state’s broader housing and affordability crisis,” the governor told the Los Angeles Times.

California rent cap not the way to fix housing crisis

“The most effective way to fix California’s housing crisis is by building more housing across a range of price points, and AB-1482 makes that harder to do,” said Doug Bibby, President of the National Multifamily Housing Council, in a statement.

“After Californians overwhelmingly rejected the rent-control ballot initiative less than a year ago, lawmakers went against their constituents by passing a measure that will discourage investment, shrink the availability of affordable housing that already exists and squeeze even more people struggling in the housing market.

“This makes the problem worse. The housing affordability crisis is real; real Americans are being harmed by it every day, and we need real solutions – not restrictive policies that we know don’t work,” Bibby said in the statement.

The California Apartment Association, which represents large corporate apartment owners, agreed not to oppose the bill during last-minute talks. But amendments adopted in the past 1½ weeks alienated another ally, the California Association of Realtors, which ended up opposing the legislation, according to reports.

California follows Oregon, which passed a similar rent cap earlier this year.

The measure would affect all apartments in the state that are at least 15 years old. Houses and condos owned by corporations and real-estate investment trusts, or REITs, that are 15 years old or older would also be subject to the rent caps.

The measure also provides just-cause eviction protections for tenants who have lived in their rental for at least a year, meaning a landlord can’t order renters who are following terms of their lease to move out unless the owner plans to move in, demolish or renovate the unit, or cease renting it at all.

The measure would not affect rent limits in local jurisdictions with existing rent-control laws. Owners who share a home with their tenants or owner-occupied duplexes would be exempt from the caps.

California rent cap bill sponsor says protecting tenants is critical

“The housing crisis is reaching every corner of America, where you’re seeing high home prices, high rents, evictions and homelessness that we’re all struggling to grapple with,”  said Assemblyman David Chiu, a San Francisco Democrat who was the bill’s author, to the New York Times. “Protecting tenants is a critical and obvious component of any strategy to address this.”

Resources:

California Approves Statewide Rent Control to Ease Housing Crisis

California tenants will see cap on rent increases under bill sent to Newsom

AB 1482: California Senate advances statewide cap on rent hikes

13 Ways You Can Pet Proof Your Rental Property

Here are 13 ways you can pet proof your rental properties as more and more tenants have pets and some landlords and property managers are concerned about opening their properties to pets.

However, they also know they can attract and keep more good tenants if they are a pet-friendly property. The maintenance checkup this week provided by Keepe focuses on ways to pet proof your rental property to be sure you are protecting your investment and income as well as keeping your tenants happy.

Ways to pet proof your rental with a property makeover

Property makeovers are the best way to minimize property damage by investing in durable, long-lasting solutions.

While they may require additional costs and work, property makeovers designed to thoroughly pet-proof are the most secure way to protect a property and increase the safety of pets.

No. 1 – Vinyl, linoleum and tile floors are tough, impermeable and scratch resistant. Converting existing flooring into one of those durable alternatives significantly reduces the likelihood of flooring damage that results from the activity of pets and their potential ‘indoor accidents’.

No. 2 –  Bamboo is a good option if a warmer look is desired, as it is harder than most wooden flooring, making it not so vulnerable to scratches, and it is also not as permeable having less natural grooves.

No. 3 – Polyurethane can be utilized to seal wooden floors if pursuing a complete floor makeover is out of the question.

No. 4 – High-gloss, semi-gloss and satin paints result in hard, moisture-proof finishes that are preferable when it comes to preserving and protecting walls. These finishes create washable surfaces that are not vulnerable to stains and chips.

13 Ways To Pet Proof Your Rental Property

Affordable ways to pet proof your rental property

If pursuing a complete property makeover is not feasible, encouraging tenants to pet-proof their living space is still possible and certainly adequate to avoid the likelihood of damages.

The ideas below describe affordable, easy and efficient ways to protect indoor spaces and promoting the safety of pets.

No. 5 – Area rugs are ideal for making spaces look welcoming and cozy while avoiding risks associated with carpet flooring. They add a personal touch to pet-resistant flooring, while also being easy to replace as needed.

No. 6 – Outdoor rugs can be utilized indoors as they are naturally more durable and designed for easy cleanup. They are available in many different patterns and shapes that can suit most indoor spaces.

No. 7 – Shelves and wall hangings allow decorative pieces, houseplants and more delicate items to be displayed while being out of reach of curious pets. Taking into account how far off the ground pets can reach is fundamental to make sure that anything sharp, valuable or toxic is safely stored, and shelving helps with utilizing height as a practical advantage.

No. 8 – Thick, heavy blinds are preferable to fabric curtains and flimsy plastic shades. Dragging fabric, noisy blinds and hanging cords invite biting and pulling, which is why shorter draw strings and heavier materials are a safer option.

13 Ways To Pet Proof Your Rental Property

No. 9 – Plexiglass and lucite panels are inexpensive and can be affixed to doors and windows to add a layer of protection from scratches.

No. 10 – Non-textured furnishings minimizes the scratching and biting appeal that most texturized materials have for pets.

No. 11- Metal, plastics and resin furnishings are sleek and thus less stimulating than wool, leather, and other coarse surfaces that make for inviting scratch and bite posts.

No. 12 – Microfiber and heavy, tightly-woven fabrics are most resistant to tear and wear, which is important to consider when choosing linens, couches, armchairs and similar home decor.

No. 13 – Baby gates can be used to separate pet-friendly spaces from other areas, especially those prone to housing products that are not safe for pets or displaying more delicate furnishings or flooring.

13 Ways To Pet Proof Your Rental Property

Resources:

Why A Pets Allowed Policy Makes Cents

Recommended Pet Policies for Condominiums and Apartment Buildings

7 Questions Landlords Have About Pets and Pet-Friendly Apartments

About Keepe:

Keepe is an on-demand maintenance solution for property managers and independent landlords. Keepe provides a network of trusted independent contractors and handymen who are available for maintenance projects in the Greater Seattle Area, Portland, Greater Phoenix area, San Francisco Bay area, and soon to an area near you. Learn more about Keepe at https://www.keepe.com

 

 

 

Apartment Economy In Oregon And Washington Contributes $121 Billion Annually

Apartment Economy In Oregon And Washington Contributes $121 Billion Annually

The apartment economy in Oregon, apartments and their residents, contribute $41.4 billion each year to the state economy and support 232,000 jobs while apartments in Washington State contribute $80 billion, according to the new Hoyt Advisory Council study.

Meanwhile in Washington, apartments and their residents contribute the $80.1 billion to the state economy annually and support 322,000 jobs.

The study also says Oregon needs to build 4,000 new apartment homes each year to meet demand. Apartment construction contributes $1.8 billion to Oregon’s economy annually, creating 10,000 jobs.

Apartment economy impact in Oregon

Impact of apartment economy in Oregon

In addition, Washington needs to build 10,000 new apartment homes each year to meet demand. Apartment construction contributes $4.2 billion to Washington’s economy annually, creating 16,000 jobs.

Apartment economy impact in Washington

Impact of apartment economy in Washington state

Overall, apartments contribute $3.4 trillion to the U.S. economy and support 17.5 million jobs, according to the report.

The Hoyt Advisory Study was commissioned by the National Apartment Association (NAA) and National Multifamily Housing Council (NMHC) to show the economic impact of the apartment economy and multifamily industry.

Resident spending contributes $3.0 trillion to the U.S. economy, while operations adds $175.2 billion. New construction contributes $150.1 billion and renovation and repair adds $68.8 billion.

Apartment economy report highlights:

  • All four sectors of the industry have posted very strong growth, punctuated by the construction industry ramping up to meet the unprecedented demand for apartments this cycle – reaching a height of 346,900 completions in 2017, up from 129,900 in 2011.
  • Previous research by Hoyt Advisory Services found that we need to build an average of 328,000 apartments per year at a variety of price points to meet existing demand, which would bring continued economic activity. This number of multifamily completions has only been surpassed twice since 1989.
  • Hoyt research also found that a significant portion of the existing apartment stock will need to be renovated in the coming years, boosting spending in the renovation and repair sector.
  • The combined contribution of apartment construction, operations, renovation, and resident spending equals $3.4 trillion per year, or more than $9.3 billion daily.

“The apartment industry’s contribution is one that has grown in recent years, fueled by increased rental demand overall as population and employment growth continue and renting becomes a preferred tenure choice for millions of Americans,” Eileen Marrinan, Managing Director of Eigen 10 Advisors, which partnered with Hoyt, said in a release.

“Construction is still moving ahead, as there’s a need for additional apartments in many states. And, due to an abundance of aging stock, there’s a growing need for renovations and improvements on existing apartment buildings. Construction and renovation/repair will provide a sizable boost in jobs – and the economy – nationwide, and will continue to be a hefty contribution to the country’s economy for decades,” NMHC President Douglas M. Bibby said in the release

“The multifamily industry is an economic engine powering the economy very significantly at the national, state and local levels,” NAA President Robert Pinnegar said in the release. “This clearly illustrates the tremendous positive impact our apartments have on the communities they serve.”

Visit www.WeAreApartments.org and view the data, which is broken down by state and metro area. Visitors can also use the Apartment Community Estimator (ACE), a tool that allows users to enter the number of apartment homes of an existing or proposed community to determine the potential economic impact within a particular state or metro area.

NAA Study: Barriers To Affordable Apartment Housing In Many Cities

Apartment Economy In Oregon And Washington Contributes $121 Billion Annually
Photo courtesy of the National Apartment Association and the Industry report.

Landlord and Employee Who Subjected Women to Sexual Harassment Sued

Man Who Threatened to Kill His Landlords Sentenced to 40 Years

A landlord and his employee, a registered sex offender, subjected female tenants of his residential rental properties to sexual harassment and retaliation, such as refusing to assist with maintenance at their properties after the tenants rejected their advances, the U.S. Department of Justice charges in a lawsuit.

The lawsuit, filed in Massachusetts, charges that female tenants of residential rental properties in Worcester were subjected to sexual harassment and retaliation going back to 2009, in violation of the federal Fair Housing Act.

The landlord, Mohan Prashad, is accused of making unwanted advances, touching tenants sexually without consent, and offering to “grant tangible benefits—such as reducing rent amounts” in exchange for sexual acts. He is also accused of retaliating against tenants who resisted his harassment by intimidating them with eviction threats and refusing necessary maintenance services, according to the lawsuit.

One woman alleged Prashad stopped providing heat to her apartment and initiated eviction proceedings after she denied his advances. He reportedly asked another tenant if she was a stripper and offered to pay her $1,000 for “an hour.”

“No one should ever have to choose between housing and sexual harassment,” U.S. Attorney Andrew E. Lelling, said in the release.  “Sexual harassment is illegal under the Fair Housing Act, and my office is committed to achieving justice and compensation for individuals whose civil rights have been violated. I encourage anyone who has been subjected to sexual harassment by his or her landlord or employee of a landlord to report it to my office.”

Prashad also allegedly hired a level 3 sex offender David Besaw, and did not take action against him when he was accused of raping a tenant’s guest while she slept, according to the Boston Globe.

Besaw, a Level 3 registered sex offender in Massachusetts, has been employed by Prashad since at least 2014 to assist with the management and maintenance of his rental properties, according to the release.

Prashad owns about 15 residential properties in Worcester under his name and through Lanaton LLC and Savton LLC, which are also named defendants in the suit.

“Landlords or their employees who sexually harass tenants will be held accountable under the law by the Department of Justice,” Assistant Attorney General Eric Dreiband said in the release. “Such depraved conduct, targeting some of the most vulnerable in our communities, violates the Fair Housing Act and will not be tolerated. The Civil Rights Division will continue to enforce the law vigorously and work to secure justice for victims of these offenses.”

“No one should ever have to choose between housing and sexual harassment,”  U.S. Attorney Andrew E. Lelling, said in the release.

“Sexual harassment is illegal under the Fair Housing Act, and my office is committed to achieving justice and compensation for individuals whose civil rights have been violated.  I encourage anyone who has been subjected to sexual harassment by his or her landlord or employee of a landlord to report it to my office.”

Anna María Farías, HUD’s Assistant Secretary for Fair Housing and Equal Opportunity, said in the release, “Subjecting a person to sexual harassment not only violates the law, it robs that individual of the ability to feel safe and secure in the place they call home.” She said HUD will “continue working in partnership with the Justice Department to address this form of discrimination.”

Landlord sexual harassment

The complaint alleges that Prashad:

  • Engaged in harassment that included making unwelcome sexual advances and comments
  • Engaging in unwanted sexual touching
  • Offering to grant tangible benefits — such as reducing rent amounts — in exchange for engaging in sexual acts
  • Refusing to provide needed maintenance services
  • Taking other adverse housing actions against female tenants who resisted or objected to his unwelcome sexual harassment
  • Intimidating female tenants by monitoring them from outside their apartments or rooms.
  • After receiving notice of Besaw’s sexual harassment of female tenants, failing to take any action to prevent Besaw from future sexual harassment, according to the release.

The complaint further alleges that “Besaw subjected female tenants to unwelcome sexual contact including groping, sexual assault, and forced touching of their bodies, without consent; unwanted exposure to female tenants; making unwelcome sexual comments and sexual advances toward female tenants; and making intrusive, unannounced visits to female tenants’ units to conduct and further his sexual advances.”

This is the 11th lawsuit alleging a pattern or practice of sexual harassment in housing filed since  October 2017 when the Justice Department launched an initiative to combat sexual harassment in housing.  In April 2018, the Department announced the nationwide rollout of the initiative, including three major components: an outreach toolkit to leverage the Department’s nationwide network of U.S. Attorney’s Offices, a public awareness campaign, including the release of a national Public Service Announcement and a new joint Task Force with HUD to combat sexual harassment in housing.

The lawsuit seeks monetary damages to compensate the victims, civil penalties and a court order barring future discrimination.

Individuals who have information about this case can contact the U.S. Attorney’s Office Civil Rights Unit by calling 617-748-3100 and asking for the Civil Rights Intake Specialist, or emailing [email protected]. Victims of sexual harassment related to housing nationwide can also contact the Justice Department’s Sexual Harassment in Housing Initiative by calling 1-844-380-6178, or through email at [email protected].

Victims of sexual harassment related to housing nationwide can also contact the Justice Department’s Sexual Harassment in Housing Initiative by calling 1-844-380-6178, or through email at [email protected].

Related article

Sexual Harassment In Housing And Unwelcome Comments And Requests

Resources:

Justice Department Files Lawsuit Against Massachusetts Landlord and Employee Who Subjected Women to Sexual Harassment

Worcester landlord and his employee accused of sexually harassing female tenants for 10 years

Worcester Landlord, Employee Sued for Sexual Harassment of Tenants

Worcester Landlord, Employee Harassed Tenants, Feds Allege