L.A. City Atty. sues mega real estate firm for alleged price gouging - Los Angeles Times
Blueground, which could not immediately be reached for comment, is not a typical apartment company. It leases units from property owners, furnishes the apartments and then rents the units to tenants and businesses that need long-term housing for their workers.
Its website says Blueground operates worldwide, though it’s unclear whether the entity the city attorney sued, Blueground US Inc., is only an American subsidiary.
“It is not only unconscionable for Blueground to take advantage of Angelenos when they are at their most vulnerable, it is illegal and must stop immediately,” Feldstein Soto said in a statement.
The action announced Tuesday is the latest authorities have made since widespread reports of price gouging became known after the fires.
The California attorney general’s office has filed at least two criminal cases against L.A.-area real estate agents. Some real estate listings firms such as Zillow also have moved to take down listings in which rent was raised beyond the 10% threshold.
Andrew Khouri covers the housing market for the Los Angeles Times. Before coming to The Times he wrote about commercial real estate for the San Fernando Valley Business Journal. He holds a master’s degree in journalism from the University of Southern California’s Annenberg School for Communication and Journalism and graduated from the University of San Diego with a degree in history.
