The company managing a 919-unit apartment complex settled allegations from the state Attorney General’s Office that it systematically discriminated against minority and low-income tenants and hopeful renters in an effort to turn the complex into a “premier” apartment community.

The assurance of discontinuance, filed March 7 in Suffolk Superior Court, settles allegations that Metropolitan Properties of America Inc. (MPA) violated fair housing, civil rights and consumer protection laws through discriminatory leasing policies and practices in an effort to limit rentals at the Granada Highlands apartment complex – recently renamed Altitude Apartments – to minority and low-income tenants.

MPA agreed to pay $600,000, update its fair housing and leasing policies and train its employees to settle allegations that the company systematically discriminated against applicants and tenants of a Malden apartment complex based on their race and whether they qualified for public assistance vouchers, according to a Friday announcement from Attorney General Maura Healey’s office.

The AG’s Office alleged MPA was trying to transform the property into a what they viewed as a “premier gated apartment community” and ensure it was filled with tenants they deemed “fit the image.”

“Access to safe, affordable housing is critical to ensuring economic security for all residents of Massachusetts and their families,” Healey said in a statement. “Today’s settlement demonstrates my office’s commitment to taking action against those who engage in discriminatory conduct that creates unfair barriers to housing.”

The AG’s Office claimed MPA sought to deter minority and low-income tenants in a number of ways, including treating them with hostility and disrespect and providing them with false and misleading information about the availability and pricing of apartments. MPA also allegedly subjected tenants and applicants they deemed the “wrong type” to unfair and burdensome leasing procedures that were not applied to white applicants and tenants, including requesting extra proof of employment and  documents like passports, visas and social security cards from tenants based on their actual or perceived national origin. The AG’s Office also claimed MPA refused to rent to applicants and threatened to evict current tenants who could not comply with the requirements or questioned the policies.

This is not MPA’s first brush with charges of discrimination. The company settled allegations of income-based discrimination with the AG’s Office in 2015.

Under Massachusetts law, it is illegal to refuse to rent to, withhold housing accommodations from, or otherwise discriminate against a person based on their race, color, national origin, ancestry or receipt of housing subsidies. It is also illegal for a landlord to make discriminatory statements or to provide applicants false or misleading information about the availability and pricing of apartments because of a discriminatory preference against the applicant. The AG’s Office also alleges that the defendants’ actions constitute unfair and deceptive business practices in violation of the state’s consumer protection law.

Under the terms of the assurance of discontinuance, MPA will pay $600,000, with $100,000 suspended for three years pending compliance with the agreement. MPA is also required under the settlement to update its housing and leasing policies and submit them to the AG’s Office for review and approval. Once approved, the policies will be provided to all employees annually and the housing policy will be available to all tenants. In addition, all employees at Altitude Apartments are required under the settlement to complete an annual training on fair housing laws.

An earlier version of this story incorrectly stated the Altitude Apartments were located in Revere.

Manager of 900-Unit Malden Development Settles Discrimination Allegations

by Banker & Tradesman time to read: 2 min
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