The apartment REIT will resolve claims from a sweeping antitrust class action alleging collusion among landlords using algorithmic pricing software.

April 16, 2026

Equity Residential has agreed to pay $56 million to settle its portion of a nationwide class action lawsuit alleging that major apartment operators colluded to inflate rents through the use of revenue management software sold by RealPage, Inc.

The Chicago-based real estate investment trust disclosed the settlement on April 15, 2026, noting that it had entered into an agreement with the named plaintiffs in the consolidated class action pending in the United States District Court for the Middle District of Tennessee. The case, which names roughly 50 of the largest multifamily housing owners and operators as defendants, alleges that participating landlords shared proprietary data through RealPage’s platform and used its algorithmic pricing recommendations to coordinate above-market rent increases.

Settlement Terms

Under the terms of the deal, Equity Residential will deposit $56 million into a settlement fund within approximately 30 days. That amount covers all claims against the company, as well as plaintiffs’ legal fees, costs, incentive awards, and settlement administration expenses. The agreement still requires both preliminary and final court approval, and the plaintiffs must file for preliminary approval within three months.

The settlement also includes forward-looking commitments related to how the company discloses and uses nonpublic data and how it employs revenue management software. Equity Residential stated that these provisions align with its current practices and will not require material operational changes.

Should the court reject the settlement or substantially modify its terms — or should an excessive number of class members opt out — the company retains the right to seek revised terms or terminate the agreement entirely. If no settlement is ultimately approved, Equity Residential said it intends to mount a vigorous defense.

No Admission of Fault

The company emphasized that the agreement does not constitute an admission of fault or liability. Equity Residential said it chose to settle in order to avoid the significant cost and distraction of prolonged litigation and to reduce the legal uncertainty inherent in complex antitrust cases, including potential exposure under joint and several liability.

Financial Impact

The settlement charge will be reflected in the company’s first-quarter 2026 financial statements as an increase to its loss contingency reserve. The charge will reduce GAAP earnings and Nareit Funds from Operations but will not affect Normalized FFO. The company said it does not expect the payment to materially impact its liquidity, credit ratings, or investment plans, and it does not believe insurance coverage applies to this settlement.

Equity Residential continues to defend against a separate case brought by the District of Columbia containing similar allegations against RealPage and several multifamily operators.