Senators take aim at big private equity landlords as rents soar (October 2024)
www.nbcnews.com

... As Wall Street financiers snapped up huge swaths of the nation's rental housing market in recent years, the deals sailed through unchallenged. Now, with the costs of renting an apartment or home out of reach for a growing number of Americans, four Democratic senators say these transactions need more scrutiny.

Sen. Elizabeth Warren, D-Mass., sent a letter to private equity giant KKR on Wednesday, demanding information about its recent $2.1 billion purchase of 5,200 rental apartments across eight states. Among her questions: How does KKR plan to ensure that long-term tenants will be able to stay in their homes and what proportion of profits does KKR expect to generate from hikes in rents and fees at the apartments?

"KKR is just the latest private equity firm using the housing crisis to rake in profits while squeezing families," Warren said in a statement to NBC News. "I'm sounding the alarm because we can't solve the housing crisis unless we crack down on predatory practices by Wall Street investors."

Three other Senate Democrats signed onto Warren's letter: Raphael Warnock of Georgia, Peter Welch of Vermont and Ron Wyden of Oregon. ...