Colorado Property Manager Must Pay $30K After Refusing Section 8 Vouchers

Prospective renters relying on housing vouchers were turned away by Sares Regis Group, according to the Colorado Attorney General’s Office. Following an investigation into the Denver-area property management company’s treatment of applicants receiving housing assistance, Sares Regis Group has agreed to a $30,000 settlement.

The Colorado Attorney General’s Office announced the Sept. 17 settlement with Sares Regis Group following an investigation into how the company handled prospective renters using housing assistance, including Section 8 vouchers.

The signed settlement agreement also shares what prompted the investigation in the first place. According to the agreement, Sares Regis Group told prospective renters on more than one occasion that rental subsidies were not accepted. As a result, the Colorado Attorney General’s Office says, at least two people using housing vouchers or other rental assistance were turned away.

Sares Regis Group denies violating the Colorado Consumer Protection Act (CCPA) or Colorado Anti-Discrimination Act (CADA).

The agreement says both sides entered the settlement to resolve the disputed claims and avoid prolonged litigation.

What Housing Vouchers Do

 

Housing Choice Vouchers, commonly known also as Section 8, help qualifying low-income families, older adults, and people with disabilities rent homes in the private market. The U.S. Department of Housing and Urban Development (HUD) explains that the local housing agency pays part of the rent directly to the landlord, while the tenant is responsible for the remaining portion.

Since 2021, Colorado has prohibited housing discrimination based on a person’s lawful source of income. The Colorado General Assembly says the protection includes money from government or private assistance programs and generally bars landlords from refusing to rent to someone because of that income source, with limited exceptions.

The settlement says Sares Regis Group currently manages two properties in the Denver area and has managed at least six Colorado properties over the past decade. According to the Colorado Attorney General’s Office, the properties involved in the investigation did not qualify for an exception to the state’s source-of-income protections.

How the Company Must Operate Going Forward

The case began after the nonprofit Housing Rights Initiative testers contacted properties and shared their findings with the Attorney General’s Office. The organization uses such testing to identify potential cases of housing discrimination before referring findings to enforcement agencies.

Sares Regis Group will pay $30,000 to Housing Rights Initiative. The money is designated for fair-housing enforcement and education.

Under the agreement, Sares Regis Group must create written policies addressing lawful sources of income and housing vouchers. Employees who deal with prospective renters must receive those policies and training, and the company must review them annually.

Then, one year after the settlement takes effect, the company must also report back to the Attorney General’s Office. That report must include any changes to its policies, as well as the number of tenants receiving rental subsidies at its properties.