Corporate landlords are dominating metro Atlanta’s housing market from the shadows, and it is displacing thousands of Atlanta residents. The same question still stands even after years gone by, how do we fix this?
Corporate landlords all over the United States, but especially in Atlanta, are using dozens of limited liability companies (LLCs) to create large webs of separate corporate entities, all owning a small number of properties. This large web helps landlords and corporations hide how much property they truly own. These large webs created by corporate landlords tend to make it extremely difficult to trace back ownership, allowing these corporate landlords to comfortably “hide behind their LLCs.”
Atlanta’s government has taken steps to combat the corporate housing crisis in Atlanta, however their steps prove to be futile. In 2015, over 100 eviction notices were filed each day in Fulton County. This means roughly 20% of all renters received a notice, with 12.2% of those renters being forcibly displaced. These statistics only grow worse as the years pass by.
Home prices have obviously risen, however, so have the rent prices. In October 2018 the average monthly rent in metro Atlanta was $1,497 for a one-bedroom apartment, but by October 2023, rent for the same type of apartment had risen to $2,068.
In 2016 roughly 1,700 Atlanta residents were displaced from their homes, and of those 1,700, over 90% were either black or Hispanic. Many racial groups in Atlanta and its surrounding areas are disproportionately affected by this housing crisis.
Black households in Atlanta experience the highest cost burden rate at 54%, followed by Hispanic households at 52%.
According to the U.S. Government Accountability Office (GAO), corporate investors own an estimated 25% of all single-family rental units in Atlanta, however due to the nature of these corporations, this number is likely much higher.
Gentrification in Atlanta has led to the loss of established cultural landmarks and social networks. Longtime residents in historically Black neighborhoods such as Sweet Auburn, Old Fourth Ward, and Vine City, have reported feeling more disconnected than ever before. Meanwhile, wealthier residents do not share any of these same feelings.
What can we do to fix this issue?
Corporate ownership of rental housing units is not uncommon, however, large companies own a much higher share of rental houses and single-family homes in Atlanta than the national average
Approximately 80,000 low income households in Atlanta are at risk of gentrification, meaning that 13% of low income Atlanta residents have to worry every single day about being displaced.
As an Atlanta resident with minimal resources, it is easy to feel helpless, however, there are viable solutions that deserve awareness.
A single-family home in Atlanta after the residents were forcibly evicted.
The system is perfectly set up for these corporate landlords to use unethical tactics. The lack of disclosure laws allow for landlords to drastically increase rent without explanation. There is also a lack of laws that protect tenants, allowing for landlords to harass their tenants and forcibly evict them without proper justification.
In Atlanta, many black and Hispanic renters face discrimination, as landlords will often deny rentals to families based on race. Black and Hispanic families are also more likely to face unjust rent increases as a way to to relocate them.
Lastly, corporate landlords use predatory marketing and lease terms to attract tenants, only to later charge them with undisclosed fees and rent increases.