GREENSBORO, N.C. — Residents at a Greensboro apartment complex are facing a rent increase, double in some cases, forcing them to make tough decisions about their housing future.
"The exorbitant amount of rent prices in the name of renovating or bringing something up to market value, I understand the necessity of that, but you don't have to do that, in my opinion, and cause harm while you're doing it," said Josie Williams, the executive director the Greensboro Housing Coalition.
GHC held an event Thursday to help the residents of New Garden Manor and British Lake Village. Both properties, managed by Brown Investment Properties, are seeing rent increases.
Brown Investment Properties sent a letter to New Garden residents in February notifying them that rent would be increased to $1230 per month in June. This applied to residents with expired leases who are thus living month-to-month at the complex. In the letter obtained by News 2, the company said the rate increase is due to the "escalating cost of operation and the need for significant capital improvements." Currently, residents pay between $575 and $675.
New Garden residents came together and sent a letter back to the management company, asking for the first increase to be $725 per month and then give them until September to make the larger increase. The management company said they were continuing with their original plan. The company later changed course, telling residents that they would have until October 1 before the rent increase. Officials with Brown Investment Properties say they considered the tight housing market in Greensboro and decided to make the change. Mayor Nancy Vaughan also said she spoke with the company about residents' concerns.
British Lake Village residents have until June 1 until their rent is increased. Williams said it will go up from around $500 to more than $1000. Brown Investment Properties officials said even though the deadline is June 1, residents can stay while they find housing but they need to update them every two weeks. If residents want to move and have an outstanding balance, company officials said they would wipe the balance so it would not affect their future housing. They also have the option of staying in their unrenovated unit and then moving into a renovated unit at a higher price later, when it becomes available.
Williams with GHC said there should also be an extension for British Lakes residents, just like with New Garden.
"There is this aggressive trend that’s going on that’s forcing people out of their housing and putting new people into a state of homelessness and we see that not just happening in our city we see the happening across the state," said Williams.
Peter Placentino, the senior vice president of property management with Brown Investment Properties, said 58% of British Lakes residents are staying at the complex.
"Not relocating if you don’t have to makes the best sense," said British Lakes resident Adlai Wordsworth. "With relocation costs you are most likely going to face the same amount of rent elsewhere."
Wordsworth has lived at British Lake Village for four and half years. He said, while there will be some struggles to afford the new rent, he'd like to stay. GHC is also assisting him.
"Generally everywhere else the rents are going up and so this is just not affecting our neighborhood or community this really affects Greensboro at large perhaps the county and so this is an example of what can occur," said Wordsworth.