Tenants at five Rental Minnesota buildings unionize, push landlord to negotiate

Tenants in five Minneapolis apartment buildings have formed a union and demanded that their landlord meet with them, citing what they describe as long-neglected repairs and a push to turn their homes into short-term rentals.

On Sept. 29, tenants in buildings operated by Rental Minnesota, LLC at 2912 Harriet Ave., 2926 Harriet Ave., 2809 Pleasant Ave., 2804 Blaisdell Ave. and 3500 Emerson Ave. launched the Rental Minnesota Tenant Union and delivered a petition signed by 69 tenants. The union’s core demand is that the company recognize it and negotiate in good faith.

When a tenant delegation arrived at Rental Minnesota’s office at 1009 Park Ave., management closed the door as they approached, according to the union. Tenants read their demands aloud anyway, left the petition outside and sent a copy by email.

“Rental Minnesota: Do the right thing. Recognize our union. Meet with us. Negotiate in good faith,” union member Kim Vickery said outside the office.

Tenants have been organizing since July with support from Twin Cities Tenants and Inquilinxs Unidxs Por Justicia. Organizers said they went public after two union leaders received lease non-renewal notices while what tenants call health-harming conditions remained unresolved.

The five buildings have 92 units, and more than half of the renters in each building have joined the union, organizers said. They estimate the buildings make up about a quarter of Rental Minnesota’s portfolio of at least 21 buildings.

Tenants have reported roof leaks, flooding at 3500 Emerson, mold, broken exterior doors and infestations of cockroaches, mice and bedbugs, according to the union. They said laundry machines in nearly every building have been broken for months at a time.

One tenant said water has dripped from the toilet of the unit above his for more than a year, and half of his unit has been without electricity for the same amount of time. Tenants also allege the company kept the heat at 2926 Harriet at 60 degrees last winter and refused to turn it up.

Paulina Dominguez, a union leader who lives at 2926 Harriet, said her unit has leaks, a sink that spews water and infestations of cockroaches, mice and bedbugs, and that the company does not respond to her.

“They care about money. I care about my life. My daughter’s life. All the neighbors’ lives,” Dominguez said in remarks delivered in Spanish and translated by organizers.

In a written statement to the MSR, Rental Minnesota said it addresses maintenance concerns as they are reported and has made substantial upgrades since acquiring the properties. At 2912 and 2926 Harriet, the company said, it replaced the roofs, repainted inside and out, installed new carpeting, updated common-area lighting and electrical systems and added security cameras. It said 2809 Pleasant was fully remodeled. The company also said it added laundry machines at all of the buildings in the last six months and that its heating systems comply with state standards, with no record of low heat left unaddressed.

Tenants have filed numerous complaints with the city, according to organizers. After severe flooding at 3500 Emerson, the company did not address water damage that left several units unlivable until a city inspector visited and required Rental Minnesota to provide temporary housing while units were repaired, according to organizers.

Rental Minnesota disputed that account. The company said a licensed plumber responded the same day, affected residents were relocated to temporary accommodations for five nights, and a restoration company handled drying and treatment. It said the flooding was caused by a drain issue outside its control, that it gave affected tenants a rent credit and that the city inspector was satisfied with its response. The company said there are no open or delayed city inspection orders at any of its properties.

Fears of displacement are also driving the union. Both households that have received non-renewal notices so far belong to union leaders, according to the union.

Dominguez said she signed her lease renewal last month, then was told it would not be renewed and that she had to leave.

“They know I’m organizing. It’s retaliation,” she said. “They think that if they take me out, this will end. But we are united, as neighbors.”

Crystal Hilsgen, who has lived at 3500 Emerson for five years, said she has watched a well-kept building fall into disrepair over the last year under Rental Minnesota’s ownership.

Hilsgen said the company offered her a renewal with a 5.5% rent increase. When she tried to negotiate a rate that reflected her unit’s deteriorating conditions, she said, the company revoked the renewal and gave her 60 days to leave. Management told her they planned to turn her apartment into an Airbnb, she said. City records show Rental Minnesota holds a short-term rental license for the property, according to organizers.

“A non-renewal notice [for Rental Minnesota] means a new business plan: expensive, short-term rentals that see quick profit. For my neighbors, it means strangers coming in and out of our building and a fractured community,” Hilsgen said.

Organizers said Amin Askarizadeh, a company manager, verbally confirmed to an organizer that Rental Minnesota plans to expand short-term rentals across more of its units.

Rental Minnesota said lease renewal decisions are based on standard operational considerations, including scheduled remodeling that requires some units to be vacant. The company said the notices were issued before it was aware of any tenant organizing and were not connected to it.

The company said it is not operating short-term rentals in these buildings and does not plan to convert additional units, adding that its “focus remains on maintaining stable, long-term housing.”

Beyond recognition, the union wants Rental Minnesota to immediately reverse the non-renewal notices, guarantee that health and safety problems in every unionized building will be fixed on a reasonable timeline, and communicate with tenants in a timely and respectful way.

Asked whether it would recognize the union, Rental Minnesota said it communicates with residents directly through its standard management processes, which “remain available to all tenants.” Tenants can reach management by email or through the company’s AppFolio maintenance request system, it said.

Tenants gave Rental Minnesota until 4 p.m. Oct. 6 to agree to bargain. The company’s statement to the MSR, sent Oct. 3, did not say whether it would meet with union leaders. Organizers said any next steps would focus on growing the union, which they said is gaining members daily. No updates have been provided at this time.

Organizers said Minnesota does not require LLCs to publicly disclose their owners, which makes it harder for tenants to hold landlords accountable.

“Tenants will continue to fight for dignified conditions and stable housing,” Mina Barivan, an organizer with Twin Cities Tenants, said Sept. 29.

Jasmine McBride welcomes reader responses at jmcbride@spokesman-recorder.com.