Greystar Section 8 discrimination alleged at Hawaiʻi rentals

Greystar Section 8 discrimination is alleged at several Hawaiʻi apartment complexes, where testers posing as voucher holders say they were told their federal housing assistance would not be accepted for market-rate units or could not count toward income requirements.

In a recorded Feb. 4 call to Kapolei Lofts in West Oʻahu, a leasing agent told a caller that while affordable units would qualify for vouchers, there was a waiting list of more than a year. When asked about using a voucher for a market-rate one bedroom, the agent said the caller could try, but “they’ve been denying those,” according to a complaint.

The call was part of a testing operation by Housing Rights Initiative, a nonprofit that employs trained testers to check for compliance with fair housing laws. The group later filed a complaint with the Hawaiʻi Civil Rights Commission accusing Greystar of violating state protections for renters who rely on housing assistance. The filing cites five alleged violations at three Greystar properties on Oʻahu and Maui, and 114 total across six states and Washington, D.C., according to the group’s attorneys.

“This is not some isolated incident involving a single applicant,” said Brian Corman, a partner at Cohen Milstein Sellers & Toll, which represents the nonprofit. He added that large housing providers have greater responsibilities and that policies at companies like Greystar, the nation’s largest owner of apartment complexes, can affect thousands of people.

Greystar did not respond to requests for comment in Hawaiʻi this week. A reporter who visited the Kapolei Lofts leasing office was directed to the company’s website for a spokesperson.

An email to the office of CEO Bob Faith drew a reply that the matter would be looked into. The New York Times has reported that Greystar said employees are trained to follow all laws and that the company remains committed to fair housing practices.

Testers are a common approach in Greystar Section 8 discrimination case

Federal law bars housing discrimination based on race, gender, religion and family size. Only some states extend protections to source of income, which covers people using housing vouchers, and federal housing assistance.

Hawaiʻi is among those states, which Corman said is why Housing Rights Initiative focused part of its investigation here, as well as in New Jersey, California, Maryland, Michigan and Virginia.

Act 310, which took effect in 2023, makes it illegal in Hawaiʻi to refuse to rent to voucher holders, to advertise that vouchers are not accepted or to impose different terms and conditions on renters who use housing assistance.

Since Act 310 passed, discrimination in advertising has become less overt, said Alicia Pitts, a managing attorney at the Legal Aid Society of Hawaiʻi. But she said it is still often difficult for voucher holders to secure a lease because some landlords rely on credit score thresholds or income-to-rent requirements that effectively exclude renters using vouchers.

Beyond Kapolei Lofts, where two alleged violations were recorded and the complex has 499 units, the complaint names The Element in ʻEwa Beach, with 318 units, and Kaulana Mahina in Wailuku, with 324 units.

Allegations include a tester being told a voucher could not count as income to meet an income requirement and another being told the voucher must cover full rent and utilities.

Use of trained testers is common in fair housing enforcement. The U.S. Department of Justice has operated a fair housing testing program since 1992.

Corman said the complaint cites only instances where denial of Section 8 use was unambiguous. In a Jan. 23 call to The Element, a leasing agent told a tester that the voucher would need to cover the full rent plus utilities and that she could not combine her income and voucher to meet requirements.

Under Hawaiʻi law, vouchers count toward income, and voucher programs typically require tenants to pay a portion of their income, usually 30 percent, with the voucher covering the balance.

High stakes timeline

The attorney for Housing Rights Initiative said discrimination against Section 8 renters undermines the federal investment intended to help families achieve stability and move into areas of opportunity. Corman called vouchers one of the country’s most effective tools for reducing poverty, improving housing stability, preventing homelessness and combating segregation.

He said the nonprofit alerted Greystar during the investigation, which began in October, that alleged violations were occurring at company properties. Even after that, he said, the incidents continued.

“Greystar could have done something to prevent it from continuing to happen,” he said, adding that the persistence of the issues changed the group’s view of the company’s compliance efforts.

Voucher holders generally have 60 days to find and secure an apartment after receiving a voucher, a tight window that raises the stakes for renters, said Pitts. “Failing to secure a lease and pass required inspections before the voucher expires can mean losing stable housing entirely and facing houselessness,” she said.

Housing access has also emerged as a central theme in statewide politics, including in proposals such as housing-first plans from governor candidates.

Penalties up to $2,500

The Hawaiʻi Civil Rights Commission investigated 50 housing discrimination cases in fiscal year 2025, Executive Director Marcus Kawatachi said. He declined to comment on the Greystar complaint or confirm whether it had been filed, citing commission rules.

In general, once a complaint is received and the subject has a chance to respond, investigators conduct interviews, review records and may perform inspections before determining whether enforcement is warranted. Cases can be resolved through penalties or settlement.

First-time offenses can carry a $2,000 penalty, and subsequent violations can result in $2,500 fines. Information on outcomes for 2025 cases was not immediately available, Kawatachi said, but he noted that fines have been assessed.

Facebook
Twitter
LinkedIn
Pinterest
Pocket
WhatsApp

Stay ahead of the news. Get the top stories in your inbox — free.

Leave a Reply

Your email address will not be published. Required fields are marked *

Get the Hawaiʻi Money and Land Guide Free

Discover benefits, housing help, tax credits and useful programs that Hawaiʻi residents may be missing. Subscribe free to The Trade Wind and get the complete guide delivered to your inbox. You will also receive another valuable subscriber playbook at no cost.

Recent News

Island Spotlight

Get the Hawaiʻi Money and Land Guide Free

$1 a year land leases. $160,000 off your home’s value. Tax credits most people never claim.