Business ProfileforFour Star Realty & Property Management, Inc.

The following describes a government action that has been resolved by either a settlement or a decision by a court or administrative agency. If the matter is being appealed, it will be noted below.

On January 8, 2024, in the District Court, Boulder County, Colorado, the State of Colorado ex rel. Philip J. Weiser, Attorney General and Poplum Real Estate Holdings LLC d/b/a Four Star Realty, Four Star Realty and Property Management; Taconic Companies LLC entered into a Stipulated Final Consent Judgement ending a state investigation that found numerous instances of the company illegally charging tenants for routine repairs and other services.

The parties entered the Consent Judgment without adjudication of any issue of fact or law or finding of liability of any kind, to settle and resolve all matters in dispute arising from the conduct alleged in the Complaint. Nothing contained in this Consent Judgment shall be construed or deemed an admission by Four Star of any wrongdoing or any violation of state or federal law or regulation. Four Star expressly deny any liability or wrongdoing and are entering into this Consent Judgment to avoid further inconvenience and costs of potential litigation.

Four Star fully cooperated with and acted in good faith during the State’s investigation. During the investigation, Four Star proactively reviewed and revised their business practices and voluntarily implemented various remedial measures in advance of this Consent Judgment. The State acknowledged Defendants’ responsible corporate citizenship in its responding to the investigation and in reaching this resolution.

Under the terms of the settlement Four Star agreed to pay the state $1 million, nearly all of which will be earmarked for consumer restitution.

A Department of Law investigation found Four Star, which manages properties that are often rented by college students in Boulder, Fort Collins, Greeley, and Denver, regularly charged tenants for damage they did not cause, billed them for unnecessary work, and charged fees that were not in their leases. Four Star cooperated with state attorneys during the investigation and made several changes to its business practices while the investigation was pending that are now being codified as binding requirements in a consent decree.

In addition to paying restitution, Four Star agreed to disclose all fees, rent, and other costs to tenants clearly on lease documents. The company will also comply with a new state law related to utility billing. For three years, Four Star will be required to maintain photos and records of property inspections, documentation of withholding of security deposits, and provide those records to tenants upon request.

Additionally, Four Star may not withhold any money from a tenant’s security deposit unless the amount withheld is directly related to the tenant’s conduct. Four Star will also be required to minimize repainting costs related to filling nail holes and other minor damage to paint, as well as determine if any carpet cleaning is actually necessary before charging tenants. The company will be prohibited from withholding rekeying costs from security deposits, and may charge for rekeying only if Tenants choose to have Four Star rekey locks and the costs are disclosed in advance. Four Star will provide the Department of Law with a list of all tenants who moved out of properties they managed from January 2020 until December 1, 2023. A process for providing restitution to affected consumers will be announced at a later date.

For more information, please contact the Office of the Attorney General Colorado Department of Law at (720) 508-6000 or https://coag.gov/.