Attorney General James Stops Illegal Housing Discrimination in the Capital Region

NEW YORK – New York Attorney General Letitia James today stopped two brothers and their spouses who own three rental buildings in the Capital Region from illegally denying housing opportunities to low-income renters. An investigation by the Office of the Attorney General (OAG), found that Greg and John Karian – who own or manage twenty-four rental units in buildings located in Glenmont, Albany, and Troy – violated New York’s human rights laws by refusing to rent to New Yorkers with housing vouchers. The Karians advertised that they do not accept Section 8 vouchers and charged exorbitant fees on late rent payments in violation of the law. As part of a settlement with OAG, the Karians and their employees must rent at least three units to applicants using housing vouchers, undergo anti-discrimination training, and take other actions to make housing more accessible for low-income renters.

“Landlords who discriminate against low-income New Yorkers and deny them housing just because they’re paying with Section 8 vouchers are exacerbating the housing crisis,” said Attorney General James. “Housing is a basic human right, and the Karians denied the most vulnerable renters access to the affordable housing they deserve. My office will always take action to protect New Yorkers from discrimination and unfair housing practices and hold all those who violate the law accountable.”

Rental vouchers such as the Section 8 Housing Choice voucher program provide housing assistance to the lowest-income households to rent decent, safe housing in the private market. These programs also aid senior citizens and disabled persons on fixed incomes, displaced families, and homeless individuals with disabilities.

The OAG opened an investigation into the Karians’ alleged discrimination in September 2024 after online rental listings for their properties warned that they did not accept renters using Section 8. Throughout the investigation, OAG found multiple instances of discriminatory practices, including refusing to rent, lease, or negotiate with prospective tenants who intended to pay for some or all of their rent with housing subsidies; advertising that their rental properties do not accept Section 8 housing vouchers; and charging exorbitant fees of $100 for late rental payments.

The settlement with OAG requires the Karians to rent at least three units to applicants who use a housing subsidy within the next year. They must also renew the lease of these tenants for at least one additional one-year term, provided the tenant elects to renew.

The Karians and any customer-facing staff member at their properties must also attend anti-discrimination training and implement an anti-discrimination policy to distribute to everyone involved in the rental process at their properties. Additionally, the Karians must publicly advertise their acceptance of Section 8 and other housing subsidies by placing an “Equal Housing Opportunity” sign at each of their properties and indicate they are an “Equal Housing Opportunity Provider” on any advertisement, listing, or social media post. The Karians must provide OAG with copies of the application, lease, and renewal lease of any applicant or tenant who pays for all or some of their rent with housing subsidies and must update their lease to limit late fees to five percent of the monthly rent or $50, whichever is lower. Only one late fee may be charged per month. Finally, the Karians must pay $3,000 in penalties and an additional $6,000 if they fail to comply with the terms of OAG’s agreement.

“All New Yorkers should have access to affordable, quality housing," said Senator Patricia Fahy. “Thanks to Attorney General James, more of our neighbors here in the Capital Region will be able to find a home, despite this landlord's efforts to prevent that. Holding bad actors in our housing market is paramount in addressing New York's housing crisis, and I'm pleased to see Attorney General James yet again standing up and fighting for the rights of tenants here in our backyard.”

“Thank you to Attorney General James for taking action to combat housing discrimination in the Capital Region,” said Assemblymember John T. McDonald III, RPh. “Everyone deserves equal access to safe, stable housing, regardless of how they pay their rent. Discriminating against tenants who use housing vouchers is not only unlawful, but it perpetuates cycles of instability in our communities. This settlement is a reminder that we must continue working together to ensure that housing remains a right, not a privilege.”

“I commend Attorney General James for taking decisive action to stand up for renters and hold these landlords accountable,” said Albany County Executive Daniel P. McCoy. “Affordable housing is the cornerstone of a strong community, and every family deserves an equal opportunity at a safe and stable home. This sends a clear message that fairness in housing isn’t optional; it’s the law.”

Attorney General James has consistently taken action to fight housing discrimination and protect low-income tenants. In February, Attorney General James announced $970,000 in grants to support and expand fair housing testing and enforcement in New York’s Capital Region. In August 2024, Attorney General James made Shamco Management Corp. pay $400,000 to low-income tenants in New York City for illegally denying housing opportunities. In February 2024, Attorney General James announced an agreement with real estate broker Pasquale Marciano and his companies to stop illegal policies that denied housing opportunities to low-income renters.

It is illegal in New York State for any owner, managing agent, broker, or any other representative to refuse to rent, sell, or lease housing to any person based on their source of income. New Yorkers who suspect they are victims of source of income discrimination are encouraged to file a complaint online.

This matter is being handled by Assistant Attorney General Christopher Lee and overseen by Assistant Attorney General in Charge of the Poughkeepsie Regional Office Vinita Kamath. The Poughkeepsie Regional Office is a part of the Division of Regional Affairs, which is led by Deputy Attorney General Jill Faber. The Division of Regional Affairs is overseen by First Deputy Attorney General Jennifer Levy.