What Operators Should Expect in Light of Seattle CB121000

By Annie Laurie McCuloh

Seattle recently passed Ordinance CB121000, sparking new conversations around rent pricing software and its role in multifamily housing. With language like “prohibiting algorithmic rent fixing,” it’s easy to assume the legislation is an outright ban on technology, but that couldn’t be further from the truth.

In reality, CB121000 sets clear, reasonable guardrails — ones that your revenue management provider should already adhere to — that promote healthy competition, protect consumers and reinforce ethical business practices.

To effectively move business strategies and decision-making forward, it is important to understand what the ordinance actually proscribes.

Understanding What CB121000 Actually Says
Despite its provocative wording, Seattle’s ordinance does not ban the use of revenue management software or pricing algorithms. Instead, it targets a specific kind of data “coordination” that undermines competition. The ordinance takes aim at the sharing and processing of rental data between two or more independent landlords.

According to the ordinance, a service provider may not:

• Collect rental pricing or occupancy data from two or more landlords
• Process or analyze that data to provide rental recommendations

This clearly prohibits the use of shared, non-public competitor data, which has always been at least unfair to renters while opening up the industry to claims of antitrust violations. One can argue it goes a bit too far by also banning the use of publicly-available rent data; however, as we’ve previously explained, there are many reasons why competitive data should not be a core part of a multifamily pricing algorithm as they should be guardrails, not guide rails.

It also clearly defines “landlord” as the owner, lessor or sub-lessor and explicitly includes property managers in that definition.

What This Means for Operators and Service Providers
Ultimately, operators should see this as a positive development. CB121000 does not prevent the use of pricing technology, 3rd party or otherwise; nor does it prevent the use of internal portfolio data to improve pricing decisions, even across a fee manager’s multi-owner portfolio.

This means that fee-managed portfolios can still leverage their own internal data as long as they’re not pooling with unrelated managers.

What to Look for in a Compliant, Future-Proof Provider
Now is the time for operators to reevaluate their revenue management partners. It’s not just about compliance. Providers should be innovating technologies with the appropriate guardrails that promote fair competition, protect renters and build trust in pricing systems. The right provider should:

• Offer Full Transparency Into Pricing Logic
Your provider should show exactly how rent recommendations are generated. Clear logic and transparent inputs give operators control and help build trust with residents, regulators and internal teams alike.

• Operate Strict Separation From Non-Public Competitor Data
Regulations like CB121000 are drawing a line in the sand that no pricing system should be built on private competitor data. Your provider should make it clear that they don’t aggregate or rely on rent rolls from other operators.

• Build-In Configurability for Risk Management
You need to control how data is pooled and analyzed, especially across owned vs. fee-managed assets. Look for platforms that let you decide which properties are grouped for statistical modeling or opt out of pooling altogether when needed.

• Proactively Align With Evolving Legislation
As new pricing ordinances emerge, your provider shouldn’t just react, they should lead. The right partner will actively monitor policy shifts, share implications with your team and offer configuration updates that keep you ahead of the curve.

• Be a Strategic Partner, Not Just a Tool
Compliance isn’t the only goal. Your provider should be a true partner. One who helps you align pricing strategy with operations, avoid risk and respond quickly to new market realities.

Ultimately, rent pricing ordinances like Seattle’s are a call for better business practices and should not be seen as a barrier. They protect consumers, preserve competitive integrity and help operators build long-term trust in the communities they serve.