Tenants at an eastern Jackson County apartment building have reached an agreement with their new landlord that allows them to stay in their homes, and ends an 8-month-long rent strike.
A majority of Independence Towers residents have withheld rent since October, making it the longest rent strike in the Kansas City region. Residents unionized and went on strike over long-neglected repairs and deteriorating conditions — holes in the ceiling, persistent pests, no air conditioning or heating, and appliances that don’t work.
The Independence Towers Tenant Union finalized the agreement with the landlord, Vijai Ponnezhan of PG Independence Towers LLC, an Indiana company linked to Dynasty Properties, in Illinois, during a meeting Tuesday. Union members voted to approve the deal Wednesday evening.
The end of the rent strike marks a new start for longtime tenants like Anna Heetmann, who moved into Independence Towers in 2019. Under the agreement, current tenants will be offered new leases and will not owe back rent from the strike.
“I think that we ended up with a really strong agreement that is going to protect current tenants and also be a good agreement for folks who are moving in,” Heetmann said.
New rent prices means tenants will either pay the same amount or see a slight increase, she said, and some may end up paying less.
“When we have turnover of management, they usually just want to take that opportunity to add a lot more money to the monthly rent amount,” Heetmann said. “I know that's been our experience in the past.”
The newly-negotiated monthly rent and utility prices are:
- Studio apartment: $730
- Large studio: $755
- One-bedroom: $855
- Two-bedroom: $965
Tenants will also get an option to sign a lease for a second year, with any rent increase capped at 5%.
“So that feels like a big win, that we're not getting our rents hiked,” Heetmann said.
As part of the agreement, the new landlord will not retaliate against tenants who participated in the rent strike or who organize with the tenant union, which formed last year after residents lost hot water for two weeks. According to KC Tenants, tower residents withheld more than $289,000 during the strike.
The landlord also agreed to make major repairs, including to the HVAC system, by November. While HVAC repairs are ongoing, tenants will receive a $75 rent discount. The agreement also includes commitments to make plumbing repairs, building-wide pest extermination and in-unit repairs by the end of this year.
‘Standing together to make it happen’
Until 2024, Independence Towers was owned by FTW Investments, under CEO Parker Webb, with the help of a federal loan backed by Fannie Mae. But last year, Fannie Mae took the company to court for failing to pay back its loan and leaving the building in poor condition. The company settled out of court, and a judge appointed Trigild, Inc. as receiver of the building. A judge in April authorized the sale of Independence Towers to PG Independence Tower LLC for $2.8 million.
Heetmann lived with a large hole in her ceiling for four years, she said, and her bathtub wouldn’t drain properly. Neighbors throughout the building dealt with similar problems, she said: roaches, faulty stoves, broken windows and more. It became common for residents to lose air conditioning in the summer, heat in the winter and hot water year-round.
Last July, a 3-year-old died after falling from an open window in the building.
“We knew that this was a possibility, that we could come to an agreement with the next owner that would result in better treatment and a different experience than the one that we've had time and time again,” Heetmann said. “The way that we make sure that that applies to everybody — and that everybody has the problems fixed and has a safe, healthy, and affordable home — is just by standing together to make it happen.”
Independence Towers residents began to see improvements during the rent strike. Some saw long-term problems addressed in their units, like the hole in Heetmann’s ceiling.
Now, she feels hopeful for the building’s future under new ownership, and eager to see real change. She’s particularly excited for the community room to reopen.
“It's been a lot of work,” Heetmann said. “I'm feeling very proud.”
