Metropolitan St. Louis Equal Housing Opportunity Council
1027 South Vandeventer Fourth Floor
St. Louis, MO 63110
PRESS RELEASE
Thursday, May 14, 1998
CONTACT: Ms. Bronwen Zwirner, Executive Director (314) 534-5800
John Hessel, City Attorney, City of Florissant 444-7600
FOR IMMEDIATE RELEASE
Gundaker Is Sued for Housing Discrimination by
Metropolitan St. Louis Equal Housing Opportunity Council and the City of
Florissant
A suit was filed today against the Gordon Gundaker Real Estate Company, Inc.
in the US District Court by the Metropolitan St. Louis Equal Housing
Opportunity Council (EHOC) and the City of Florissant. As outlined in the
complaint, the Gundaker Company has engaged in sales practices that constitute
housing discrimination on the basis of race in violation of the Fair Housing
Act. The complaint arose from a two-year investigation into real estate sales
practices in the City of Florissant. The investigation showed that the
Gundaker Company was steering African American homeseekers to certain areas of
Florissant and north St. Louis County because of their race. The study was
conducted by EHOC at the request of the City of Florissant in 1996 and 1997."By steering African American homeseekers, Gundaker agents have denied them the information about all options, making housing unavailable to them based on their race," explained Ms. Bronwen Zwirner, Executive Director of the fair housing agency. "Homeseekers should be given information about all homes available that fit their price range and size requirements, so that they can make a decision about where they want to live. It is not up to the agent to decide where someone should live, especially if that decision is based on their race."
In 1995 and 1996, the City of Florissant received complaints from residents that homeseekers were being directed to certain areas of the city because of their race. The city arranged for EHOC to obtain information on real estate sales practices in order to confirm or deny these concerns. EHOC conducted a series of tests that showed that real estate agencies were in fact steering blacks only to certain neighborhoods.
"The City of Florissant is committed to furthering fair housing in the community," stated City Attorney John Hessel. "Steering is not only against the law. It is also against the interest of a healthy, diverse and prosperous Florissant."
The City of Florissant and EHOC met with real estate agents and brokers following the initial series of tests in 1996 and discussed with them at length the results of the tests and ways in which steering could be avoided in the future. "We were amazed," explained Zwirner, "when we went back in '97 to find that the patterns of steering were still evident. We told them we were going to re-test and they continued to do it anyway "
The law suit seeks an end to these illegal practices through injunctive relief as well as actual and punitive damages.