The state Attorney General has filed a civil lawsuit against the owners and property managers of a large apartment complex, alleging a persistent failure to maintain basic living conditions for tenants. The lawsuit claims that the defendants systematically neglected critical building systems, including air conditioning and plumbing, while continuing to lease units that were effectively uninhabitable.
Specifically, the legal action targets Lake Castleton Owner LLC, the property owner, and Pepper Pike Property Management LLC, responsible for day-to-day operations. Both entities are foreign limited liability companies registered with the state but are accused of conducting business without fulfilling fundamental landlord obligations. The complex in question spans more than 1,200 units across nearly 100 buildings and was acquired in 2022 for a record-breaking purchase price — the highest ever paid for a single apartment property in the state at the time.
The lawsuit details a striking pattern of neglect, citing more than 130 health code violations reported over the past year. These include broken air conditioning units, sewage backups, water damage, mold, and pest infestations. Health authorities corroborated many of these claims, filing dozens of ordinance violation cases against the property owners. As of late October 2025, multiple cases had resulted in judgments against the defendants.
Tenant complaints collected by the Attorney General’s office paint a vivid picture of the living conditions. Residents reported collapsed ceilings, lack of heat or hot water for prolonged periods, unresponsive maintenance teams, and even instances where management allegedly tried to suppress negative reviews in exchange for concessions. Site inspections conducted by the Homeowner Protection Unit revealed severe issues, such as damaged bathtubs and units deemed unfit for habitation.
Highlighting the urgency of the situation, a court-appointed receiver was named earlier this month in a separate legal proceeding, reflecting the seriousness of the ongoing problems at the complex.
The lawsuit alleges that the defendants’ conduct violates the state’s Deceptive Consumer Sales Act through unfair, abusive, and deceptive practices, including misrepresentations about the habitability of their units. It also alleges repeated violations of landlord-tenant law, seeking restitution for tenants’ financial losses, civil penalties of up to $5,000 per knowing violation, and treble damages for senior residents affected by the neglect. The Attorney General’s office is also requesting reimbursement for investigative costs and the authority to pursue additional remedies if necessary. The case is slated for a jury trial.
This legal action underscores the state’s commitment to holding property owners accountable for failing to provide safe and habitable living conditions, emphasizing that residents have the right to dwell in homes that meet basic health and safety standards. The outcome of this case could set an important precedent for tenant protections and landlord accountability moving forward.