Milwaukee sues major property owner over conditions

The City of Milwaukee filed one of its largest nuisance lawsuits Thursday against Highgrove Holdings and owner David Tomblin, targeting more than 200 properties across the city plagued by code violations, vacant buildings, and unpaid taxes. The lawsuit seeks to appoint a court-appointed receiver to take control of the properties and use rental income to make repairs if conditions aren't fixed within 60 days.

Highgrove Holdings owns 263 properties with 425 units, with 99% located on Milwaukee's North Side. According to the Wisconsin State Legislature's records and city officials, the properties have been inspected more than 4,000 times since 2020 by the Department of Neighborhood Services. Tomblin, who recently relocated to Washington state, is backed by private equity investors and has been sued by 35 of his own investors alleging fraud. As of late February, he owes $652,745 in delinquent taxes across 69 properties and holds the top spot for lead abatement orders from the Health Department.

For Milwaukee residents, this case represents a critical moment in the fight against negligent landlords. Tenants have reported severe conditions including lack of basic utilities, mold, and uninhabitable living spaces. City Attorney Evan Goyke emphasized that Highgrove marketed Milwaukee to investors as a high-yield opportunity, promising to rehabilitate distressed properties while delivering 12 to 18 percent annual returns—but instead delivered neglect at tenants' expense. The lawsuit sends a message to other property owners that the city is actively monitoring compliance.

If Tomblin fails to address the violations, the receiver would essentially replace him as property manager, collecting rent and directing funds toward necessary repairs. The city has also joined an existing $8.5 million foreclosure lawsuit filed by US Bank against an additional 85 Highgrove properties.