Sunday, February 07, 2016

HUD Yanks Memphis Landlord's Section 8 Contracts Over Alleged Lies About Made Repairs, "Systemic Failure To Maintain" Premises, Forcing Mass Displacement Of Low Income Renters; Landlord's Response: We Intend To Find New Owner To "Perform Rehabilitation" (Gentrification?) On The Complexes

In Memphis, Tennessee, Fox13 reports:
  • HUD has had enough of the Global Ministries Foundation operating a number of Section 8 housing complexes in Memphis, and they have pulled the contract.

    The agency said the living conditions at the Warren and Tulane Apartments were “troubling,” and they found evidence that GMF failed to maintain the property in a decent, safe and sanitary manner for residents.

    In a letter, HUD even claimed GMF lied about making repairs.

    HUD decided to cut ties with the owners of Global Ministries Foundation. [...] According to a letter from HUD to the Global Ministries Foundation, inspectors found "systemic failure to maintain” the properties.
    ***
    HUD also accused Global Ministries Foundation of incomplete repairs and no plan to fund the work or timetable to complete it.

    GMF's owner was given a list of violations that required immediate car and response. The owner, according to a notice of abatement from HUD, advised all violations had been corrections.

    Upon further inspection, that was deemed untrue.

    HUD staff visited the properties in January and referred to the experience as "troubling" because of a collection of issues and violations. In addition, the HUD staff heard and saw evidence of crime and lack of control by the owner.

    Based on all of these factors, HUD decided to abate the contract with Global Ministries Foundation.

    Now, GMF is responsible for relocating residents while improvements are made. The announcement has some people, like Lisa Williams, worried. "I don't have any kids and I have income, but there are people out here that don't have income and have babies. Where are they people going to go?" Williams asked FOX13.

    The nonprofit, Global Ministries Foundation, also has HUD looking over its shoulder and into its ledger.

    The agency wants GMF to submit a full accounting of the finances at each of the properties, and money spent on repairs that HUD didn't find acceptable must be returned.

Editor's Note: Buried in the landlord's response to the HUD order (see Global Ministries Foundation responds to order to relocate residents) is a statement that it will seek out a new owner for the properties willing to rehab the apartments [ie. gentrification?]:
  • Despite the relocation of residents, GMF will seek opportunities to find a new owner of Warren and Tulane Apartments to perform rehabilitation of the properties.