In Dc, Public Housing Tenants Forced Out, Then Homes Flipped

The city's public housing authority is getting in on the action — moving aging tenants out of homes where they've lived for decades, renovating them and selling them to wealthy buyers. [...] in 2010, when the city's real-estate market began to rebound after the Great Recession, the agency started treating the properties as real-estate investors would — gutting, rehabbing and selling them for as much as the market can bear. Brooks and her son said the housing authority threw away many of her belongings — including a washing machine, furniture, clothing and personal documents. The authority disputes this account, but Brooks' next-door neighbor, Jon Wadsworth, told The Associated Press he watched as employees threw the belongings away. The authority took over management of the scattered sites — originally intended as an alternative to conventional public housing — from city government in the mid-1990s when the city's financial struggles prompted a takeover by Congress. [...] it has been selling them off gradually with HUD approval. Sunia Zaterman, executive director of the Council of Large Public Housing Authorities, said housing authorities nationwide have been "chronically underfunded" by the federal government and use creative financing strategies to maintain their properties — including selling their scattered sties and using private-sector investment to fund renovations and new construction. Selling the homes is a responsible way for the agency to manage its assets, housing authority spokesman Richard White said. Because the authority hasn't been maintaining the homes, some tenants have picked up the slack.

 

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