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Residents of public housing claim that conditions have worsened under private management

The management of the Laurelwood Apartments on the southside of Indianapolis is handled by a property services firm. However, the property is co-owned by private equity investors and the Indianapolis Housing Agency. Presently, the Department of Housing and Urban Development based in Washington, D.C. is overseeing the Indianapolis Housing Agency. This situation creates a scenario where everyone is in charge, but no one is in charge.

According to FOX59/CBS4, the residents of the public housing complex were left perplexed last month when they received eviction letters stating that they owed over $10,000 in back rent. The situation has taken a terrifying turn after a basketball court shooting on Sunday night that left five people injured. The residents are now living in fear, unsure of what the future holds.

Kaleiona Barry, a resident of Laurelwood for the past 12 years expressed her gratitude that no child was shot during the incident. However, she pointed out the potential danger that night, as there were people who were not supposed to be there and could have caused harm. She also mentioned that some individuals who were supposed to be evicted were still present, causing trouble and posing a threat to children. Barry emphasized the need to take action and ensure the safety of the community.

Barry has been vocal about his complaints that the management company has not taken action against troublemakers in the community. However, the company has been swift in threatening residents, like Barry’s neighbor, with eviction due to its own faulty recordkeeping and neglecting to requalify residents for subsidized rent.

In June, she received a letter from the Hayes Gibson Property Services Company, which took over as property managers after IHA at the behest of private investors. The letter claimed that they owe a substantial amount of money, and if left unpaid, they will face eviction. According to her, the company advised them not to pay rent due to the absence of staff in the office. However, they did not inform the tenants to resume paying rent when they took over.

Alexandra Jackiw, CEO of Hayes & Gibson, recently addressed the Board of Commissioners of IHA, highlighting the challenges her company faced while managing eight IHA properties in the past two years.

According to her, their main priority at the moment is to recertify the existing residents and prepare the vacant units for new tenants, aiming to boost occupancy rates. She mentioned that the properties’ average occupancy is approximately 50%, but they have managed to achieve a higher rate of around 60% at 16 Park.

Just three years ago, IHA’s systemwide management had pushed the occupancy rates for subsidized housing units to almost 90%, getting very close to HUD’s minimum requirements.

The current occupancy rate at the four properties that are still managed by IHA stands at an impressive 88%.

Jackiw reported that their facilities underwent four inspections within the last three-and-a-half months. Unfortunately, both 16 Park and Twin Hills failed two of these inspections while Georgetown and Laurelwood/Rowney passed. There are ongoing health and safety concerns that they are addressing, as they receive reports from the Marion County Board of Health and respond to them as quickly as possible for repairs and re-inspections.

According to Barry, it would be beneficial for Hayes & Gibson to inspect not only her apartment but also her neighbors’.

She expressed her concerns regarding the living conditions, stating that the ceilings are falling and there are people who have to live with mold in their houses. Despite the issue being persistent, there have been no efforts to fix it. Additionally, the railings are also deteriorating and require immediate attention.

After residing in Laurelwood for a considerable amount of time, Sandra Bailey has since moved out, but her unwavering support for those living in public housing remains steadfast.

“They’ve got boarded-up units, like the Family Investment Center,” she explained. “Unfortunately, that center has been demolished now, and even the basketball court has been torn down.”

Bailey brought her grievances to the IHA Board, which is composed of a sole designated chairperson and is assisted by an interim chief operations officer and a newly appointed HUD chief executive officer.

During the Board meeting, a concerned citizen spoke up and questioned the Indianapolis Housing Agency’s allocation of funds. “The Indianapolis Housing Agency gave you all this money,” she stated, “My question is: what is being done at our properties that the money that was given to Hayes and Gibson for our properties?” Her inquiry shed light on the need for transparency and accountability in the distribution of funds for public properties.

The safety and security of Indianapolis Housing has been left in the hands of IMPD and the management company, as the former was removed from the properties.

During the board meeting, Jackiw stated that he had requested the police report online portal from the Indianapolis Police Department and was currently waiting for it. He also reported that they had gathered preliminary information and submitted an incident report to the Indianapolis Housing Authority about the incident that occurred on Sunday evening at Laurelwood. If any residents are found to be involved, eviction notices will be served to those individuals.

FOX59/CBS4 asked both Hayes & Gibson as well as HUD CEO Willie Garrett for comment regarding the conditions at Laurelwood, but both declined to provide a statement.

Laurelwood management instructed FOX59/CBS4’s Russ McQuaid to leave the public housing complex, stating that the area was considered private property.

During the IHA Board meeting, the staff provided an update on the agency’s recovery following its second data breach in less than two years. They mentioned that the agency is slowly recuperating and will soon migrate all its data onto the cloud to enhance its cyber security. Additionally, the headquarters is installing hard-line telephones to ensure quicker responses for residents and landlords.

Private residence owners have been complaining about delayed payments due to the backlog of recertifications caused by IHA’s inadequate data system. To address this issue, a new Section 8 landlord web portal is currently being developed. It is worth noting that Section 8 occupancies are currently at 82%, which is 10 percentage points below HUD’s minimum requirement for occupancy. As a result, there are thousands of qualified low-income individuals and families who are still waiting for housing vouchers. In addition, two major IHA properties downtown will soon be equipped with a $250,000 security and camera system for improved safety and security.

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