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HUD Debarred Cleveland-Based Millennia Housing Management Due to Poor Conditions

HUD debarred Millennia housing management from participating in new federal housing contracts because of the poor living conditions.

March 25, 2024

Cleveland, Ohio- Millennia Housing Management has been barred from receiving new federal housing contracts because of the ongoing controversy.

Millennia, having its headquarters in Key Tower in downtown Cleveland is entrusted with the responsibility to manage 275 multifamily residential communities such as affordable, senior living, and market rate. Some of its local properties include 75 Public Square, 12000 Edgewater, and Alexia Manor on Hector Avenue.

Millennia properties are in 26 states. Its apartments in the federal housing choice voucher program have been subjected to poor living conditions, gas leakage, crime rates, and a deadly explosion.

The Department of Housing and Urban Development (HUD) issued a statement saying that it is debarring Millennia and its CEO Frank T. Sinito which will prohibit entering new business with any federal government or agency for around five years.

HUD has not specified when it began steps towards authorizing debarment but has accused Millennia of mismanaging tenant security deposit accounts and taxpayer funds along with not maintaining property conditions.

Deputy Assistant Secretary for Multifamily Housing Programs Ethan Handelman said, “We are committed to ensuring that people living in HUD-assisted housing have safe, decent homes and that our property owners manage assets responsibly in accordance with our rules. As a result, HUD is holding them accountable by demanding repayment of misappropriated funds and seeking to impose civil money penalties on those responsible.”

HUD will be monitoring Millennia at regular intervals to ensure that it has addressed the areas of noncompliance and that the current residents will not be affected.

The tenants of Millennia’s shorter college garden apartments in North Little Rock filed a class action lawsuit in September seeking a minimum of $680 Million in damages and $4.3 Million in punitive damages. This comes after the 2022 explosion killed three people.

The tenants claim that Millennia made tenants believe that the building was safe while there was a gas leakage going on in the building. The tenants also complained about the living conditions here as well and reported the smell of gas, and carbon monoxide along with complaints of mold, bed bugs, and rodent infestations.

The residents of Serenity Towers, Hope Heights, and Memphis Towers formed a tenant union in December after getting complaints from the residents of the apartments having broken elevators, and inconsistent heating and cooling. Tenants also faced eviction threats when they retaliated by forming a tenant union. Millennia has also not paid thousands of dollars to its local contractors for the maintenance.

Mayor Andre Dickens said, “We are putting on notice any landlord, any bad operator in the city of Atlanta that we mean business.”

Dickens did not comment on this.

Numerous calls were made to Millennials and staff but went unanswered. An email was also sent to the media contact but that too went unanswered.

Millennia Housing Management was founded in 1995 by Sinito and is part of the Millennia companies. Millennia also owns Millennia Commercial Group, responsible for managing the key center complex, Oatey World Headquarters near Fairview Park. It also managed Eaton U.S. Headquarters in Beachwood until 2021.

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The content provided in this article draws inspiration and includes quotes from various reputable sources, including news articles, government data, and interviews. Affordable Housing 411 strives to ensure accuracy and credibility, but the information presented may be based on some external sources. We encourage readers to refer to the referenced materials for more in-depth insights and verification.

Sims Meghan. “HUD cracks down on Cleveland-based Millennia Housing Management following an explosion and poor conditions”. Cleveland, March 25, 2024,
HUD cracks down on Cleveland-based Millennia Housing Management following an explosion and poor conditions – cleveland.com

Last Updated: September 20, 2021