The Housing Authority of New Orleans (HANO) and the U.S. Department of Housing and Urban Development (HUD) reached an agreement to preserve the 12-story Guste High Rise as affordable senior housing. This decision halts a federal Section 33 conversion review, allowing HANO to assume direct management and launch a stabilization and repairs program for the building at 1301 Simon Bolivar Avenue, Central City.
With this agreement, HANO will manage the entire Guste Homes portfolio, which includes Guste High Rise and other components. The plan involves addressing operations, maintenance, and infrastructure needs, benefiting over 300 low-income senior and disabled residents who call the building home.
Previously, there was concern due to sustained vacancies and operating costs, which led to the HUD review. However, HUD’s decision to forgo a conversion ensures Guste High Rise remains a crucial public housing resource in New Orleans. HANO has not set a timeline for the rehabilitation work but plans to engage the public and share additional planning details as they develop.
Maintaining Guste High Rise as an affordable housing asset has significant implications for Central City’s housing market. It directly impacts the supply of affordable housing and social services available to the community’s senior residents. Furthermore, the management transition and stabilization efforts create opportunities for local contractors and service providers.
Moving forward, the outcome at Guste High Rise offers a precedent for how HUD and HANO handle at-risk public housing properties. This preservation effort is of interest to developers, preservationists, and lenders considering potential conversions or future development opportunities.
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