ATLANTA — Mayor Andre Dickens and prominent civil rights attorney Ben Crump announced plans to file a lawsuit against a management company that owns a southeast Atlanta complex meant for low-income residents, claiming unacceptable conditions made it a "nightmare" for families.
At a press conference on Friday, city leaders were joined by residents of the Forest Cove Apartments to address the next steps they're taking against Millennia Housing Management regarding the troubled complex. The suit will be on behalf of residents who lived there.
Phoenix Ridge, which is a related entity of Millennia, filed its own lawsuit against the city on Oct. 3, claiming it has "been unfairly painted as villains with respect to their involvement with Forest Cove." A spokesperson explained the relationship of the entities, stating that Phoenix Ridge is a subsidiary of Millennia.
Visuals were shown at the news conference of a walkthrough done by Atlanta officials, depicting the state of the apartments. Dickens added the residents have dealt with the following:
- Pests
- Rodents
- Caved in floors
- Sewage overflow
- Boarded doors, windows
- Mold
"It was simply a horror show," Dickens said. "And if Millennia Housing Management had it their way, these families would still be living in those conditions today."
11Alive has reported on the complex in the past; it posed a risk of serious health and safety issues, causing its closure. It was condemned in December 2021, which impacted more than 200 families that needed to be relocated.
"Not to mention the number alone of children that have missed school because they were having respiratory distress, infections from the mold," Ayanna Jones-Lightsy, a lawyer with the Atlanta Volunteer Lawyer Foundation, said. "One mother had her baby bitten by rodents."
Dickens said his teams have sat down with Millennia over a dozen times not only about health concerns but also crime and safety, and "nothing has changed."
"For too long, it has been possible for these types of property developers to provide substandard housing to our lowest income Black residents," Dickens said. "So, let me be clear, that era in Atlanta is over. I am not content to sit on the sidelines and just allow residents to be forced to live in inadequate conditions."
According to Crump, the company operates 280 apartment developments in 26 U.S. cities and has been the center of several lawsuits over the same issues they're fighting for in Atlanta.
"It is Millennia's duty to ensure families have safe, secure and comfortable living in their houses," Crump said.
Along with the conditions, Crump said the company also continued to collect rent from residents and subsidies from the city after Dickens relocated over 800 residents into temporary homes, paid for by the city.
"They have failed to pay back the Atlanta community foundations and the city of Atlanta any of the money they have collected," Crump said.
"At a minimum, we're talking about $10 million from the City of Atlanta in rent payments, supplies, etc.," the mayor said. "That number escalates from there as we talk about health conditions, etc."
Councilmember Jason Winston, Attorney Ayanna Jones-Lightsy, Atlanta Volunteer Lawyers Foundation and Felicia Morris also joined the Atlanta mayor and Crump to stand with residents on the issue.
"You cannot profit off the suffering of Atlantans, and if you do, we will seek recourse," Jason Winston, Atlanta City Council member, said.
After the news conference, the company issued a statement calling out some of the allegations:
The City of Atlanta painted a blatantly self-serving fabrication today regarding the Forest Cove Apartments and Phoenix Ridge and Millennia’s role in the property. As a company, we have the utmost respect and concern for the residents of Forest Cove, which is why we acquired the already severely distressed property in 2021 with the sole purpose of relocating the residents offsite while the property would undergo a $58M rehabilitation.
The City has chosen to prioritize gentrification of the Thomasville Heights area to the detriment of the residents of Forest Cove and to grant Mayor Dickens with a trophy achievement. These residents will not be able to return to their community, but Mayor Dickens will falsely position this as an affordable housing victory.
The City knows its claims that Phoenix Ridge had no concern for the Forest Cove residents and had no plans to improve the property are completely and utterly false. Phoenix Ridge only acquired the property as the company saw the need to immediately relocate the residents, which the previous owner would not allow. Phoenix Ridge allocated a $58M budget to the rehabilitation of this community and had received approval and permits to begin construction from the City of Atlanta. This rehabilitation would have ensured all rightful residents returned to the Forest Cove Apartment in updated, safer and more modern homes. Under the City’s current plans for Thomasville Heights, there are no plans for the volume of affordable, subsidized housing that would allow the residents of Forest Cove to return to their community.
The claim that Millennia and Phoenix Ridge owes the City almost $10M for relocation is patently false. There was agreement that the company would repay the relocation fees pending the sale or refinancing of the property. However, the City breached the agreement, blocking the sale or refinancing of the property, as upheld by the Fulton County Superior Court.
Phoenix Ridge has never turned a blind eye to the residents of Forest Cove, in stark contrast to the City of Atlanta's neglect in fulfilling its responsibilities with the necessary urgency. The deteriorated conditions of Forest Cove existed years before Millennia took over management of the property and bought it for the sole purpose of relocating and substantially transforming the property. Forest Cove has long been ignored by the City of Atlanta. At every turn, Phoenix Ridge has attempted to work with the City on this community. In fact, the City of Atlanta has had the contractual right since March 2022 to take steps to secure the property at Forest Cove but has chosen not to.
The City is right that the residents of Forest Cove deserve better, but halting the revitalization which would have seen the residents returned to newly renovated homes by now, in interest of redevelopment that does not provide adequate affordable housing but does increase the property value of Thomasville Heights, shows that Mayor Dickens and the City are only acting in their interest, not those of the residents of Forest Cove.