NEW ORLEANS – The Housing Authority of New Orleans (HANO) has announced that it successfully worked with the U.S. Department of Housing and Urban Development (HUD) to preserve Guste High Rise as an active, affordable senior housing community, ending months of uncertainty surrounding the future of the building — which had been at risk of losing public housing units or potentially closing under a federal conversion process — and ensuring that residents will be able to remain in their homes while long-term improvements move forward.
The 12-story Guste High Rise in Central City houses more than 300 senior and disabled residents and is one of the city’s largest remaining public housing developments for seniors.
The Guste Homes complex has a long history of resident involvement, including a resident management corporation formed in the 1990s as part of a federal initiative to give residents a greater role in overseeing their community.
Late last year, HUD directed HANO to begin a federally required Section 33 conversion process for Guste High Rise due to increasing vacancy levels, rising operating costs, and concerns regarding the property’s long-term sustainability, including unpaid utility bills. Under federal law, developments meeting certain thresholds become subject to a federally mandated review process that can ultimately result in the closure of public housing units or conversion to other forms of housing assistance.
Rather than allow the property to move toward closure, HANO worked with HUD to identify a path to preserve senior housing, stabilize operations, improve building conditions and protect residents. The agreement effectively halts that process and keeps the building operating as public housing while improvements are planned.
“Guste High Rise is an important part of New Orleans and home to generations of residents,” said Marjorianna Willman, Executive Director of HANO. “Our focus has always been protecting the people who live there. We were able to work with HUD to keep this community online while beginning the work necessary to improve the quality of life for residents and ensure the property remains viable for years to come.”
Guste High Rise – Stabilization Plan and Management Transition
As part of this stabilization effort, HANO will assume direct management responsibility for Guste High Rise, Guste I, Guste II, and Guste III. The transition to direct management will allow HANO to move forward with a comprehensive stabilization and improvement plan focused on addressing long-standing operational, maintenance and infrastructure needs, including:
- Building repairs and infrastructure upgrades;
- Enhanced maintenance and operational oversight;
- Quality-of-life and safety improvements for residents;
- Increased coordination with HUD and supportive service providers;
- Financial and operational stabilization measures; and
- Long-term planning for the continued preservation of the Guste Homes community.
The move preserves a key piece of the city’s affordable housing inventory at a time when New Orleans continues to face rising housing costs and a shortage of affordable housing options for seniors and low-income residents. Earlier this year, HANO stated that New Orleans faces an estimated shortage of roughly 50,000 affordable housing units citywide.
The property includes features such as community spaces, on-site laundry and security services designed to support senior residents.
HANO emphasized that resident protections remain the top priority throughout the process. Residents will continue to receive support services, and HANO intends to maintain ongoing engagement with residents and community stakeholders as improvements move forward.
“For Guste High Rise residents, this is a major step in the right direction to curtail uncertainty. The building will remain open, and quality-of-life improvements are beginning,” Willman said. “Our priority now is making sure residents see meaningful improvements in their homes, their building, and their daily quality of life.”
HANO stated that the future of the Guste Homes community will continue to be shaped through engagement with residents, HUD, community stakeholders, and local leadership as the preservation and improvement efforts move forward. The agency has not yet released a timeline for the planned rehabilitation and stabilization work but said additional details will be shared as planning advances.
