Memphis Towers has new owner, housing advocates remain skeptical

MEMPHIS, Tenn. — After years of repeated code violations and residents reporting a pattern of safety problems, a taxpayer-funded high rise for seniors located in the Medical District of Memphis has a new owner.

WREG obtained a copy of a letter that local housing advocates say was distributed to residents at Memphis Towers this week indicating a change in ownership at the property.

The letter, signed by Brian P. Myers of TRG Replacement GP LLC, reads in part, “… effective immediately, Memphis Towers is under new ownership …”

The document also noted, “The Millennia Companies are no longer affiliated with the owners of the property.”

A spokesperson for Millennia told the News Channel 3 Investigators, “Memphis Towers is now under the ownership of Richman Capital. All questions about the property should be referred to the new owner.”

According to a website for Connecticut-based Richman Group of Companies, the company and its affiliates are in real estate development, property management and asset management.

Myers is listed on the company’s website under Asset Management / Investor Services.

Meanwhile, a spokesperson for the Department of Housing and Urban Development told WREG its records still reflected Millennia being in charge. HUD issued the following statement:

“The Department of Housing and Urban Development (HUD) has not received a formal request for change of ownership of Memphis HUD’srs. HUDs records reflect that the project is owned by Memphis Towers TN TC, LP and managed by Millennia Housing Management Ltd, both operating under Millennia Companies. However, we are aware of ongoing discussions among the partners in the limited partnership and are engaging with them as this situation develops.”

For years, WREG has exposed problems at Memphis Towers and other properties owned by Ohio-based Millennia.

Problems at Millennia properties extend beyond Memphis

Millennia had long promised a major turnaround at Memphis Towers. The property was in the midst of what Millennia called a “substantial rehabilitation” with construction costs at more than $20 million.

Despite the facelift at the 296-unit property, seniors living at Memphis Towers have continued to report problems at the high rise ranging from security and lighting to issues with rent.

‘What you running for?’: Tenants demand answers from Millennia Housing
Residents voice their frustrations with Memphis Towers

For several months, residents and organizers with the Memphis Towers Tenants Union have pressed the Health, Educational, and Housing Facility Board of Memphis, which helps fund tax incentives at Memphis Towers, to reconsider the tax breaks it provides at the property.

The board has its regularly scheduled monthly meeting on Wednesday, March 6, where we could learn more about the change in ownership.

Memphis Towers is not on the agenda. However, there is an agenda item for PILOTS in legal default and other business.

The board placed Memphis Towers on its watch list last year and noted its owner Millennia was delinquent in filing financial reports to the board.

Representatives from the MTTU told WREG they once again plan to attend the HEHF board meeting.

Organizer Alex Uhlmann told WREG about the idea of new ownership at Memphis Towers.

“The proof is in the pudding. These new folks are coming in, saying they’re good actors and are going to do things the right way. It’s a step in the right direction,” he said.

Uhlmann however, said he remains skeptical: “We don’t know these folks.”

He said they are looking for a pattern and record of consistent action that takes residents’ feedback into account and treats folks with dignity and respect.

Millennia already owned Memphis Towers when it took over property management and eventually ownership at Gospel Gardens, Cavalier Court and Hope Heights.

The company is also in charge at Serenity Towers, but a deal for a final sale fell through last year when state housing regulators pulled their financial support.

Millennia announced late last year that its affiliated entity was planning to sell Serenity. At the time, company leaders didn’t indicate a potential change in ownership of Memphis Towers.

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