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Tenants

D.C. Attorney General's Office Closes Chapter on Long-Running Fight Against Notorious Landlord

Strategic Insights

— 2 min read

The years-long battle between the D.C. Attorney General's Office and Sanford Capital, a landlord notorious for subjecting tenants to squalid conditions, has come to a close. Following a settlement, the arrangement overseeing repairs and restoration at a Congress Heights apartment building has been dissolved, and ownership of the property has been transferred to Standard Real Estate Investments. This company has pledged to develop the site into 179 affordable housing units, adding to the southern entrance of the Congress Heights Metro station. Standard Real Estate Investments plans to partner with Trammell Crow Company and NHT Communities, a nonprofit specializing in affordable housing, to bring the project to life.

Key Takeaways:

  • The settlement concludes the D.C. Attorney General's Office's case against Sanford Capital, which began in 2016, regarding deplorable conditions at a Congress Heights apartment building.
  • 35% of the new apartments will be three- and four-bedroom units, suitable for larger families.
  • All new apartments will be affordable to renters earning between 30 and 80% of the median income for the District.
  • The property sale was approved by the Attorney General's Office and the remaining Congress Heights tenants, who have been living in temporary housing while issues were addressed.
  • About 46 affordable units were occupied when Sanford Capital bought the Congress Heights Apartments in 2010, but just about 10 tenants remained in 2016.
  • The new complex is expected to break ground within the year, with retail units opening by the end of 2024 and residential apartments ready for move-in in 2025.
  • Tenant residents suffered for years in slumlike conditions, including lack of heat, burst pipes, mold, infestations, and sewage leaks.
  • In 2018, Sanford Capital signed an agreement to sell its remaining seven properties in the district and refrain from subsidized housing development until 2025.
  • The previous year, a judge ordered Sanford Capital to pay former tenants $1.1 million in back-rent for living in unsafe conditions.

Statistics:

  • 179 affordable housing units are planned throughout the two-acre site.
  • 35% of these units will be three- and four-bedroom apartments for larger families.
  • All new apartments will be affordable to renters earning between 30 and 80% of the median income for the District, amounting to $38,700 to $82,300 for a family of four.
  • The property sale involved a property transfer from Sanford Capital to Standard Real Estate Investments.
  • The new complex is expected to be operational with retail units by the end of 2024 and residential apartments available for move-in by 2025.

Sources:

  • The Washington Post
  • The D.C. Attorney General's Office
  • Standard Real Estate Investments
  • Trammell Crow Company
  • NHT Communities
  • The National Housing Trust

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