A community meeting was held in New Orleans Thursday to address widespread concern from residents living in Musicians’ Village after news broke that some apartments within the neighborhood were sold by Habitat for Humanity.Musicians’ Village was created after Hurricane Katrina, when Habitat for Humanity partnered with New Orleans natives Branford Marsalis and Harry Connick Jr. to build affordable housing for musicians and culture bearers who lost everything in the storm. The neighborhood, anchored by the Ellis Marsalis Center for Music, was designed to help preserve the city’s cultural backbone while supporting long-term recovery.The homes were built by Habitat for Humanity in the St. Claude neighborhood, primarily as owner-occupied residences. According to Habitat, the vast majority of Musicians’ Village remains unchanged and is not for sale.This week, Habitat confirmed it sold approximately 32 properties, totaling 52 rental units across the city to for-profit Stable Housing LLC. Of those properties, four were located inside Musicians’ Village. Those four properties contain a total of eight rental apartments, representing only a small portion of the neighborhood.Habitat emphasized that the homes inside Musicians’ Village are owned by the people who live in them and were not included in the sale. There are 72 single-family Habitat-built homes in the Village, all of which remain owner-occupied.In a statement to WDSU, Habitat said it sold the rental units because continuing to operate them was no longer financially sustainable.“Habitat’s core work is affordable homeownership, not long-term rental operations,” the nonprofit said. “These rental units were operating at a significant and growing loss, requiring Habitat to subsidize rents by approximately $200,000 to $250,000 per year, and many units also required substantial maintenance reinvestment.”Habitat said it kept rents far below market rates for nearly two decades through heavy subsidy, but determined that continuing to operate a loss-making rental program would limit its ability to build and finance affordable homes for other New Orleans families.“Exiting rental operations protects Habitat’s capacity to serve more families through affordable homeownership — consistent with our mission,” the statement said.Residents living in the eight apartments sold said they were not notified ahead of time that the properties would be sold, learning about the change only after the sale was completed.Habitat acknowledged the anxiety surrounding the transition and said it has remained in communication with tenants since the sale.“For tenants living in the rental units, we recognize this news can create anxiety,” Habitat said. “The transaction itself was a sale of rental properties owned by Habitat; it was not a change to the homeowner portion of Musicians’ Village. Since the sale, we have emphasized that Stable Housing has stated it intends to work with tenants regarding rent changes and timing.”District D City Councilman Eugene Green hosted Thursday’s community meeting alongside representatives from the Housing Authority of New Orleans to hear directly from residents and address their concerns.During the meeting, HANO confirmed to impacted tenants that the new owner told the agency there is no intention of evicting anyone and that rents will remain the same for at least one year.Green said questions remain about communication surrounding the sale and its impact, noting that it is unclear whether the renters living in the eight apartments are musicians or culture bearers.Stable Housing LLC also issued a statement responding to the concerns.“Recent media reports have generated unnecessary concern regarding Stable Housing LLC’s acquisition of properties in Musicians’ Village,” the company said. “We want to be absolutely clear: we have no intention of evicting anyone.”The company said its purchase represents only a small percentage of homes in the Village and that it is working directly with tenants.“We are currently working with tenants to reach mutually beneficial agreements that ensure stability for everyone involved,” the statement said. “NOAHH selected us to acquire these properties specifically because we are committed to preserving affordable housing, not contributing to the crisis our city faces.”Residents at the meeting said the one-year pause offers some relief, but many are still seeking written assurances and clarity about what happens after that period.
A community meeting was held in New Orleans Thursday to address widespread concern from residents living in Musicians’ Village after news broke that some apartments within the neighborhood were sold by Habitat for Humanity.
Musicians’ Village was created after Hurricane Katrina, when Habitat for Humanity partnered with New Orleans natives Branford Marsalis and Harry Connick Jr. to build affordable housing for musicians and culture bearers who lost everything in the storm. The neighborhood, anchored by the Ellis Marsalis Center for Music, was designed to help preserve the city’s cultural backbone while supporting long-term recovery.
The homes were built by Habitat for Humanity in the St. Claude neighborhood, primarily as owner-occupied residences. According to Habitat, the vast majority of Musicians’ Village remains unchanged and is not for sale.
This week, Habitat confirmed it sold approximately 32 properties, totaling 52 rental units across the city to for-profit Stable Housing LLC. Of those properties, four were located inside Musicians’ Village. Those four properties contain a total of eight rental apartments, representing only a small portion of the neighborhood.
Habitat emphasized that the homes inside Musicians’ Village are owned by the people who live in them and were not included in the sale. There are 72 single-family Habitat-built homes in the Village, all of which remain owner-occupied.
In a statement to WDSU, Habitat said it sold the rental units because continuing to operate them was no longer financially sustainable.
“Habitat’s core work is affordable homeownership, not long-term rental operations,” the nonprofit said. “These rental units were operating at a significant and growing loss, requiring Habitat to subsidize rents by approximately $200,000 to $250,000 per year, and many units also required substantial maintenance reinvestment.”
Habitat said it kept rents far below market rates for nearly two decades through heavy subsidy, but determined that continuing to operate a loss-making rental program would limit its ability to build and finance affordable homes for other New Orleans families.
“Exiting rental operations protects Habitat’s capacity to serve more families through affordable homeownership — consistent with our mission,” the statement said.
Residents living in the eight apartments sold said they were not notified ahead of time that the properties would be sold, learning about the change only after the sale was completed.
Habitat acknowledged the anxiety surrounding the transition and said it has remained in communication with tenants since the sale.
“For tenants living in the rental units, we recognize this news can create anxiety,” Habitat said. “The transaction itself was a sale of rental properties owned by Habitat; it was not a change to the homeowner portion of Musicians’ Village. Since the sale, we have emphasized that Stable Housing has stated it intends to work with tenants regarding rent changes and timing.”
District D City Councilman Eugene Green hosted Thursday’s community meeting alongside representatives from the Housing Authority of New Orleans to hear directly from residents and address their concerns.
During the meeting, HANO confirmed to impacted tenants that the new owner told the agency there is no intention of evicting anyone and that rents will remain the same for at least one year.
Green said questions remain about communication surrounding the sale and its impact, noting that it is unclear whether the renters living in the eight apartments are musicians or culture bearers.
Stable Housing LLC also issued a statement responding to the concerns.
“Recent media reports have generated unnecessary concern regarding Stable Housing LLC’s acquisition of properties in Musicians’ Village,” the company said. “We want to be absolutely clear: we have no intention of evicting anyone.”
The company said its purchase represents only a small percentage of homes in the Village and that it is working directly with tenants.
“We are currently working with tenants to reach mutually beneficial agreements that ensure stability for everyone involved,” the statement said. “NOAHH selected us to acquire these properties specifically because we are committed to preserving affordable housing, not contributing to the crisis our city faces.”
Residents at the meeting said the one-year pause offers some relief, but many are still seeking written assurances and clarity about what happens after that period.
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