The Victoria Square Apartments in Newport were sold last week and residents fear what’s next.
The apartments, located at 506 Central Ave., were sold to Cincinnati-based Sunset Property Solutions (SPS), which specializes in “high-end remodeled apartments.” Because of the company’s specialty, residents question if their rent will increase, sending them on a new search for affordable housing.
The existing website for Victoria Square apartments promotes the property as “An Affordable Place to Live.”
According to Campbell County property records, the sale of the 232-unit community last week to Sunset was for $26.68 million. It is located near the Ovation mixed-use development underway which already includes a live music venue and will soon offer a hotel, residences, and office spaces.
“As far as I’ve seen from regularly looking, these are the only apartments anywhere in Northern Kentucky for the current price,” resident Morgan Mullins said. “When I moved in three years ago, with the $20 pet rent, it was $610. Back at the end of last year, they did raise our rent by around $100 a month. We now pay $710 a month.”
According to a notice put on residents’ doors by the SPS management group, their terms and charges will remain the same if a resident is on a month-to-month lease. The notice states, “there will be no changes to your lease agreement.” It does not specify if there will be changes to lease agreements for residents not on a month-to-month basis.
According to Mullins, residents are put on a month-to-month basis after their first year of living there.
Although Mullins and her wife have lived in the apartments for over three years, she said, “we are still very much worried.”
Many residents in Victoria Square Apartments are on housing vouchers (Section 8 of Housing and Urban Development/HUD) which assist low-income families, the elderly, and the disabled to afford housing in the private market.
It’s like they are exterminating the poor.
Mars Riley, resident Victoria Square Apartments, said of housing opportunities in Newport
Though Mullins does not receive housing vouchers, her neighbors have expressed their concerns about the new ownership not continuing to accept them.
“There are a lot of folks here who have housing vouchers or are elderly or disabled and not able to work,” Mullins said. “My neighbor is currently on Section 8 and has a sister who I believe is on disability who just moved into another building here with their elderly father. I know when they first announced new ownership, she was very concerned about it.”
The Newport Housing Authority said that people with vouchers at the apartments had a meeting with the Section 8 coordinator, and for now, they can stay.
“They’re on a lease; I don’t understand that. We haven’t notified anybody of anything. So, I’m just curious what the concern is on their behalf. When leases end, apartment owners all the time make decisions based on a variety of things,” Co-Founder of Sunset Property Solutions Josh Slonim said.
When asked if there were any renovation plans or if rent prices would increase, Slonim said, “I don’t have any comment on what is going to occur with current residents and for our vacant units. Once again, I think this is something that happens every day in the business of real estate.”
This is the only option we can afford.
Morgan Mullins, resident of Victoria Square Apartments
The notice posted on residents’ doors stated the company would conduct walkthroughs of every apartment “to evaluate the status of your unit and see if there are any outstanding maintenance issues.”
Connie Mars Riley is another resident of Victoria Square Apartments.
“I lived in the projects before they tore them down. It’s like they (Newport) are exterminating the poor,” Mars Riley said.
She currently does not receive housing vouchers and pays $700 a month in rent.
“There is nowhere for people to go anymore now that the projects are gone,” Riley said.
Because Victoria Square Apartments have a more affordable rent than other units in the area, and because they accept housing vouchers, Newport resident Krystle Smith said she has been on the apartment waiting list for three years.
“I’ve called a few times, and the receptionist always told me nothing was available,” Smith said. “I’ve been on the list for three years. I receive HUD. It’s really hard to find a landlord, apartment, or home on HUD in Newport.”
Mullins said her wife works full-time but only makes around $15 an hour, and she works part-time at a tanning salon making $12 an hour. Mullins said she could not work as much because of the high cost of childcare. She stays at home half of the week to care for their two children.
“With our situation now, this is the only option we can afford,” Mullins said.
After hearing of the new management, Mullins said they feel left in the dark about what will happen next.
“I think this also has people worried that they may be looking for reasons to have people move out. Of course, that hasn’t been said yet. But at least for us, we feel kind of in the dark about what will happen,” Mullins said.
Slonim said the company has always treated its residents with respect.
“We just look forward to serving the residents that are there,” Slonim said. “I mean, we’ve always treated our residents in our portfolio with the utmost respect.”
