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City takes temporary control of Serenity Towers after judge finds building unsafe; $483,000 requested for operations and maintenance

2221176 · February 5, 2025
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Summary

The Housing & Community Development department has been appointed temporary receiver at the 400‑unit Serenity Towers after court action. HCD asked the committee Feb. 4 for up to $483,000 to fund security, staffing and urgent maintenance while residents are relocated and the city pursues liens and reimbursement from HUD.

The City of Memphis is acting as temporary receiver for Serenity Towers after an environmental court order following prolonged unsafe living conditions at the high‑rise complex, Housing and Community Development Director Ashley Cash told the council Feb. 4. HCD asked the council to approve up to $483,000 in funding to support operations, security and urgent repairs while the city manages the property and relocates about 150 remaining senior residents.

Cash said the two‑tower complex (about 400 units, currently housing roughly 150 seniors) had severe problems including nonworking elevators, limited hot water and intermittent heating in some areas. The judge ordered the city to act as a receiver to keep residents safe. HCD said the initial work is temporary operations and limited maintenance — not a full rehabilitation — with planned staffing that includes a community manager, one maintenance technician, six security guards, three fire‑watch guards and janitorial coverage.

HCD will seek reimbursement from HUD under an MOA expected to cover a portion of monthly operational cost (estimated at roughly $40,000 a month), and HCD said it is also filing liens against the owner for work it performs. City attorneys are exploring recovery options and whether the city can secure a first‑priority claim on proceeds; HCD emphasized it is pursuing liens for services performed. Cash said the department will bill the owner and pursue legal remedies; the city will seek to recoup costs through liens or through a sale if necessary.

Committee members asked for details about the timeline for relocation and about oversight during receivership. Cash said HCD will only undertake repairs necessary for habitability and safety and will not carry out full rehabilitation; she said staff will return to the committee with a more detailed schedule and accounting of expenses and reimbursements once the HUD MOA is in place.

The committee did not finalize an appropriation at the Feb. 4 meeting; HCD requested the funds and said it will only spend actual incurred costs and will file liens and seek HUD reimbursements where eligible.