After years of alleged mismanagement and corruption, the Atlantic City Housing Authority has officially been taken over by the U.S. Department of Housing and Urban Development, otherwise known as HUD.

The department initially sent out a letter to the housing authority on July 22nd, declaring it in substantial default, pointing to longstanding issues like heat outages, mold and pest infestations, especially at Stanley Holmes Village, where as NJ Spotlight News has reported, residents have sued over the poor conditions.

But last week, the housing authority fired back on those claims in their response, saying they had made many improvements to lift the agency out of the troubled category, but HUD officials say it wasn't enough.

Congressman Jeff Van Drew, who has advocated for the takeover since 2023, issued a statement dubbing it a victory, saying, "We are sending a clear message that every American deserves safe and dignified housing.'

Residents have expressed hope that the takeover "will result in improved living conditions.

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