Lexington's affordable housing crisis: Part 1 public housing
{Photo Credit: Antionette Kerr/Davidson Local}
Lexington has faced a well-documented affordable housing crisis, as confirmed by federal, state and local governments for several decades. Over the past few months, residents—particularly those who remain unhoused—have contacted Davidson Local with concerns about rising rent prices and the affordable housing crisis.
These concerns have increased following the City of Lexington's recent decision to approve a new housing development. After a public hearing, the city council voted 5 to 3 to approve a request from MagnaGray LLC to build up to 375 single-family homes on 130 acres of undeveloped land off Fairview Drive, south of Highgate Lane. However, these new homes are expected to be properties priced at more than $350,000, raising concerns about the lack of affordable housing options.
Councilor Garrett Holloway was one of the voices advocating for affordable housing. Meanwhile, the Lexington Housing Authority (LHA) continues to grapple with the city's housing crisis. Executive Director Avis Robinson has emphasized that there is no longer any public housing in Lexington. Formerly, LHA owned 268 public housing units and operated with a staff of over 20 employees. However, in 2015, all public housing was sold to a private company. LHA’s role shifted to being a pass-through agency handling applications for housing assistance and long-term Family Self-Sufficiency programs. LHA has seven employees at 310,941 and more than 100,000 million dollars in annual budget.
In August 2017, the Office of Inspector General (OIG) investigated the Lexington Housing Authority and found numerous findings involving HUD compliance, insufficient policies and procedures, and poor financial accountability. At the time, the OIG requested that LHA repay more than $2.7 million unless proof of subsidy payments could be fully supported. The report states, “As a result, the Authority disbursed more than $2.7 million that was not properly supported and spent more than $5,900 on improper RAD project-based voucher assistance.” In response, Robinson, who took over as Executive Director in 2017, says her team worked to conduct internal forensic audits and compile the necessary documentation to clear the agency of all 12 findings. Since then, LHA has undergone multiple financial audits, conformity reviews, and compliance checks, ultimately gaining HUD’s approval and financial solvency.
Robinson said she inherited an agency marred in scandal, legal issues, HUD demands and public frustration. "We're trying to get back to a place of transparency and public trust," she stated. One of the biggest challenges she inherited was a waiting list of 3,000 applicants seeking housing assistance. LHA has 789 vouchers available—521 Housing Choice Vouchers (HCV) and 268 Project-Based Vouchers (PBV). However, only 620 vouchers are in use, with 54 voucher holders currently searching for housing. Robinson noted that due to the lack of available affordable housing, fewer than five of these individuals are likely to find housing before their vouchers expire.
LHA has also faced complaints about accessibility and access. Since the COVID-19 pandemic, the agency transitioned to a paperless system using Docusign and other digital platforms to manage applications remotely. Both the LHA website and social media pages lack regular updates for public information. The current Facebook Page was last updated in 2023. Robinson assured staff is available for phone inquiries and by appointment, with office hours from Monday to Thursday, 9 a.m. to 5 p.m., and Friday, 8 a.m. to 12 p.m. However, some residents have reported difficulties reaching staff and concerns over accessibility to the office. One caller, who has a physical disability, stated that she cannot walk up the ramp to the office location and has never used a computer, making it difficult for her to apply for assistance despite believing she qualifies.
Despite recent challenges, Robinson stressed that LHA has not yet been directly impacted by federal budget cuts to the Department of Housing and Urban Development (HUD). However, she anticipates that reductions may come. LHA has requested a public session with the city council to discuss concerns but says the city has not yet confirmed details about the request.
Mayor Jason Hayes acknowledged the broader housing crisis in Lexington and Davidson County, noting that shortages exist across various housing categories, not just affordable housing. He pointed to recent developments in multi-family housing, single-family homes and townhomes as signs of growth. However, he also stated that the city council recognizes the need for affordable housing and has agreed to conduct a housing study to assess current and future needs. Hayes added that the city is also exploring how city-owned parcels could be used to address the crisis. The mayor stated that the city is waiting for confirmation from LHA about presenting at an upcoming city council meeting in April and says the council welcomes further discussion on potential solutions.
As Lexington moves forward, questions remain: Will the city take meaningful action to address its housing crisis? Some complain that luxury developments continue to take precedence over affordability. Others point to LHA as government waste. Barriers to public housing will remain an urgent need for Lexington.
