CITY OF NEW ORLEANS PRESS RELEASE
On September 17, 2021, Mayor Cantrell was joined by Secretary Marcia Fudge, U.S. Department of Housing and Urban Development (HUD), Louisiana Governor John Bel Edwards, Rep. Troy Carter, U.S. Congressman, 2nd Congressional District, Dr. Takeisha Davis, CEO of New Orleans East Hospital, and Danielle Willis, CFO of New Orleans East Hospital, to tour the New Orleans East Hospital and to recognize its success in saving lives while enduring Hurricane Ida. The event also highlighted the partnership between the City, State, and the U.S. Dept. of Housing and Urban Development (HUD) that helped New Orleans rebuild following Hurricane Katrina and in prioritizing vaccination distribution during the COVID-19 pandemic.
HUD has been a significant partner in providing funding to build affordable housing across New Orleans and throughout Louisiana and was instrumental in bringing adequate hospital care to New Orleans East. In 2012, HUD issued a Federal Housing Administration (FHA) firm commitment of over $97 million to build a state-of-the-art community hospital that was hardened to withstand Category 4 winds, tornadoes, flooding and remain operational during a severe hurricane event and its aftermath.
New Orleans East Hospital was built with generators that could run for at least eleven days without refueling. For Hurricane Ida, the hospital operated for 5 days at full capacity with no disruption of patient care. This hospital’s emergency room even remained open and accepted patients who arrived via police units.
New Orleans East Hospital was also the first in the nation to partner with public housing authorities and FHA low-income developments to begin COVID outreach vaccinations in mobile units and contributed to the city’s success in prioritizing vaccinations. The Housing Authority of New Orleans led the effort of bringing vaccines to the community – aiding in vaccinating more than 800 residents in partnership with the New Orleans East Hospital and other healthcare entities.
The development of the New Orleans East Hospital and its critical services is also recognized as a community amenity and connects healthcare with the necessity of building more affordable housing throughout the city, specifically in New Orleans East.
The Cantrell administration has identified New Orleans East as an ideal location for homeownership and economic development, understanding that the two work together to build strong communities. In partnership with HUD, the City invested $9.5 million in soft second down payment assistance since May 2018, with 60 percent of funding used to assist over 100 homeowners in New Orleans East.
An additional $7.6 million is expected to be disbursed over the next 18 months, with at least half being used in New Orleans East. Several multi-family developments have been constructed in partnership with HUD, and two are under construction in New Orleans East. Lake Forest Manor, a formerly blighted facility currently under construction, is at 85 percent complete. The Reveal, a new construction project estimated for completion in October 2021, is a $1.4 million City investment. The total development cost of the site is $40 million, that will bring 150 affordable units online. This project includes a business incubator and will provide a program to move tenants to homeownership.
The New Orleans East Hospital is a $1.5 million investment utilizing Community Development Block Grants to produce 200 senior units slated to come online in December 2021. The project has a total development cost of $32 million.