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Failing Minneapolis housing complex kept getting millions in federal tax dollars
A Minneapolis public housing complex kept getting millions in federal funding even as inspectors repeatedly gave it failing grades for poor conditions. FOX 9’s Mike Manzoni has more.
MINNEAPOLIS (FOX 9) - A Minneapolis public housing complex kept getting millions in federal funding even as inspectors repeatedly gave it failing grades for poor conditions.
Heritage Park received poor inspection scores, the government kept sending money anyway
What we know:
Federal inspectors gave Heritage Park failing or near-failing scores multiple times, including a score of zero last year. A failing score is anything under 60, and scores under 80 require yearly inspections. But despite these results, the Department of Housing and Urban Development continued sending about $85,000 a month to the property, totaling more than $1 million a year, records show.
Tenants deal with mold, rodents, broken AC
Tenants at Heritage Park said they have dealt with mold, rodents, broken air conditioners and boarded-up windows for years.
What they're saying:
"They’ve been being told that their units have passed inspection," Council Member Pearll Warren said at a meeting on Monday. "It’s not habitable."
By the numbers:
Records show the property failed an inspection in 2023 and received a score of zero in 2025. Since its first failed inspection, the government has sent more than $4 million to subsidize Heritage Park’s public housing units.
The Department of Housing and Urban Development continued payments even as it repeatedly failed inspections, records show. The agency responded to an inquiry via email, but did not explain why it has continued to subsidize the complex.
Why HUD keeps sending money
According to a source, the government may have been required to continue subsidizing the property because of an agreement made before Heritage Park opened more than 20 years ago.
The backstory:
Heritage Park has been in disrepair for years, but the flow of tax dollars never stopped. In June, a social media video from Warren highlighted the issues at the complex, leading to new questions about oversight and accountability for public housing in Minneapolis.
In December 2025, the former owner, McCormack Baron Salazar, voluntarily turned over the property to a court-appointed receiver.
What we don't know:
It is still unclear how the former owner spent the millions in federal subsidies, and the federal government has not provided an explanation for why payments continued despite failing inspections.