The race of potential tenants of MSP Real Estate’s proposed low-income housing project played no role in the city’s decision to reject the development, and MSP’s lawsuit alleging the city is violating federal law by blocking the project should be dismissed, the city says.
MSP filed the lawsuit in U.S. District Court in Milwaukee last month, contending that race was a key factor in the city’s decision to rescind approval of the low-income housing and senior apartments proposed for the City Center just months after the project was approved.
MSP is seeking $12,995,996 in compensatory damages and an unspecified amount in punitive damages, according to the lawsuit.
In the suit, MSP alleges the city and Mayor Jack Chiovatero violated both the federal Fair Housing Act and the Americans with Disabilities Act. Some of the planned apartments were going to be disabled-accessible, the lawsuit says.
The city in a response filed in court April 12 acknowledges that there was community opposition to MSP’s proposal and that “some of it was based upon issues of race.”
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