Federal agents raided the Cleveland-area home of Frank Sinito, a real estate developer and one of the nation’s most prominent owners of affordable housing complexes.
According to News 5 Cleveland, the raid occurred on Wednesday at 7:00 a.m. The agents were identified as working for the Departments of Agriculture and Housing and Urban Development (HUD) and were seen carrying boxes from the property in Waite Hill, Ohio. But while the local police chief said the agents were executing a search warrant, it is unclear what they were after.
Marisa Darden, an attorney representing Sinito stated he was cooperating with the agents and added, “It is important to remember that an investigation is just that. There have been no arrests and no charges filed.”
Sinito is the founder and CEO of the Millennia Companies, which owns and operates hundreds of low-income apartment complexes across the eastern half of the country. HUD recently banned Sinito and Millennia Housing Management from entering new federal contracts until late 2028, citing an unauthorized movement of money and underfunded security deposit accounts.
“Nearly $4.9 million is missing or was improperly taken from 19 HUD-insured or HUD-subsidized properties,” said HUD in its debarment letter to Sinito and Millennia. “Your misconduct affects the integrity of HUD’s multifamily programs because it jeopardizes the financial viability of the projects. The mismanagement of your properties risks the housing stability, and housing quality, of those tenant families.”
Sinito is also involved in the ownership of commercial real estate and co-owns a portfolio of Cleveland-area restaurants with his wife.
Photo courtesy of Millennia Companies
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