but it’s not the kind of social housing we might hope for—it’s mostly slum-like.

It may be not what we hope for, but isn't it pretty much the same as what happens when the government builds it? I mean, the "projects" aren't exactly the shining example of what "we might hope for" either. It looks like this way of solving the problem is bound to fail whoever tries it - be it the well-intentioned government or the mafia.