This is something that most in the current era simply can not comprehend.
"Housing Projects" is kind of like Welfare. They were never intended to be permanent solutions, but a temporary one to deal with a temporary problem. While the first real "Public Housing Projects" were started in the 1930's as part of the NIRA (a New Deal jobs program), it was WWII that really saw it expand. As with many surging into the cities to work in the war factories, the critical housing shortages led the government to start building housing projects to give them a place to live.
And the returning WWII vets needed places to live, so once again the US started making housing projects to provide them places to live until the market could expand enough to meet demand.
Those were never intended to be permanent, and by the 1960s those old "temporary" New Deal and WWII solutions were falling apart, so there was the Housing and Urban Development Act of 1965. Which essentially set what was then in use as the blueprint for the future. And in the end, that was a complete and utter disaster.