Chapel Hill anticipates upcoming 100 percent affordable housing developments

The Town of Chapel Hill projects the completion of eight all-affordable housing developments by 2029.

Projected completion dates span over the next five years and include three types of projects — inclusionary housing, partnerships with outside developers, and Town-initiated projects. Inclusionary housing requires a set percentage of units in new residential developments be set aside for affordable housing as established by a 2010 Town ordinance.

Here is an overview of the 100 percent affordable housing projects currently in development.

Tanyard Branch Trace

In August, the North Carolina Housing Finance Agency announced Tanyard Branch Trace had been selected to receive a 9% Low-Income Housing Tax Credit (LIHTC) award.  This allows property owners to lower operating costs to below-market prices.

Tanyard Branch Trace is a Town-initiated project and is projected to complete construction in 2026.

The Tanyard Branch Trace project will consist of 48 one- to three-bedroom units located on Jay Street. These units will benefit residents who earn 30-60 percent of the area's median income.

Emily Holt, the Town’s affordable housing manager, said many of the projected units are placeholders for future projects the Town hopes to begin planning.

“That pipeline reflects completion of units, so there's a very long timeline to get from beginning of planning to completion of units, especially for those low-income housing tax credit,” Holt said.

Trinity Court

Trinity Court was proposed by the Timmons Group on behalf of the Town and is projected to be completed by 2026. This project has also been selected to receive a 9 percent LIHTC.

The proposed development includes the construction of two different three- to four-story apartment buildings. Trinity Court will have a total of 54 units of affordable housing along with parking.

The project is currently in the construction phase of development. The Trinity Court development was approved alongside the Tanyard Branch Trace development in April 2022.

Carver Street

The Carver Street project was approved for $375,000 of funding on April 24 and was proposed by Habitat for Humanity of Orange County. The Carver Street project is projected for completion in 2027.

The plan includes purchasing two adjoining properties on Carver Street and building 12 new affordable housing units that will be sold to first-time buyers in the community who earn between 30-80 percent AMI.

PEACH Apartments

As a part of a partnership with EmPOWERment, Inc., an existing rundown building was demolished to allow for the construction of 10 new affordable housing units.

LaTanya Davis, the operations manager for EmPOWERment, said the PEACH Apartments are one of the few projects in the Town serving those earning 30 percent AMI and below.

“That's a big plus for a small nonprofit, such as EmPOWERment, to be able to raise the funds to do such a project,” Davis said.

She said EmPOWERment hopes to start construction on the project in May with completion projected around nine months later.

Weavers Grove

Weavers Grove will provide 102 units of affordable housing, as part of a Habitat for Humanity community, with a projected completion date of 2029.

The project has completed the initial community feedback process along with the plan revisions and approval phase. Project fundraising and construction of infrastructure including sewage lines and stormwater drainage is currently underway.

Tiny home expansion program

PeeWee Homes is a local nonprofit that creates dignified and affordable tiny home communities for people transitioning out of homelessness. Their homes are located in small lots to create a neighborhood of structures that include permanent foundations with water and sewer infrastructure. 

The organization has partnered with the Town to provide six affordable housing units projected for completion in 2026 and 2027.

Legion property phase 1

The 36.2 acre Legion Road property was purchased by the Town in 2017. A plan to create affordable housing and a park at the site was approved by the council in 2022.

The Town is currently seeking a partner to begin preparing a development project proposal for the site. The Town projects the first phase of the development will provide 75 affordable housing units by 2029.

Fire Station #4 redevelopment

Viñas said the Town is exploring the potential to co-locate a new fire station with an estimated 75 affordable housing units. This project is in the early stages of development but is projected to be completed by 2029.

Transitional housing

From 2025 to 2029, the Town also projects the addition of 18 new transitional housing units across Chapel Hill. 

Sarah Viñas, the director of affordable housing and community connections for the Town, said the transitional housing program serves residents in public housing who wish to work toward homeownership or renting on the private market. 

“These would be new homes that the Town would acquire at various locations throughout town and make them a part of our transitional housing program,” Viñas said.

While the Town anticipates the completion of each of these projects in the coming years, the locations are yet to be determined.

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