Hilton Head Island Town Council Passes Displacement Mitigation Plan

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Housing units on Hilton Head Island surrounded by greenery

News Summary

The Hilton Head Island Town Council has passed a significant Housing Displacement Mitigation Support Plan aimed at addressing the ongoing workforce housing crisis. With a narrow 4-3 vote, the council’s decision comes after nearly two years of planning and amidst ongoing debates about adequate funding and clear directives. The plan is expected to coordinate responses to housing displacement incidents, particularly for residents at risk of eviction, and highlights the urgent need for additional affordable housing units on the island. Community engagement continues as residents seek faster action from local authorities.

Hilton Head Island Town Council Passes Displacement Mitigation Plan Amidst Workforce Housing Crisis

The town council of Hilton Head Island has officially passed the Housing Displacement Mitigation Support Plan on May 20, 2025, in a narrow 4-3 vote. This decision comes as the town faces a significant affordable housing crisis, driven by rising housing costs, diminishing middle-class income levels, and a severe shortage of housing units.

The planning process for this mitigation support plan took nearly two years and was fraught with challenges, including the resignation of key members from the Housing Action Committee. Just days before the council’s vote, both the committee chair and vice chair resigned in frustration over the town’s sluggish progress in addressing critical housing issues.

Immediate Concerns and Future Steps

One of the most pressing issues addressed by the plan is the threat of displacement faced by current residents living in affordable housing. Notably, nearly 300 residents of the Chimney Cove apartment building were at risk of eviction in 2022 due to proposed redevelopment plans. In response to ongoing housing displacement events, the Deep Well Project will take the lead in coordinating responses, with funding support from the Community Foundation of the Lowcountry.

Despite the plan’s passage, it has drawn criticism for its lack of clarity regarding the identification and management of displacement events. Additionally, there are concerns regarding whether sufficient funding will be allocated to support those in need of housing assistance. The zoning enforcement outlined in the plan currently appears vague and lacks specific directives to effectively address core issues.

Current Housing Crisis Context

Hilton Head Island’s affordable housing crisis is further emphasized by data indicating that the fastest-growing income groups in the area consist of individuals earning below $25,000 and above $150,000, contributing to the erosion of the middle-income bracket. The town experiences a significant influx of workers, with over 14,000 individuals commuting daily to the island, including approximately 4,400 who travel more than 50 miles each way for work. Given these trends, it is projected that the island will need at least 200 additional housing units annually for the next decade to meet the needs of its workforce.

New Developments and Initiatives

To tackle these pressing housing requirements, various initiatives are underway. One significant project is Northpoint, which is set to provide 157 workforce housing units through a partnership with OneStreet Residential. Additionally, Novant Health has announced plans to develop 141 workforce housing units specifically aimed at supporting healthcare professionals and first responders—another critical workforce segment.

Local residents are increasingly vocal about their concerns, emphasizing the need for faster action from the town council to effectively address workforce housing challenges. As part of ongoing community engagement, a meeting scheduled for July 29 will provide residents an opportunity to discuss the town’s workforce housing initiatives more extensively.

Conclusion

In conclusion, while the passage of the Housing Displacement Mitigation Support Plan marks a step forward in addressing the pressing housing issues on Hilton Head Island, the ambiguity in the plan’s provisions has sparked debate among council members and the community. Steps taken thus far, including new housing developments and specific workforce support initiatives, are perceived as critical measures to confront the challenges of housing affordability in the area.

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Additional Resources

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