Chattanooga, August 26, 2025
News Summary
Chattanooga’s Hamilton County Schools is considering a partnership with Chattanooga Neighborhood Enterprise to create affordable housing for school employees. The initiative targets rising housing costs and aims to improve staff retention. Proposed units, located on HCS-owned land in St. Elmo, will offer rental prices below market rates, benefiting various school staff including cafeteria workers. The project aligns with new local incentives promoting affordable housing developments within the community.
Chattanooga Considers Affordable Housing Partnership for School Staff
Chattanooga’s Hamilton County Schools (HCS) is exploring the possibility of collaborating with Chattanooga Neighborhood Enterprise (CNE) to provide affordable housing specifically for school employees. This initiative aims to address rising housing costs and support staff retention in the area.
The proposed affordable housing development would take place on HCS-owned land situated in St. Elmo, particularly on the former Lookout Junior High School property located on West 40th Street, directly across from Forest Hills Cemetery. The site, which encompasses parts of Ben Miller Park, is projected to accommodate approximately 70 housing units, offering a viable living option for teachers and other school staff.
HCS Superintendent Dr. Justin Robertson has articulated the challenges faced by CNE in securing land for new housing developments, highlighting that this partnership seeks to alleviate such issues while providing county employees with access to rental options below market rates.
The housing initiative is designed to be inclusive, allowing various school staff members, such as cafeteria workers, to qualify for these rental opportunities, even if some teachers may not meet the specific income requirements. Estimated rental prices for the units are expected to be around $950 for a one-bedroom unit, $1,450 for a two-bedroom unit, and $1,950 for a three-bedroom unit, making it an attractive choice for many employees.
Dr. Robertson emphasized that the primary goal of this project is to cover construction costs rather than generating profits. Under the terms of the proposal, HCS would lease the property to CNE for the development of the housing units. Discussions regarding this proposal have included consultations with the county mayor and Chattanooga’s mayor, indicating a concerted effort to align local leadership on the importance of affordable housing.
Additionally, there is potential for the eligibility of housing to be extended to first responders, recognizing the critical roles they play in the community. Another aspect of the plan includes consideration for renovating and converting the existing school building into apartment units, further enriching the housing options available.
In alignment with this initiative, Chattanooga’s land bank has officially donated a parcel on Oakland Avenue to Wind River Built for modular home construction. This, along with HCS’s partnership with CNE, forms part of broader efforts to address the pressing demand for affordable housing in Chattanooga.
The Chattanooga City Council has recently implemented a Voluntary Attainable Housing Incentives program, making it the first city in Tennessee to adopt such measures. The program will provide zoning relief for housing developments that ensure at least 10% of their units are priced below 80% of the Area Median Income (AMI), promoting the construction of affordable housing without imposing extra financial burdens on taxpayers.
This new law, spearheaded by Sen. Todd Gardenhire, allows for local governments to provide various amenities in exchange for attainable housing development. The Voluntary Incentives Program is set to take effect this spring, with additional information available on the city’s affordable housing programs page.
Key Features of the Affordable Housing Project
- Location: Former Lookout Junior High property in St. Elmo
- Total Units: Approximately 70 housing units
- Expected Rent Prices: $950 (1-bedroom), $1,450 (2-bedroom), $1,950 (3-bedroom)
- Eligible Residents: HCS employees and potentially first responders
- Development Partner: Chattanooga Neighborhood Enterprise (CNE)
- Timeline: Voluntary Incentives Program effective this spring
FAQ
What is the purpose of the affordable housing project?
The purpose of the project is to provide below-market rental housing options to Hamilton County Schools employees to help address the challenges of housing affordability and staff retention.
Where will the proposed housing units be located?
The proposed housing units will be located on the former Lookout Junior High School property on West 40th Street in St. Elmo.
Who is eligible to apply for the housing?
Eligibility primarily includes Hamilton County Schools employees, with additional considerations for first responders.
When are the rental prices expected to be announced?
The estimated rental prices have already been outlined, with specific amounts expected around $950 for one-bedroom, $1,450 for two-bedroom, and $1,950 for three-bedroom units.
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Additional Resources
- News Channel 9
- Wikipedia: Affordable housing
- Times Free Press
- Google Search: Chattanooga affordable housing
- Local 3 News
- Google Scholar: Affordable housing Chattanooga
- Travel and Tour World
- Encyclopedia Britannica: Affordable housing
- Nooga Today
- Google News: Chattanooga affordable housing initiative
Author: STAFF HERE CHATTANOOGA WRITER
The CHATTANOOGA STAFF WRITER represents the experienced team at HEREChattanooga.com, your go-to source for actionable local news and information in Chattanooga, Hamilton County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Riverbend Festival, Chattanooga Oktoberfest, and Moon River Festival. Our coverage extends to key organizations like the Chattanooga Area Chamber of Commerce and United Way of Greater Chattanooga, plus leading businesses in manufacturing, insurance, and utilities that power the local economy such as Volkswagen Chattanooga, BlueCross BlueShield of Tennessee, and EPB. As part of the broader HERE network, including HEREBristol.com, HEREKnoxville.com, HEREMemphis.com, and HERENashville.com, we provide comprehensive, credible insights into Tennessee's dynamic landscape.
