Holy Trinity Anglican Church has outgrown its longtime home on U.S. 15-501 in Chapel Hill, and now it wants to build something much bigger a few miles away: a 10,000-square-foot, two-story church paired with affordable housing for people who can't otherwise afford to live in the area. The proposal, which includes up to eight affordable duplex tiny homes for people transitioning out of homelessness, went before Chapel Hill and Orange County leaders at a joint public hearing Tuesday night.
The project would rise on a 15.5-acre parcel at 1651 Old Lystra Road in southern Orange County, according to ABC11. The site sits within Chapel Hill's designated Transition Area and Extra-Territorial Jurisdiction, land that under the town's joint planning framework requires sign-off from both Orange County and Chapel Hill before anything gets built, according to the Town of Chapel Hill. That dual-governance requirement is why both bodies convened together this week rather than acting separately.
David Hyman, connected to the church's plans, told the station that many people who work in the area have to live somewhere else because they simply can't afford to live where they work. He said the church hopes to support families until they become stable, describing the tiny homes as a bridge for people leaving homelessness rather than a permanent landing spot. Hyman said he hopes to break ground next year and, if the proposal wins approval, move into the new facility by 2028.
Two Separate Votes, Two Different Dates
Tuesday's joint hearing was for public input only. Neither the Orange County Board of Commissioners nor the Chapel Hill Town Council took a vote that night; the proposal's review timeline is outlined on the Town of Chapel Hill's project page.
The proposed project also includes two single-family homes along Old Lystra Road in addition to the church and the tiny-home units. One practical complication looms over the site: it currently lacks municipal water and sewer hookups, meaning the development plan would rely on private well water and septic systems, while the church is encouraging carpooling among residents, according to a report from Durham News.
Chapel Hill's Housing Squeeze
The proposal lands amid a well-documented affordability crunch in the area. More than half of Chapel Hill renters spend more than 30% of their income on housing costs, and an Orange County resident needs to earn more than $30 an hour to afford a two-bedroom apartment at fair market rent, according to county data cited by ABC11. Chapel Hill property taxes have also grown more expensive, adding to the pressure on longtime residents.
The regional affordability picture is part of the broader housing discussion. Orange County's own Housing for All policy sets a target of funding an average of 10 new affordable housing units annually for households at or below 80% of Area Median Income, per the county's policy documents.
Not the First Church-Backed Tiny Home Project
Holy Trinity's proposal pairs a church with housing to address the affordability gap it is targeting. The project is a faith-based effort to provide housing alongside church facilities.
Affordable housing efforts across the county extend beyond Holy Trinity's proposal. At its current location on U.S. 15-501, Holy Trinity already runs a 24/7 Blessing Box mini pantry offering free nonperishable food to residents in need, an existing ministry the congregation says it wants to expand alongside its new housing plans. The church says it wants to expand its broader ministry alongside its new housing plans.
