Photo courtesy of the Town of Holly Springs

Holly Springs, NC, Sep. 11, 2026 — Holly Springs Town Council will hold a public hearing Sept. 15th on its 22-step Affordable Housing Action Plan (document) that proposes incentives for qualifying developments, faster approval processes and new programs for existing homeowners.

The plan comes as home prices continue to rise. Sale prices in Holly Springs have increased 59% since 2019, according to the plan, and the town’s 2025 median sale price for a single-family home was $565,000, well above what a household earning the area’s median income can afford.

The proposal grew out of a 2023 Housing Affordability Study prepared by consultants HR&A. That study identified housing challenges, but the council never adopted it, and it stopped short of recommending specific actions. Council revived the issue earlier this year and directed staff to turn the earlier work into an action plan.

Nine months later, staff presented the 22-step proposal during council’s Sept. 8th council workshop. Unlike the earlier study, the town developed the action plan in-house, which Town Manager Randy Harrington said saved the town an estimated $250,000.

What does “affordable” mean?

One unresolved issue surfaced during the workshop when a council member noted that Holly Springs has never formally defined what it considers affordable housing. The council member pointed to a mixed-income development in nearby Garner, where Habitat for Humanity purchased and resold some homes within an otherwise market-rate development, as an example of how affordable housing can take different forms.

Even if Holly Springs settles on a definition, however, state law limits what the town can require from developers. The town attorney told council that municipalities cannot base zoning decisions on anticipated home sale prices and said the General Assembly has been moving toward making that restriction more explicit.

As a result, the town’s strategy largely relies on incentives rather than requirements. Holly Springs can make qualifying projects easier or less expensive to develop, but it cannot require a builder to sell homes at a particular price as a condition of zoning approval.

What’s in the plan

The 22 actions fall into three areas: improving access and outreach, creating programs and policies, and building the town’s capacity to administer housing programs.

The first includes an expanded housing resources webpage, a network of housing partners, and a Housing Advisory Group. The group would initially use the town’s existing Land Use Advisory Committee, then expand to include additional community stakeholders.

The second includes some of the plan’s more substantial proposals. Holly Springs would develop an affordable housing incentive zoning policy and an expedited approval process intended to reduce average development review times from about 18 months to 12 months for qualifying projects. A pilot rehabilitation and repair grant program would assist existing homeowners.

The third focuses on the town’s ability to carry out the work. Holly Springs is hiring a planner who would work on housing issues and plans to pursue additional grant funding, including through Wake County. The town currently has no staff member dedicated specifically to housing programs.

Who would the plan serve?

The incentive zoning policy is targeted for the plan’s first year. Before adopting it, the town would determine the income levels it wants to serve, identify where to encourage affordable housing, and decide which incentives and fees should apply. An annual report would track the results.

Staff placed the area’s median income at about $132,300 for a four-person household. Senior Planner Sarah Lipkin-Sularz cautioned that the regional figure can be misleading given local housing costs, noting that Holly Springs is among the few Wake County communities where home prices are still increasing.

The plan initially focuses on households earning between 30% and 80% of area median income, although some programs could reach households earning up to 100%. Staff said serving households below 30%, particularly unhoused residents, generally requires resources and staffing beyond what Holly Springs can provide on its own.

Council members also asked how large housing developments outside Holly Springs factor into the town’s planning and whether regional construction could affect how much additional housing will ultimately be needed. Staff said it is already tracking regional growth and housing trends and will continue to consider them as the plan moves forward.

What happens next

The public hearing is scheduled for Sept. 15th, with possible adoption in October. If council decides the proposal needs more work, staff can instead revise it and return to the October workshop.

If adopted, work on the incentive zoning policy would begin in the first year, followed by the expedited approval process in year two and the pilot rehabilitation and repair grant program in year three, subject to funding.

Town Council Business Meeting

Date: September 15, 2026
Time: 7:00 PM
Location: Town Hall, 128 S Main St, Holly Springs, NC 27540
Directions: Click here

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