The murky world of Hilton Head’s workforce housing crisis isn’t getting clearer
Between Hilton Head Island’s skyrocketing cost of living and bumper-to-bumper commute traffic, many of the workers that clean hotel rooms and pour margaritas at Hilton Head’s famous restaurants, resorts and golf clubs find themselves caught between a rock and a hard place trying to make a living.
Those lucky enough to find affordable housing on the island could lose their homes at any time if property owners choose to redevelop — something that almost happened to 300 residents of Chimney Cove in 2022. With affordable housing already in short supply, evicted Hilton Head workers could leave the island for good.
As Hilton Head’s workforce housing shortage grows, residents have long urged Hilton Head leaders to tackle the problem. The town set out a year ago to arm itself with a plan to stop the island from losing more workers.
“Many of us are worried about the long-term viability of this town if no workforce support can be expected,” said resident Rise Prince at a Tuesday meeting. “The easiest first step is for people who already live on the island be able to continue to live here.”
Now, four people who worked on the plan have resigned, and harsh criticisms surround a plan that doesn’t provide any clear direction to the town. After tense discussion, the “displacement mitigation plan” barely passed through Town Council approval Tuesday with a 4-3 vote.
As simple as saying “Hey, something’s going on”
In the nine-page document, the only clear responsibility of the town is a brief direction to notify The Deep Well Project, a local nonprofit that provides social services, when it becomes aware of a “displacement event.”
Deep Well would then coordinate with other local nonprofits to assist any displaced residents and try to find something in Hilton Head’s limited affordable housing options.
No direction is given as to what qualifies as a displacement event, how the town what information the town needs to provide to Deep Well. The plan also doesn’t provide any funding towards housing assistance.
Mayor Alan Perry summed up the town’s plan succinctly during the Tuesday meeting: “It’s the responsibility of the town to say, ‘Hey, something’s going on.’ It’s as simple as that.”
Ward 4 Council Member Tamara Becker, who stated that she supports workforce housing, criticized the plan’s unclear language. She questioned what could happen if someone living in “one of the nicer communities” were to be displaced from their home.
“Is it our responsibility to pick up the phone every time we hear someone has been displaced?” Becker said. “Or is it only when you’re dealing with a situation like Chimney Cove?”
What was the original plan?
Pushback on an earlier draft of the plan at the committee level led to the resignation of two committee chairs last week.
The original plan outlined a strategy for how the town could identify displacement events long before eviction notices are posted to tenants’ doors
Anyone seeking to build or redevelop something on the island must meet with town staff to discuss the project before submitting an application. Housing committee members suggested that town staff pass out a voluntary 29-part questionnaire at this stage to help identify if the project would displace residents, and gather information to pass onto nonprofits.
However, the proposal faced hash criticism at a March 17 meeting of the Community Services and Public Safety Committee.
Council members Tamara Becker and Steve DeSimone expressed concerns that it would add yet another layer of bureaucracy to an already lengthy process, could use up town resources to implement, and could obfuscate the town’s role as a “limited government”
“We are not in the housing business,” Becker said at the March meeting. “Every single time we do something like this, we become more of a social service network and less of a government agency.”
The revised plan, approved by the town council Tuesday, contains a shorter 13-part questionnaire. It’s unclear how, if at all, it would be used by town staff.
Two town employees that were involved in the project have also resigned. Quincy White, the town’s first Chief Housing Officer, stepped away to lead the Virginia Beach Community Development Corporation. Missy Luick, Director of Planning, is resigning effective June 17 “to pursue other career opportunities,” according to a town statement.
What’s next for affordable housing?
The town is making headway on the long-anticipated Northpoint affordable housing community, in partnership with Atlanta-based developer OneStreet Residential.
The 157-unit complex will include a pool, playground, walking trails, and a community garden, and will be located close to Hilton Head Elementary. Half of the units will be reserved for people earning between 60% and 80% of Hilton Head’s area media income — between $63,840 and $85,120 per year for a family of four, and between $44,700 and $59,600 for an individual, according to a town presentation on the project.
It’s not clear how big of a dent the project will make in the roughly 14,000 workers commuting to Hilton Head every day. A current full-time minimum wage job in South Carolina pays $15k annually. The median income for an individual in Beaufort County is a little more than $41k.
The project has also faced delays, and it’s unclear when it’s expected to be move-in ready. Construction is expected to take 16-18 months once shovels hit the ground.
Several residents came forward at the Tuesday meeting to urge the town to solve its workforce housing problem, including Sandy Gillis, Executive Director of the Deep Well Project.
“If we can require stormwater plans for development to protect neighboring properties and our waterways; if we can require that the color of a building fall in the approved pallet to protect our Hilton Head Island character; and if we can require private oceanfront homes and businesses to turn off lights for nesting sea turtles, then we should have no problem requiring development that will displace our neighbors to step up and be part of the solution,” Gillis said.
This story was originally published May 22, 2025 at 9:59 AM.
