---
title: "Spartanburg Council OKs Downtown Affordable Housing Deal"
url: https://www.herespartanburg.com/2026/09/18/spartanburg-council-oks-downtown-affordable-housing-deal/
date: 2026-09-18T15:54:47-04:00
modified: 2026-09-18T15:54:47-04:00
author: "Brody Myers"
categories: ["Uncategorized"]
site: "HERESpartanburg"
attribution: "HERESpartanburg"
---

# Spartanburg Council OKs Downtown Affordable Housing Deal

*Source: [HERESpartanburg](https://www.herespartanburg.com/2026/09/18/spartanburg-council-oks-downtown-affordable-housing-deal/) — September 18, 2026 by Brody Myers*

Spartanburg City Council has approved a development agreement clearing the way for a 48-unit affordable apartment complex on city-owned property adjacent to the Kennedy Street Parking Garage, near the corner of Converse Street. The project targets households earning between 20% and 70% of the area median income.

Virginia-based SCG Development is behind the project, which will include a mix of studio, one-bedroom, and two-bedroom units. Rents will be capped at 30% of a tenant’s income, a structure designed to keep the units affordable even as rental costs climb elsewhere in the downtown corridor.

The site sits close to Spartanburg’s Morgan Square area, putting future residents within walking distance of downtown restaurants, offices, and municipal services. City leaders have pointed to the location as part of a broader push to keep workforce housing near the urban core rather than pushing it to the outskirts of town.

The approval follows months of planning work, including earlier city discussions about how to structure the land transfer and financing needed to make the project pencil out for a private developer while keeping rents below market rate. With the development agreement now in place, the next steps involve finalizing design details and moving toward permitting and construction financing.

Spartanburg has faced mounting pressure over housing affordability as downtown redevelopment continues to draw new residents and businesses, driving up costs in neighborhoods close to the city center. City officials say projects like the Kennedy Street development are meant to ensure that growth downtown doesn’t come at the expense of long-time residents and workers who need affordable options close to jobs and transit. No firm construction timeline has been announced, though the agreement gives the developer the legal footing needed to begin lining up financing and permits.