Planning commission recommends denial of Blue Hour Housing hotel-to-housing text amendment

The Town of Hilton Head Island Planning Commission on Wednesday voted 5–2 to recommend denial of a proposed text amendment from Blue Hour Housing that would create an adaptive-reuse hotel and motel conversion program in the town’s Land Management Ordinance (Title 16).

The amendment, submitted by Chris Breen of Blue Hour Housing, would have permitted conversions only for existing hotels and motels and would have allowed a conversion density of up to nine dwelling units for every 10 guest rooms (a 10% reduction from the original hotel room count). It would bar short-term rentals, require on-site property management, quarterly certificates of eligibility verifying workforce occupancy, a recorded program agreement, and a 75% local-employment occupancy requirement (up from 25% in earlier drafts).

Missy Lewis, the town’s planning director, told commissioners staff recommended denial. Lewis said the revised draft now before the commission reduces the number of zoning districts where the use would be allowed to five (Light Commercial, Main Street, Mitchellville, Waterfront Mixed Use and Stony District), but that only the Light Commercial district contains the seven existing hotels the amendment targets. “Staff is recommending denial on this text amendment application,” Lewis said, citing concerns about unit size, parking, affordability controls and consistency with the town’s workforce housing program.

Lewis highlighted several…