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NC School of Government presents Elmwood and downtown redevelopment analysis and recommends creating a Redevelopment Commission

Henderson City Council · March 1, 2026
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Summary

N.C. School of Government presenters told Council that Elmwood (481 parcels) shows high maintenance distress—77% rentals and many substandard units—while downtown has high vacancies and low rents; they recommended a Redevelopment Commission, a Downtown Director, code-enforcement priority zones and leveraging Main Street resources.

Representatives from the N.C. School of Government presented Phase II findings on redevelopment in Henderson’s Elmwood neighborhood and downtown.

Marcia Perritt and colleagues said Elmwood includes 481 parcels across roughly 210 acres with 269 owners; the consultants labeled about one-third of properties as “maintenance distressed,” reported that 77% of units were rentals and estimated that around 12% of residents live in substandard conditions. The consultants said low property values make small-scale loans impractical—banks typically avoid underwriting loans under about $70,000—which constrains private rehabilitation and contributes to persistent rental occupancy.

For downtown, the SOG team identified 245 parcels on about 71 acres and said vacancies and low rents hindering investment. They recommended encouraging public/private investment, using the Main Street program, appointing a Downtown Director, creating a priority code-enforcement zone, slowing traffic on Garnett Street and improving parking signage to increase downtown attractiveness.

Council members raised questions about loan accessibility and whether the local Housing Authority could help; Manager Blackmon and presenters noted unused vouchers exist but said not all renters accept vouchers and staff would follow up with the Housing Authority and Development Services. Council Member Jason A. Spriggs pressed on how quickly a Redevelopment Commission could be established; the Manager said application responses have been slow and suggested the Commission could be hybrid (some council members serving) though that would not be best practice.

The SOG materials were filed in the strategic planning packet for reference.