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Wednesday, November 4, 2026Nov 4

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City nixes plans for apartment complex

The City Council voted 7-2 Tuesday night to halt any construction at the Fairmount Avenue Apartments for at least four months while the city looks at rezoning the North Chattanooga property.

“We’re putting the brakes on the housing authority’s freight train,” Mayor Ron Littlefield said Tuesday.

Mr. Littlefield has been highly critical of the proposed 36-unit Chattanooga Housing Authority development, saying the roads are too narrow for such a large apartment complex. The Housing Authority has received $4.2 million from the U.S. Department of Housing and Urban Development to expand the units.

Councilman Andraé McGary and Councilman Russell Gilbert said Tuesday night they thought the viewpoint of housing authority officials should be considered before making a decision.

“I personally have some discomfort with passing a resolution without hearing from anyone from the housing authority,” Mr. McGary said. “We’ve only heard one side of the conversation.”

He said he felt the authority could end up being the loser if it has to return $4.2 million to the federal government.

Chattanooga Housing Authority officials could not be reached Tuesday night for comment.

Housing authority officials initially proposed a 48-unit complex, but scaled it down to 36 units within the last few weeks. Mr. Littlefield said he thought it would be better as a six-to-10 unit complex.

Barry Bennett, executive director of the Chattanooga-Hamilton County Regional Planning Agency, said Tuesday that planners were looking at downsizing the property from its multi-unit use to a townhome designation, which would mean substantially fewer units could be located in the area.

DOC: Moratorium resolution BY THE NUMBERS* 48: Number of units initially proposed for Fairmount Avenue Apartments* 36: Number of units that Chattanooga Housing Authority decided to trim down to* 10: Maximum number of units city officials would like in the neighborhoodSource: City of Chattanooga

Councilman Peter Murphy said there is no public transportation close by. Other council members said there was a lack of grocery stores in the area.

“It’s honestly not a good place for public housing,” Mr. Murphy said.

Planning officials said they should have a zoning study finished by next month’s planning meeting. The moratorium limits any type of building permits on Fairmount Avenue, allowing only renovations within homes.

“The housing authority was proceeding ahead without proper authority,” Mr. Littlefield said. “This puts the brakes on that.”