Raleigh Housing Authority advances taller redevelopment at Heritage Park

Raleigh’s approval of a new zoning framework gives the Raleigh Housing Authority more room to redevelop the vacant Heritage Park site in downtown Raleigh, while preserving a requirement for at least 122 affordable homes.

The 11.61-acre site formerly held 122 public-housing apartments. The rezoning case for 405 and 416 Dorothea Drive changes the property from RX-3 with a Transit Overlay District to DX-12 with conditions and the transit overlay. The approved framework allows substantially more height and density than the former zoning.

Raleigh City Council approved the rezoning on March 31, 2026. Under the zoning case, height increases from three stories, or five stories with the transit overlay, to 12 stories, or potentially 18 stories with the overlay. The 18-story figure is a possible transit-district allowance, not a final building height.

The zoning approval creates development capacity. It does not mean construction has started, financing is complete or the final buildings have been designed.

Former 122-unit site is vacant

Heritage Park formerly contained 122 public-housing apartments built in the 1970s. RHA says the community became fully vacant on July 17, 2025, after residents and on-site staff were relocated.

The rezoning conditions require at least 122 affordable units, matching the number of apartments formerly on the site. RHA also says its broader redevelopment approach is intended to support mixed-use space and more affordable housing choices, but the replacement units will be delivered through phases rather than all at once.

The final unit mix, building heights, site plan and commercial uses remain unsettled. RHA’s own Heritage Park materials say redevelopment planning is ongoing and that the authority is considering how to create new, energy-efficient housing while adding density and possible mixed-use space.

First phase would add 51 senior apartments

The first planned housing phase includes 51 apartments for seniors. The City of Raleigh says that phase is being pursued with 9% Low-Income Housing Tax Credits, and that the city committed $1 million in gap financing in 2025.

RHA and the city describe the larger redevelopment as a project that could eventually house approximately 1,000 residents. That is a long-term planning goal, not a completed or guaranteed buildout. Later phases are expected to include family housing along with additional residential and potentially mixed-use space.

Financing and construction remain ahead

RHA’s current redevelopment update targets a fourth-quarter 2026 financial closing for Block 1. The closing is an expected financing milestone, not a guarantee that construction will begin by that date.

Construction timing will depend on financing, final planning, additional approvals and later development steps. The next important signals for former residents, renters, nearby businesses and downtown neighbors will be the financing close, detailed site plans, building proposals and a construction schedule.

For Raleigh, the project could eventually replace the former public-housing community with a much denser mixed-income neighborhood near downtown and transit. For now, the approved zoning establishes what the site may be able to accommodate; it does not settle exactly what will be built.

Sources

• Raleigh City Planning — Heritage Park rezoning case Z-19-25
• Raleigh Housing Authority — RHA Redevelopment
• City of Raleigh — Partnerships Drive New Affordable Housing at Heritage Park