HOTEL VS HOUSING: GROWTH IN SAVANNAH
Savannah is no stranger to growth. With tourism booming and new development around every corner, the city’s charm and momentum are undeniable. But as the city evolves, so do the challenges. Lately, housing affordability has taken center stage.
Earlier this month, the Metropolitan Planning Commission (MPC) made headlines by voting to prohibit new hotels in three of Savannah’s historic districts: Victorian, Streetcar, and Cuyler-Brownville. The decision came after strong advocacy from neighborhood associations and two hours of public comment from residents determined to protect their communities. Their message was clear: Savannah needs homes for locals, not more hotels.
The MPC’s approval of the hotel overlay plan, introduced by local neighborhood groups, is a major win for community-driven planning. Residents spoke out about the real risk of housing displacement and rising costs tied to hotel growth, even smaller boutique hotels that might otherwise seem low impact. This new hotel overlay actually overlaps with much of the affordable housing overlay district that the City Council approved last spring. That district gives developers more flexibility on density when they commit to creating affordable housing. Together, these two zoning updates show that Savannah seems to be getting more serious about keeping its neighborhoods livable and inclusive.
Between 2020 and 2025, median rent in the Savannah metro area climbed 55%, jumping from $1,093 to $1,707. That’s a staggering increase, and it’s reshaping what it means to live and work in Savannah.
The City is trying to balance historic preservation, commercial vitality, and a fast-changing housing market. Office space is also feeling the squeeze as some downtown properties are being converted into hotels, further complicating the mix of uses in the city’s core. All of this makes one thing clear: zoning decisions are shaping Savannah’s future in real time. Residents made their voices heard, proving that community engagement can shape public policy.
For developers, that’s an important reminder, too. Whether you’re seeking a rezoning, a variance, or introducing a new project, listening to and working with the community early on can make the process smoother and more successful.
Thinking about a rezoning or variance? Let’s talk. Level CRE can help you move your project forward – and keep it in step with Savannah’s evolving vision.