Kingsport Rezoning Would Add 94 Apartments Off I-81
Kingsport's Board of Mayor and Aldermen took up a rezoning of 8.01 acres on Kendrick Creek Road near I-81 that would allow a 94-unit multi-family development.
Kingsport's Board of Mayor and Aldermen has taken up a rezoning that would put 94 new apartments on 8.01 acres along Kendrick Creek Road near Interstate 81. The request (REZONE26-0166) moves the vacant site from R-1C residential to R-3 low-density apartment district, and the Kingsport Regional Planning Commission already sent it forward with a positive recommendation.
What did Kingsport planners recommend, and why?
City planning staff recommended approval even though the land use placetype for the parcel is "Suburban Living." Their reasoning: multi-family next to the interstate works as a buffer, stepping down development intensity and shielding nearby single-family streets from noise and visual impact through building design and landscaping. Staff notes list 94 proposed units, water and sewer already available to the site, and a traffic impact study required once plans generate 750-plus trips.
What else did Kingsport's board approve this month?
On Tuesday, Aug. 4, the BMA approved on second reading — by a 6-1 vote, with Mayor Paul Montgomery casting the lone no — a rezoning allowing expansion of a quarry off Airport Parkway near the Tri-Cities Airport, roughly 200 yards from Holston Elementary School.
What are Tri-Cities home prices doing in 2026?
They are flattening after a strong first half. Northeast Tennessee Association of REALTORS® reporting shows Kingsport-Bristol up 2.04% and Johnson City up 10.5% in year-to-date median sale price through mid-year, with most full-year forecasts calling for only 1.2% to 4.0% for all of 2026 — meaning much of the year's gain is already banked. Inventory is rising but still below pre-pandemic levels.
| Tri-Cities market data | Value | Note |
|---|---|---|
| Kingsport-Bristol median price, first half 2026 | +2.04% | YTD median sale price |
| Johnson City MSA median price, first half 2026 | +10.5% | YTD median sale price |
| Second-half outlook — Kingsport-Bristol | 2.4% | third-party forecast |
| Second-half outlook — Johnson City | 2.0% | third-party forecast |
| National forecast range, 2026 | 1.2% - 4.0% | Realtor.com / NAR |
| Kendrick Creek Road rezoning | 8.01 acres, R-1C to R-3 | 94 units proposed |
| Quarry rezoning vote (Aug. 4) | 6-1 | second reading approved |
| 30-year fixed mortgage rate (Aug. 6) | 6.69% | +0.03 wk/wk |
| 15-year fixed mortgage rate (Aug. 6) | 6.01% | -0.03 wk/wk |
What this means if you own or buy here
- Owners near Kendrick Creek Road: R-3 next to I-81 is the buffer pattern planners prefer. Watch the traffic study when site plans are filed — that is where the real neighborhood impact shows up.
- Renters and first-time buyers: 94 units is meaningful new supply in a market where inventory still trails pre-pandemic norms.
- Johnson City sellers: a 10.5% first-half gain is not a rate you should extrapolate into the fall. Price to the last 60 days of closings, not to spring.
- Buyers: well-priced, move-in-ready homes still move fast; overpriced and fix-up listings are sitting. Waiting on a broad price drop this year is unlikely to pay off.
- Move-up sellers: the Catch 22 is timing two closings in a market where the fix-up listings sit. A guaranteed-sale plan fixes your sale date first,* so you shop with a real deadline instead of hope.
What's happening in the Tri-Cities this week
- Kingsport Race Week party — Aug. 13, 5:30-11 p.m. · downtown Kingsport (High Voltage), with the World Long Drive finals earlier at MeadowView Marriott
- "Gearing Up for America's Night Race" — Aug. 14, 6-9:30 p.m. · King's Commons, downtown Johnson City
- Red, White & Bristol — Aug. 15, 5-11 p.m. · downtown Bristol
- Bass Pro Shops NRA Night Race weekend — Aug. 13-15 · Bristol Motor Speedway (shuttles from the track to all three block parties)
Race week is the loudest and best week of the year to see all three cities in one trip if you are weighing a move to the Tri-Cities.
Sources: WJHL, Aug. 4-5, 2026 (Kendrick Creek Road apartment rezoning; quarry rezoning 6-1 vote); Kingsport Regional Planning Commission agenda packet, REZONE26-0166; Kingsport Times News, Aug. 4, 2026; NETAR Market Pulse, Aug. 2, 2026; Freddie Mac Primary Mortgage Market Survey, Aug. 6, 2026; Bristol Motor Speedway race week announcements.
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