A former school finds new life as affordable housing for NC seniors

YANCEYVILLE — When Cassandra Henderson returned to Dillard Junior High School, memories from her time there decades ago came roaring back. 

She remembers the school bus dropping her off at the front steps, the hallways with metal lockers lining the walls and the auditorium where students gathered. Even the small church across the street is still there. 

Nearly 60 years after graduating in 1968, Henderson is back—this time as a resident of the former school, which has been transformed into dozens of affordable apartments for seniors. 

“Some of my happiest years were here, and I can remember them like they happened yesterday,” she said. “I am so glad that the school is still standing, and they found such a great reason for keeping it standing.”

After years living in Richmond, Virginia, Henderson wanted to return to Yanceyville, where she had family and friends. But finding a place to live made that difficult. 

“My sister said, ‘Why don’t you move back home?’ I said, ‘There’s nowhere for me to move,’” Henderson said. 

The redevelopment gave her a path to come home. 

For other older North Carolinians, developments like Dillard are addressing the growing challenge of finding housing that fits a limited budget as rising rents and other expenses compete with fixed retirement income and Social Security benefits. 

Few options for seniors 

In Caswell County, the need for affordable housing is significant. About 42% of renters and 20% of homeowners are cost-burdened, meaning households spend more than 30% of their gross monthly income on housing costs. 

Dillard School Property Manager Charity James said the community has few affordable housing complexes, and even fewer for seniors.  She said when the property started leasing last year, more applicants than units were available, leading to long waitlists. 

“I’ve been in Yanceyville all of my life,” she said. “For seniors here, the housing market isn’t where it should be. We have very few housing options in the community.” 

The shortage goes beyond Caswell County. North Carolina has an estimated shortage of 215,000 affordable rental homes for extremely low-income residents. Of the state’s 348,000 renter households in that income category, 29% are headed by seniors. 

The state’s median monthly rent is about $1,338, according to the North Carolina Housing Finance Agency. It’s been rising for years, making it difficult for older adults living on fixed incomes to find affordable housing. 

For some, the lack of available options can determine whether they can stay in their communities or have to move away from family and friends. 

Dillard School was designed to address at least part of that need. Its 53 apartments include studios and one-bedroom units, with rent based on residents’ incomes. Residents pay up to 30% of their income toward rent, with the remaining cost covered by federal housing funding. 

The development is not assisted living. Residents must be able to live independently, but the property includes elevators, accessible features, and community spaces. 

A second life for a vacant school 

Originally known as the Caswell County Training School, the school was the first in the county to offer 11  grades for Black students when it opened in the early 1950s.  After desegregation, it then took the name of longtime principal Nicholas Longworth Dillard. 

When it closed in 2002,  it was placed on the National Register of Historic Places. It sat vacant for over 20 years until its conversion. 

The building’s windows were broken, parts of the gym roof were gone, and the interior was exposed to the elements, said Alex Walker, a representative of DreamKey Partners, the project’s developers. 

He said transforming the property into affordable housing offered a chance to preserve local history while putting the property back in use. 

The project, designed specifically for seniors,  was financed through the federal Department of Housing and Urban Development’s Section 202 program as well as state and federal historic tax credits.

“Through layering all those financing pieces, we were able to, especially with the significant grant from HUD, put this project together to restore the building and make it possible for residents to live here,” Walker said. 

Earlier this year, the project received national recognition from the Affordable Housing Tax Credit Coalition, which honored Dillard in its 2026 rural housing category. 

Emily Cadik, the coalition’s CEO, said federal tax credits like the low-income housing tax credit have become more important as families struggle with the rising cost of living. 

“Each winner… has made a lasting impact in the communities they serve and for the families who now have an affordable place to call home,” Cadik said. 

But the project’s significance extends beyond the award, offering one example of how communities can both preserve historic buildings and create housing for seniors on limited incomes. 

For former students like Henderson, the impact is already tangible. She can live in the community where she grew up, surrounded by memories of a place that has remained part of her life, even as its purpose has changed. 

“Being back is like a shot of adrenaline or a vitamin,” she said. “This is where I am meant to be.”