LEXINGTON, Ky. – As Lexington grapples with a growing homelessness crisis, city officials are set to review a comprehensive Emergency Shelter Study during the Urban County Council’s work session on Tuesday. The study outlines the urgent need for expanded shelter capacity and proposes four potential sites for a new permanent, low-barrier shelter facility.
A Growing Crisis
According to the 2025 Point-in-Time (PIT) count, Lexington’s homeless population has surged to 925 individuals, marking a 12% increase from 2024 and a 34% rise since 2020. Of these, 810 individuals are currently in emergency shelters, while 67 remain unsheltered. This demand has overwhelmed the city’s year-round shelter capacity of 498 beds, resulting in a utilization rate of over 160% when excluding temporary overflow accommodations.
Projections indicate that by 2030, the homeless population could reach 1,082, necessitating at least 530 shelter beds to meet demand. This would leave a shortfall of 32 beds based on current capacity, underscoring the need for immediate action.
Proposed Shelter Model
The study recommends establishing a year-round, non-congregate shelter featuring semi-private units designed to accommodate couples, youth, individuals with disabilities, and veterans. Key features would include low-barrier access, ADA compliance, and trauma-informed design. The facility would also provide wraparound services such as case management, mental health support, and substance use treatment.
Financially, the proposed model entails a one-time capital investment of $2.2–$3 million, with annual operating costs ranging from $3.5 to $4.5 million. Over five years, this approach would cost approximately $27 million, offering long-term structural improvements compared to the $11 million spent on seasonal winter shelters that provide only short-term relief.
Potential Sites Identified

To distribute services equitably across the city and minimize geographic concentration, the study identifies four potential sites for the new shelter:
- Old Catalina Motel: Located on New Circle Road, this site offers existing infrastructure that could be repurposed for shelter use.
- Former FedEx Facility: Situated in the industrial corridor, this location provides ample space for redevelopment into a shelter with integrated services.
- Eastland Bowling Lanes: This defunct entertainment venue presents an opportunity for adaptive reuse in a commercial area.
- Tanbark Nursing Home: Previously a long-term care facility, this site could be converted to accommodate semi-private shelter units.
Each site was evaluated based on zoning compatibility, accessibility to public transit, and potential for adaptive reuse.
Community Response and Next Steps
The release of the Emergency Shelter Study comes amid heightened concern over Lexington’s homelessness crisis. Advocates have highlighted discrepancies between official counts and independent surveys, with some estimates suggesting the homeless population could be as high as 2,410 individuals, including 453 children.

Former Councilmember Tayna Fogle previously emphasized the urgency of the situation in 2023, stating, “We speak about, in City Council, how we are thriving in Lexington. But if there is one child who is homeless, that is not thriving. But 500. That’s unbelievable. And not on my watch. Something must be done in the City of Lexington.”
The Urban County Council’s review of the study on Tuesday will be a critical step toward addressing the city’s homelessness challenges. Community members and stakeholders are encouraged to participate in the session to provide input and support the development of sustainable solutions.
