Lime-cement concrete (LCC) is a non-structural concrete in which lime and cement are used as the main binders. However, although LCC has many applications in reducing the settlement of foundations and providing a support layer for shallow foundations, little research has been conducted to evaluate its behaviour in various moisture conditions. Previous researchers have studied the feasibility of using waste tires in conventional concrete to alleviate their negative environmental impacts. However, in field projects, rubber has not been widely used because its application leads to the strength reduction of concrete. In the case of LCC, attaining high strengths is not required and thus application of waste tire particles sounds reasonable. This research evaluated the impact of various rubber powder contents on the fresh, geotechnical and durability properties of LCC at different saturation degrees induced by the capillary action and groundwater level increment, which has not been studied before. The results of more than 320 tests showed that the application of tire powder increases workability and decreases the water absorption of LCC. Moreover, all 60-day cured specimens exposed to 100% saturation degree experienced a strength reduction of less than 10% by using rubber powder contents varying from 0 to 20%. Moreover, increasing the saturation degree from 0 to 100% decreased the average compressive strength by 13.5 and 22% for 60-day cured samples of two different mix designs. The results of this research confirm that LCC containing up to 10% rubber powder could be promisingly used underneath or close to the groundwater table without its strength and geotechnical properties being jeopardized due to rubber employment and/or exposure to ground moisture.