This paper describes the development of an innovative carbon nanotube-based non-woven composite sensor that can be tailored for strain sensing properties and potentially offers a reliable and cost-effective sensing option for structural health monitoring (SHM). This novel strain sensor is fabricated using a readily scalable process of coating Carbon nanotubes (CNT) onto a nonwoven carrier fabric to form an electrically-isotropic conductive network. Epoxy is then infused into the CNT-modified fabric to form a free-standing nanocomposite strain sensor. By measuring the changes in the electrical properties of the sensing composite the deformation can be measured in real-time. The sensors are repeatable and linear up to 0.4% strain. Highest elastic strain gage factors of 1.9 and 4.0 have been achieved in the longitudinal and transverse direction, respectively. Although the longitudinal gage factor of the newly formed nanocomposite sensor is close to some metallic foil strain gages, the proposed sensing methodology offers spatial coverage, manufacturing customizability, distributed sensing capability as well as transverse sensitivity.