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A scheme of intra-cell spatial resource reuse is proposed and analyzed for a peer-to-peer (P2P) enabled TDD CDMA system. By reusing the same radio resource among P2P transmitters in the spatial domain within a single cellular cell, the capacity can be greatly improved as we have demonstrated in this paper. A modified SINR model is used in our analysis considering the new interference scenario introduced by spatial reuse. Based on the P2P capacity upper bound acquired from the system-level simulations, the co-channel reuse distance is deduced with a padding method. By availing the relationship between the P2P distance and the co-channel reuse distance, our scheme could be easily applied into a practical system.