City of Huntsville, HHA awarded $50 million grant for Butler Terrace and Johnson Towers

HUNTSVILLE, Ala. ( WHNT ) — The City of Huntsville and the Huntsville Housing Authority have been awarded a grant to help transform and revitalize Mill Creek.

The U.S. Department of Housing and Urban Development has awarded a $50 million grant to Huntsville to transform the area known as Mill Creek.

The grant sets up for a $350 million investment to redevelop the 27-acre site into a mixed-income community with workforce housing, medical and childcare services and retail options.

“It took five years of planning and a dream coalition of community and federal partners to bring this project to fruition,” Mayor Tommy Battle said. “This exceptional model allows us to create a new neighborhood – one that centers on the needs of residents and provides housing for workers who are the backbone of this city.”

The area is located west of Memorial Parkway between Seminole Drive, Clinton Avenue and Governors Drive. The multi-year plan is set to replace the rough public and assisted housing with higher quality, mixed-income housing.

The Choice Neighborhoods Initiative grant required the commitment of 27 partners and stakeholders. This includes the $27 million investment from Huntsville Hospital to create 125 workforce housing units and a health care clinic on-site.

“The Choice Neighborhoods Initiative is a rare opportunity to improve healthcare access while also making a large positive impact on our workforce needs,” said CEO of Huntsville Hospital Jeff Samz.

Another partner in the project is McCormack Baron Salazar. The company is a leading developer, property manager and asset manager of economically integrated urban communities. The firm will redevelop the project site in five phases over eight years.

Phase one will focus on an 84-unit building for UD/disabled residents. Phase two is set to be 100 units and will be for senior members of the community. Phases three through five will provide 396 family units. In total, there will be about 580 units for residents. With the Huntsville Hospital Housing units, the goal is to provide 705 mixed-income units.

The space is also to be developed for amenities such as:

• management/maintenance offices
• fitness center
• community rooms
• business center
• Mill Creek Park
• community pool/splash pad
• green spaces
• pocket parks
• 7,350 square feet of commercial space

The projected timeline for this development starts in 2024 and ends in 2033.

You can find more information about this development and grant on the City of Huntsville’s website here .

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