Athens, AL – Local business leaders and Limestone County officials, alongside Alabama Secretary of Workforce Greg Reed, participated yesterday in the groundbreaking ceremony for The Grove at South Jefferson, a new affordable housing development in Athens, Alabama. This initiative is a public-private partnership designed to address the increasing demand for housing while simultaneously bolstering workforce development across North Alabama.
Economic Impact and Job Creation
The Grove at South Jefferson is projected to create approximately 150 jobs and generate an estimated $6.7 million in initial state and local tax revenue. The overall economic impact of the development is anticipated to exceed $17 million. Key project supporters include the Hall Group, Regions Bank, the Alabama Housing Finance Authority (AHFA), EisnerAmper, and Stifel.
This development marks the first in a series of planned projects targeting housing hotspots statewide, stemming from the ‘Working for Alabama’ legislative package. Governor Kay Ivey signed this six-bill suite of legislative measures into law in May 2024.
Addressing Growth and Workforce Needs
Secretary Reed emphasized the importance of such projects during his groundbreaking remarks. “North Alabama is experiencing rapid growth, bringing new industries, new jobs, and new opportunities to our state,” Reed stated. “With that growth comes a greater need to support our workforce, not only through job training and education, but by ensuring workers and their families have access to affordable, quality housing close to where they work. The Grove at South Jefferson represents the kind of forward-thinking collaboration we need to sustain this momentum and strengthen communities across Alabama.”
Project Details and Financing
The total cost of the development is projected to be approximately $40 million. Upon completion, The Grove will feature 120 units, comprising 72 two-bedroom and 48 three-bedroom apartments.
Regions Bank has played a significant role in financing the project, providing $25.6 million in Low-Income Housing Tax Credit (LIHTC) equity, $31.3 million in construction financing, and a $13.8 million Fannie Mae permanent loan commitment. LIHTC involves contributions for federal and state tax benefits for constructing or rehabilitating affordable housing.
Sean Kelly, Huntsville Market Executive for Regions Bank, commented on the bank’s involvement: “North Alabama is growing at a remarkable pace, and Regions Bank continues to build on its strong legacy of serving the people and businesses at the heart of the Tennessee Valley’s progress. We are championing more economic opportunities to keep our area growing responsibly while helping address community needs along the way.”
Community Benefits and Support
Residents of The Grove will have access to a range of family-friendly amenities. Additionally, financial assistance for after-school care will be available for school-age children from kindergarten through 8th grade.
Athens Mayor Ronnie Marks expressed his gratitude for the investment in the city. “There are so many great things happening in our city, and we are seeing generational investment in our economy,” said Mayor Marks. “I am thankful that Governor Ivey, Secretary Reed, the Alabama Legislature, and private industry are committed to investing in our city. Projects like this one represent our commitment to smart, planned growth in Athens.”
A New Approach to Workforce Development
In recent years, Alabama’s state leaders have re-evaluated their approach to workforce development, recognizing that a lack of affordable housing can hinder new investment and smart growth. Projects such as The Grove are a major component of the state’s revised strategy.
Robert Strickland, Executive Director of the Alabama Housing Finance Authority, highlighted this new approach. “The Grove at South Jefferson represents the very first Workforce Housing Tax Credit project to close in Alabama, marking a major milestone for our state and for the working families who rely on quality, affordable housing,” Strickland stated. “AHFA was pleased to issue $21 million in tax-exempt bonds and award more than $3.3 million in federal and state tax credits, resulting in an anticipated total equity infusion of $24.6 million to help make this development possible.”
Source: https://enewscourier.com/2026/02/28/the-grove-at-south-jefferson-state-local-leaders-break-ground-on-affordable-housing-development-in-athens/
