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Mill Creek redevelopment project gets $50 million boost with HUD grant

The Mill Creek plan is intended to bring mixed-income housing, medical and childcare services, and retail space to the area near Lowe Mill and Campus 805.

HUNTSVILLE, Ala. — The Mill Creek project, near historic Lowe Mill and the popular entertainment venue Campus 805, just got a big boost thanks to at $50 million Choice Neighborhood Implementation (CNI) Grant from the U.S. Department of Housing and Urban Development. The plan, which has been in development for five years, will bring housing, family services, and retail space to the area around Butler Terrace and Johnson Towers.

According to the Huntsville Housing Authority, the plan will bring approximately 580 new residential units. Huntsville Hospital intends to contribute a 125-unit development for its staff, for a total to over 700 units of replacement, affordable and market-rate housing. Phase 1 will include the construction of an 84-unit Universal Design building at the intersection of Governors Drive and 1st Street. This accessible building will be the new residence for those living in Johnson Towers and is expected to be finished in 2027.

Phase 2 will add a 100 unit senior housing development off 1st Street, followed by Phase 3 with 151 units of family housing split between two complexes. The final two phases will add a total of 245 more units and a park.

Simultaneous with the housing will be other planned construction projects, including a new Food City, a "Smart Space" facility with early learning classrooms, a food pantry, and indoor and outdoor recreation areas. Greenways and walking paths planned for the area are part of the city's larger long-term plan for connecting different parts of the city. 

Huntsville Housing Authority Executive Director Tony McGinnis says the $50 million grant hits very close to home. "We're not just improving housing. We're transforming lives. I grew up in public housing right here. This means a lot to me."

For District 1 City Council Member Devyn Keith, the CNI grant represents a significant step in providing affordable housing for Huntsville’s diverse workforce, a cause he has championed as an elected leader.

“The Mill Creek project sets the standard for what neighborhoods can and should be,” said Keith. “Receiving this grant is a significant moment for Huntsville. As we continue to grow, we must work to find more innovative and affordable housing opportunities.”

   

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