City-supported project receives Mobile’s first Workforce Housing Tax Credit: $26 million, mixed-income development bringing 70 housing units to West Mobile
Apr 7th, 2026
Posted in: Neighborhood DevelopmentPress ReleaseMayor
Mobile, Ala. — A new mixed-income housing development supported by the City of Mobile has been awarded the area’s first Workforce Housing Tax Credit from the State of Alabama.
Located at 2350 Demotropolis Road, Anchor Place will be a three-story, 70-unit apartment community that will help create attainable housing for tomorrow’s workforce. The $26 million development is expected to begin construction in early 2027, with leasing to follow in summer 2028.
The City of Mobile is supporting the project along with private and non-profit partners, including Hollyhand Development, Figures Construction & Development and the Fuse Project. Workforce housing fills a critical gap between traditional subsidized housing and market-rate units, providing options for essential workers and middle-income families who are often priced out of both.
“Expanding access to quality, attainable housing is one of the most important things we can do to support economic growth and development,” said Mayor Spiro Cheriogotis. “People want to live near their jobs, and they want to live in homes that are safe, well-built and affordable. Projects like Anchor Place help make that possible for more of our local families and workers.”
Anchor Place is the first development project in Mobile County to receive a Workforce Housing Tax Credit — a state incentive designed to encourage private investment in affordable rental housing. Administered by the Alabama Housing Finance Authority, these tax credits help qualifying developers close funding gaps and make projects like Anchor Place financially feasible.
This most recent award builds on the momentum the City of Mobile has seen for several of its affordable housing projects over the last several years. In 2025, four local projects received funding from AHFA in a historic year for housing investment in the city. Earlier this year, partners celebrated the opening of a new affordable senior housing development also supported by AHFA.
“We’re grateful to the Alabama Housing Finance Authority for continuing to invest in Mobile and for recognizing the importance of projects like this,” Mayor Cheriogotis said. “Strong partnerships with organizations like AHFA and our development in the private sector are essential to creating the kind of housing options we are going to need to grow our city and the local economy.