AHFA Celebrates Construction Start for First Workforce Housing Tax Credit Development

A new chapter in workforce housing officially began as AHFA celebrated the groundbreaking of The Grove at South Jefferson, marking a major milestone for housing development in Athens and across the state.

The Grove at South Jefferson is the first Alabama Workforce Housing Tax Credit (WHTC) project to successfully close on bond financing and move into construction, signaling a significant advancement in Alabama’s efforts to expand attainable housing options for the state's workforce.

The development was made possible by combining AHFA funding awards, including:

• $21,000,000 in Tax‑Exempt Bonds

• $1,690,416 in Workforce Housing Tax Credits, generating $9,719,892 in equity

• $1,654,174 in Low‑Income Housing Tax Credits, resulting in $14,887,566 in equity

“AHFA is proud to play a role in this investment process and see this groundbreaking come to fruition,” said AHFA Multifamily Administrator David Young. “It demonstrates a real opportunity for families to live closer to work and for businesses that rely on a stable workforce.”

Stakeholders gathered to recognize the project as a catalyst for economic stability and community growth. The Grove at South Jefferson is expected to contribute to the vitality of the area by providing 120 affordable units of modern, accessible housing close to employment options for years to come.