Economic Development Loan Fund (City of Mobile)

Economic Development Loan Fund (City of Mobile) is sponsored by City of Mobile, Alabama. A low-interest loan program to support development, job creation, and long-term economic growth across the city.

Senator Richard Shelby Downtown Economic Development Revolving Loan Fund : City of Mobile, Alabama Community Resource Guide pdf Individuals Seeking Financial Assistance HUD/ADECA Required Documents ADECA Disaster Recovery (Hurricanes Zeta and Sally) pdf MHA Residence Board Member Interest Form pdf Financial Empowerment Blueprint pdf Shelby Economic Development Fund Senator Richard Shelby Downtown Economic Development Revolving Loan Fund The City of Mobile is now accepting applications for the Senator Richard Shelby Downtown Economic Development Revolving Loan Fund, a $50 million financing program designed to support redevelopment, job creation, and long-term economic growth.

This federally funded revolving loan program was created through Congressionally Directed Spending in the Consolidated Appropriations Act of 2023 and awarded as a Community Project Funding allocation. The program is administered by the City of Mobile in coordination with the U.S. Department of Housing and Urban Development (HUD) and the office of U.S. Sen. Katie Britt.

Unlike a one-time grant program, this revolving loan fund is designed to create lasting impact. As loans are repaid, those funds are reinvested into new projects, allowing the program to support multiple rounds of economic development over time. Applicants must demonstrate the ability to carry out eligible economic development projects and comply with all applicable federal requirements.

While the program is titled the Downtown Economic Development Revolving Loan Fund, projects are not required to be located in Downtown Mobile. Eligibility is determined by federal guidelines and project criteria, not geography alone. Projects outside of downtown may be considered if they meet program requirements and advance economic development within the city.

Projects may be considered for funding in the following categories: Hotel Development and Renovation: Projects that expand or enhance lodging capacity, including new hotel construction and renovation of existing properties. Parking Infrastructure: Improvements such as new parking facilities, upgrades to existing garages or surface lots, ADA compliance improvements, safety enhancements, signage, and related infrastructure.

Higher Education and Workforce Development: Academic facilities, student housing, research centers, and workforce training projects developed in partnership with local higher education institutions. Commercial and Mixed-Use Development: Commercial projects, mixed-use developments, redevelopment of vacant or underutilized properties, façade improvements, streetscape enhancements, and projects that support small businesses.

All projects must comply with HUD regulations and will be subject to federal approval. Minimum loan amount: $1 million Interest rates: Below market rate; set on a project-specific basis Repayment terms: Structured based on project needs and federal guidelines Loan terms will vary depending on the scope and structure of each project.

Application Review Timeline With the exception of Higher Education Support Loans, initial review of applications will begin March 2, 2026. Due to the limited potential pool of applicants, Higher Education Support Loan applications will be reviewed on a rolling basis as they are received.

Application Review Process Applications will first be reviewed by the City of Mobile’s Neighborhood Development Department to confirm eligibility and compliance with federal requirements. Final recommendations will be evaluated by a review committee consisting of city staff and appointees from Mayor Spiro Cheriogotis and the Mobile City Council. All approved projects remain subject to final HUD review and approval.

Applicants must demonstrate the following: Ability to contract for federal funds, verified through an active SAM.

gov registration Ability to utilize funds within federally required timeframes Capacity and experience to manage the proposed project Capacity to manage federal funds in compliance with applicable regulations Verifiable documentation demonstrating the ability to repay loan funds Proposed collateral to secure the loan A Phase I Environmental Review meeting HUD standards under 24 CFR Part 58, if the project includes construction Failure to meet these criteria may result in disqualification.

Environmental Requirements for Construction Projects For construction-related proposals, no site work may begin after an application has been submitted unless and until written environmental clearance has been issued by the City. This includes, but is not limited to: If site work occurs after submission but prior to environmental clearance, the project may be deemed ineligible for federal funding.

The loan application can be viewed and downloaded here. pdf Applications must be submitted in triplicate to one of the following locations: Neighborhood Development Department 205 Government Street, South Tower, Suite 518 Neighborhood Development Department It is the applicant’s responsibility to verify delivery.

Questions and Additional Information For general questions about the application process, please contact: Neighborhood Development Department Email: Courtney. Phelion@CityofMobile. gov Please note: Questions regarding the likelihood of funding for a specific project proposal will not be answered until the application has been fully reviewed.

Community Resource Guide pdf Individuals Seeking Financial Assistance HUD/ADECA Required Documents ADECA Disaster Recovery (Hurricanes Zeta and Sally) pdf MHA Residence Board Member Interest Form pdf Financial Empowerment Blueprint pdf Shelby Economic Development Fund Submit your concerns or questions to City Hall. 2026 Business Licenses are due January 1, 2026 and delinquent after January 31, 2026.

15% penalty will be assessed beginning February 1st through February 28th. 30% penalty will be assessed beginning March 1st. Applicable interest will be assessed beginning February.

For additional information contact the City of Mobile, Revenue Department at (251) 208-7462.