Birmingham's Smithfield Neighborhood Lands $50M HUD Choice Grant — What Homeowners Should Know

The U.S. Department of Housing and Urban Development (HUD) awarded the City of Birmingham and the Housing Authority of the Birmingham District a $50 million Choice Neighborhoods Implementation (CNI) grant to revitalize the historic Smithfield community, along with the adjoining College Hills and Graymont neighborhoods. The announcement was made on July 26, 2023, and the grant anchors a broader $282.9 million redevelopment effort that is now moving from planning into construction.

Choice Neighborhoods grants are designed to pair new affordable housing with investments that benefit the existing residents who stay put — including home repair funds, homeownership assistance, and neighborhood infrastructure upgrades. Here is what the project looks like and how homeowners can position themselves to benefit.

What the $50 Million Pays For

The CNI grant is the federal seed money for a plan that includes roughly 1,100 new and rehabilitated housing units across the three neighborhoods. Alongside the housing, the plan funds a new Smithfield public library, a workforce development center, an early-learning center, a senior living development, and mixed-use commercial space. City officials have also earmarked Choice dollars for tree planting, dedicated bike lanes, and — importantly for existing owners — renovation funding for homes and small businesses already in the footprint.

The $50 million HUD award is being layered with local, state, and private dollars to reach the full $282.9 million program budget. That leverage is why a single grant can support both new construction and help for people already on the block.

Timeline: Where the Project Stands in 2026

As of the city's most recent community update in late 2025, Birmingham is preparing to break ground on Phase One this spring (2026). Phase One is the redevelopment of the former Jefferson County Committee for Economic Opportunity (JCCEO) building. Phase Two — a multifamily housing development near A.H. Parker High School — is scheduled to begin construction in 2027.

Some longtime residents have voiced frustration with the pace, while city officials point to the engineering, architectural, and financing work that has to happen before a shovel hits dirt on a project of this size.

What This Means If You Already Own a Home Here

Choice Neighborhoods grants include dollars earmarked for existing homeowners — federal rules require the city to minimize displacement and keep long-term residents in place. Based on the approved plan, Smithfield, College Hills, and Graymont homeowners can expect access to:

• Home repair and rehabilitation grants or low-interest loans for roofs, HVAC, plumbing, and code-related repairs
• Down payment and homeownership assistance for renters in the target neighborhoods who want to buy
• Infrastructure upgrades (sidewalks, lighting, stormwater) that typically lift surrounding property values
• A new workforce development center and early-learning center that can boost household income and reduce childcare costs

Specific application windows, income limits, and award amounts for the homeowner repair and down-payment programs have not yet been published. They are expected to roll out alongside Phase One construction.

How to Get on the List

Homeowners in the 35204 and 35208 ZIP codes — the heart of the Choice footprint — should do three things now. First, contact the Housing Authority of the Birmingham District and ask to be added to the Choice Neighborhoods resident contact list so you receive program notices directly. Second, gather your deed, recent property tax bill, mortgage statement, and homeowner's insurance declarations page; these are standard documents for any repair-grant or down-payment application. Third, get a written repair estimate so you are ready to submit a scope of work the moment applications open.

Birmingham's District 3 council office and the Mayor's Office of Economic Opportunity are the primary points of contact for residents who want early information on homeowner programs tied to the grant.

Bottom Line

For homeowners already rooted in Smithfield, the most valuable pieces of this $50 million award are likely to be the home repair funds and homeownership assistance programs that accompany the headline construction. Getting on the city and Housing Authority's contact lists now is the simplest step to make sure you do not miss those application windows as they open over the next two years.