What’s driving Huntsville’s retail growth? Developers reveal local areas to watch
For North Alabama residents, Huntsville’s rapid growth has brought welcome additions of national retailers, restaurants, and shopping destinations. But as new developments continue to emerge across the city, older shopping centers are also finding opportunities to reinvent themselves.
From downtown Huntsville to the city’s northern and southern corridors, developers are responding to population growth, shifting consumer preferences and increased interest from national retailers.
As a third-generation member of the family-owned Samples Properties, Alex Samples, agent and Certified Commercial Investment Member (CCIM), has witnessed firsthand the transformation of Huntsville’s commercial real estate market.
According to Samples, the city’s traditional retail corridors remain attractive, but some of the greatest opportunities lie beyond them, in areas outside Athens, Meridianville, and other surrounding communities.
“You’ve got your main traffic corridors where retailers are trying to be. But some of our greatest opportunities are in our tertiary markets,” Samples said.
Major developments and growing residential areas such as Clift Farm along Highway 72, Hays Farm in South Huntsville, Town Madison, and MidCity continue to attract retailers and restaurants.
The arrival of additional national retailers also reflects Huntsville’s changing position in the commercial real estate market.
“We are seeing different vigor from national retailers because they saw us as a secondary market for the longest time,” Samples said.
Historically, Huntsville competed with larger regional markets such as Nashville and Birmingham for retailers’ attention. However, sustained population growth, employment opportunities and residential development have helped bring increased interest from national chains.
Among the city’s most significant retail developments is the planned North Village Town Center at Memorial Parkway and the Northern Bypass. The $240 million project, anchored by Target and Home Depot, is expected to bring more than 600,000 square feet of retail and restaurant space to North Huntsville.
The development represents a major investment in an area that Samples said lacked retail options in the past.
“North Huntsville and South Huntsville have been historically underserved,” Samples said.
He also pointed to continued growth along Winchester Road, the Greenbrier and Mooresville Road areas, and other developing corridors.
Elsewhere, Stadium Commons near Joe Davis Stadium is taking shape as a destination combining restaurants, shopping, and gathering spaces.
New opportunities for older shopping centers
While new developments are expanding Huntsville’s retail footprint, developers are also looking at opportunities within the city’s existing shopping centers.
MidCity District, developed on the former Madison Square Mall property, offers one of the city’s most recognizable examples of retail redevelopment. The transformation of the former mall site into a mixed-use district illustrates how aging retail properties can be reimagined.
Samples said existing properties can remain competitive through strategic improvements, including building system upgrades, facade renovations and better use of available land.
“Being strategic with what you’re doing with any excess land around there can really help with giving people an economical option,” Samples said.
That affordability can be particularly important for locally owned retailers and restaurants.
“Some of the most successful retail operations are homegrown. It gives it a sense of place,” Samples said.
One example is the Village on Whitesburg, located near the intersection of Whitesburg Drive and Airport Road. Samples pointed to improvements to the shopping center’s appearance, parking and tenant mix as an example of how an older property can be repositioned.
“That was an older building that just needed a little bit of love. The ownership reaped the benefits, the community reaped the benefits, and I think the tenancy did as well,” Samples said.
However, not every aging shopping center presents the same opportunity. Samples said the condition of a property, its location and the willingness of ownership to invest in improvements can all influence its potential for redevelopment.
Samples noted rising land prices, construction expenses, and interest rates have also made delivering new retail space increasingly challenging, particularly when developers must balance project costs with rents that local businesses can afford.
Established destinations continue to attract retailers
While newer developments are changing Huntsville’s retail landscape, established shopping destinations are continuing to attract new businesses.
Bridge Street Town Centre, which opened in November 2007, was acquired by Tanger in 2023.
Since the acquisition, Bridge Street has continued to attract new stores, including L.L.Bean, LEGO, and Rowan, demonstrating continued interest in established retail destinations.
Huntsville also welcomed Alabama’s first IKEA in February 2026 at University Place Shopping Center along University Drive, bringing another major national brand to the market.
Rather than building a traditional large-format store, IKEA entered Huntsville through a smaller-format location in an existing shopping center, highlighting another way established companies can accommodate changing retail concepts.
Outside investors see promise in Downtown Huntsville
Huntsville’s growth has also attracted developers from outside Alabama who see opportunities for continued investment.
Mitch Rutter, CEO of New York-based Essex Capital and co-developer of Front Row alongside Daniel Shields, said his company identified Huntsville after studying the growth patterns of cities such as Nashville, Denver, Atlanta, and Austin.
The company examined population growth, income, education levels, and economic diversification to identify markets positioned for long-term growth.
“Huntsville came up really showing all of these metrics with tremendous growth, but also with diversification … away from defense,” Rutter said.
Rutter also pointed to the city’s willingness to work with developers as a factor in the company’s decision to invest.
“Huntsville had the reputation of being a development-friendly city where the city itself, in order to spur its own growth plan, was very, very helpful in working with developers,” Rutter said.
Front Row, located across from the Von Braun Center in downtown Huntsville, marries a walkable environment with retail, residential and office space.
The development includes 545 residential units, approximately 40,000 square feet of Class A office space and 47,000 square feet of retail space. Four prominent locations are intended for food and beverage tenants, with additional space available for retail, wellness, and other concepts.
Rutter said the project was designed around the expectations of residents relocating from larger metropolitan areas.
“It’s clear that Huntsville and the downtown area had reached a point where it was ready for a live, work, play environment at a high level that would address the expectations of all of the people coming in from other cities that were living in a particular quality of apartment,” Rutter said.
According to Rutter, prospective tenants from cities in Louisiana, Tennessee, and Texas are reconsidering Huntsville because of downtown’s ongoing development, including Front Row and improvements surrounding the Von Braun Center.
The planned Riverwalk connections, pedestrian bridge, nearby hotels, and Von Braun Center expansion are also expected to increase activity in the area.
Although Rutter was not yet able to announce specific retail tenants, he said the development is attracting businesses that might not otherwise have considered opening in Huntsville.
For both local developers and outside investors, Huntsville’s retail market presents opportunities to meet growing demand while creating destinations that serve the surrounding community.
“The good thing about Huntsville right now is we’re not just responding to the growth anymore from a retail perspective. I think we’re helping shape it a little bit more,” Samples said.















