New construction activity across the Huntsville region surpassed $2.3 billion in 2025, underscoring the area’s continued growth across healthcare, residential, industrial, and infrastructure sectors.
According to building permits compiled by Report Construction, projects launched since Jan. 1 span Madison, Limestone, and Morgan counties, with the Huntsville Hospital Madison Street Tower expansion standing out as the single most expensive development to break ground during the year.
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The $150 million Huntsville Hospital expansion, led by Robins & Morton, anchors the year’s construction activity. A $112 million permit issued in February covers a major addition to the Madison Street Tower, adding 154,000 square feet of new clinical space to the hospital’s flagship campus.
Once completed, the five-story expansion will increase total patient capacity to 931 beds, up from 881, while converting dozens of existing rooms to single occupancy. The project includes a new Cardiothoracic Intensive Care Unit, Neuro ICU, expanded emergency vehicle access, and additional acute-care floors. Design work is being handled by Chapman Sisson Architects, which also designed the original tower in 2006.
Other large-scale nonresidential projects launched in 2025 include the Clearview Cancer Institute facility in Decatur, continued improvements at Huntsville International Airport, the Ditto Landing event center, and commercial developments at Redstone Gateway and Cummings Research Park.
Local governments issued thousands of permits throughout the year, reflecting broad-based development momentum:
Robins & Morton led all builders with 12 permits valued at $173.5 million, driven primarily by healthcare and airport-related work. In addition to the Huntsville Hospital expansion, the firm is constructing a $37 million cancer treatment facility in Decatur and multiple aviation-related projects at Huntsville International Airport.
On the residential side, Lennar Homes of Alabama topped the homebuilding market with 496 permits totaling $100.2 million, primarily tied to the Clift Farm development near U.S. 72. Davidson Homes and Woodland Homes followed closely, contributing hundreds of new homes across Huntsville, Madison, Athens, and surrounding communities.
Other notable builders include:
New construction continues to account for a significant share of housing activity in the metro area, particularly in fast-growing communities such as Town Madison, Clift Farm, Meridianville, and Owens Cross Roads. Home prices for new builds generally range from the low $200,000s to more than $500,000, reflecting a diverse mix of entry-level and higher-end housing.
Large mixed-use developments also remain a key part of the region’s long-term growth strategy. While not included in 2025 permit totals, the $375 million Front Row development near downtown Huntsville continued construction throughout the year after breaking ground earlier.
The scale and diversity of construction activity in 2025 highlight Huntsville’s role as one of Alabama’s fastest-growing economic centers. Healthcare investment, steady residential demand, aerospace-related development, and public infrastructure improvements continue to drive new projects, positioning the region for sustained growth into 2026 and beyond.
Originally reported by Scott Turner in AL.Com.
