Mobile County approves development deal with Porchlight, including $500,000 forgivable loan for Ace Theater renovation

Mobile County Commissioners on April 28 approved a project development agreement with Porchlight that transfers multiple downtown properties to the developer, provides a 19-year, 11-month county lease for a renovated Ace Theater and commits the county to a $500,000 forgivable loan once the lease is executed. The vote was moved and seconded during the regular commission meeting.

The agreement calls for Porchlight to acquire the properties at 503 and 505 Concord Street and for the county to convey property at 501 and 507 Conquer Street to Porchlight. Porchlight will renovate the historic Ace Theater and, when renovations are finished, the county will lease the theater from Porchlight for use as a community theater, cultural arts and event space for 19 years and 11 months. Upon execution of the lease the county will provide a $500,000 forgivable loan as an incentive payment.

Why it matters: The deal is designed to use federal historic tax-credit financing to support a private rehabilitation of a historic downtown theater and to secure long-term public use of the venue. Under the agreement the county has a purchase option beginning in year six; if exercised the county would buy the property for an amount equal to the project debt plus an exit fee. Commission discussion made clear the amount of that exit fee and some related documents were still pending.

Commissioners and staff emphasized the transaction remains subject to final legal review and receipt of outstanding documents. The commission record shows a public notice was published on April 16, 2025. Staff said additional financial figures, including the exit fee tied to tax-credit financing, will be provided to the commissioners before final signatures are executed.

Discussion and remaining issues included the structure of the sale after historic tax-credit allocation and the unspecified “exit fee.” Commissioners asked staff to provide the fee figure prior to final execution. County staff said final documents were still arriving and that counsel would review them this week.

The commission moved the item with the requirement that the agreement remain subject to final legal review and the sharing of outstanding financial numbers with all three commissioners prior to signing. No vote tally was read into the record; the motion was moved and seconded and carried as part of the meeting’s consent agenda of approved items.

Next steps: County attorneys and staff will complete final legal review and circulate the outstanding figures to commissioners before the county signs the final agreements.