Upper Alabama River Mitigation Bank Projects $40.7M in Phase 1 Revenue as Federal Approval Advances
The Upper Alabama River Mitigation Bank (UARMB) has completed its Revised Prospectus and entered formal Interagency Review Team engagement with the USACE Mobile District — the last major regulatory threshold before Mitigation Banking Instrument approval and first credit release.
Sponsored by Hollingsworth Farms, LLC and managed by The Mitigation Banking Group, Inc., UARMB represents one of the most substantively documented stream mitigation bank projects currently advancing through the USACE approval process in the Mobile District. What follows is a full account of the project’s financial structure, credit release mechanics, market demand, and development team.
Phase 1 Financial Structure
The May 2026 project proforma projects total Phase 1 revenue of approximately $40.7 million, with a net profit of approximately $36.9 million — exclusive of any Phase 2 credit revenue. Total projected development costs across both phases are approximately $3.8 million, producing a compelling return profile relative to capital deployed.
Phase 1 encompasses two sub-phases across 15,990 linear feet of restored channel:
| Sub-Phase | Linear Feet | Potential Credits | % of Phase 1 |
|---|---|---|---|
| Phase 1A | 7,240 LF | 84,276 | 49.0% |
| Phase 1B | 8,750 LF | 87,894 | 51.0% |
| Phase 1 Total | 15,990 LF | 172,170 | 100% |
Phase 2 encompasses an additional 168,000 potential credits and is not included in current proforma projections — representing substantial upside beyond Phase 1 performance.
Credit Release Mechanics
Upon USACE approval of the MBI, UARMB will be authorized to release an initial tranche of 34,434 credits — 20% of Phase 1A — at an opening price of $175 per credit, generating an estimated $6.0 million at first release. Subsequent releases are tied to Corps-approved construction and long-term monitoring milestones.
| Release Trigger | Credits Released | Price/Credit | Release Value |
|---|---|---|---|
| MBI Approval (Initial — 20% of 1A) | 34,434 | $175 | $6,025,950 |
| Phase 1A Earthwork Complete | 8,428 | $205 | $1,727,658 |
| Phase 1A First Bankfull Event | 16,855 | $205 | $3,455,316 |
| Phase 1B Earthwork Complete | 17,579 | $220 | $3,867,336 |
| Phase 1A 5-Year Stability | 8,428 | $235 | $1,980,486 |
| Phase 1A 7–10 Year Stability | 17,217 | $250 | $4,304,250 |
Key Milestone
MBI approval is the inflection point that converts UARMB from a development-stage asset into an active, revenue-generating mitigation bank. The first credit release of 34,434 credits at $175/credit generates approximately $6.0 million and opens the bank to the full permitted buyer market in the Upper Alabama River Watershed.
Documented Regional Market Demand
The bank’s Primary Service Area — the Upper Alabama River Watershed (HUC 03150201) — has a well-documented record of active stream credit transactions. The following purchases are recorded in RIBITS, the federal government’s regulatory mitigation tracking system:
| Buyer | Credits | Type | Date |
|---|---|---|---|
| Hyundai Transformers | 7,464 | Stream | Nov 2025 |
| Maxwell Air Force Base | 462 | Stream | Sep 2025 |
| Ferroglobe USA | 95 | Stream | Apr 2026 |
Forward pipeline demand in the watershed includes mining remediation projects, new mine permit requirements, federal infrastructure bridge replacement programs, and Alabama Department of Transportation work — all subject to compensatory mitigation requirements under Sections 401 and 404 of the Clean Water Act and Section 10 of the Rivers and Harbors Act.
"The Upper Alabama River Watershed has proven demand for stream credits. UARMB's 172,170-credit Phase 1 pipeline reflects years of regulatory groundwork and sound restoration science."
— Victoria Bruce, CEO, The Mitigation Banking Group, Inc.
Project Team
UARMB is supported by an experienced team of mitigation, engineering, and legal professionals with direct Mobile District experience.
Path to Approval
UARMB is currently advancing through the USACE Mobile District IRT review process toward approval of the Mitigation Banking Instrument, conservation easement, and final design plans. The Revised Prospectus — the document that formally initiates IRT engagement — has been completed and submitted. Upon MBI approval, the bank will be authorized to sell stream credits to permitted projects within its service area.
Full project documentation, including the Revised Prospectus and project proforma, is available on the UARMB project listing page.
About The Mitigation Banking Group, Inc.
Founded by Victoria K. Bruce, The Mitigation Banking Group, Inc. specializes in the development, sale, and marketing of mitigation banks and credits across the southeastern United States. The firm bridges the gap between buyers, sellers, and regulators, simplifying complex regulatory pathways with expertise and efficiency.
victoria@mitigationbankinginc.com | Office: 407.960.5787 | Cell: 407.808.2222
View the UARMB Project Listing →
