Orange Beach is hitting the brakes on major new housing developments—at least for the next nine months. In an effort to get ahead of rapid growth, the city council has approved a moratorium on certain residential projects to allow time for a deep dive into how the city’s infrastructure can keep up.

“We all know that gone unchecked, we will either be catching up or we won’t be able to catch up,” Mayor Tony Kennon said at a recent city council meeting. “What we are trying to do is get ahead of the growth and evaluate the infrastructure.”

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For the next nine months, developers won’t be able to move forward with multi-family housing projects or new single-family subdivisions with three or more lots over 9,000 square feet. However, beachfront developments—like high-rise condos—are not affected.

Kennon acknowledged that it’s a tough call, balancing property rights and responsible growth.

“I think for every one of us, it’s a conundrum,” he said. “Most of us here are all about property rights and the right to build. But at the same time, as elected officials, our job is to make sure we maintain our quality of life and do the best we can to keep our taxes low.”

Orange Beach, like much of Baldwin County, is experiencing an unprecedented population boom. The county is already the fastest-growing in Alabama, and Orange Beach officials are seeing signs that the city’s roads, utilities, and schools are feeling the strain.

Kennon estimates that at the current pace of development, Orange Beach could see 7,000 new homes in just five years—which would require massive infrastructure investments.

“We are the ones who have to deal with it, and one of two things has to happen: there is a reduction in services or an increase in taxes,” Kennon said. “We want to keep everyone’s taxes low and maintain the level of services we provide.”

Officials will soon hire a consulting firm to conduct an infrastructure assessment to get a clearer picture of the city’s capacity for growth.

According to AL.com, Orange Beach is considering another bold move—shrinking its city limits through de-annexation. Some say this is an attempt to keep lower-income families out of the city’s school system, but city officials strongly deny that claim.

Kennon explained that the properties in question are vacant and that the de-annexation discussion was prompted by a proposed 1,700-home development far from the city center.

“The moratorium and de-annexation proposal go hand-in-hand,” he said. “Those added costs could include an expansion of the city’s sewer system, which could be $40 million to $60 million.”

Orange Beach isn’t alone in trying to get a handle on growth. Other Baldwin County cities, including Fairhope, Daphne, and Gulf Shores, have also put moratoriums or restrictions in place to slow development and prevent infrastructure overload.

Fairhope, for example, has put a pause on new apartments and subdivisions for the third time in nine years. Meanwhile, Foley has seen a 70% drop in new housing permits after implementing new regulations and impact fees.

The moratorium is set to last until mid-December, and by then, city officials hope to have a clearer plan for handling future growth.

Kennon insists that this move is about making smart, responsible decisions for Orange Beach—not politics, even with the upcoming municipal elections in August.

“They either want me or they don’t. But when it comes to growth on the north side, it struck a chord with us that we need to get a handle on what was coming.”

For now, the city is focused on protecting its quality of life while planning for the future—a future that undoubtedly includes growth but on Orange Beach’s terms.

Sherri Blevins is a writer for Mountain Valley News and a staff writer for Yellowhammer News. You may contact her at [email protected].