As of the 2000 census, there were 260,283 people, 94,822 households and 64,099 families residing in the municipality. The population density was 59.2/km² (153.4/sq mi). There were 100,368 housing units at an average density of 59.1/sq mi (22.8/km²). The racial makeup of the municipality was 72.23% White, 5.84% African American, 7.28% Native American, 5.55% Asian, 0.93% Pacific Islander, 2.19% from other races, and 5.98% from two or more races. 5.69% were Hispanic or Latino of any race. 4.00% reported speaking Spanish at home, while 1.49% speak Tagalog and 1.44% Korean.
There were 94,822 households out of which 38.9% had children under the age of 18 living with them, 51.1% were married couples living together, 11.5% had a female householder with no husband present, and 32.4% were non-families. 23.4% of all households were made up of individuals and 3.8% had someone living alone who was 65 years of age or older. The average household size was 2.67 and the average family size was 3.19.
In the municipality the population was spread out with 29.1% under the age of 18, 9.6% from 18 to 24, 33.9% from 25 to 44, 21.9% from 45 to 64, and 5.5% who were 65 years of age or older. The median age was 32 years. For every 100 females there were 101.6 males. For every 100 females age 18 and over, there were 102.4 males.
The median income for a household in the municipality was $55,546, and the median income for a family was $63,682. Males had a median income of $41,267 versus $31,747 for females. The per capita income for the municipality was $25,287. About 5.1% of families and 7.3% of the population were below the poverty line, including 8.8% of those under the age of 18 and 6.4% of those 65 and older.
As of September 7, 2006, 94 languages were spoken by students in the Anchorage School District.
There is one numbered state highway in Anchorage; Alaska Route 1. In Anchorage and southward it is known as the Seward Highway, it connects Anchorage to the Kenai Peninsula. Northerly from Anchorage it is known as the Glenn Highway. There is no other road access to Anchorage. A portion of the Seward Highway, approximately 10 miles (20 km) long (known as the New Seward Highway), is built to freeway standards. The six-lane Glenn Highway carries commuter traffic to and from Eagle River, Chugiak, and the Matanuska Valley towns of Palmer and Wasilla. The highway reduces to four lanes north from Eagle River to the junction with the two-lane Parks Highway (Alaska Route 3), approximately midway between Wasilla and Palmer, where the Glenn reduces to a two-lane highway. Part of Alaska Route 1, as well as parts of other Alaska State Highways, are eligible for federal funding under the Interstate Highway System. Connect Anchorage is a $575 million plan for a limited-access highway link between the Glenn and Seward highways, to pass through the Fairview, Mountain View, and Midtown neighborhoods.
Anchorage has a bus system called People Mover, with a central hub in downtown Anchorage and satellite hubs at Dimond Center and Muldoon Mall. The People Mover provides carpool organization services. The public paratransit service known as AnchorRides provides point-to-point accessible transportation services to seniors and those who experience disabilities.
The Alaska Railroad offers year-round freight and passenger service along the length of its rail system from Seward (the southern terminus of the system) to Fairbanks (the northern terminus of the system), although passenger service is less frequent in winter than in summer, and some passenger terminals are not serviced in winter.Passenger terminals exist at Talkeetna, Denali National Park, Fairbanks, and other places. These communities are also served by bus line from Anchorage. The Ship Creek Shuttle connects downtown with the Ship Creek area, including stops at the Alaska Railroad Depot.
The Ted Stevens Anchorage International Airport, six miles (10 km) South from downtown Anchorage, is the airline hub for the state, served by many national and international airlines, including Seattle-based Alaska Airlines as well as a many intrastate airlines and charter air services. The airport is the primary international air freight gateway in the nation, by weight. Twenty-six percent of the tonnage of U.S. international air freight moves through Anchorage. Next to Ted Stevens Anchorage International Airport is Lake Hood Seaplane Base, the largest Seaplane Base in the world. Merrill Field, a general aviation airport on the edge of downtown, was the 86th-busiest airport in the nation in 2006.
Anchorage also is currently doing a feasibility study on a commuter rail and light rail system. Anchorage's highway congestion is a problem today. For the commuter rail system, Anchorage would use existing Alaska Railroad tracks to provide service to Whittier, Palmer, Seward, Wasilla, and Eagle River as well as other small suburbs of Anchorage. Since the Alaska Railroad line is already very frequently used by tourist trains and freight trains, the Alaska Railroad would have to extend all tracks in the Anchorage area into a double or even triple track system to accommodate all of the traffic. The light rail system would go throughout the downtown Anchorage area, providing links to its current PeopleMover bus routes, the international airport, the Alaska Railroad Depot, and other important commercial centers and tourist attractions in Anchorage.