Mosques have traditionally been perceived primarily as places of worship, although their potential as institutions for Islamic social development and community economic empowerment has received increasing scholarly attention. This study examines how mosques function as Islamic social development institutions and how religious resources are transformed into sustainable community economic empowerment in Probolinggo, Indonesia. Employing a qualitative multiple-site case study, the research was conducted from September to November 2025 across six mosques selected through maximum-variation purposive sampling. Data were collected through non-participant observations and semi-structured in-depth interviews involving 30 participants, including mosque administrators, active congregants, and surrounding residents or micro-entrepreneurs. Data were analyzed using an interactive qualitative approach involving data condensation, data display, conclusion drawing, thematic coding, cross-case comparison, and triangulation. The findings reveal four interconnected mechanisms underlying mosque-centered empowerment: religious resource mobilization, institutional conversion mechanisms, economic capability formation, and sustainable community empowerment. Religious legitimacy, congregational trust, charitable resources, volunteerism, and social networks become economically productive when mediated through transparent governance, community-based targeting, productive financing, mentoring, market linkage, and stakeholder collaboration. Based on these findings, the study proposes the Mosque-Centered Islamic Social Development (MCISD) Model as a meso-level institutional framework explaining how mosques convert religious and social capital into sustainable economic capabilities. The model extends Islamic social finance scholarship beyond instrument-centered approaches by emphasizing governance, capability development, and collaborative networks as foundations for long-term community resilience.