Real Estate Update: January 2021

Miscellaneous

1. The Birmingham City Council approved an amended incentives agreement Dec. 2 for the developers of 20 Midtown, a multiphase, mixed-use development located at Third Avenue South and 20th Street South. The agreement includes $11,676,369 in incentives through 2037. Developer Dick Schmalz told council members the total includes almost $6.5 million in incentives that were previously approved for the first phase of the development. The incentives are payable from future sales tax the project generates. Publix opened at 20 Midtown in 2017, and two phases of the project have been built so far.

2. Owner Steve Gilmer is moving What’s on Second, his antique and pop-culture collectibles shop, from the Loft District downtown to Five Points South, according to Birmingham Business Journal. His new storefront, at 1101 20th St. S., is housed in the 1920s-era Spanish Stores building and should be open in early January, the BBJ reports.

3. UAB is planning to build a new Science and Engineering Complex costing $78.5 million. There will be 145,784 square feet of space for teaching, laboratories and offices, according to UAB Media Relations. The new complex will replace the current Education Building on 14th Street South between University Boulevard and 10th Avenue South. At press time, a notice to proceed was expected in January.

4. Bayer Properties has hired Meredith Calhoun of Tessa Commercial Real Estate to oversee office leasing at The Hardwick, a 62,000-square-foot adaptive reuse project located at 2308 First Ave. S. downtown, according to a Bayer news release. The 110-year-old former steel fabrication plant at the eastern end of the Rotary Trail will become a mixed-use community hub with office, retail and restaurant spaces. Bayer expects to start construction this summer.

5. Cushman & Wakefield/EGS Commercial Real Estate Inc. announced in November that it has entered into a long-term lease agreement with Ferguson Enterprises — a distributor of residential and commercial plumbing supplies — and will develop a build-to-suit warehouse for the company in Avondale Commerce Park at 101 39th St. N. The facility will measure about 67,000 square feet, according to a news release from Cushman & Wakefield. The 12-month construction project is slated to begin in December 2020, pending the issuance of permits and approvals.

6. On Dec. 1, the Birmingham City Council passed a resolution accepting a bid from Taylor & Miree Construction of Birmingham to build the West Terminus Station for the BX Birmingham Express at 4802 Ave. W. The Express is the city’s planned bus rapid transit system. The contractor’s lump sum bid — the lowest and best of the four bids submitted, according to the agenda item — was just over $3,253,000. The council also authorized the mayor to enter into a contract with Taylor & Miree. The item was submitted by the mayor and recommended by the city’s director of capital projects.

7. The Jefferson County Community Service Fund recently donated $5,000 to efforts to create the Village Creek Linear Park. On Nov. 10, the Birmingham City Council passed an ordinance to amend the city’s capital fund budget for Fiscal Year 2021 and appropriate the money for the park.

8. The Birmingham City Council took another step in the Belview Heights Neighborhood Gateway Beautification Project. On Nov. 10, members voted to amend a resolution passed in July authorizing the city to use its right of eminent domain to acquire property and a temporary construction easement at 940 Pike Road. The amendment increases the acreage of the right of way to be acquired.

9. Birmingham developer Orchestra Partners will soon renovate several vintage warehouses west of Railroad Park in a mixed-use project called Urban Supply. Developers told Iron City Ink construction is set to begin in early 2021 and that they have been talking to prospective tenants. Orchestra Partners purchased buildings between 14th Street South and 12th Street South and between First Avenue South and Second Avenue South, alongside or west of Good People Brewing Co. The buildings will be turned into roughly 100,000 square feet of commercial space housing retailers, restaurants and fitness providers designed to serve the needs of UAB students and the growing number of people living in Parkside. There will also be open areas and study spots in an eco-minded space defined by distinctive architecture and native plantings.

New Construction

10. Demolition work began in November on the long-vacant Century Plaza, a regional mall at Crestwood and Oporto-Madrid boulevards that closed in 2009. The site will be redeveloped as an Amazon package delivery center. An Atlanta developer bought the property recently for about $12 million, according to media reports.

11. Demolition began recently at the site of the former Trinity Medical Center at 800 Montclair Road in Crestwood, according to Birmingham Business Journal. This will make way for the new mixed-use Arbor Terrace development from Birmingham Metro LLC. The $200 million project will include offices, condominiums, retail and restaurants. The Birmingham City Council changed the zoning for the site in September and resolved some Q conditions on the zoning in October.

Construction Update

12. Work continues on Mercantile on Morris, a mixed-use project downtown from Orchestra Partners, a real estate redevelopment firm. The project will feature 14,000 square feet of commercial space and 47 residential condo units. Located at 2212 Morris Ave., the project will feature access from both First Avenue North and Morris Avenue, with a pedestrian plaza with storefronts connecting the two thoroughfares. Retail Specialists is currently pre-leasing the development.

13. Work is underway on a project in Avondale from The Dobbins Group, a Birmingham real estate investment firm. The firm is investing $16.5 million in a 96-unit multifamily residential project at 4211 and 4241 Third Ave. S. The project will consist of two buildings containing 48 units each and should be completed by fall 2021. Arlington Construction Services will serve as general contractor.

14. Construction continues on Lakeview Green, a large mixed-use project located at 2901 Fourth Ave. S. in the Lakeview area. The development is at the site of the former Davis School, about a block away from Pepper Place. The project will include residential units, retail, restaurants and a large public green space.

15. Work continues on an 18-month expansion and renovation project at Legacy Arena. The facility was closed for construction beginning April 2. Expected completion is set for early November, according to a BJCC spokesperson. Demolition and infrastructure work are taking place inside the arena and a steel framework has been erected for the addition. Exterior renovations include modifications and alterations to the building envelope and loading docks as well as sitework, landscaping and hardscaping.

16. Construction is underway at Protective Stadium, an open-air facility at the BJCC. Recent developments include the construction of the press box and the steel structure for the scoreboard, and there has been substantial work on the suites, concessions and seating areas, according to a BJCC spokesperson. The facility should be finished in time for UAB Blazer football in fall 2021, the spokesperson said.

17. The new $19.2 million UAB Technology Innovation Center is under construction at 17th Street South and Ninth Avenue South. Construction is 90% complete. The center, measuring 40,000 square feet, will house campus internet connectivity and technology infrastructure and is set for completion in March, according to UAB Media Relations.

18. Construction was completed recently on the new program services campus for United Way of Central Alabama, located at 3600 Eighth Ave. S. in Avondale. The nonprofit renovated the former Overlook Building at 3620 Eighth Ave. S. adjacent to the UWCA headquarters. The UWCA purchased the 35,000-square-foot building, formerly the offices of Ram Tool, in 2018. Stewart/Perry was the general contractor. Studio 2H Design was the architect on the project.

19. Renovation work continues at the historic Carver Theatre, now known as the Carver Performing Arts Center, at 1631 Fourth Ave. N. downtown. The former movie house, built in 1935, is also home to the Alabama Jazz Hall of Fame, which manages the facility. Studio 2HDesign is the architect and interior designer on the project, and Stone Building is the general contractor.

20. Construction of Phase 1 of the new $60 million Residence Hall 2020 at UAB on 10th Avenue South between 16th and 17th Streets is about 98% and was to be completed in December, according to UAB Media Relations. The dorm will accommodate 720 undergraduates.

21. Construction continues for a new $25 million arts campus for Red Mountain Theatre Company. The campus is located at 1600 Third Ave. S. adjacent to Regions Field. LIVE Design Group are the architects. Brasfield & Gorrie is the general contractor. Harbert Realty Services will manage the project. Construction should be complete in summer 2021.

22. In the fall, UAB completed the interior renovation of the laboratories on the eighth and ninth floors in the McCallum Basic Science Building at 1918 University Blvd., as well as the installation of metal panels on the exterior of the eighth and ninth floors. Installation of metal panels on the exterior of floors two through seven is underway and is currently 60% complete, according to UAB Media Relations.

Openings/Closures

23. The HIVE restaurant and bar, located at 1006 20th St. S. in Five Points South, opened Nov. 18. The HIVE has collaborated with New Belgium Brewing for Birmingham’s first taproom from a national brewery, according to a news release from developer Orchestra Partners. The collaboration includes a rotating selection of seasonal and limited release beers and food pairings. The HIVE includes multiple experiences including rooftop access, the taproom and a bar.

24. Construction is completed on Ascend Five Points South, a 17-story apartment building at the corner of 20th Street and 10th Avenue South in Five Points South, according to a news release from The Opus Group, the Minnesota-based developer. The development, which is marketed toward UAB students, includes 198 residential units and 520 beds and offers such amenities as a fitness center, spa, study rooms and lounges, coffee bar and a clubroom with pool tables. Retail space is available at street level.