Real Estate Update: Transactions & Development
Miscellaneous
1. The residential units at the Denham Building, a mixed-use redevelopment at 1143 First Ave. S. in Parkside, were nearly two-thirds leased at press time, according to developer Hank Farmer of Atlanta-based Third & Urban. The project, which measures about 86,000 square feet, includes 59 loft apartments, as well as office and retail space. Construction was completed in August. Monday Night Brewing of Atlanta plans to open a 10,000-square-foot brew pub in the Denham Building’s outparcel building by spring 2020, Farmer said. The facility will be the brewery’s first taproom outside of Atlanta and first location with a full food menu. It will also feature a patio and event space.
2. B & G Restaurant LLC, owner of Trattoria ZaZa, a restaurant located in the Frank Nelson building at 207-A 20th St. N., received permission from the Birmingham City Council on Oct. 8 to install a two-sided, illuminated aluminum cabinet sign in front of the eatery. The sign will be installed at a height of 11 feet and extend 31 inches over the sidewalk.
3. On Oct. 1, the Birmingham City Council approved a manufacturer’s license for Redmont Distilling Company for use at its new distillery in the Continental Gin facility at 4550 Fifth Ave. S. in Avondale.
4. The Birmingham City Council on Oct. 8, approved the vacation of two pieces of city-owned property. The vacation of 4,000 square feet of the alley running parallel to and between Fifth Avenue North and Seventh Avenue North and perpendicular to and between 28th Street North and 29th Street North will allow the owner, Stephen Upton, to consolidate his property into one lot. The vacation of 2,000 square feet of the alley running parallel to and between 49th Street North and 50th Street North and perpendicular to and between First Avenue North and Division Avenue will allow New Sellers LLC to consolidate the property into one lot.
5. On Sept. 17, the Birmingham City Council approved the sale of two parcels in the city’s Daniel Payne Industrial Park. Alabama Power Company bought approximately 13 acres at a price of $37,400 per acre and an estimated total purchase price of $487,696. Cedar Real Estate Group IV LLC bought approximately 9.5 acres at $40,000 per acre and an estimated total purchase price of $382,000.
6. Bayer Properties was recognized in September by Urban Land Institute (ULI) Atlanta at the 25th annual ULI Awards for Excellence for its $70 million transformation of The Pizitz, an old department store at 120 19th St. N., according to a news release from the company. Bayer received the ULI Alabama Development of Excellence Award. This year’s awards were open to projects in Georgia, Alabama and eastern Tennessee. The ULI recognizes outstanding real estate projects or initiatives that emphasize the organization’s mission of providing leadership in the responsible use of land and in creating and sustaining thriving communities.
7. Harbert Retail represented the buyer in the recent purchase of an office building at 2121 First Ave. N. , according to a news release from the company. The property was sold by Springvest LLC and Garner Properties LLC for an undisclosed amount. Casey Howard, a broker and vice president at Harbert Retail, handled the transaction. Harbert Retail handled leasing and management of the property under the previous ownership and will continue to do for the new ownership. First Avenue North continues to have “an enormous amount of activity,” the release states. This means that the street, as well as Morris Avenue, will play an important part in the evolution of downtown, Howard said.
8. A designer and manufacturer of special trackwork for the railway industry, Railway Systems Nortrak, plans to make a capital investment of $2.1 million in its Birmingham manufacturing plant at 3930 Valley East Industrial Drive, according to Birmingham Business Alliance. The money will go toward installing a new steel fabricating machine, additional manufacturing line upgrades, a new plant forklift and a heavy-duty pickup truck for manufacturing machinery, equipment and tool transport. Nortrak has been in Birmingham since 1991 and has 160 employees locally. The company, which has other facilities in the United States, Canada and Mexico, said it sees Birmingham as central to its domestic business maintenance and expansion efforts. “This is a prime geographical location which allows for excellent logistics with five interstate highways and extensive railroad service,” Nortrak CEO Dave Millard said.
9. In late September, the board of commissioners of the Housing Authority of the Birmingham District approved agreements for the development and construction of a new mixed-use, mixed-income community to replace the aging Southtown Court housing project near St. Vincent’s Hospital, according to media reports. The HABD can now proceed with rezoning, design, contracting, site work and relocation of residents. Demolition is expected to begin in fall 2020.
10. Fixtures & Finishes, located at 2500 Second Ave. S., is celebrating its fourth anniversary in November.
Construction Update
11. Construction continues on a 17-story apartment building on the former site of The Break pool hall at the corner of 20th Street and 10th Avenue South in Five Points South. The developer is The Opus Group, based in Minnesota, in a joint venture with The McKinney Fund. Construction, which began in January, is slated for completion prior to the fall semester in 2020, according to an Opus Group spokesperson. The apartment building, which will be marketed primarily to UAB students, will include 199 units accommodating 522 residents, according to the developer’s website. Myefski Architects and Auburn-based Rabren General Contractors are working on the project. Creative License International is the interior designer.
12. Construction continues on Cortland Vesta, formerly called The Vesta, a luxury apartment development in the 2100 block of Highland Avenue. Harbert Realty Services is partnering on the project with Atlanta-based Cortland. The facility should be completed by 2020, according to a Cortland spokesperson. Cortland will manage the completed residential community, the spokesperson said. Work began in August 2017 on the complex, which will include 318 residential units, a rooftop pool, retail and a parking deck, according to the Harbert Realty Services website.
13. UAB expects to complete construction of a new $60 million residence hall on 10th Avenue South between 16th and 17th streets by June 2020, according to UAB Media Relations. The dorm will accommodate 720 undergraduates. At press time, construction was nearly 25% complete, and work on the elevated slabs and site utilities was in progress, according to UAB Media Relations.
14. Firehouse Ministries continues construction on its new homeless shelter at 626 Second Ave. N. The project should be complete in December. The organization is also raising money by selling bricks to donors for $100 each. The bricks will be part of a path leading into the new facility. For information, go to firehouseshelter.com.
15. Site work is underway for the new $19.2 million UAB Technology Innovation Center, to be located at 17th Street South and Ninth Avenue South, according to UAB Media Relations. Set to open in late 2020 or early 2021, the center, measuring 40,000 square feet, will house campus internet connectivity and technology infrastructure and will replace the Rust Computer Center.
16. A renovation of the old Snoozy’s Bookstore at 1321 10th Ave. S. to house the UAB Honors College should be complete by June 2020, according to UAB Media Relations. It will cost about $2.7 million to renovate the two-story, 11,000-square-foot building. The exterior grounds will be landscaped as a courtyard.
Openings/Closures
17. Recreational Equipment Inc. (REI), a retailer based in Kent, Wash., opened its new 20,000-square-foot location at The Summit on Oct. 4. REI sells sporting goods, camping gear, travel equipment and clothing. Athletic apparel retailer lululemon was scheduled to open in a new, expanded space at The Summit on Oct. 23. Also opening recently at The Summit were retailers SEE Eyewear, Peloton, Mobley & Sons and Lovesac.
18. The Sidewalk Film Center & Cinema — the long-awaited new headquarters of the Sidewalk Film Festival — is now fully open on the lower level of The Pizitz downtown, according to a spokesperson for the nonprofit. The facility includes two 95-seat screening rooms, classroom space and offices. The facility has its liquor license and is hosting regular screenings of films.
19. REV Birmingham is currently hosting special events and housing pop-up retailers in shipping containers on a parking lot at 1900 Second Ave. N. through Dec. 14. The project is called Upswing because Birmingham and its local retail are on the upswing, and because there will be hammock swings on the lot for use by visitors, according to a REV Birmingham news release. The retailers are Domestique Coffee, Hide & Hunter, Great Bear Wax Co., Urban Vintage Clothing and Magic City T-shirts. Events include The Big Pitch, REV Birmingham’s annual live business plan competition, on Saturday, Nov. 23., from 11 a.m. to 4 p.m. For more information, including business hours, go to revbirmingham.org and click on “Initiatives & Events.”
20. The University of Alabama at Birmingham hosted a grand opening and ribbon-cutting Sept. 25 to celebrate its new Reserve Officers Training Corps facility at 828 Eighth Court South. The new 12,800-square-foot training facility includes three classrooms, nine offices, an auditorium, storm shelter, supply and storage space, a cadet lounge/library, a cadre lounge, women’s and men’s locker rooms, a gym, and an engagement skills trainer room for simulated combat. Lt. Col. Karl Reuter, professor of military science, said that the gym has “functional fitness equipment geared toward the new Army Combat Fitness Test, and this is all next to a brand-new quarter-mile track to further work on their physical fitness.”
21. On Sept. 28, the Conn’s HomePlus retail chain opened its first two stores in the Birmingham area, one at 9530 Parkway East in Roebuck and one at 251 Lakeshore Parkway in Homewood. Both stores are in excess of 40,000 square feet. The chain, which has 130 stores in the South and West, bills itself as a place to buy “affordable home goods,” including furniture, mattresses, appliances, consumer electronics and home office products.
22. Acclaimed fashion designer Billy Reid, based in Florence, opened his first Birmingham retail location at Pepper Place in early October. At press time, Reid was scheduled to attend a grand opening event Oct. 24. Located at 2807 Second Ave. S., the store is Reid’s 13th in the United States. Measuring 2,600 square feet, the facility has high ceilings and will soon have a dedicated restaurant, according to a news release from Reid. The store will be “a lifestyle extension” of the designer’s brand, “bringing the soul and flavor of the South to life through fashion, music, food and art,” Reid said. He compared the vibe of the store with the annual Shindig festival he sponsors annually in The Shoals. The restaurant at the facility will play a part in numerous in-store events.