Housing demand cues developer to build new single-family homes

When developer Charley Duggan moved to Birmingham in 1995, Avondale had “great houses being totally neglected.” he said.

So Duggan started buying, renovating and renting them out, many of them to UAB medical students. “I was surprised the houses were sitting here unwanted,” he said.

However, Avondale homes are no longer unwanted, with houses in the area fetching as much as  $575,000 recently, according to Duggan.

And this sharp uptick — as well as higher prices in nearby Forest Park and Highland Park — created an opportunity for Duggan to build some new single-family housing in Avondale, mainly for empty nesters and professionals seeking to avoid long commutes.

Through his company, Avondale Turn LLC, Duggan is currently building 10 new upscale courtyard homes, called Cottages on Fifth, in the 3700 block of Fifth Avenue South.

Each eco-friendly, high-efficiency home will have three bedrooms and two baths on two floor with all-brick exteriors and high-end finishes.

Ranging in size from 1,718 square feet to 1,803 square, the houses also have garages and air-conditioned storage spaces.

The houses are listed from $399,000 to $449,000.

The first phase of construction should be complete Nov. 15, and the second phase by the end of 2018, according to Duggan.

They’re likely the first single-family homes built in Avondale in many years, Duggan said.

“There hasn’t been anything new over here in long time,” he said.

However, he said that’s about to change. “I know the demand is here,” Duggan said. “I’ve been approached about helping some other landowners work on some new development.”

For one thing, Avondale is “a vibrant, happening neighborhood” that is also appealing to people who want to avoid long commutes, according to Duggan.

The alternative is “sitting in your car on [Highway] 280 and waiting for traffic to clear when you could be at home playing with your kids and your dog,” he said.

Young professionals are also attracted by the ever-growing menu of culture and entertainment available in the neighborhood, according to the developer.

“Those people like to live close to parks and restaurants and libraries, all of which we have in Avondale,” he said.

And buying a new house can have some advantages over buying a older, historic home, according to Duggan.

“A 100-year-old house has issues, whether you want to admit it or not, and a lot of folks don’t want to take that chance,” he said.

For more information, go to cottagesonfifth.com.