Birmingham City Council approves Carraway project incentives

The long-awaited redevelopment of the old Carraway Hospital site in Norwood took another step forward with a vote by the Birmingham City Council at its regular meeting for Tuesday, Dec. 29.

The council voted 7-0 to pass a resolution granting up to $13.2 million in incentives to the developer, Corporate Realty, which is carrying out the project using the name Northside Redevelopment L.L.C.

Incentives will include an initial cash incentive of $4.1 million for land acquisition and some site improvements and up to $9.1 million in incentives based on future tax revenues generated by the project, according to the text of the agenda item.

Measuring about 41.5 acres, the project site includes the former hospital complex and some adjoining parcels.

The developer is planning to create a mixed-use development with residential, hotel, retail, office and entertainment uses at an estimated cost of $340 million.

Mayor Randall Woodfin and the council’s Budget and Finance Committee submitted the item, and it was recommended by the city attorney.

Robert Simon, CEO and president of Corporate Realty, said in a statement after the vote that demolition will begin in the spring, and that the project will involve “many Birmingham and minority-owned companies.”

“For almost 3 years, our team at Corporate Realty has been working with the neighborhoods around Carraway and with the city to create a plan that will once again make this Northside property a shining star for Birmingham,” Simon said.

“We look forward to continuing to work with the community and with the city over the next few years to develop this site to its full potential and to see Northside become something that all of Birmingham will enjoy and take pride in,” he said.