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OFFICEMARKETSURVEY
2020
BIRMINGHAM, AL
65
65
20/59
280
31
459
11
SUBMARKET SF OCCUPANCY RENT RATE
(PSF)
Downtown 7.9M 87.18% $20.11
Midtown 5.2M 95.55% $22.41
Highway 280/I-459
6.5M 82.41% $21.24
Southern/I-65 4.8M 91.50% $18.26
Vulcan/Oxmoor 2.7M 73.15% $16.61
65
65
20/59
280
31
459
11
OFFICE OVERVIEW
Contents
BIRMINGHAM OFFICE MARKET OVERVIEW
Birmingham Office Market Overview
Downtown
Midtown
Highway 280 | I-459
Southern | I-65
Vulcan | Oxmoor
Office Services
Property Management
Corporate Services
Graham Transactions
Availabilities
Graham & Co
4
6
10
14
18
22
28
30
32
36
37
42
Birmingham’s Office Market had another
active year with overall occupancy of
87%, and the overall rental rate increasing
to $20.14, up 0.84% from the previous
year. Three of Birmingham’s five office
submarkets, CBD, Midtown, and Vulcan/
Oxmoor posted positive absorption and
an uptick in rental rates.
There was a continued trend for large
office product trading with 16 sales
greater than 25,000 sf, representing more
than $189 million in transaction values.
The largest sale transaction of the year
was in Liberty Park, a 200,000 sf office
4 Graham & Co 2020 Office Market Survey | Birmingham, AL
MULTI-TENANT: OVERALL:2019 AVERAGES:
building fully leased to Encompass Health
which offered 10 plus years remaining
on its lease at the time it traded. The
sale price was an impressive $372.50
psf. 2019 saw several other class-A
buildings trade including Lakeshore Park
Plaza in the Midtown submarket, 1800 &
1900 International Park in the Highway
280/I-459 submarket, and the Land Title
Building in the CBD, continuing a trend
of class-A office sales the Birmingham
market has experienced during the last
several years.
FUTURE
More activity is anticipated in the
CBD and the suburban submarkets.
Opportunity Zone tax incentives,
urban planning and connectivity, UAB’s
continued growth, and employers adding
more than 10,000 jobs in Birmingham
during 2019 are indicators for growth
and positive momentum in the coming
years.
[ 27.2 MILLION SF TOTAL ]SINGLE TENANT 8,989,236 SF MULTI-TENANT 18,232,043 SF
Occupancy 80.61%
Rate PSF $20.88
87.01%
$20.14
OVERALL OCCUPANCY RENT RATE
0.99% 0.84%87.01% $20.14
PERCENT PERCENT
PER SF
5
MULTI-TENANT:MULTI-TENANT: OVERALL:OVERALL: Occupancy 80.00%
Rate PSF $20.91
87.18%
$20.11
DOWNTOWN MARKET
6 Graham & Co 2020 Office Market Survey | Birmingham, AL
OVERALL:OVERALL:
Birmingham’s Central Business District posted 65,855 sf of positive absorption in 2019. Overall occupancy levels increased by 0.83% to 87.18%. Overall rental rates increased to $20.11 psf, an almost 1% increase over the prior year.
In 2019, Shipt leased 60,000 sf for its expanded CBD footprint, and in doing so created changes to Birmingham’s skyline. Wells Fargo Tower became Shipt Tower and will soon display its signage, signaling a change for Birmingham which is becoming a more tech oriented “hot spot”. The CBD had several other significant lease transactions including: PNC Bank’s lease of 15,309 sf at One Federal Place; Wells Fargo’s lease of 15,000 sf at 1901 Sixth Ave (formerly Harbert Plaza), and several large renewals including Maynard Cooper’s renewal of 118,518 sf at 1901 Sixth Ave and Burr & Forman’s renewal of 104,514 sf at Shipt Tower.
The CBD submarket has much to offer potential office tenants and owners. With walkability to a multitude of quality restaurants and entertainment venues, the CBD is more appealing than ever to those seeking an urban lifestyle.
[ 7.9 MILLION SF TOTAL ]SINGLE TENANT 2,845,200 SF
MULTI-TENANT 5,080,545 SF
1st Ave N
1st Ave N
3rd Ave N
8th Ave N
6th Ave N
3rd Ave S
3rd Ave S
8th Ave S
Messer - Airport H
wy
College
(UAB) Highland
Ave
Court
House
FivePoints
20th St
19th St
21st St
Elton B Stephens Expwy
31280
31
OVERALL OCCUPANCY RENT RATE
0.83% 0.97%87.18% $20.11
PERCENT PERCENT
PER SF
7
BUILDING SF TENANT RENEWAL/LEASE
1901 Sixth Ave 118,518 Maynard Cooper Renewal
Wells Fargo/Shipt Tower 104,514 Burr & Forman, LLP Renewal
Wells Fargo/Shipt Tower 60,038 Shipt New
Renasant Place 19,879 Bressler, Amery & Ross PC Renewal
Intermark Building 18,277 Bridgeworth Financial New
One Federal Place 15,425 Butler Snow, LLP Renewal
One Federal Place 15,309 PNC Bank, National Association New
1901 Sixth Ave 15,000 Wells Fargo Bank, N.A. New
Concord Center 13,699 EGS Commercial Real Estate, Inc. New
Renasant Place 10,852 Pittman, Dutton & Hellums, PC Renewal
1901 Sixth Ave 10,052 Waller Lansden Renewal
Financial Center 9,472 Spotswood, Sansom & Sansbury, LLC New
Financial Center 9,158 Campbell Guin, LLC Renewal/Expansion
Martin Biscuit 8,966 Hearst Communications Renewal/Expansion
Financial Center 7,894 Aerotek, Inc. New
101 Parkside 7,300 Knight Eady Sports Group, LLC New
Renasant Place 6,810 Hall Booth Smith, P.C. New
212 20th Street North 6,660 Sigao Studios New
SAKS Building 6,571 Watkins & Eager, PLLC New
The Plaza 5,785 General Services Administration New
Financial Center 5,736 Level 3 Communications, LLC Renewal
SIGNIFICANT LEASES - DOWNTOWN MARKET
FINANCIAL CENTERMatt Gilchrist and Sam Carroll of Graham & Co represented the Landlord in its lease of 9,472 SF to Spotswood, Sansom & Sansbury, LLC in this class-A office located in the heart of the CBD
8 Graham & Co 2020 Office Market Survey | Birmingham, AL
DATE BUILDING SF PRICE PSF BUYER
3/4 213 24th St. N. 9,000 $420,000 $46.67 Rasoli Property, LLC
4/26 2007 3rd Ave. N. 9,300 $800,000 $86.02 Nakatomi Trading Co., LLC
4/30 2427 1st Ave. N. #101 7,800 $340,000 $43.59 Emily Summerville Hair & Makeup, LLC
6/2 2317 3rd Avenue North 28,000 $2,588,500 $92.45 The Bird's Nest, LLC
6/6 618 19th Street North 19,978 $2,062,000 $103.21 Fast Dog, LLC
8/5 1820 3rd Ave. N. #401 6,500 $1,200,000 $184.62 JBL Real Estate Holdings, LLC
9/4 2214 2nd Avenue N. 8,632 $1,625,000 $188.25 Hiatus Holdings, LLC
9/20 2121 1st Avenue N. 13,500 $2,200,000 $162.96 2121 First Avenue, LLC
9/26 101 12th Street South 13,174 $1,095,000 $83.12 Matthew J. Hogan
10/16 3710 4th Avenue S 7,400 $865,000 $116.89 Blue Marlin Properties, LLC
12/18 600 20th Street North (Land Title Building)
26,116 $3,300,000 $126.36 Land Title Building, LLC
SIGNIFICANT SALES - DOWNTOWN MARKET
SHIPT TOWERShipt leased 60,038 sf for its second location in this class-A office building. Its logo will occupy signage on two prominent buildings in Birmingham’s skyline.
1901 SIXTH AVE Dan Lovell of Graham & Co represented Wells Fargo in its lease of 15,000 sf in this newly re-branded class-A office tower.
9
600 UNIVERSITY PARK PLACE
MULTI-TENANT:MULTI-TENANT: OVERALL:OVERALL:
MIDTOWN MARKET
Occupancy 94.58%
Rate PSF $23.08
95.55%
$22.41
10 Graham & Co 2020 Office Market Survey | Birmingham, AL
OVERALL:OVERALL:
Midtown continued in 2019 as Birmingham’s strongest submarket, posting 40,070 sf of positive absorption. Overall occupancy reached 95.55%, topping the previous year with an increase of 0.77%. Overall rental rates increased by 1.52% to $22.41 psf, and large blocks of space continue to be difficult to find.
Berkley Industrial Comp (formerly American Mining) leased 16,000 sf at Brookwood Metroplex I for the largest significant lease in the submarket. Sales activity included Lakeshore Park Plaza, a 196,871 sf, class-A office building which sold to an out-of-state investment group for $30,500,000 ($154.92 psf). Next door, 2200 Lakeshore also traded. The 39,922 sf office building sold to a local investment group for $8,250,000 ($206.65 psf).
The Midtown submarket continues to be one of the most desirable locations with easy access to the city center and close proximity to the Over-the-Mountain neighborhoods and amenities.
[ 5.2 MILLION SF TOTAL ]SINGLE TENANT 935,050 SF MULTI-TENANT 4,273,482 SF
Columbiana
Lakeshore P
kwy
HOMEWOOD
VESTAVIA
MOUNTAINBROOKFive
Points
WildwoodCentre
BrookwoodMall
SamfordUniv
Green Springs Lakeshore Dr
Montev
allo
Rd
Oxmoor Rd Valley Ave
Mon
teva
llo R
d S
W
Clairmont Ave
1st Ave N
3rd Ave S
8th Ave S Montclair Rd
Cahaba Rd
20th St
HighlandAve
Alford Ave
Shades Crest Rd
W O
xmoo
r Rd
8th Ave N
Hwy
31
11
280
OVERALL OCCUPANCY RENT RATE
0.77% 1.52%95.55% $22.41
PERCENT PERCENT
PER SF
11
BUILDING SF TENANT RENEWAL/LEASE
Metroplex I 16,000 Berkley Industrial Comp (Formerly American Mining) New
600 University Park Place 13,814 Warren Averett Companies, LLC Renewal/Expansion
2200 Magnolia Avenue 11,987 Bayer Properties New
Lakeshore Park Plaza 10,726 SSOE, Inc. New
Synovus Center 9,517 Borland Benefield New
1900 Crestwood Boulevard 9,193 ATS Holdings Renewal/Expansion
Lakeshore Park Plaza 8,726 Prepaid Technologies, Inc. New
790 Montclair Road 7,894 The Sleep Disorder Center of Alabama Renewal
500 Mtn Brook Office Park 7,177 Birmingham Hematology & Alabama Oncology Associates, LLC Renewal/Expansion
Lakeshore Park Plaza 6,777 Law Offices of Jeff W. Parmer Renewal/Expansion
3004-3008 Clairmont Avenue South
5,800 Martin Advertising, Inc. New
Metroplex 5,400 Assurant New
SIGNIFICANT LEASES - MIDTOWN MARKET
LAKESHORE PARK PLAZAThis 196,871 sf class-A office building sold for $30,500,000 to an out-of-state investment group.
12 Graham & Co 2020 Office Market Survey | Birmingham, AL
DATE BUILDING SF PRICE PSF BUYER
2/1 2130 Highland Ave. S. 20,000 $1,270,000 $63.50 2130 Highland Avenue South, LLC
3/18 2614 19th Street South (Former Western HQ)
7,492 $1,520,000 $202.88 19th Street South, LLC
3/28 3122 Green Valley Rd./3125 Autumn Ct.
1,400 $525,000 $375.00 Bruno Family, LLC
4/5 408 Hollywood Blvd. 3,062 $450,000 $146.96 408 Hollywood, LLC
4/18 1020 26th St. S. 9,731 $3,597,706 $369.72 SSPS Partners, LLC
4/30 1771 Independence Ct. 2,886 $1,064,000 $368.68 PrimeHealth Properties Trust, LLC
6/7 2200 Lakeshore Dr 39,922 $8,250,000 $206.65 Main Street Holding Co, LLC
6/14 3490 Independence Dr. 21,072 $4,500,000 $213.55 Eloise Properties, LLC
7/8 2121 Highland Ave. S. 20,000 $5,059,402 $252.97 Progress Bank & Trust
7/31 2204 Lakeshore Drive (Lakeshore Park Plaza)
196,871 $30,450,000 $154.67Northridge East Apartments, LLC
Northridge West Apartments, LLC
9/26 2116 Rocky Ridge Road 3,438 $525,000 $152.71 Sones Properties, LLC
10/3 3928 Montclair Road 22,684 $3,000,000 $132.25 Jacpur, LLC
11/19 3415 Independence Plaza (Homewood Office Plaza)
17,000 $3,615,000 $212.65 Holy Trinity Homewood, LLC
12/18 2145-2151 Highland Avenue (One Highland Place)
64,524 $7,193,400 $111.48Steriling Capital VI
One Highland Place, LLC
SIGNIFICANT SALES - MIDTOWN MARKET
HOMEWOOD OFFICE PLAZADan Lovell and Sam Carroll of Graham & Co represented the seller in its disposition of this 17,000 sf Homewood office building. It sold to a local investment group for $3,615,000.
13
MEDICAL OFFICE BUILDING3570 Grandview Parkway
MULTI-TENANT:MULTI-TENANT: OVERALL:OVERALL:
HIGHWAY 280 | I-459 MARKET
Occupancy 76.49%
Rate PSF $21.89
82.41%
$21.24
14 Graham & Co 2020 Office Market Survey | Birmingham, AL
OVERALL:OVERALL:
The Highway 280/I-459 submarket continues to have strong appeal, and it had more significant leasing than any other submarket in terms of number of transactions in 2019. Several opportunities are present for office users seeking larger blocks of space.
The -330,290 sf of absorption in 2019 was largely the result of Blue Cross Blue Shield of Alabama vacating its space totaling 135,427 sf at Meadow Brook 500 along with Southern Company relocating to the Colonnade Red Roofs which left approximately 450,000 sf of space vacant at Inverness Center. The overall occupancy rate dipped to 82.41%. The overall rental rate increased, however, to $21.24 psf, a slight increase of 0.78% from the previous year.
The largest Birmingham office sale transaction was located at 9001 Liberty Park, indicating investor interest in the Highway 280/I-459 submarket continued in 2019. The 200,000 sf, class-A office building, home to Encompass Health, traded for a very healthy $74,500,000 ($372.50 psf). Encompass had a long-term lease in place at the time of the sale. The submarket had several other office sales in 2019 including that of 1800 & 1900 International Park, two class-A office buildings totaling 211,142 sf. These buildings were purchased by a local investor for $34,500,000 ($163.40 psf).
Confidence in this area among investors and office users continues to be strong. Expect the Highway 280/I-459 submarket to pick up further momentum and vacancy rates to decline in the coming years.
[ 6.5 MILLION SF TOTAL ]SINGLE TENANT 1,642,251 SF
MULTI-TENANT 4,880,411 SF
Caha
ba V
alley
Rd
Over
ton
Alta
dena
R
d
Valleyd
ale R
d
Lakeshore
Dr
Old Rocky Ridg
e Rd
Rd
Rock
yRi
dge
Rd
Cald
wel
lM
illRd
CahabaHeights
InvernessPkwy
VESTAVIA
HOOVER
InvernessMeadow
Brook
Oak Mountain State Park
Liberty Park
Summit
ColonnadeBrookHighland
Grandview
119
1714
280
280
OVERALL OCCUPANCY RENT RATE
5.79% 0.78%82.41% $21.24
PERCENT PERCENT
PER SF
15
GRANDVIEW IISam Carroll and Matt Gilchrist of Graham & Co represented the Landlord in its lease of 16,701 sf to Grandview Medical Center in this class-A office building located just off Highway 280.
1800 & 1900 INTERNATIONAL PARKSam Carroll & Matt Gilchrist of Graham & Co represented a local investment group in its acquisition of two buildings within International Park. The 211,142 sf class-A office buildings sold for $34,500,000.
BUILDING SF TENANT RENEWAL/LEASE
2600 Meadow Brook 74,424 Allstate Renewal
Federal Reserve @ Liberty
Park48,968 General Services Administration New
Grandview II 16,701 Grandview Medical Center New
Meadow Brook 1200 16,605 Momentum Telecom New
10 Inverness Center 16,000 J. Smith Lanier Renewal
100 Grandview Place 15,866 Merrill Lynch Renewal
3800 Colonnade 14,069 IllumiCare New
3700 Colonnade 13,441 RXBenefits, Inc. Expansion
1100 Lee Branch Lane 13,200 United Healthcare Group Renewal
Meadow Brook 100 12,960 ALDOT Renewal
10 Inverness Center 12,017 T-Mobile South, LLC Short Renewal
3800 Colonnade 10,351 Nike Renewal
1500 Urban Center 9,499 Wilson, Elser, Moskowitz, Edelman & Dicker Sublease
361 Summit Boulevard 9,403 Gaines, Gault, Hendrix, PC New
1400 Urban Center 8,450 O'Neal Manufacturing New
Meadow Brook 2700 8,207 Standridge Logistics & Consulting, LLC Renewal/Expansion
3800 Colonnade 7,216 Goodrich Management Renewal
31 Inverness Center 6,364 Ameriprise Financial Services New
Grandview I 6,210 Alabama Neurological Surgery and Spine New
3800 Colonnade 5,470 Jenkon Renewal
1000 Urban Center 5,446 Pathway Health New
Grandview II 5,020 Wettermark & Keith, LLC Short Term Extension
SIGNIFICANT LEASES - HIGHWAY 280 | I-459 MARKET
16 Graham & Co 2020 Office Market Survey | Birmingham, AL
DATE BUILDING SF PRICE PSF BUYER
1/14 200 Corporate Ridge Dr 4,456 $3,200,000 $718.13 Legacy Community Federal Credit Union
2/191800 & 1900 International Park (2 Buildings)
211,142 $34,500,000 $163.40 IP Birmingham II, LLC
2/8 1300 Corporate Dr 7,000 $1,000,000 $142.86 Snider Therapy Centers Inc.
3/6 2300 Resource Dr 13,027 $2,400,000 $184.23 Suttles and Aguilar, LLC
4/5 2016 Stonegate Trl 1,500 $287,362 $191.57 Conellaco, LLC
4/26 4984 Overton Road 6,861 $1,225,000 $178.55 Gyandev, LLC
5/14Units 121 & 122 Building 1 Edenton Street
2,858 $203,803 $71.31 JB Holding Company, LLC
5/161200 Providence Park #200
2,160 $370,000 $171.30 5E Property, LLC
6/17 3070 Green Valley Rd 9,960 $1,500,000 $150.60 Tiebos, LLC
6/249001 Liberty Parkway (Encompass HQ)
200,000 $74,500,000 $372.50ARG EHBIRAL001, LLC (Global Net
Lease)
7/12 1111 & 1112 Edenton St 8,400 $1,000,000 $119.05 Gallardo Family 2001 Living Trust
9/1 1100 Corporate Parkway 25,000 $4,100,000 $164.00 Sumerford Holdings, LLC
9/102015 Stonegate Trail, #105
1,500 $280,000 $186.67 SCP Stonegate, LLC
9/27 3145 Green Valley Road 4,206 $1,050,000 $249.64 Henry Holding, LLC
10/28Edenton Street Condos Suites 111, 112, 1013, 1014, 1023, 1121,1122, 1212, 1221
18,895 $900,000 $47.63 Lifetime Solution, LLC
11/254898 Valleydale Road (Keith Building)
10,444 $700,000 $67.02 Valleydale Revival, LLC
SIGNIFICANT SALES - HIGHWAY 280 | I-459 MARKET
17
MULTI-TENANT:MULTI-TENANT: OVERALL:OVERALL:
SOUTHERN | I-65 MARKET
2111 PARKWAY OFFICE CIRCLE
Occupancy 80.93%
Rate PSF $18.16
91.50%
$18.26
18 Graham & Co 2020 Office Market Survey | Birmingham, AL
OVERALL:OVERALL:
The Southern/I-65 submarket has consistently been a strong performer with occupancy rates greater than 90% for more than a decade. The overall occupancy was 91.50% in 2019, down 1.86% from the previous year. The overall rental rate increased just slightly by 0.02% to $18.26 psf. Although it experienced -90,160 sf absorption in 2019, that number represents less than 2% of the total size of a submarket that has remained steady, a trend that is expected to continue.
The largest new lease in the submarket was to a subsidiary of Encompass Health, Print Promotions Group; it leased 36,133 sf at 2100 Columbiana Road. The submarket had five sales transactions greater than $1 million in 2019. The largest sale was the 22,816 sf office building at 1550 Woods of Riverchase for $3,350,000 ($146.83 psf) to a local ownership group.
Easily accessible by both I-65 and I-459, many of the Southern submarket buildings are surrounded by lush wooded areas, nice landscaping and rolling terrain, all of which contribute to the area’s reputation as a convenient and desirable place to work.
[ 4.8 MILLION SF TOTAL ]SINGLE TENANT 2,691,514 SF MULTI-TENANT 2,164,454 SF
Rock y R
idge
Rd
Old Roc
ky R
idge
Rd
Alta
dena
Rd
Caldwell
Tyler Rd
Alford Ave
Cahaba Valle
y Rd
Lorna Rd
Valle
ydale
Rd
Colum
biana Rd
HOOVER
PELHAM
RockyRidge
VESTAVIA
Riverchase
Oak Mountain State Park
Galleria
RiverchasePkwy East
Mill
Rd
150
261
119
17
31
31
OVERALL OCCUPANCY RENT RATE
1.86% 0.02%91.50% $18.26
PERCENT PERCENT
PER SF
19
1550 WOODS OF RIVERCHASE Sam Carroll of Graham & Co represented the seller in its disposition of this 22,816 sf Riverchase office building which sold for $3,350,000.
BARBOUR BLDG @ HIGHPOINT OFFICE PARKThis 49,934 sf office building was purchased for $2,375,000 by a local investment group with plans for an extensive renovation.
VESTAVIA CORPORATE OFFICE100 Vestavia Parkway
20 Graham & Co 2020 Office Market Survey | Birmingham, AL
BUILDING SF TENANT RENEWAL/LEASE
2100 Columbiana Road 36,133 Print Promotions Group (Encompass Health subsidiary) New
2176 Parkway Lake Drive 10,822 Alabama Board of Pardons and Paroles New
1849 Data Drive 8,781 Star Asset Security, LLC New
The Offices at 3000 Riverchase
7,322 ENGS Commercial Capital, LLC New
Vestavia Hills City Center 6,912 Myrick Gurosky & Associates, Inc. Relocation/Renewal
SIGNIFICANT LEASES - SOUTHERN | I-65 MARKET
DATE BUILDING SF PRICE PSF BUYER
1/31 2112 Rocky Ridge Rd. 3,520 $400,000 $113.64 Eladio Dominguez
1/31 2229 Rocky Ridge Road 10,000 $1,070,000 $107.00The Board of Dental Examiners of
Alabama
2/125356 Stadium Trace Pkwy. #200
5,083 $925,000 $181.98 RCC Real Estate, LLC
3/151550 Woods of Riverchase
22,816 $3,350,000 $146.83 Woods of Riverchase, LLC
3/255500 Southlake Park #100/150
6,000 $585,000 $97.50 MSMM Real Estate, LLC
6/17 3425 Pelham Parkway 6,000 $625,000 $104.17 Harmon Accounting, LLC
6/28 2 Riverchase Ridge 12,275 $1,300,000 $105.91 Key 7 Management Services
7/30 2021 Shady Crest Dr. 2,474 $450,000 $181.89 Amin Properties, LLC
8/28 2104 Rocky Ridge Road 6,120 $550,000 $89.87 Mipatula Estates, LLC
9/30 601 Vestavia Parkway 43,934 $2,375,000 $54.06 Barbour Associates, LLC
SIGNIFICANT SALES - SOUTHERN | I-65 MARKET
21
MULTI-TENANT:MULTI-TENANT: OVERALL:OVERALL: Occupancy 60.33%
Rate PSF $16.23
73.15%
$16.61
VULCAN | OXMOOR MARKET
PATRIOT MIDTOWN PARK210 Wildwood Parkway
22 Graham & Co 2020 Office Market Survey | Birmingham, AL
OVERALL:OVERALL:
Birmingham’s smallest submarket, Vulcan/Oxmoor, had a stronger year in 2019 with 44,008 sf of positive absorption. The overall occupancy of 73.15% was an increase of 1.62% from the prior year.
Transaction activity in the submarket included a new lease of 8,559 sf to Children’s Behavioral Health at Patriot Midtown Park; a 16,704 sf new lease to the Alabama Department of Rehabilitation Services at Lakeshore Crossings; and a 33,900 sf lease renewal by Portfolio Recovery Associates at Beacon Ridge Tower. Sales activity included the acquisition of Beacon Center, a four-building portfolio totaling 111,545 sf purchased by an out-of-state investor for $7,158,000 ($64.17 psf).
This submarket is very well located with easy access to the I-65 corridor, and the City of Homewood has expressed interest in further improvements to the area which would enhance the economic landscape of the neighborhood.
[ 2.7 MILLION SF TOTAL ]SINGLE TENANT 875,221 SF MULTI-TENANT 1,833,151 SF
OVERALL OCCUPANCY RENT RATE
1.62% 0.47%73.15% $16.61
PERCENT PERCENT
PER SF
23
OXMOOR OFFICE BUILDING801 Tom Martin Drive
24 Graham & Co 2020 Office Market Survey | Birmingham, AL
DATE BUILDING SF PRICE PSF BUYER
5/10 500 Beacon Pkwy. W. 29,461 $600,000 $20.37 Jaren Aksut and Robert L. Crook Jr.
9/6 2757 Green Springs Hwy 3,715 $820,000 $220.73 EZ Assets, LLC
9/19
529, 601, 631, 651 Beacon Parkway West (Beacon Center - 4 Buildings)
111,545 $7,158,000 $64.17 AK&B Beacon Center, LLC
11/8 298 West Valley Avenue 37,000 $860,000 $23.24 Rocky Heights Properties, LLC
11/2285 Bagby Drive (University Building)
39,969 $1,965,000 $49.16 Leveragedz, LLC
SIGNIFICANT SALES - VULCAN | OXMOOR MARKET
BUILDING SF TENANT RENEWAL/LEASE
Beacon Ridge Tower 33,900 Portfolio Recovery Associates Renewal
201 Lakeshore Crossings 16,704 Alabama Department of Rehabilitation Services New
Grand Twin Towers 12,116 Department of Homeland Security Renewal
201 Lakeshore Crossings 9,566Memphis Pathology Laboratory dba American
Esoteric LaboratoriesNew
Patriot Midtown Park 8,559 Children's Behavioral Health New
SIGNIFICANT LEASES - VULCAN | OXMOOR MARKET
25
GRAHAM OFFICE SERVICES
Graham & Company has a market-leading office platform
with bolstered development capabilities. Graham’s client-
centric philosophy and growth-oriented approach as well
as a shared culture of teamwork, integrity, and service
position it to offer “best-in-class” real estate services.
OFFICE SERVICES
INVESTMENT SALESDEVELOPMENT BROKERAGE
28 Graham & Co 2020 Office Market Survey | Birmingham, AL
BROKERAGEGraham & Company’s brokerage division provides sales and leasing services in five key sectors of commercial real estate: office, industrial, land, retail, and investment. Graham agents consistently rank among the best in their prospective markets. However, it’s not the numbers that reflect the Graham way, it’s the ability to examine each deal through the eyes and sensibilities of its clients that separates Graham from the other industry leaders.
DEVELOPMENT/CONSULTINGGraham & Company’s development group assembles and works closely with teams of architects, engineers, and contractors to create both build-to suit as well as speculative developments. Graham’s development group also procures financing, negotiates leases, and establishes property management systems for its development projects. Graham has been involved in the development of industrial properties, office buildings, office/service centers, and office building rehabilitation projects throughout the Southeast.
INVESTMENT SALESIn addition to brokerage and development, Graham & Co offers investment sales services. Our in-house team has the experience and capability to produce quality offering memorandums, actively market assets for sale, source potential investors, and successfully navigate the closing process. Graham has a track record of success in marketing class-A office properties.
29
850 SHADES CREEK PARKWAY
PROPERTY MANAGEMENT & LANDLORD LEASING
In 2020, Graham & Co expanded its office services with the inclusion of seasoned real estate professionals from Brookmont Realty Group. The addition of this group will allow Graham to offer a greater scope of services. In addition to Graham’s focus on first class service to both property owners and tenants, Graham places a high value on long-term relationships. The foundations of the company were built upon local and national relationships, and many of those relationships continue to exist and thrive after more than forty years. While service activities may vary between different properties, our personnel are trained, and each performance is measured to ensure delivery of “best-in-class” property management. Graham & Company currently performs property management and/or leasing services for more than 14.6 million sf of industrial, office, and retail properties.
PROPERTY MANAGEMENT
30 Graham & Co 2020 Office Market Survey | Birmingham, AL
1849 DATA DRIVE
2728 @ SOHO
820 SHADES CREEK PARKWAY
SYNOVUS CENTER
Brookmont Realty joins Graham & Co adding these new faces.
Charles H. SimpsonSr Vice President
Bo GrishamSr Vice President
Edward NobingerVP of Property Management
David WalkerChief Financial Officer
Charles has completed numerous real estate transactions and developments throughout his 38-year career representing landlords, tenants, buyers and sellers, and owners and investors of commercial real estate.
Bo has worked in commercial real estate for 36 years, during which time he has been involved with project management, development, and tenant and landlord representation for numerous class-A office buildings.
Throughout his 39-year career, David has been involved with the financial management and analysis of large land developments and class-A multi-tenant office buildings.
Edward has been working in property management since 1980. He is a certified Real Property Administrator, Facilities Management Administrator, and Certified Facility Manager.
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BrokerageRepresenting clients in the negotiation,
structuring, and execution of leases
Construction ManagementConsulting, oversight, and project
management of various build outs/construction projects
Build-to-Suit ProcessDevelop custom properties and facilities
to meet our client’s needs
CORPORATE SERVICES
Valuation ServicesBroker opinions of value, and other financial models to better help you
make wise and advantageous real estate decisions
32 Graham & Co 2020 Office Market Survey | Birmingham, AL
Graham & Company serves corporate and institutional clients by offering a comprehensive platform of real estate services across geographic locations and property types.
Facilities ManagementLease administration, portfolio
management, site management, etc.
Strategic PlanningDeveloping plans to harmonize strategic business goals with property and facility
decisions
Real Estate Tax ConsultingNegotiating appropriate tax valuations
for existing or new properties
Debt SolutionsLeveraging debt relations to negotiate optimal terms for new acquisitions or
existing properties
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GRAHAM TRANSACTIONS& AVAILABILITIES
GRAHAM TRANSACTIONS
3070 Green Valley Road9,960 SF OFFICE BUILDING Dan Lovell & Sam Carroll of Graham & Co represented the purchaser and Sonny Culp & Matt Rowan, also of Graham, represented the seller in the sale of this well located Cahaba Heights office building.
Patriot Midtown Park8,559 SF OFFICE SPACEDan Lovell & Matt Gilchrist of Graham & Co represented the Landlord and Jerry Grant, also of Graham, represented Children’s Behavioral Health in the lease of 8,559 sf in this class-A office.
600 University Park Place13,814 SF OFFICE SPACEJerry Grant of Graham & Co represented the landlord in its lease of 13,814 sf to Warren Averett Companies, LLC in this class-A Midtown office building.
Former Greyhound 19,978 SF BUILDINGDan Lovell & Jerry Grant of Graham & Co represented the seller in the disposition of the former Greyhound location to a local developer for redevelopment of the site which could include a mix of uses including office and retail.
One Federal Place15,309 SF OFFICE SPACESam Carroll & Matt Gilchrist of Graham & Co represented PNC Bank in its lease of 15,309 sf in this class-A office building located in the CBD.
107 Frankfurt Circle12,470 SF OFFICE SPACEWalter Brown & Matt Gilchrist of Graham & Co represented the landlord in its lease renewal of 12,470 sf for the General Services Administration in this Vulcan/Oxmoor office building.
SOLD
SOLD
LEASED
LEASED
LEASED
LEASED
36 Graham & Co 2020 Office Market Survey | Birmingham, AL
AVAILABILITIES
400 Chase Park South, Birmingham, ALRent Rate: $14.50/SF, Full Service
Space: Up to 16,476 SF Available • Exterior facing entrances• Ample parking near front door• Well manicured landscaping
Contact: Bo Grisham
200 Wildwood Pkwy, Homewood, ALRent Rate: $21.50/SF, Full Service
Space: 92,936 SF Available • Walkable, scenic campus • State-of-the-art conference facilities• Abundant surface parking and deck parking
Contacts: Dan Lovell, SIOR, LEED AP Matt Gilchrist
801 Tom Martin Drive, Birmingham, ALRent Rate: $17.50/SF, Full ServiceSale Price: $11,500,000
Space: 91,061 SF Available • New roof, HVAC systems, & new controls• Well maintained• Open floor plan Contacts: Sam Carroll, SIOR Matt Gilchrist
505 20th Street North, Birmingham, AL Rent Rate: $20.00/SF, Full Service
Space: 53,152 SF Available • Favorable leasing terms• Exterior building signage opportunities• Access to covered parking deck
Contacts: Sam Carroll, SIOR Matt Gilchrist
2603 Moody Parkway, Moody ALSale Price: $3,800,000 Size: 18,485 SF• 1.5 miles from I-20• Great location on Moody Parkway• NOI $266,165• Cap rate 7%
Contacts: Sam Carroll, SIOR Matt Gilchrist
2204 Lakeshore Drive, Homewood, ALRent Rate: $25.50/SF, Full ServiceSize: 3,830 SF • Class-A suburban office building• Surface parking; leased covered parking• Near to lodging, dining and retail
Contact: Jerry Grant, CCIM
Patriot Midtown Park Oxmoor Office Building The Financial Center
Chase Park South Class-A Office Investment Lakeshore Park PlazaLEASE
LEASE SALE/LEASE
LEASE
LEASE
SALE
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AVAILABILITIES
800 Shades Creek Parkway, Birmingham, ALRent Rate: $27.00/SF, Full Service
Space: 554 SF Available • On-site property management• Attached private parking deck• Free visitor parking
Contact: Charles H. Simpson
100 Vestavia Parkway, Vestavia Hills, ALSale Price: $3,400,000
Space: 29,322 SF (3) Three Floors • City of Vestavia Hills – Best Suburbs in
America by Business Insider• Attractive exterior - easy upkeep• Free surface parking – 4.4/1,000 SF
Contact: Dan Lovell, SIOR, LEED AP
1800 International Park Dr., Birmingham, ALRent Rate: $23.50/SF, Full Service
Space: 7,628 SF Available • Walkable, scenic campus • 717 total parking spaces (Shared with
neighboring building)• Parking ratio: 3.4 per 1,000 SF
Contacts: Sam Carroll, SIOR Matt Gilchrist
3570 Grandview Parkway, Birmingham, ALRent Rate: $29.50/SF, Net of Janitorial
Space: 3,769 SF Available • Brick & sandstone with limestone accents• Covered drop-off drive• Two-story atrium lobby with 28’ ceiling
Contact: Walter Brown, SIOR
1927 1st Avenue North, Birmingham, ALRent Rate: $17.50/SF, Full Service
Space: 84,435 SF Available • Prominent skyline building signage
available• Attached private parking deck• Free visitor parking
Contacts: Sam Carroll, SIOR Matt Gilchrist
3595 Grandview Parkway, Birmingham, ALRent Rate: $23.00/SF, Full Service
Space: 37,377 SF Available • Class-A suburban office building• Free surface parking• Easy access to major transportation
arteries
Contacs: Sam Carroll, SIOR Matt Gilchrist
Synovus Center
Vestavia Corporate Office Medical Office Building Grandview II
International Park The Woodward BuildingLEASE LEASE LEASE
LEASELEASESALE
38 Graham & Co 2020 Office Market Survey | Birmingham, AL
AVAILABILITIES
2728 19th Place South, Homewood, ALRent Rate: $26.50/SF, Full Service
Space: 21,475 SF Available • Easy access to Highway 31 and Red
Mountain Expressway• Highly desirable Midtown submarket• City of Homewood - no occupational
taxes
Contact: Charles H. Simpson
800 Lakeshore Parkway, Birmingham, ALRent Rate: $12.50/SF, Full ServiceSale Price: $3,795,000
Space: 120,000 SF Available • Parking - 5.5 to 1,000• Zoning - I-3 Industrial Park• City of Birmingham Water & Sewer -
Birmingham Water Works
Contacts: Walter Brown, SIOR Ogden Deaton, SIOR
500 Century Park South, Birmingham, ALRent Rate: $14.50/SF, Full Service
Space: Up to 18,890 SF Available • Exterior entrances• Ample parking near front door• Fee incentives
Contact: Bo Grisham
100 Centerview Drive, Vestavia Hills, ALRent Rate: $17.25/SF, Full ServiceSale Price: $3,400,000
Space: 10,230 SF Available; Total 34,313 SF • Easy access to Highway 31, I-65 and I-459• Zoning: O-I (Office Park District), Vestavia Hills• Located within Highpoint Office Center
Contacts: Walter Brown, SIOR Matt Gilchrist
Healthy Way, Birmingham, ALCall for Pricing
Space: 1.02 Acres Available • Office, retail, or residential development• 11,000 Vehicles per day on Cahaba River
Road• Average income more than $117,000
annually within 5-mile radius Contact: Jerry Grant, CCIM
500 Office Park Drive, Birmingham, ALCall For Pricing
Space: 62,535 SF • New building conference room• Remodeled restrooms• Free ample surface parking• Excellent mix of corporate tenants
Contacts: Dan Lovell, SIOR, LEED AP Jerry Grant, CCIM
2728 @ SoHo
Lakeshore Center
Century Park
The Chambers Building
Patchwork Farms
500 Mtn Bk Office Park
SALELEASELEASE
SALESALE/LEASESALE/LEASE
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ABOUT GRAHAM & CO
Theresa Baker Don Beaugez Jack Brown, SIOR Walter Brown, SIOR Sam Carroll IV, sior
Ogden Deaton, sior
Steve Graham, mai, cre Thomas Michael
David Walker
Matt Gilchrist
Jerry Grant, ccim
Joelle Rodgers
John Coleman, siorTanya Clark
Courtney DeShazo
Christie Neely
Tana Welch
Henry Graham
Bo Grisham
Matt Rowan
Sonny Culp, sior Joel Dorning
Jordan Tubb, siorEdward Nobinger, pa, fma, cfm
Leslie Williamson
Matthew Graham
Lauren Limbaugh
Hayden Scott, mai
Mike Graham, cpm, sior Dan Lovell, sior, leed ap
Charles H. Simpson
GRAHAM & CO – BIRMINGHAM
42 Graham & Co 2020 Office Market Survey | Birmingham, AL
SIOR–Society of Industrial & Office Realtors
CCIM–Certified Commercial Investment Member
CRE–Counselors of Real Estate
IREM–Institute of Real Estate Management
LEED–Leadership in Energy and Environmental Design
ULI–Urban Land Institute
A B O U T G R A H A M & C O M P A N Y
Founded in 1978, Graham & Co is a full-service commercial real estate firm based in Birmingham, with offices in Birmingham and
Huntsville, Alabama and the Gulf Coast, Florida. The company offers professional services including sales, leasing, property management,
corporate services, consulting, investment, and development. In response to client demand, Graham has systematically extended its
range of services and geographic reach, now serving clients throughout Alabama and several surrounding states.
C O M M U N I T Y I N V O LV E M E N T
At Graham & Co we recognize that our clients can enhance the value of their property, business, and/or investment if the community
in which they live, and work is vibrant and healthy. Graham and its employees continue to give back to the community in a number of
ways including volunteering time and energy in support of a variety of community and social causes.
A F F I L I AT I O N S
NAIOP–National Association for Industrial and Office Parks
G R A H A M & C O M P A N Y P E R S O N N E L ( B I R M I N G H A M )
PRINCIPALS
Mike Graham, CPM, SIOR
Steve Graham, MAI, CRE
INDUSTRIAL GROUP
Jack Brown, SIOR
John Coleman, SIOR
Sonny Culp, SIOR
Ogden Deaton, SIOR
Courtney DeShazo
Joelle Rogers
Jordan Tubb, SIOR
INVESTMENT
Matthew Graham
MARKET RESEARCH ANALYST
Matt Rowan
FINANCE
David Walker, CFO
Tana Welch
DEVELOPMENT
Henry Graham II
OFFICE GROUP
Walter Brown, SIOR
Sam Carroll IV, SIOR
Bo Grisham
Jerry Grant, CCIM
Matt Gilchrist
Lauren Limbaugh
Dan Lovell, SIOR, LEED AP
Charles H. Simpson
CLIENT SERVICES MANAGER
Christie Neely
CORPORATE SERVICES
Hayden Scott, MAI
Tanya Clark
GRAPHIC DESIGN
Joel Dorning
PROPERTY MANAGEMENT
Theresa Baker
Don Beaugez
Thomas Michael
Edward Nobinger, PA, FMA, CFM
Leslie Williamson
HUNTSVILLE OFFICE
Tyler Fanning, SIOR
Erika Harless
Jeremy Pope, CCIM, SIOR
Bart Smith, CCIM, SIOR
George Twitty, Jr.
GULF COAST OFFICE
Jason Carnes
Kevin Williams, CCIM
INDIVIDUALMEMBERSHIPS
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2020 OFFICE MARKET SURVEYGRAHAM & CO
1801 Fifth Avenue North
Suite 300
Birmingham, AL 35203
205-871-7100
www.GrahamCompany.com