Birmingham, AL Office Overview
The Birmingham city proper includes the Arlington - West End, Five Points South, and Old Mountain Brook commercial real estate submarkets. With a metropolitan population of over 1.1 million people, Birmingham has transformed itself from a steel town into one of the most important business and financial centers in the Southeastern United States. A diverse mix of business and industry sectors are attracted to the region, creating consistent demand for Class A office space.
As of mid-2017, the Greater Birmingham market encompasses over 21 million square feet of office space in properties larger than 50,000 square feet. The metro area is home to about 25% of the entire population of Alabama, creating a vigorous growth in the area.
Birmingham, AL Office Inventory Description
While industry and manufacturing still play a role in the economy of Birmingham, over the past 50 years the city has successfully diversified its business base with the banking, telecommunications, healthcare, insurance, and financial employment sectors. With a gross metropolitan product of over $56 billion annually, the demand for office space continues to grow. Nearly 63% of workspaces are Class A or A+, with Class B product in Birmingham adding another 32% to the total available inventory.
Highland Park and Downtown submarkets are home to a mix of both modern and historical office properties. Located west of State Route 280 between I-20 and State Route 11, the city’s downtown is home to properties such as The Plaza on 20th Street North, Wells Fargo Tower, and the renovated Brown Marx Building.
Birmingham, AL Commercial Inventory Breakdown
Total: 28,682,476 SF
By square footage range:
- 50k to 100k SF: 5,641,057 SF / 19.67% of total office
- 100k to 500k SF: 18,128,749 SF / 63.2% of total office
- 500k to 1M SF: 3,528,166 SF / 12.3% of total office
- > 1M SF: 1,384,504 SF / 4.83% of total office
- Class A: 16,155,826 SF / 56.33% of total office
- Class B: 9,676,660 SF / 33.74% of total office
- Class C: 2,609,990 SF / 9.1% of total office
Top 10 Largest Office Buildings
|Office building||Address||Sqft||Year built|
|Alabama Power Headquarters||600 18th Street North, 35203||1,384,504||1925|
|Protective Center - Building 1, 2 & 3||2801 Highway 280 South, 35223||620,000||1974|
|AT&T City Center||600 19th Street North, 35203||617,453||1971|
|Regions Harbert Plaza||1901 6th Avenue North, 35203||614,000||1989|
|Regions Center||1900 5th Avenue North, 35203||581,269||1971|
|Patriot Midtown Park||210 Wildwood Pkwy, 35209||580,551||1995|
|Wells Fargo Tower||420 20th Street North, 35203||514,893||1986|
|Liberty National Building||2001 3rd Avenue South, 35233||487,000||1930|
|Colonnade Office Tower South||3535 Colonnade Pkwy, 35243||465,979||1988|
|250 Riverchase Pkwy East||250 Riverchase Pkwy East, 35244||454,543||1995|
Most Recently-Built Office Buildings
|Office building||Address||Sqft||Year built|
|Denham Building||1143 1st Avenue South, 35233||124,633||2019|
|James C. Lee III Building||1620 4th Avenue South, 35233||115,000||2019|
|UAB Medical Office Building||501 Emery Drive, 35244||39,459||2019|
|Encompass Health Headquarters||9001 Liberty Pkwy, 35242||199,350||2018|
|2200 Magnolia Avenue South||2200 Magnolia Avenue South, 35205||36,355||2018|
|ServisFirst Headquarters||2500 Woodcrest Place, 35209||97,600||2017|
|Booker T. Washington Building||1728 3rd Avenue North, 35203||57,101||2017|
|Pumphouse Plaza||3291 US Route 280, 35243||40,400||2017|
|Grandview Physicians Plaza||3686 Grandview Pkwy, 35243||207,000||2015|
|2415 7th Avenue South||2415 7th Avenue South, 35233||68,688||2015|
Birmingham, AL Green Office Space
In 2017, the National Green Building Adoption Index surveyed the top 30 office markets in the U.S. The report noted that since 2005, the national percentage of energy efficient workspaces has increased from less than 5% to about 38% today.
While Birmingham isn't in the 30 office markets that were surveyed for the index, there is some pretty impressive energy-efficient workspace here. A great example of a LEED-certified Birmingham office building is the Chase Corporate Center in the nearby Hoover, AL submarket. This Class A property was built in 1985 and includes 211,000 square feet of space.
Birmingham, AL's Top Office-Using Sectors
While the manufacturing sector still helps to drive the demand for commercial real estate in Birmingham AL, the education and financial sectors are paramount to the development of the local economy.
- Education – institutions such as the University of Alabama, Samford University, Cumberland School of Law, and the Miles Law School.
- Manufacturing – American Case Iron Pipe Company, CMC Steel, U.S. Steel, Nucor, and Vulcan Materials Company are some of the largest steel and materials mills in the country.
- Finance – firms such as Regions Financial Corporation, BBVA Compass, and Wells Fargo Bank.
- Corporate Offices – including Blue Cross and Blue Shield of Alabama, ProAssurance, Liberty National, O'Neal Industries, Drummond Co., and Brasfield & Corrie, LLC.
- Total Population212,265
- Male Population(47.3 %) 100,454
- Female Population(52.7 %) 111,811
- Median Age35.70
- Average Household Income$48,614
- Median Household Income$33,770
- Median Income Under 25$18,757
- Median Income 25-44$35,515
- Median Income 45-64$37,016
- Median Income Over 65$31,392
Looking to Relocate Your Business? Phoenix is Your Best Bet
November 01, 2017
Amazon’s search for a new home has stirred up city officials and developers across the country, and 238 applicants across North America have expressed interest in housing the company’s next headquarters. Of course, the retail giant has a few requirements: the chosen metropolitan area should idea...