property
Birmingham Projects Add 64 Homes, Stabilize Retail Market Growth
Projects including 64 homes at the former Carraway Hospital site and retail anchors are providing context for local market conditions.
How we reported this
Construction on 64 new homes at the former Carraway Hospital site, now part of The Star Uptown, begins in spring 2026 with the first homes ready for residents by early 2027. This follows the $15 million Family Fun Center that broke ground in October 2025 at the Birmingham CrossPlex and is expected to open in 2027.
Housing Timeline at Star Uptown
The 64-home phase adds to earlier activity at the Carraway site. Buyers tracking inventory can note the early 2027 delivery window for the initial units. The Birmingham City Council also approved a $2 million loan for The Tower at Uptown, a $28 million project with 25 housing units plus a food hall and urgent care clinic on the former Birmingham Board of Education Service Center near City Walk.
Retail Market Indicators
Birmingham's retail vacancy rate stands at 3.8 percent, below the national 4.1 percent average, with steady rental rates of $13.13 per square foot. New tenants include the first Alabama REI location and a Dick's Sporting Goods/Golf Galaxy combo, also the first Golf Galaxy in the state, alongside multiple Publix and Aldi stores added in the last 12 months. Suburban demand remains robust in Homewood, Hoover and Alabaster.
Corporate and Infrastructure Projects
Coca-Cola United is building a $330 million corporate headquarters and distribution facility on a former Brownsville site, with completion expected by 2027. Costco has been finalized as a new anchor, with the deal confirmed in June 2026. The $242 million Birmingham Choice Neighborhoods project will rebuild the Smithfield, College Hills and Graymont neighborhoods by 2031, moving 547 residents into new affordable housing.
Buyers should review delivery dates for the Star Uptown homes and The Tower at Uptown units when assessing availability in those corridors. The stable retail vacancy and rental figures provide a baseline for evaluating nearby commercial activity that often accompanies residential growth.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.