A rendering of the proposed Lakeview Green Development

On Tuesday, April 24, the Birmingham City Council’s Economic Development Committee heard from the developers of a proposed mixed-use project called Lakeview Green. The Budget and Finance Committee recommended the item during the meeting on Monday; the Economic Development Committee followed suit.

KRE Ventures is applying for a $1.5 million Birmingham Business Development loan in order to help fund the new development which will be located at the site of the former W.C. Davis School at 417 29th Street South in the Lakeview District, about a block from Pepper Place.

The item reads as follows:

The former school building has already been razed and, pending approval from the council, the construction could begin in roughly 45 days, according to Wayne Krouse, a representative with KRE Ventures who spoke to the Economic Development Committee on Tuesday.

“What we’re doing is a mixed-use development,” Krouse explained. “But one of the key features about this is that we are going to be providing a greenspace that we are not going to build on. It will have a water feature similar to Railroad Park, which has been a great success and the people of Birmingham love it…There’s really nothing like that on the east side of [Highway 280].”

KRE Ventures is the firm behind Iron City Lofts, a 70 unit multifamily building that was completed in 2017. The new Lakeview Green development will have 30 condos for sale, 73 apartments for rent and roughly 38,000 sqft of retail space.

A rendering of the outdoor seating area, courtesy KRE Ventures

Krouse cited a large influx of new residents who have moved to the area, primarily the complex that is located at the corner of 29th St. and 7th Ave. South where Hattie B’s Hot Chicken, SkyCastle, residential units and more restaurants are located. The greenspace will incorporate large cisterns with coy fish, outdoor seating and fire pits for residents to gather around on the patios adjacent to the retail space.

“There’s really no place for those residents living in the area to get together and enjoy the outdoors and lay in the grass. That’s the central component of this,” Krouse continued. “We believe that during the construction period we will create 250 new jobs. When the building is fully leased we will have approximately 200 jobs or maybe a little more that that.”

In terms of new sales tax revenue, Krouse said the projections show $326,000 of added sales tax revenue for the city annually for the first five years. After year five, he said those numbers are expected to be $550,000 “based off pretty conservative projections.”

Councilor John Hilliard, chair of the Economic Development Committee, asked Krouse about the price point of the new condos that will be for sale after looking over the renderings that were presented.

They will range from $150,000 for a one bedroom, to up to $500,000 for larger three-bedroom units, Krouse said.

“You don’t see much, and I think it’s something downtown is lacking, is opportunity for retail as it relates to buying clothes. We have a lot of restaurants but there is nowhere to really go and shop downtown for ties or shirt or sneakers or anything like that,” Council President Pro Tem Jay Roberson said.

Another rendering that details the proposed outdoor space adjacent to ground-floor retail, KRE Ventures

Hilliard attributed this, in part, to the rise in online retail shopping. “It’s just one click and there is no sales tax or anything like that for the city,” Hilliard said. “I love the fact that this builds new business and new tax revenue that we’ve not had. Whenever I look at projects like this myself I always look at tax revenue that we will get to spend in these 99 neighborhoods to improve them. That’s what excites me.

“I’m always telling people I can understand when you are against something but give me something to replace it so we can bring in that revenue,” Hilliard said. “I think for the betterment of the city I would like to see us move forward with this project.”

Roberson said he believes this will be a good investment for the city because of the potential for added revenue. “These funds will be from a Birmingham Business Development loan. We will see a return on that money that we invest in the long run. It’s going to open more opportunities for our city.”

During Monday’s Budget and Finance Committee meeting, some councilors expressed they would like to see the business grant money be spent in other parts of the city, instead of in central entertainment districts.

“Why do we have to incentivize a place that is already primed for development,” Councilor Steven Hoyt said on Monday. “If we are ever going to experience a real transformation in this city then we are going to need to reserve this for folks wanting to develop in distressed communities.”

No date has been set for when the item will come before the full council as of this writing but it is expected to be on the agenda within the coming weeks.