1535 Montgomery Hwy
Property Description
The offering includes the fee simple interest in a 32-unit EconoLodge by Choice, a 3-unit manager suite, and two retail spaces. The key 1.6 acre corner parcel is well located in Hoover—an affluent suburb of Birmingham, Alabama. The property presents a strong value-add opportunity, with high visibility off U.S. Hwy 31 and direct access to I-65 (Exit 252), a major corridor traveled by approximately 37,000 vehicles daily. The hotel benefits from proximity to major demand drivers, including Riverchase Galleria (2.7 miles), UAB Hospital (9 miles), several universities, and is surrounded by national retailers such as CVS, Walmart, Publix, and Aldi—enhancing guest convenience and exposure. Birmingham continues to experience rapid economic growth, with over $690 million in new building permits issued in 2024. Key highlights include the newly opened 9,300-seat Coca-Cola Star Amphitheater, 4.04 million overnight visitors, and major investments from companies like Coca-Cola and Wells Fargo. Jefferson County, Alabama’s largest economy, is being propelled by developments like the 1,100-acre JeffMet North Industrial Park, projected to create 4,700 jobs. With robust infrastructure and a pro-business environment, Birmingham is emerging as a regional hub for logistics, healthcare, and tech—positioning this hotel to benefit from sustained economic momentum. The property also includes two income-producing long term retail tenants, Wings R King and Barristers Tavern, contributing stable and reliable cash flow of approximately $92,400 a year. If you allocate $10,000 of the expenses to the retail, at a 7% cap rate, the retail portion of the property value is approximately $1.1 million. So, investors are getting the hotel at $1.25 million, $39,063 per key.
Key Property Information
| Listing Status: | Unavailable |
|---|---|
| Listing Type: | Call for offers |
| Property Types: | Hospitality |
| Price: | $2,350,000 |
| No. of Units: | 32 |
| Year Built: | 1965 |
| Lot Size: | 1.67 Acres |
| Opportunity Zone: | No |
| Price per unit: | $73,438 |
| Property Website | Click Here |
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