Birmingham announces plans for Publix off Lakeshore Parkway near Ross Bridge

Birmingham officials announced plans today for a Publix grocery store that is designed to serve southwest Birmingham and the Ross Bridge community of Hoover, as well as Bessemer, Homewood and other communities off Lakeshore Parkway.

The plan is to put a 45,600-square-foot, full-service Publix grocery store and at least 22,400 square feet of other retail space at the corner of Lakeshore Parkway and Shannon-Wenonah Road, which leads to Ross Bridge Parkway in Hoover, said Birmingham Councilman Jay Roberson, whose district includes that area.

Hoover residents in Ross Bridge have been trying to get a grocery store in their neighborhood for some time, and Roberson said that area of Birmingham essentially has been a food desert, lacking a nearby grocery store as well.

“For us to be able to negotiate this opportunity, this is a great amenity for people and families in this region,” Roberson said.

Birmingham officials have proposed an incentive package to help make the development happen, Roberson said. It has not been approved, but he does not foresee problems getting approval, he said.

The deal includes up to $3.3 million of tax rebates over the first seven years of operation of the store, Roberson said. That includes the lesser of $500,000 a year or 50 percent of tax revenues generated by the store for the first five years and the lesser of $400,000 a year or 40 percent of sales tax revenues for years six and seven, he said.

The Publix store is expected to generate $1.2 million a year in sales tax revenues for the city of Birmingham, Roberson said. It also should generate $9.1 million for the city of Birmingham in the form of building permit fees and annual property taxes, so it should be a big revenue generator for Birmingham, he added.

The project is an $18 million capital investment, including a $2.7 million land purchase, Roberson said.

M.A.B. American Management has a contract to buy the 16-acre property from U.S. Steel, said John Argo, the principal developer for M.A.B. Publix has been supportive of the project, and the site has been approved by Publix’s real estate committee, however, Publix has not yet signed a lease agreement, Argo said.

Brenda Reid, Publix’s media and community relations manager for Alabama, Georgia and Tennessee, said the company does not comment about or confirm potential store locations until a lease is signed.

Roberson said the incentive deal goes to the Birmingham City Council’s economic development committee and budget and finance committee for consideration on Monday. Zoning also still must be approved for the development, he said.

It likely will take about two years to get all the proper approvals and get the store built and opened, Argo said.

The developer plans to use only about nine of the 16 acres because seven acres along Shades Creek are being left in their natural state, he said.

There should be 10-12 spaces for other businesses to locate on the property next to Publix, he said. In addition to the grocery store, current site plans show a separate building with more than 18,000 square feet, a 4,200-square-foot building closer to Lakeshore Parkway and an outparcel at the corner of Lakeshore and Shannon-Wenonah Road.