3548-3550 Pelham Pky
Pelham, AL 35124
Keystone Plaza · Retail Property For Sale

60,599sf, 100% occupied shopping center re-developed in 2001 in the Pelham/Alabaster bedroom community of Birmingham MSA, in its high-growth Shelby County, approximately 15 miles south of downtown Birmingham. The shopping center is 87% tenanted by Big Lots and Staples; the two other tenants are a strong performing Mexican restaurant and a Southern restaurant that is relocating from its well-established location less than one mile away. There is a dedicated pad for a 6,000sf building which may be developed or sold. Keystone Plaza Phase 2 is part of a larger center also containing the 66,000sf, 100% occupied plaza known as Keystone Plaza Phase 1 (not included in the offering) that is anchored by The Foundry, with three Birmingham locations, as well as Aaron’s, Dollar General, GNC, and Hibachi Sushi. The shopping center is positioned with excellent visibility and numerous curb cuts along Pelham Highway (US Hwy 31; 29,000+ vpd ), the dominant north-south route through Birmingham, a few blocks from Shelby Baptist Medical Center and numerous medical office complexes. The site is equidistant from Pelham’s two Interstate 65 exits and affords easy access to the area. The primary demographics in a 3-mile ring include a population of 37,000+ with an average HH income exceeding $78,000. Keystone Plaza Phase 2 is offered to the market at $3,950,000 on an all-cash basis, an 8.3 cap on stabilized NOI. Based upon quotes received from Van Wehr qualified investors can achieve a 10-year CMBS loan at 70% LTV, 4.375% rate, at a 30-year amortization. Based upon this debt option likely year 1 returns prior to lender required reserves for TI/LC and property condition will exceed 12.5%.