THE GRAHAM REPORT MARKET SURVEY | HUNTSVILLE - Graham & Company
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THE GRAHAM REPORT
M ARK E T S URV E Y | H U N TSV ILLE
2021
2 Graham Report 2021
6 Industrial Overview
8 • Jetplex
10 • North/Central
12 • Chase
14 • Greenbrier
18 Office Overview
20 • Central Business
District
22 • Jetplex/Madison
24 • Cummings
Research Park Map
26 • Cummings
Research Park
30 Graham Services
36 Graham Transactions
& Availabilities
44 About Graham
GRAHAM REPORT 2021 HUNTSVILLE, ALABAMA The Huntsville commercial real estate market was resilient throughout the COVID-19 outbreak of 2020. While all sectors were immediately impacted by the rolling and confusing shutdowns, the market has stabilized and recovered quite well in a short period of time. The number of employees working from home increased dramatically in 2020 and this change might have lasting effects as companies re-think their office operations. The Huntsville office market still managed to net positive absorption of 972,501 sf and a vacancy rate of 9.26%, the lowest in several years. Most of the positive activity has taken place at the Redstone Gateway project. The increase in e-commerce distribution during the pandemic accelerated the industrial sector as more projects, including a 1.1 million sf Amazon Distribution Center, were announced to the area. The vacancy rate (4.98%) is at the lowest level in more than a decade. The industrial sector has seen 2.5 million sf of positive absorption in the last two years and construction is booming with greater than one-million sf of new, speculative space under construction to help meet the demands of a growing industrial base. Land prices continue to escalate across all sectors. Prices in the CBD remain above $50 psf as the area remains a prime spot for renovation and/or new construction. Industrial land prices have increased dramatically in the Greenbrier area, catching up with the spike in activity. Retail and multi-family land prices remain strong.
INDUSTRIAL OVERVIEW
6 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
HUNTSVILLE INDUSTRIAL
OVERVIEW
Vacancy for Huntsville’s industrial market
decreased in 2020 to 4.98%, marking the
lowest rate the Huntsville Industrial market
has seen since 2008.
Vacancy is still above the national rate of
4.60%. Average rental rates nationwide
increased 6.3% to $8.24 per sf while the
Huntsville market also saw an increase in rents.
Asking rates for new Class-A industrial office
Land prices for industrial projects continue
are close to $7.00 per sf. Low supply and high
costs of new construction will continue to to increase, especially in the Greenbrier and
drive rents upward. Spacegate areas. Land is now selling for more
than $50k per acre in most submarkets.
New construction for industrial buildings
increased sharply to 264 million sf, up 9.55% The investment market for industrial product was
over 2019. More than 1,000,000 sf of non-user again one of the top performing sectors with an
owned industrial products were announced or average national cap rate of 6.25%. Investors are
under construction in the Huntsville market. searching beyond the large, Tier I and II cities for
The Huntsville market had positive absorption investment deals and that has lowered cap rates
of 1.2 million sf in 2020, which equates to a in Tier III cites like Huntsville. In fact, there were
net positive absorption of three million sf in a couple of industrial trades in the Huntsville
the last two years. Nationwide absorption was
market in 2020 that were sold for below a 7%
223 million sf with 104 million sf absorbed in
cap. The outlook remains bullish for the industrial
the 4th quarter. Nationally, 48 transactions
were completed for facilities of one million sf sector as finance rates remain low and demand
or more for the e-commerce product remains high.
7
ANNOUNCEMENTS OF NOTE IN 2020:
The Covid-19 Pandemic increased the demand and needs for e-commerce
companies and buildings. The expected industrial absorption for 2022 is
333 million sf which is triple the absorption now. The Huntsville market,
coupled with the growth around the Mazda Toyota plant, is now beginning
to feel the impact of these changes.
• More than 1.2 million sf of speculative industrial space was announced
or under construction, with greater than 750k sf in the Greenbrier
submarket.
• Prices have increased for new construction which will drive rental rates up.
• Huntsville has many new developers and owners in the market now.
INDUSTRIAL ABSORPTION VACANCY RATES
2020: 1,272,271 327,729
SINGLE MULTI
MARKET OVERALL
TENANT TENANT
SQUARE FEET SQUARE FEET
Jetplex 11.31% 2.32% 8.39%
2,000,000
FEET
1,500,000 North|Central 0.73% 0.07% 0.17%
SQUARE
1,000,000
Chase 6.63% 1.89% 6.48%
500,000
Greenbrier 0% 0% 0%
0
-500,000
2016 2017 2018 2019 2020
MARKET SF VACANT SF 2020 2019 2018 2017 2016
Single Tenant 20,922,702 SF 996,203 SF 5.70% 5% 7.87% 4.72% 4.70%
Multi-Tenant 4,876,575 SF 445,430 SF 1.89% 9.40% 6.87% 10.20% 14.28%
Total Industrial 25,799,277 SF 1,441,633 SF 4.98% 5.84% 7.64% 5.97% 6.86%
8 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
JETPLEX INDUSTRIAL MARKET
Jetplex Center
9
[ 11.2 MILLION SF TOTAL ]
OVERALL VACANCY 8.39%
SINGLE TENANT 11.21%
MULTI-TENANT 2.32%
Recent developments in the Jetplex Industrial
Market:
• The 550,000 sf former Navistar plant is now
100% leased. The building was vacated in
2017 and sold to an out of town investor.
• Remington exited their 796,000 sf building
on Wall Triana Hightway. The 200 year old
firearm manufacturing company declared
bankruptcy and vacated buildings in
Huntsville, AL and Madison, North Carolina.
• Shamrock Investors began construction on
a 116,000 sf building on James Record Road.
The building offers 32-foot clear ceilings and
is located 1.5 miles from I-565.
Major area tenants include: Navistar, Kohler,
SES, & Georgia Pacific.
Vacancy for Jetplex Industrial Park increased
slightly in 2020 to 8.39%, up from the previous
year’s 7.10% rate. Vacancy for the Jetplex
area remains low with the largest vacancy
found in the former 796k sf Remington plant.
Jetplex Industrial Park is Huntsville’s largest
industrial base, representing 43% of the
Huntsville industrial market, and comprised
of several smaller markets that surround
Huntsville International Airport and the
Intermodal Center. Jetplex Industrial Park
contains 1,470 acres and offers Foreign
Trade Zone #83, U.S. Customs Port of Entry
and interstate access via I-565. Jetplex
South Industrial Park contains 1,400 acres
and is located just south of Jetplex Industrial
Park. Lowe Industrial Park is a 900-acre park
originally designed to encompass the growth
of Intergraph Corporation.
10 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
NORTH/CENTRAL INDUSTRIAL
MARKET
Facebook Huntsville Data Center11
[ 5.37 MILLION SF TOTAL ]
OVERALL VACANCY 0.17%
SINGLE TENANT 0.73%
MULTI-TENANT 0.07%
Recent developments in the North/Central
Industrial Market:
• The 300 Diamond Drive building was
leased by Kohler and SAIC. The building is
300,000 sf and is now 100% leased.
• Blue Origin opened its new 350,000
sf rocket engine manufacturing plant
in Cummings Research Park West. The
building was built to provide the main
engines for the Vulcan Centaur that the
United Launch Alliance is building in
Decatur, Alabama.
• Yulista occupied space at its new 126,000
sf facility at Redstone Gateway. The new
building will be used for warehouse and
distribution, including some space for
kitting operations.
Vacancy for the North/Central Huntsville Major area tenants include: Toyota, Aerojet
Rocketdyne, Blue Origin, and Dynetics.
industrial market fell sharply to 0.17% in
2020, down from the 7.20% posted in 2019.
Several large blocks of space were leased,
and a couple of buildings that were under
construction were completed and occupied.
The North/Central Huntsville industrial
market is comprised of 5.37 million sf
and represents 21% of the total Huntsville
industrial market.
North Huntsville Industrial Park added several
large buildings to its inventory, including
the 900,000 sf Facebook data center and
the 136,000 sf Aerojet facility. The area
provides good access to North Alabama and
Southern Tennessee. The tenant mix in the
area consists of companies in the automobile
industry, defense, and local and national
service companies.12 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
CHASE INDUSTRIAL MARKET
120, 130, and 150 Vintage Drive13
[ 5.05 MILLION SF TOTAL ]
OVERALL VACANCY 6.48%
SINGLE TENANT 6.63%
MULTI-TENANT 0%
Recent developments in the Chase
Industrial Park:
• The 1.3 million sf former Cinram plant
on Moores Mill Road was put on the
market for $43,000,000 or $31.57 per sf.
The building sits on 161 acres, is fully air
conditioned and has more than 600k sf of
42-foot clear warehouse space.
• 130 Vintage Drive building, a 277,883
sf industrial building that was formerly
part of the Qualitest Campus, sold for
$19,900,000 or a 6.75% cap rate. The
building is currently leased by Leidos.
Major area tenants include: J and J South
Central, Cinram, PPG Industries, Mitchell
Plastics, Hart & Cooley, Kommerling, and
Schwarze Industries.
Vacancy in Chase Industrial Park held steady
at 6.48% in 2020. A large block of space,
the 1.3 million sf former Cinram building, will
be added to the market in August of 2021;
vacancy numbers are expected to increase
drastically by EOY 2021.
Chase represents 22% of the entire Huntsville
industrial market and was developed by
the Madison County Commission. Chase
Industrial Park is comprised mostly of
single tenant employers. Situated on 1,700
acres in northeast Huntsville, only 50 acres
remain available for new development.
Products manufactured in the park include
automobile supplies, plastic products, and
home building supplies.14 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
GREENBRIER INDUSTRIAL
MARKET
Mazda/Toyota Manufacturing USA Plant.15
[ 4.16 MILLION SF TOTAL ]
OVERALL VACANCY 0%
SINGLE TENANT 0%
MULTI-TENANT 0%
Recent developments in the Greenbrier
Industrial Park:
• Hollingsworth Companies held a
groundbreaking for a new 404,738 sf
industrial building in SouthPoint Business
Park. This is the 11th building developed in
the park which, once completed, will have
more than 1.9 million sf of industrial space.
• The TPA Group announced plans to build
a 213,000 sf building on Mooresville Road.
The building is estimated for completion in
September and will offer 32' clear height
and excess land for outside storage or truck
parking.
• Intersect Development Group closed on a
47-acre tract of land on which it will build a
planned 400,000 sf industrial park. The first
building will be 144,500 sf and construction
is expected to be completed in 2021.
Major area tenants include: GE Aviation,
Target, Fed Ex.
The Greenbrier area is in an ideal location
for companies that have logistic and
transportation needs in the North Alabama
and Southeastern markets. Interstate I-65
and I-565 intersect near Greenbrier and serve
as a key access point for companies in the
automotive, services and defense industries.
Rail access is available in the area.
MOORSVILLE ROAD
SEGERS ROAD
Vacancy is currently at 0%. Several new
construction projects, including the Mazda
Toyota plant, will raise the total sf in the area OLD HWY 20
G REENB
to more than 6 million sf in a couple of years.
Most companies located in the area are GARRETT ROAD
RIE R
P KWY
generally in the automotive, services, and
transportation industries.
BIBB GARRETT ROAD
SWANCOTT ROADOFFICE OVERVIEW
18 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
HUNTSVILLE OFFICE OVERVIEW
Vacancy rates for the Huntsville office market fell slightly in 2020 to
9.26%, down from the prior year’s 10.40%. Vacancy has fallen now for
five straight years from the 19.31% registered in 2015.
Several new office construction projects
are underway in the CRP submarket as
part of a consolidation effort for defense
related companies.
The office market had positive absorption
of 972,501 sf in 2020. The Huntsville
market has experienced more than 2.6
million sf of positive absorption since
2017. Most of the newly leased space
is located in Redstone Gateway and
Cummings Research Park (CRP). The
Redstone Gateway project has grown to
more than 1.3 million sf of office, industrial
,and retail space.
Vacancies were down in the Jetplex/
Madison and CRP submarkets, but up
in the Central Business District (CBD).
CRP is the area’s largest submarket, were announced for the CBD, and several
and vacancy fell to 6.99% from the prior redevelopment projects are underway
year’s rate of 8.14%. The CBD vacancy that include a large office component.
increased to 14.5% while the Jetplex/
Rental rates have increased in the
Madison market decreased to 14.06%.
Huntsville market for Class-A and B
Most vacancies in all three submarkets
space. Class-A space now leases in the
are located in older, Class-C buildings
low to mid $20.00 psf range (full service)
that might be candidates for a re-
while Class-B space generally leases in
development project.
the $18.50 psf to low $20.00 psf range.
New construction in Huntsville has Annual rent increases average 2% to
been active in all sectors, especially in 3% and free rent is not being offered as
the Redstone Gateway development. A much as in the past.
couple of new office building projects19
OFFICE ABSORPTION VACANCY RATES
2020: 973,000 892,000
SINGLE MULTI
MARKET OVERALL
TENANT TENANT
SQUARE FEET SQUARE FEET Cummings
1,000,000
Research 4.25% 13.13% 6.99%
FEET
800,000 Park
SQUARE
600,000
Jetplex/
400,000 0% 17.13% 14.06%
Madison
200,000
0 Central
Business 7.30% 15.29% 14.55%
-200,000
2016 2017 2018 2019 2020 District
MARKET SF VACANT SF 2020 2019 2018 2017 2016
Single Tenant 9,825,427 SF 414,664 SF 4.22% 6.31% 4.06% 6.32% 7.87%
Multi-Tenant 9,473,794 SF 1,372,191 SF 14.48% 13.97% 16.38% 17.53% 24.39%
Total Office 19,299,221 SF 1,786,855 SF 9.26% 10.40% 10.64% 12.26% 16.63%
Office Announcements of Note in 2020
Redstone Arsenal was selected as the preferred headquarters for the new Space Command
program. Huntsville was chosen over six other sites that compared infrastructure, community
support, and costs. The decision is pending results from an environmental impact analysis. The
project would employ 1,400 people once fully operational. Redstone Arsenal employs more than
40,000 employees to serve 65 various federal agencies on the base.
The Redstone Gateway project has grown dramatically during the last three years and now has
more than 1.3 million sf of office, warehouse, and retail space on its campus. The project has
fourteen properties and is 100% leased at this time. The average age of the buildings is five years
old. Three new building projects are under development that will offer 156k sf of space once
completed. The tenant mix includes Boeing, Yulista, DRS, Cummings Aerospace, and Spaces.20 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
CENTRAL BUSINESS DISTRICT
OFFICE MARKET
Redstone Federal Credit Union21
[ 3.66 MILLION SF TOTAL ]
OVERALL VACANCY 14.55%
SINGLE TENANT 7.30%
MULTI-TENANT 15.29%
Recent developments in the Central Business
District Office Market:
• The 67,000 sf Redstone Federal Credit
Union building on Davis Circle completed
construction in late 2020. The building will be
home to Redstone’s mortgage, insurance, and
investment services business units.
• The two Wells Fargo buildings located on
Franklin Street and Madison Street were sold
to a local investment group. Wells Fargo will
remain in the office building. The owners will
look for a new tenant to backfill the existing
branch building.
• The former Law Library located at 205 Eastside
Square sold to a local LLC for $128 per sf. The
building is 12,600 sf and features three floors
of open office space and a basement.
• The 220,000 sf Lincoln Mill was purchased
by a local team of investors and will undergo
a redevelopment project that will include
painting, additional parking and lighting,
updated elevators, and other tenant specific
improvements. The building was originally
The Huntsville downtown/central business built in 1900 and was the office to many of the
early NASA engineers.
district (CBD) office market consists of
approximately three and half million sf and is Major area tenants include: Regions Bank,
dominated by the business and health sectors Bryant Bank, The City of Huntsville, BB&T, Lanier
Ford Attorneys at Law, Bradley, and Huntsville
including law firms, banking, accounting,
Hospital.
and real estate companies. City, county, and
government employees also make the CBD
their home.
Vacancy in the CBD increased slightly to
14.55%, up from the previous year’s 14.13%
rate. Construction has been active with four
new hotels, two multi-family projects, two
new office buildings, and a large parking deck
slated to be complete by 2022. The need for
additional Class-A office space is beginning
to be met with a couple of new office building
offerings. Land prices continue to appreciate
with recent sales over $50 psf.22 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
JETPLEX/MADISON OFFICE
MARKET
Toyota Field23
[ 1.70 MILLION SF TOTAL ]
OVERALL VACANCY 14.06%
SINGLE TENANT 0.00%
MULTI-TENANT 17.13%
Vacancy for the Jetplex/Madison office Recent developments in the Jetplex/Madison
Office Market:
market decreased in 2020 to 14.06%, down • The multi-use development along Highway
from the previous year’s 20.15% rate. Vacancy 72 has plans for a 350,000 sf medical
rates in Madison have now dropped five office building. Retail, multi-family, and
residential construction has already begun
years in a row. at the development.
Madison is one of the fastest growing cities • Development on County Line Road
in the state of Alabama and the demand continues to accelerate with a large
amount of announced retail transactions
for medical and business services remains and a new 10,000 sf medical building
strong. Many medically related office and under construction. 12205 County Line
financial services buildings have been built Road, a 25,400 sf medical building
constructed in 2008 sold for $130 per sf.
in the Madison market in the last three years.
Both Crestwood and Huntsville Hospital have Major area tenants include: Palco, Intergraph,
a presence in Madison. Boeing, Huntsville Hospital, and Progress
Bank.6.75AC Dynetics Field Dynetics 9 AC Industries Education Complex
26.79 AC 10.23 AC
Enterpr
MTA / Network
11.96 AC 21 AC 14 AC Dynetics Gideon
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Dynetics 7 AC
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11.92AC Dynetics 6.5 AC
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18 AC Bldg. 2
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Future Research HII
Bldg. 1 URS / Siemens /
10.64 AC i3 / MCR M3 Superior Solutions
Dynetics 11 AC
7.3 AC Qualis Bldg. 3
8.75 AC 10.09 AC Discovery Place LSINC / T&W Operations /
13.26 AC 24 AC Trideum NetWorx
Delta 6 AC
12.38 AC Research Kord
7.97 AC 5 AC Technologies 5.35 AC IRS
27 AC
7.61 AC 15.47 AC 10.63 AC Dynetics
HII Yulista 635 Discovery
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Future S3, Inc.
Mar
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10.75 AC 6.57 AC Intrepid 12 AC
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12.71 AC Utilities 5 AC
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3.2 AC Rolls Royce / Colonial Center
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10.6 AC 10.34 AC SDI / 10 AC
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8.47 AC Sierra Nevada
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9.2 AC BAE Systems /
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9.6 AC 10 AC Orbital ATK / Lake 1
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5 AC Quantum
Research BWXT
9.6 AC Aerojet
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CFDRC / Rocketdyne
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7.8 AC 9.31 AC
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Farrow Road Medicine
Davidson
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7.7 AC Pr
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Jackson AT&T
5 AC 8.07AC HudsonAlpha Center
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18.35 AC
43.92 AC
6.16 AC Lake 3 Colsa Lake 2
9.22 AC 5.91 AC ADTRAN
Columbia rive
19.23 AC
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Moq ARC /
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~ 50 acres 7.35 AC
35.88 AC Bentley
5.21 AC rive 7 AC
Park Place
CRP Landmark Site 6.4 AC 18 AC Synapse
Wireless /
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9.3 AC
4.6 AC 12.3 AC SAIC / Leidos 6.2 AC
Explorer Boulevard FPMI InterFuze
86 AC
9.3 AC The Point
11.3 AC
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Dynetics / 11.78 AC ASRC Aviagen
7.9 AC Raytheon / Vencore Federal
Logicore
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The SI /
10.75 AC Telephonics 11.1 AC
8.3 AC
Voyager Way
Bob He
Jan Davis Drive
Digium, Inc.
11.35 AC Decibel Lake 4 10.91 AC
Rockwell 6.78 AC
Collins Cubic GATR
Technologies 6.08 AC
18.12 AC 6.43 AC Eagle Drive
Northrop 9.67 AC
AEgis Technology Service
20 AC Technologies 11 AC Grumman CSRA / Trimble /
Corporation / MTS Trident Technologies /
6.49 AC
6.22 AC 8.7 AC ERC / DynCorp International /
Cummings Aerospace ExoAnalytic Solutions /
Northrop Booz Allen Hamilton
Raytheon L3 /
Company 14 AC Grumman
11 AC Summit 7 Bridge Street Town Centre
8.2 AC KBRwyle 8.64 AC
9.5 AC
Old Madison Pike
Technology Pointe
UAH KBRwyle
Defense
Foundation Parsons
Acquisition Progress Center
(Zoned Park West
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University
Quality Circle
DirecTV Center Research Park Office Center
Diamond Drive
rnors W
CRP West) CRP Applications
18 AC The Bridges Lake 5
Gove
BPI
CINRAM Hampton Inn & Suites
305 Quality Circle Home2 Suites by Hilton
Huntsville Highland
Hospital Office Park
Catholic
High School Huntsville
Cabela's
Hospital
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Shearer & Corporate Office Park Residence Hall
Associates Stratolaunch / Snelling
Studio 106 Frank Franz Hall
Corporate Drive Johnson Controls /
Moog / Red Hat
Ben Graves Drive
Sigmatech / Executive Plaza Morton Hall
Vertiv PeopleTec Victory Solutions / Faulkner
University Office Park
Social Security BRC Technology Center Ho Union Grove Gallery &
Lockheed Strayer University lm BizTech Meeting Hall
Administration Baron Martin Chugach es Spragins Hall
A-P-T Services Yulista Kratos Av Bevill University
Defense & 401 Wynn en Center Center/
Roberts
Research / Qualitest
Security Radiance ue Hall/Roberts
OMI SEAC Drive Exhibit Hall Recital Hall
Research Drive Central
Dr ive
Solutions Technologies, Inc.
Campus Amphitheater
Intuitive Center at Avion Paragon at 511 Residence Hall Nursing
Research Center DESE Research /
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SENTAR Salmon Building
Gleason Research Associates / MBDA / Wilson Hall/
Titertek Instruments Library
Ben Gra
INTUITIVE / Wilson Theatre
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Pinnacle Solutions Research Place SPS / Chan Auditorium
Wynn Dri
MSSI
Sparkman Drive
Rainbow Business
Daycare 306 Wynn Lockheed Martin Administrative
Fire Station #12
Drive Building Holmes Avenue
Sikorsky Northrop
Aircraft Amtec Lockheed Martin Charger Union University
Grumman
remier Fitness
Selex Galileo /
University Greenway
eschool Tecvox Intermodal Center
Hawk Enterprises Shelby Center Parking Facility
Bradford Drive SWIRLL
for Science & Public Safety Fraternity/
SimTech / RFCU KRS, LLC / Willbrook Technology
(Severe Weather Institute Sorority Row
Aranea Solutions / F1 Solutions Solutions Charger Village
U.S. Army Corps 4975 Research and Lightning Food Court
of Engineers Bradford Redstone 4815 Laboratory)
Charger
Federal Bradford Robert “Bud” Cramer Student Village I Southeast
Credit Union Benchmark Research Hall Service Campus
Electronics (NSSTC & NOAA Weather Building Housing
Forecasting Office) Credit Union
mic Concepts / Charger Way
Engineering
John Wright Drive
Teledyne Optics Building
Gilmer Drive Northrop Brown Building/
Grumman Engineering Admissions McDonnell Douglas Charger Park
ent Strata-G Auditorium
Solutions Wernher Materials Science
Technical von Braun
Micronics Building
AT&T Research Hall
Controls Ares Corp.
Solar Energy
UAH SMAP Research
215 Wynn
Drive Physical Plant
e
lo gy Driv Johnson
Techno Research Central Receiving
Cummings Research Park ROC/CAMO Spacehab Olin B. King
Business Services
Building/ WLRH Center
Radio & Shipping
106 Wynn Technology Hall Copy Center
More than 50 Years of Success Drive
103 Wynn
General
Dynamics Shelbie
Station Propulsion
Research Lab
3,843 acres Drive King Hall
11.8 million square feet e
vill
Advanced Systems AAR Integrated
Almost 300 companies total Technologies
ts
Hun
Technology
(United Technologies)
More than 26,000 employees
nt ow n
13,258 enrolled college students
D ow
May 2018
Established in 1962, Cummings Research Park (CRP) is one of the CRP West
largest and most-respected research parks in the world. Since its Interior Lots
inception CRP has grown to become the second-largest science and (Lots that do not front Park boulevards, and must be accessed via
technology park in the U.S. and fourth-largest in the world. non-boulevard roads)
CRP, as shown here, encompasses 3,843 acres and includes nearly 12 Boulevard Non-Access Lots
million square feet of administration, laboratory, research and (Lots that have property frontage on boulevards, but are accessed from
non-boulevard roads)
development, classroom and manufacturing space.
Approx. 310 acres of land are available for development in CRP West. In Boulevard Access Lots
(Lots that have property frontage on and are directly accessible via boulevards)
order to stimulate economic development and investment, the price of
land per acre in CRP is significantly lower than adjacent property, Lakeside Lots
providing an attractive incentive for new and expanding companies.
Outside of official CRP boundaries
Land parcels in CRP West range from four acres (minimum) to 18 acres,
but may also be reconfigured to meet company requirements. For each
parcel, the City of Huntsville will complete basic site preparation Acreage depicted on this map should be confirmed with CRP Director if interested.
including road access, curbing, drainage, telecommunications, and For more information and undeveloped land prices, contact Erin Koshut at
utilities to the site. 256.535.2086 or ekoshut@hsvchamber.org
CummingsResearchPark.com Scale in Miles
0 1/4 1/2 3/426 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
CUMMINGS RESEARCH PARK
OFFICE MARKET
Redstone Gateway27
[ 13.91 MILLION SF TOTAL ]
OVERALL VACANCY 6.99%
SINGLE TENANT 4.25%
MULTI-TENANT 13.13%
The Cummings Research Park (CRP) Recent developments in the Jetplex/Madison
submarket remained steady as vacancy rates Office Market:
• The plans for the new 8,000 capacity
decreased to 6.99% down from the previous amphitheater development were approved.
year’s 8.14%. Multi-tenant vacancy increased Construction will begin in 2021 with plans
to 13.13% while single tenant vacancy fell to to be opened in 2022. The amphitheater
is a key component for the MidCity
4.25%. Development which now includes Topgolf,
Many companies in CRP are defense- Dave & Buster’s, REI Co-Op, and the newly
announced Trader Joe’s.
related and depend on the government
• A six-property office portfolio sold for $83
for the funding of military projects. Many million to an out of town investment group.
of the companies in CRP have expanded The portfolio consists of more than one
their footprint in the last three years, and million sf of Class-A and B office space and
includes the Northrop Grumman building in
money allocated for defense programs has CRP and the Regions building in the CBD.
improved. The buildings were 97% occupied at the
time of the sale.
CRP is the largest office market in Huntsville
• Yulista moved into its new headquarter
with more than twelve million sf, representing buildings in Redstone Gateway. The
greater than 70% of the total Huntsville company consolidated multiple office and
office market. Cummings Research Park industrial locations in CRP and Jetplex into
more than 364,000 sf of newly built office,
is the second largest research park in R & D, and warehouse space at Redstone
the United States, encompassing 3,843 Gateway.
acres. Only 430 acres remain for future • Construction for the Alabama School
development. The range of companies in the of Cyber Technology and Engineering
(ASCTE) began at the intersection of
park includes Fortune 500 companies, local Bradford Drive and Wynn Drive. The
entrepreneurial start-ups, biotechnology school will open at Oakwood University
and defense related firms. in the fall of 2021, then move into the new
facility upon completion which is slated
Most companies in CRP act in a support for summer of 2022. ASCTE is a state-
role to meet various demands for military level magnet school that will specialize in
the integration of cyber technology and
installations located on Redstone Arsenal. engineering.
Redstone is home to the U.S. Army Aviation
and Missile Command (AMCOM), the Space Major area tenants include: Dynetics, Adtran,
and Missile Defense Command, numerous Northrop Grumman, Lockheed Martin, and
Program Executive Offices (PEO), and major numerous other high-tech companies.
components of the Defense Intelligence
Agency and the Missile Defense Agency.GRAHAM SERVICES
30 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
GRAHAM SERVICES
INVESTMENT
DEVELOPMENT BROKERAGE SALES
Graham & Company has a market-leading office platform
with bolstered development capabilities. Graham’s client-
centric philosophy and growth-oriented approach as well
as a shared culture of teamwork, integrity, and service
position it to offer “best-in-class” real estate services.31 DEVELOPMENT/CONSULTING Graham & Company’s development group assembles and works closely with teams of architects, engineers, and contractors to create both build-to suit as well as speculative developments. Graham’s development group also procures financing, negotiates leases, and establishes property management systems for its development projects. Graham has been involved in the development of industrial properties, office buildings, office/service centers, and office building rehabilitation projects throughout the Southeast. BROKERAGE Graham & Company’s brokerage division provides sales and leasing services in four key sectors of commercial real estate: office, industrial, land, and investment. Graham agents consistently rank among the best in their prospective markets. However, it’s not the numbers that reflect the Graham way, it’s the ability to examine each deal through the eyes and sensibilities of its clients that separates Graham from the other industry leaders. INVESTMENT SALES In addition to brokerage and development, Graham & Company offers investment sales services. Our in-house team has the experience and capability to produce quality offering memorandums, actively market assets for sale, source potential investors, and successfully navigate the closing process.
32 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
CORPORATE SERVICES
Brokerage Build-to-Suit Process
Representing clients in the negotiation, Develop custom properties and facilities
structuring, and execution of leases to meet our client’s needs
Construction Management Valuation Services
Consulting, oversight, and project Broker opinions of value, and other
management of various build outs/ financial models to better help you
construction projects make wise and advantageous real estate
decisions33
Facilities Management Strategic Planning
Lease administration, portfolio Developing plans to harmonize strategic
management, site management, etc. business goals with property and facility
decisions
Real Estate Tax Consulting Debt Solutions
Negotiating appropriate tax valuations Leveraging debt relations to negotiate
for existing or new properties optimal terms for new acquisitions or
existing properties
Graham & Company serves corporate and
institutional clients by offering a comprehensive
platform of real estate services across
geographic locations and property types.GRAHAM TRANSACTIONS & AVAILABILITIES
36 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
GRAHAM TRANSACTIONS
SOLD LEASED LEASED
2308 Meridian Street 130 Vintage Drive 3414 Governors Drive
Huntsville, AL Huntsville, AL Huntsville, AL
160,000 SF 277,883 SF 9,806 SF
Graham represented the buyer Graham represented both the Graham represented
in purchasing this multi-building landlord and tenant in leasing Performance Drone Works
storage warehouse facility. this industrial facility. in leasing office space at
George Twitty, Jr. Bart Smith, CCIM, SIOR Stovehouse.
Jeremy D. Pope, CCIM, SIOR Bart Smith, CCIM, SIOR
SOLD SOLD LEASED
2313 Whitesburg Drive 912 Winchester Road 5323 Endeavor Way
Huntsville, AL Huntsville, AL Tanner, AL
4,000 SF 10,952 SF 252,800 SF
Graham represented the buyer Graham represented the Graham represented Custom
in purchasing this facility for owner in the disposition of this Assembly in its lease of this
medical use. industrial facility. industrial facility.
George Twitty, Jr. George Twitty, Jr. Jeremy D. Pope, CCIM, SIOR37
SOLD LEASED SOLD
2094/2100 Fisher Street 355 Quality Circle 409 Madison Street & 408
Huntsville, AL Huntsville, AL Franklin Street, Huntsville, AL
16,421 SF 58,883 SF 17,816 SF
Graham represented the Graham represented Dynetics in Graham represented the owner
owner in the disposition of this leasing this industrial facility. in the disposition of this office
industrial facility. Bart Smith, CCIM, SIOR facility in downtown Huntsville.
George Twitty, Jr. Bart Smith, CCIM, SIOR
Tyler Fanning, SIOR
LEASED LEASED LEASED
1000 James Record Road 905 James Record Road 905 James Record Road
Huntsville, AL Huntsville, AL Huntsville, AL
124,097 SF 67,285 SF 49,325 SF
Graham represented the Graham represented the Graham represented the
landlord in leasing this industrial landlord in leasing this industrial landlord in leasing this industrial
facility to UPS. space to JIT Services. space to High Sec Labs.
Jeremy D. Pope, CCIM, SIOR Jeremy D. Pope, CCIM, SIOR Jeremy D. Pope, CCIM, SIOR38 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
Oakwood Road
SUBJECT
Johns Road
SOLD LEASED SOLD
1241 Gnat Pond Road 495 Production Avenue Oakwood Road
Leighton, AL Madison, AL Huntsville, AL
47,500 SF 19,200 SF 2.35 Acres
Graham represented the Graham represented the Graham represented the buyer
owner in the disposition of this landlord in leasing this space to in purchasing this land site.
industrial facility. GigaParts. Tyler Fanning, SIOR
Jeremy D. Pope, CCIM, SIOR Jeremy D. Pope, CCIM, SIOR
rm Blvd
Chase Fa
SUBJECT
Swancott Rd
SOLD
25025 Chase Farm Boulevard,
Madison, AL
8.74 Acres
Graham represented Penske in
purchasing this industrial land
site in the Greenbrier area.
Tyler Fanning, SIOR39
AVAILABILITIES
LEASE LEASE LEASE
Sparkman Drive
Wynn
SUBJECT
Drive
Pike
ison
MERIDIAN STREET Old
Mad
140 SPARKMAN DRIVE 670 DISCOVERY DRIVE
WAREHOUSES
2308 MERIDIAN STREET 140 SPARKMAN DRIVE 670 DISCOVERY DRIVE
HUNTSVILLE, AL HUNTSVILLE, AL HUNTSVILLE, AL
AVAILABILITY: 5,000 SF - 50,000 SF AVAILABILITY: Up to 219,000 SF AVAILABILITY: 38,000 SF
• Storage warehouse facility • Industrial/flex campus within Cummings • Located within Cummings Research Park
• Yard space available Research Park East West
• Located within an Opportunity Zone • Situated on a 10-acre campus
George Twitty, Jr.
• Additional pad site available
georget@grahamcompany.com Bart Smith, CCIM, SIOR
barts@grahamcompany.com Bart Smith, CCIM, SIOR
Tyler Fanning, SIOR barts@grahamcompany.com
tylerf@grahamcompany.com Tyler Fanning, SIOR
tylerf@grahamcompany.com
SALE/LEASE LEASE LEASE
23366 BIBB GARRETT
150 VINTAGE DRIVE RUNWAY DISTRIBUTION ROAD
150 VINTAGE DRIVE 230 LARACY DRIVE 23366 BIBB GARRETT ROAD
HUNTSVILLE, AL HUNTSVILLE, AL TANNER, AL
AVAILABILITY: 269,981 SF AVAILABILITY: Up to 208,000 SF AVAILABILITY: Up to 305,760 SF
• Fully conditioned facility within Chase • New construction in Jetplex Industrial • Class-A industrial facility at the NW
Industrial Park Park corner of I-65 & I-565
• State-of-the-art cross dock facility • 48 docks with 2 wide drive-in ramps • Expandable by 200,000 SF
• 31’ clear height • 32’ clear height • Custom TI packages and incentives
• Only 1.5 miles to the I-565 interchange available
Jeremy D. Pope, CCIM, SIOR
jeremyp@grahamcompany.com Jeremy D. Pope, CCIM, SIOR Bart Smith, CCIM, SIOR
jeremyp@grahamcompany.com barts@grahamcompany.com
Jeremy D. Pope, CCIM, SIOR
jeremyp@grahamcompany.com40 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
SALE LEASE INVESTMENT SALE
VD
SUBJECT
BL
H C
AR
SE
RE
E )
LABL 20
AVAI RES
AC WY
8.3
D (H
AR
EV
OUL
O NB
DIS
MA
MADISON BLVD. LAND 135 WESTCHESTER DRIVE 4701 ANGLER DRIVE
MADISON BOULEVARD 135 WESTCHESTER DRIVE 4701 ANGLER DRIVE
MADISON, AL MADISON, AL HUNTSVILLE, AL
AVAILABILITY: 8.3 Contiguous Acres AVAILABILITY: 25,000 SF AVAILABILITY: 5,190 SF
• Convenient ingress/egress via traffic • New and planned construction in the • Investment opportunity
signal at Research Boulevard Jetplex area • Truck repair shop
• Highly visible location with frontage on • Located off Madison Blvd. just west of
Jeremy D. Pope, CCIM, SIOR
Madison Boulevard Wall Triana Hwy.
jeremyp@grahamcompany.com
• Close proximity to Town Madison
Jeremy D. Pope, CCIM, SIOR
Tyler Fanning, SIOR jeremyp@grahamcompany.com
tylerf@grahamcompany.com
LEASE Robinson Street SALE SALE
SUBJECT SITE
20+ Acres
Priceville Junior High School
Bethel Road
240 HIGHWAY 31 HIGHWAY 67 LAND 600 COLLEGE STREET
240 HIGHWAY 31 HIGHWAY 67 600 COLLEGE STREET
HARTSELLE, AL PRICEVILLE, AL ALBERTVILLE, AL
AVAILABILITY: 10,000 or 16,000 SF AVAILABILITY: 20 Acres AVAILABILITY: 17,766 SF
• Retail opportunity • Excellent visibility along Hwy. 67 • Two-story office building less than 1 mile
• Highly visible location with access from • Less than 1 mile from I-65 from Hwy. 431
Hwy. 31 and Hwy. 36 • 3-phase power with 100 Kilowatt natural
George Twitty, Jr.
gas generator
George Twitty, Jr. georget@grahamcompany.com
georget@grahamcompany.com Tyler Fanning, SIOR
tylerf@grahamcompany.com41
LEASE BUILD-TO-SUIT SALE/LEASE
565 LOGISTICS CENTER BTS OPPORTUNITY 2860 DENTON ROAD
565 LOGISTICS CENTER PRODUCTION COURT 2860 DENTON ROAD
HUNTSVILLE, AL MADISON, AL TUSCUMBIA, AL
AVAILABILITY: Up to 144,750 SF AVAILABILITY: 3 Acres AVAILABILITY: 10,487 SF
• Planned construction in the Greenbrier • Build-to-Suit opportunity • Office/warehouse facility with 10-ton
area; available 3Q 2021 • Located in the Jetplex area crane
• 32’ clear height • 1,200 amp 3-phase power
Jeremy D. Pope, CCIM, SIOR
• 30 dock doors • Fenced yard area
jeremyp@grahamcompany.com
Jeremy D. Pope, CCIM, SIOR George Twitty, Jr.
jeremyp@grahamcompany.com georget@grahamcompany.com
LEASE LEASE SALE
1V
K
VH
YKH
Z9
U9
SK
OPL
VH
:
K
SUBJECT
/PNO^H` ,HZ[
13800 MOORESVILLE
296 NICK FITCHEARD
Photo representative of typical construction.
HIGHWAY 72 EAST LAND
ROAD
296 NICK FITCHEARD ROAD 13800 MOORESVILLE ROAD HIGHWAY 72 EAST
HUNTSVILLE, AL ATHENS, AL HUNTSVILLE, AL
AVAILABILITY: 10,000 SF AVAILABILITY: 60,000 SF AVAILABILITY: 28 Acres
• New construction in the Spacegate area • Convenient access to Hwy. 72, I-65 & • Within the Huntsville city limits; zoned
• 2 dock doors; 1 drive-in door I-565 R2A (multi-family)
• 18’ - 21’ ceiling height • Dock high and ground level loading • Approved for 408 units
• Ample land to accommodate yard
Jeremy D. Pope, CCIM, SIOR Bart Smith, CCIM, SIOR
requirements
jeremyp@grahamcompany.com barts@grahamcompany.com
Jeremy D. Pope, CCIM, SIOR
jeremyp@grahamcompany.comABOUT GRAHAM & CO
44 Graham & Co | 2021 GRAHAM REPORT | HUNTSVILLE, AL
GRAHAM & CO – HUNTSVILLE
BA RT SMITH, CCI M, SI OR J E R E M Y D. P O P E , CC I M, S I OR
MA N AGIN G B R O K E R S E NI OR V I C E P RE S I DE NT
barts@grahamcompany.com jeremyp@grahamcompany.com
J O IN E D G R A HA M & COMPANY: 2002 J OI NE D GRAH AM & COMPANY: 2000
AF F ILIATIO N S/HO NORS: AF F I L I AT I ONS / H ONORS :
• Certified Commercial Investment • Certified Commercial Investment
Member (CCIM) designation Member (CCIM) designation
• Society of Industrial & Office • Society of Industrial & Office
Realtors (SIOR) designation Realtors (SIOR) designation
• Alabama Commercial Real Estate Center (ACRE), • Member NAIOP – AL Chapter
Leadership Council • Huntsville/Madison County Convention & Visitors Bureau,
• Alabama CCIM Chapter, President of Board of Directors Board Member
• Huntsville Rotary Club C L I E NTS I NC LU DE :
• Huntsville Land Trust – Board Member • AZ Technology • Boneal Aerospace • Custom Assembly
• First Methodist Church – Board of Trustees • Kaman International • Parksite • Space & Rocket Center
• 9 Round Fitness • Intergraph • Huntsville Hospital
CLIE N TS IN C LUDE :
• Kuehne & Nagel • Harris Corporation
• Sanmina-SCI • Northrop Grumman • Cisco • COPT
• International Truck & Engine
• Stanley Corporation • Wells Fargo Securities • DirecTV
• ATK • MITRE • Dynetics • AEGON • Orbital Sciences
• Booz Allen Hamilton • MetLife • Rockwell Collins
G E O R G E TW I TTY, J R .
V I C E P RE S I DE NT
georget@grahamcompany.com
TY LER FANNIN G , sior J OI NE D GRAH AM & COMPANY: 2018
VIC E P R E SIDE N T
AF F I L I AT I ONS / H ONORS :
tylerf@grahamcompany.com
Alabama Real Estate Salespersons
J O IN E D G R A HA M & COMPANY: 2007 License – 2018
AF F ILIATIO N S/HO NORS:
• Society of Industrial & Office
Realtors (SIOR) designation
• CCIM Candidate (Certified
Commercial Investment Member)
• Huntsville Rotaract Club, Member
• Huntsville Committee of 100 Young Professionals
Initiative, Member
• Huntsville High School Wrestling Coach
CLIE N TS IN C LUDE :
• MITRE • Prometric • PNC Bank • Aerospace Corporation
• Stephen Gould Corporation • Wells Fargo Securities
• Southern Research • DRS • LBYD Engineering45 ERIKA HA RLESS JAS O N B E AC H R E A L E STATE ASSISTANT B U I L DI NG E NGI NE E R erikah@grahamcompany.com jasonb@grahamcompany.com J OIN E D G R A HA M & COMPANY: 2004 J OI NE D GRAH AM & COMPANY: 2020 B LANCH ROGERS JOHN WILLIAMS P R O P E RTY MA N AGER B U I L DI NG E NGI NE E R blanchr@grahamcompany.com johnw@grahamcompany.com J OIN E D G R A HA M & COMPANY: 2014 J OI NE D GRAH AM & COMPANY: 2020
A B O U T G R A H A M & CO M PA N Y
Founded in 1978, Graham & Co is a full-service commercial real estate firm based in Birmingham, with offices in Birmingham and
Huntsville, Alabama and the Gulf Coast, Florida. The company offers professional services including sales, leasing, property management,
corporate services, consulting, investment, and development. In response to client demand, Graham has systematically extended its
range of services and geographic reach, now serving clients throughout Alabama and several surrounding states.
C O M M U N I T Y I N V O LV E M E N T
At Graham & Co we recognize that our clients can enhance the value of their property, business, and/or investment if the community
in which they live, and work is vibrant and healthy. Graham and its employees continue to give back to the community in a number of
ways including volunteering time and energy in support of a variety of community and social causes.
A F F I L I AT I O N S
NAIOP–Commercial Real Estate Development Association
SIOR–Society of Industrial & Office Realtors IREM–Institute of Real Estate Management
CCIM–Certified Commercial Investment Member LEED–Leadership in Energy and Environmental Design
CRE–Counselors of Real Estate ULI–Urban Land Institute
G R A H A M & CO M PA N Y P E R SO N N E L
PRINCIPALS FINANCE PROPERTY MANAGEMENT
Mike Graham, CPM, SIOR Charlie Crane Theresa Baker
Steve Graham, MAI, CRE Micia Hardaway Jacob Kines
Janice Ivy Thomas Michael
INDUSTRIAL GROUP David Walker, CFO Edward Nobinger, PA, FMA, CFM
Jack Brown, SIOR Tana Welch Leslie Williamson
John Coleman, SIOR
Sonny Culp, SIOR OFFICE GROUP
HUNTSVILLE OFFICE
Ogden Deaton, SIOR Walter Brown, SIOR
Jason Beach
Courtney DeShazo Sam Carroll IV, SIOR
Tyler Fanning, SIOR
Joelle Rogers Bo Grisham
Erika Harless
Jordan Tubb, SIOR Jerry Grant, CCIM
Jeremy Pope, CCIM, SIOR
Matt Gilchrist
Blanch Rogers
INVESTMENT Lauren Limbaugh
Bart Smith, CCIM, SIOR
Matthew Graham Dan Lovell, SIOR, LEED AP
George Twitty, Jr.
Charles H. Simpson
John Williams
MARKET RESEARCH ANALYST
Matt Rowan CLIENT SERVICES MANAGER
GULF COAST OFFICE
Christie Neely
Jason Carnes
DEVELOPMENT
Kevin Williams, CCIM
Henry Graham II GRAPHIC DESIGN
Joel Dorning
CORPORATE SERVICES
Hayden Scott, MAI RECEPTION
Eleanor Caver
Susan Plate
INDIVIDUAL
MEMBERSHIPSHUNTSVILLE | ALABAMA
2021 OFFICE MARKET SURVEY GRAHAM & CO 305 Church Street Suite 710 Huntsville, AL 35801 256.382.9010 www.GrahamCompany.com
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