FOR SALE: Midtown Centre | Publix Shadow in Huntsville MSA

Colliers is pleased to offer qualified investors the opportunity to acquire a recently constructed Publix shadow strip center in the Huntsville, AL MSA. The subject property is an outparcel to a strongly performing, newly developed +60,000 SF Publix. Investors will benefit from the subject property’s dynamic tenant mix, which includes 100% national tenants, such as Jersey Mike’s, T-Mobile, and a drive-thru Starbucks. Each tenant executed a ten-year lease with 10% annual rental escalations, providing for increased NOI growth and a stabilized asset via long lease terms. The tenant mix, which is 100% e-commerce resistant, is a service-oriented mix that is highly sought after by landlords. Furthermore, the new construction and attractive design limits near-term capital expenditure (CAPEX) exposure and enhance visibility.

The property can be accessed via multiple access points, with the main located at a signalized intersection off US-31, allowing for both right and left ingress and egress. The subject property is situated in a robust trade area, surrounded by the nation’s top retailers, downtown Athens, and directly across from Athens High School, which has over 1,200 students. Additionally, the property sees strong traffic counts and excellent at-grade visibility.

Athens, Alabama, is located in Limestone County, which is the fastest-growing county in the state of Alabama for four years straight. The Huntsville MSA has experienced outstanding growth. Huntsville’s GDP has climbed 79% from 2008 to 2022, from $21.2 billion to $38.1 billion. The Huntsville MSA is one of the fastest growing in the nation. Home to the economic engine of the Redstone Arsenal, a military base with over 75 tenant agencies, the arsenal has an annual payroll of $3.3 billion. Not only does Redstone economically impact North Alabama, but it also significantly impacts the entire region. Furthermore, Mazda Toyota opened a $2.3 billion, 3.7 million-square-foot plant in Huntsville, which is expected to have a spin-off effect of 16,000 jobs. In summary, the Huntsville MSA is transforming into one of the most sought-after MSAs in the nation.