Birmingham’s tallest building goes into receivership

A landmark building in Birmingham has gone into receivership after failing to generate enough revenue to cover its loan requirements, according to a report in the Birmingham Business Journal.

The 34-story ship tower is facing occupancy struggles, a trend for commercial real estate in a post-COVID-19 environment.

Prior to Shipt’s branding, the structure was built in 1986 and was known as the SouthTrust Tower until 2005. After SouthTrust’s merger with Wachovia, it became the Wachovia Tower in 2005. In 2010, it became the Wells Fargo Tower, and in 2020, became the Tower of the Ship.

The problems for the Shipt Tower are not the only commercial property problems for Birmingham.

Also, according to the Birmingham Business Journal, a recent analysis of commercial mortgage-backed securities data showed that Birmingham had 162 loans with a combined balance of $633 million due as of the end of this year.

Jeff Poor is the editor-in-chief of 1819 News and host of “The Jeff Poor Show,” heard Monday through Friday, 9 a.m. to noon, on Mobile’s FM Talk 106.5. To connect or comment, email [email protected] or follow him on Twitter @jeff_poor.

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