Birmingham’s tallest building in possible financial trouble

BIRMINGHAM, Ala. (WIAT) — Birmingham’s tallest building is in possible financial trouble, the CEO of REV Birmingham said, as the building’s owners have taken it into legal action.

The news about the Ship Tower has some in Birmingham city center worried. David Fleming, CEO of REV Birmingham, a non-profit organization whose mission is to revitalize the city, says people shouldn’t worry.

“The ship tower that is facing the things that many office buildings across the country and downtown groups are facing, is the future of office, the need and demand for office,” Fleming said.

According to REV Birmingham, since the pandemic, remote working has increased. Even with fewer people coming to the office, Birmingham city center has remained healthy. Class A buildings such as the Ship Tower are currently at 81% occupancy.

“When we look at the national average, after Covid, Birmingham city center is better than the national average. In terms of recovering from that big event, we have some good fundamentals,” noted Fleming.

Clark Alexander runs Gus’s Hotdogs, a downtown business since 1947. He says that with all the positives coming to Birmingham, the news of the Shipt tower doesn’t worry him.

“There are too many things coming up, too many opportunities coming up, so many different businesses coming up,” Alexander commented.

REV Birmingham says they are about to start a study of the city center to find ways the city can increase occupancy and the quality of the area.

“So that we can really see what the best opportunities are for Birmingham going forward,” Fleming added.

A spokesperson for Shipt, the anchor company for the Shipt tower, told CBS 42 that due to the lease they cannot comment on the building or the residence, but said the company is committed to Birmingham and its employees who live here.