ASREF’s $3.4M investment contributed to the renovation of this historic hotel in Birmingham, Alabama.
The Kelly Hotel redeveloped the historic Commerce Building, situated in the southeast quadrant of the Central Business District and equidistant from two major demand drivers: UAB Health System and the Birmingham-Jefferson County Convention Complex. The 77,949 SF historic building had been vacant for over 10 years and had fallen into disrepair. Upon completion, the Kelly Hotel features 96 rooms, a restaurant, lobby bar and a speakeasy bar concept on the lower level. The top level of the building features a 4,000 SF residential condominium. The Morris Avenue building also features 5,500 SF of retail space on two levels that accommodates multiple retail tenants and restaurants and additional job demand at the project.
| Asset Type | Hospitality |
| Development Type | Redevelopment |
| Previous Use | Office/ Retail |
| Investment Closing Date | 2019-12-23 |
| Total Development Area | 77,949 SF |
| Construction Timeframe | Start: Jan 2020; Finish: Dec 2021 |
$16.0M
$8.6M
$24.6M
$3.4M
$1.3M
$2.8M
$8.0M
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RHAGLAN HOSPITALITY LLC, based in Birmingham, Alabama and founded by Jim Lewis, is a hotel developer and operator with over $150 Million of completed commercial projects (over 700 hotel rooms) to its credit. Many of Rhaglan’s projects are branded hotels with direct operations management at the executive level. Rhaglan Hospitality has been designated as an Approved Full-Service Operator by Hilton Hotels Worldwide (Hilton Franchise LLC).
| Location | 2027 1st Ave. N, Birmingham, AL 35210 |
| Area | Birmingham |
| LMI Community Status | Moderate |
| Unemployment Rate | 11% |
| Poverty Rate | 26% |
| % Minority | 35% (32% African American) |
Local business publication Birmingham Business Journal reports on ASREF's investment in The Kelly Hotel in downtown Birmingham.
Nathan Watson writes about the highly anticipated reopening of The Kelly Hotel in downtown Birmingham.
ASREF’s $3.4 million preferred equity investment in the Kelly Hotel serves as a catalyst for new jobs for the downtown Birmingham area. Ninety projected jobs in the hospitality, restaurant, and retail sectors provide convenient new opportunities for LMI residents in the immediate area surrounding downtown.
