Hoover targets IT, financial tech, automotive R&D companies

The city of Hoover is targeting information technology, financial technology and automotive research and development companies for recruitment and expansion, the city’s economic developer shared today at the Hoover Area Chamber of Commerce’s August luncheon.

Other key industries the city would like to develop are pharmaceuticals, freight logistics, medical devices, life sciences and other research and development operations, Greg Knighton told the chamber. Most of these industries are growing and pay high wages, he said.

With Mercedes, Honda and Hyundai plants already in the state and Toyota and Mazda announcing in January they plan to build a $1.6 billion plant in Huntsville, the automotive sector is ripe for further development, Knighton said.

Automotive suppliers are everywhere in Alabama, but what the state hasn’t yet attracted are a lot of the automotive research and development companies, he said. “There’s a real opportunity there.”

Hoover is well positioned for such companies, with two interstates going through the city, a well-educated workforce and a good inventory of office space, Knighton said.

More than 54 percent of the people who live in Hoover have a bachelor’s degree or higher, he said.

As for office space, Hoover has a good bit of availability in Inverness and the U.S. 280 corridor. The Inverness Center North has a lot of available space with Southern Company’s move to the Colonnade, and Harbert Realty is making a great investment in the Inverness property to make it more attractive, Knighton said. There also are two office buildings for sale in Meadow Brook Corporate Park, he said.

There is less available office space in the central and western part of Hoover, but the city is actively marketing office complexes and buildings there as well, he said.

The city also is exploring possibilities for development of new sites for corporations.

“Ideally, prospects love to have flat, rectangular sites,” Knighton said. “We don’t have too many of those in this state.” So, sometimes, it takes some dirt moving and creativity to get sites ready.

It’s critical for cities to have a good inventory to even be considered by companies, Knighton said.

Hoover is looking not only to attract new industry, but also to grow existing businesses. He shared data from the Alabama Department of Commerce that showed existing industry was responsible for almost 8,400 new jobs and $2.7 billion in capital investments in the state last year, compared to 7,100 new jobs and $1.7 billion in capital investments from new industry.

Last year was a great economic development year for the city, Knighton said. IberiaBank announced it is creating a regional headquarters with an expected 450 jobs in a 130,000-square-foot building in International Park, and McLeod Software is relocating to a 140,000-square-foot building in Meadow Brook Corporate Park with plans to double its Birmingham area workforce from 300 employees to 600 in the next five years.

Also, two new shopping centers were announced and approved last year — Stadium Trace Village and The Village at Brock’s Gap.

Hoover will continue to work to attract retailers and look for potential areas of redevelopment, including the Riverchase Galleria, Knighton said.

A lot is happening on the Galleria campus now, with the rebranding of J.C. Penney and the expected November opening of Dave & Buster’s, he said. City officials are having deep conversations with Galleria managers about other potential changes to position the mall for success in the future, he said.

People pay a lot of attention to announcements about new developments and expansion, but a lot goes on behind the scenes to help the city gain those opportunities, Knighton said.

Enhancing the city’s quality of life plays into the recruitment of companies as well, he said. New projects such as a 15,000-square-foot playground and 7,000-square-foot splash pad at the Hoover Metropolitan Complex help make the city a place where people will want to work and live, he said.