The Real Deal

By Sharman Egan Lagniappe columnist

There’s no doubt downtown Mobile is undergoing a renaissance, driven in large part by residential development. Ever wonder who’s buying up all these homes? Let’s face it, these new condos are sort of expensive, at least by Mobile standards (up in Atlanta they wouldn’t believe what a few hundred thousand dollars will get you here). And then there’s all the crime downtown (of course, the police chief in Atlanta would kill for our crime rate, but that’s another story).

I set out to find out who all these seemingly well-to-do and courageous people are and what possessed them to buy downtown. I was surprised to learn that they are quite a motley crew.

Of course, most of the homes downtown are still under construction so there aren’t many new residents – yet. Before all you folks in Church Street East and DeTonti Square cry foul, please note: my focus here is on new housing that will bring in significant numbers of new residents. For the purposes of this article, I’m talking about the area east of Broad Street, north of Government Street and south of DeTonti Square. Several projects in this area – including St. Louis Lofts and the Mattress Factory Lofts – will be completed by the end of the year, and we’ll finally start to see an influx of new residents.

Or will we? Many of the buyers under contract are actually investors, and they aren’t planning to use their condos as primary residences. Some will rent their units out; others plan to use them on a fairly regular basis as a second home. And some – it’s hard to tell how large this group really is – plan to hold their units, using them only occasionally, during Mardi Gras or when they have business downtown.

But it turns out there’s already a community of downtown residents, albeit a small one. Many of them live at St. Francis Place, the former Sisters of Mercy Convent building that was converted to 30 condos five years ago. Although it’s too early to tell for sure, these downtowners may well be representative of the new people who will be moving into downtown.

Among the owners at St. Francis Place, it seems the most obvious common thread is involvement in the real estate business. There’s a disproportionate number of realtors, developers and mortgage brokers. So are real estate types richer or braver than the rest of us? Maybe…but the people I spoke to says it’s all about access to information.

“Realtors are the first to know about new opportunities, and they understand the values,” said Norman Scott, an agent with Dauphin Realty and the listing agent for the Mattress Factory Lofts.

But there are plenty of residents at St. Francis Place who aren’t connected to the real estate business: young professionals (including employees at International Shipholding, Northup-Grumman and a pharmaceutical company); business owners (the founder of one of Mobile’s leading high tech companies; owners of an insurance agency, a stevedoring company, and a railroad equipment service/repair business), several attorneys and a retired physician, among others. They include everything from single professionals to empty nesters and retirees, ranging in age from 20-somethings to 60 and 70-somethings. Some moved from other areas of Mobile; others moved in from out of state.

What brought such a diverse group together at St. Francis Place? When I asked, the answers varied but the most common reason given was The Holy Grail of Real Estate: location, location, location.

When Clark and Beverly Hall bought at St. Francis Place five years ago, they were living in Stockton. They planned to use their condo occasionally as a “stopping off place” when Mr. Hall had business downtown. “We dearly loved Stockton. Then we furnished our condo and moved in, and we never went back to Stockton,” said Hall, a business owner in his late 60s. “It’s close to my office. Barbara loves being halfway between the malls in Mobile and shopping on the Eastern Shore. We both love the restaurants. We can walk, or the bus stops right in front of our building.”

Jana Williston, a young single mortgage broker, agrees. “I love the restaurants downtown and being able to walk everywhere,” said Williston. But there’s more to it. “What’s so attractive about downtown is it’s new. Things are constantly changing.” Ironically, she also loves the historic character of downtown. “I looked at condos in Baldwin County before buying downtown, but they were very expensive. And you can’t get the same historic character in Baldwin County, not in a condo.”

Lucy Cope, another agent with Dauphin Realty, is purchasing a unit at St. Louis Lofts. She is a self-described 57-year-old Junior Leaguer who currently lives in Spring Hill. “Not exactly the typical downtown profile,” said Cope laughing. “Most of my suburban friends think I’m crazy. But I want to participate in the revitalization of downtown. And I felt if I didn’t buy now, prices would get too high for me to afford.”

And what about the safety issue? If there’s one thing these owners agree on, this is it. As far as they’re concerned, they feel as safe living downtown as anywhere else in Mobile.

There are myriad reasons why this diverse group has bought or is buying downtown: location, convenience, potential for appreciation, walkability, ambiance, restaurants. Cope may have summed it up best: “Every time I’m downtown, I just want to send for my things and never leave.”

Sharman Egan is Lagniappe lagniappe columnist. Contact her at Sharman@SharmanEgan.com.

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