Regional Information
Alabama's largest metropolitan area is located at the center of a 900,000 plus workforce recruitment region. Two dozen universities, colleges and technical schools are located within a one hour drive of downtown Birmingham with a combined enrollment of more than 90,000 students.
The Birmingham region is a thriving economic center supported by a diverse mix of corporate headquarter facilities, operations centers, biotechnology related businesses, distribution facilities and automotive manufacturing. The region's low cost of living coupled with a high quality of life have created favorable conditions for entrepreneurial business development.
With six interstate spokes and Alabama's largest commercial airport, the Birmingham region is among the most accessible business centers in the United States. The new Birmingham to Memphis corridor (Interstate 22) is completed to just six miles from where it will intersect with Interstate 65 / north of downtown Birmingham. The target completion date for the South's newest interstate is 2010.
The BBA is committed to helping a diverse range of companies locate or expand in the Birmingham region. A major component of the site selection process is providing regional information critical to the site selection process. Visit the seven-county profile page of our website for comprehensive demographic and economic information for the region. Please contact Michael Shattuck, Director of Research for more detailed information or customized information about the Birmingham-Hoover region.
Industry Clusters | Workforce | Transportation | Livability
Industry Clusters
The Metropolitan Birmingham economy is supported by a diverse mixture of corporate and regional headquarters; health services and biotechnology research; distribution and automotive manufacturing. The economy's varied strengths coupled with the region's low cost of living and entrepreneurial spirit have fostered the growth of a strong technology sector. Metropolitan Birmingham is the corporate or regional headquarters to a dozen technology-related companies each having more than 100 employees, including: SunGard, Command Alkon, Emageon, Integrated Medical Systems and Imaging Business Machines. Moreover, several major construction companies call the Birmingham region home, including: BL Harbert International, BE&K, Brasfield & Gorrie and Brice Building Company. The Birmingham region is also one of the largest lifestyle publishing centers in the United States. Southern Living, Southern Accents, Health, Coastal Living, Mental Floss are among several magazines published in right here in the Birmingham region.
Regional Operations (Banking and Insurance)
| Rank | Corporate Presence | Employees |
| 1 | AT&T (Regional Operations) | 5,485 |
| 2 | Regions Financial (Corporate Headquarters) | 5,000 |
| 3 | Wachovia (Regional Headquarters) | 3,094 |
| 4 | Blue Cross Blue shield of Alabama (Corporate Headquarters) | 3,000 |
| 5 | BBVA (North American Headquarters) | 2,696 |
| 6 | Social Security Administration (Regional Headquarters) | 1,800 |
| 7 | Southern Progress Corporation (Subsidiary of Time Warner) | 1,400 |
| 8 | State Farm Insurance (Regional Headquarters) | 1,400 |
| 9 | Protective Life Corporation (Corporate Headquarters) | 1,200 |
| 10 | HealthSouth Corporation (Corporate Headquarters) | 985 |
Metropolitan Birmingham is among the largest Southeastern locations for corporate headquarters and regional corporate operation functions. The region serves as the headquarters for a diverse cluster of companies representing: finance and insurance, healthcare management, utilities, construction and natural resource. However, the highest corporate employment concentrations are found within the F.I.R.E. (Finance, Insurance and Real Estate) sector. Anchored by the corporate headquarters for Regions Financial, the North American headquarters for BBVA (Banco Bilbao Vizcaya Argentaria) and several insurance companies, the Birmingham region posses a solid location advantage for F.I.R.E. related operations.
Medical and Life Sciences
| 2007 Largest Biotechnology Related Employers | ||
| Rank | Company | Employees |
| 1 | Southern Research (Biotechnology) | 598 |
| 2 | Caremark (Pharmaceutical Distribution) | 515 |
| 3 | Integrated Medical Systems (Device) | 203 |
| 4 | Emageon (Bioinformatics) | 200 |
| 5 | Atherotech (Diagnostic) | 180 |
| 6 | Lab Corp. (Biotechnology) | 100 |
| 7 | Electronic Healthcare Systems (Bioinformatics) | 100 |
| 8 | BioHorizons Implant Systems (Device) | 88 |
| 9 | Athlon Pharmaceuticals (Pharmaceuticals) | 70 |
| 10 | Cebert Pharmaceuticals (Pharmaceuticals) | 85 |
| 11 | SurModics (Pharmaceuticals) | 80 |
The University of Alabama Hospital anchors the Academic Health Center district located within the 85-block UAB campus in downtown Birmingham. For the 16th consecutive year, U.S. News and World Report ranked the hospital among America's best - the only Alabama hospital on this prestigious list. Nineteen hospitals serve the seven-county Birmingham region. According to 2007 Claritas employment statistics, the seven-county region's Health Services component employs more than 76,000 and encompasses more than 12% of the regions total employment base.
Birmingham's stature as a major recipient of biotechnology based research grants position the region to attract leading scientist and grow biotechnology-related businesses. Serving as a major impetus for biotechnology growth in the Birmingham region, the University of Alabama School of Medicine was the recipient of $435.7-million in research-based grants and contract awards during 2007 and the school consistently ranks among the top-twenty recipients of federal NIH (National Institutes of Health) allocations in the United States. Moreover, Birmingham based Southern Research Institute has established a platform for the growth of biotechnology companies in the region. In 2005, Southern Research Institute received $32,811,100 in NIH allocations, ranking it 16th among all U.S. research institutes.
Distribution
The region's comprehensive interstate transportation network and central proximity in the Southeastern United States have created logistical advantages for the location of major distribution facilities. Home Depot, Office Max, Sysco Food Services, Wood Fruitticher and Custom Marketing (division of Southern Living magazine) have located regional distribution facilities in the Birmingham region over the past decade.
Six interstate axis converge near downtown Birmingham, providing interstate access to virtually every region of the United States. The new Interstate 22 is currently completed to just six miles west of where it will intersect Interstate 65 in northern Birmingham. Scheduled for completion by 2011, Interstate 22 will complete Birmingham radial interstate network by providing direct access to Memphis.
Automotive Manufacturing
Birmingham's central position in Alabama and extensive interstate transportation network makes it the economic core of Alabama's growing automotive manufacturing sector. Mercedes Benz U.S. International and Honda Manufacturing of Alabama are within a forty-mile radius of downtown Birmingham. Hyundai Motor Manufacturing of Alabama, International Diesel and Toyota Motor Manufacturing Alabama are within an 85-mile radius of downtown Birmingham via direct interstate access.
Between 2005 and 2007, the number of automotive plants in Alabama has increased by more than 8% - from 263 in 2005 to 285 in 2007. Approximately 39% (or 108) of Alabama's automotive plants are clustered in the Birmingham - Hoover Metropolitan Area workforce recruitment region. Between 2005 and 2007, automotive manufacturing employment in Alabama has increased 8% - increasing from 44,834 in 2005 to 48,457 in 2007. According to the AAMA (Alabama Automotive manufacturing Association) the manufacturing region that encompasses much of metropolitan Birmingham and central Alabama encompasses 40% of Alabama's total automotive manufacturing employment at 19, 561 employees.
Industry Cluster Source: Michael Shattuck, BBA (8/09)
Workforce
The Birmingham Metropolitan Area has excellent proximity and accessibility to Alabama's most densely populated region - north central Alabama. The region's comprehensive interstate network positions Birmingham at the center of a 14-county workforce recruitment region. Representing about 39% of Alabama's workforce, the 14-county region has a population of 1,694,555 and a workforce 909,230. Metropolitan Birmingham is the region's core with a population of 1,120,000 and a workforce population of more than 620,000. The region's 317,839 employee office market extends from downtown Birmingham south into northern Shelby County.
Metropolitan Birmingham's stature as the largest economic center in Alabama makes it a destination for employment opportunities. Located within the 14-county workforce recruitment region are more than two dozen universities, colleges and technical schools with a combined enrollment of more than 90,000 students. The region's concentration of post secondary schools has fueled the growth of a dynamic office market. Home to many of the largest national and regional corporations in Alabama, Birmingham-Hoover's office market has a Bachelor Degree attainment of more than 50 percent.
A diverse mix of high-profile companies have benefited from access to Alabama's most populated region. A strong manufacturing heritage coupled with a growing service sector economy gives the employment base a varied skills set. Companies such as: Mercedes Benz U.S. International, Honda Manufacturing of Alabama, Office Max, State Farm Insurance, Infinity Insurance and SurModics have recently located or expanded in the Birmingham region.
Workforce Training
Ranked as the number one workforce training program in the United States by Site Selection magazine, AIDT is an institute of the Alabama Department of Postsecondary Education. AIDT will provide a comprehensive recruiting and training program for companies locating or expanding in the Birmingham - Hoover Metropolitan Area. AIDT staff will work with company officials to customize a classroom and hands-on workforce training program that meets the company's specific employment criteria and skills. The program is free to the employer and trainees and will allow the identification of the most qualified and experienced candidates.
Services Offered
- Pre-Employment Selection and Training
- Leadership Development
- Industrial Safety Assessment
- Maintenance Assessment
Transportation
Alabama's largest metropolitan area is among the most accessible regions in the Southeastern United States. With six interstate spokes emanating from the region's core, Birmingham's comprehensive interstate network provides direct access to virtually every region of the United States. The Southeast's newest interstate (I-22) provides interstate access between Birmingham and Memphis. The new corridor is currently completed to just six miles west of where it will intersect with I-65, immediately north of Downtown Birmingham. The Port of Mobile is only a four hour drive via I-65. asdd.com
Air
Home to Alabama's largest commercial airport, Birmingham- Shuttlesworth International offers more than 160 arrivals and departures daily (including 45 non-stop and direct flights) to major U.S. business centers. With a 23% increase in passenger enplanements over the past five years, the Birmingham Airport Authority is pursuing a $200-million terminal modernization and expansion program that will enhance the airport's position in international travel. Birmingham International's 675,000 sq. ft. air cargo apron will accommodate a mix of commercial aircraft and includes access roadway to the region's interstate network.
Rail
Birmingham is Alabama's largest rail hub and is among the largest in the Southeastern United States. Three major freight railroads: Norfolk Southern, CSX Transportation, and Burlington Northern Santa Fe (BNSF) have major classification yards in the region. Smaller regional railroads such as the Jefferson Western and Birmingham Southern also serve Birmingham's freight customers. The Amtrak Crescent train connects Birmingham with New York, Philadelphia, Baltimore, Washington, Charlotte, Atlanta and New Orleans.
Livability
The Birmingham region provides:
- Some of the largest and best museums in the United States
- A comprehensive art scene, including: symphony, ballet and opera
- A major urban park system and quick access to regional state parks
- Regional shopping amenities: Riverchase Galleria and The Summit
- Sport venues: Birmingham Barons, Talladega and Barber Motorsports Park
- Recreational amenities: Alabama Adventure theme park, Birmingham Zoo
- Two of Alabama's eleven worldly renowned Robert Trent Jones golf courses.
- Nationally recognized dining
Cost of Living
| ACCRA Cost of Living for Major Southeastern Metros | ||
| Rank | Metro | Composite Score |
| 1 | Charlotte - Gastonia - Concord | 92.3 |
| 2 | Birmingham - Hoover | 90.3 |
| 3 | Nashville- Davidson- Murfreesboro | 88.7 |
| 4 | Atlanta - Sandy Springs - Marietta | 94.9 |
| 5 | Louisville | 89.7 |
| 6 | Tampa - St Petersburg - Clearwater | 99.3 |
| 7 | Jacksonville | 94.8 |
| 8 | Raleigh | 100.3 |
| 9 | New Orleans - Metairie - Kenner | 106.2 |
| 10 | Orlando - Kissimmee | 98.2 |
| 11 | Richmond | 106.4 |
| 12 | Virginia Beach-Norfolk - Newport | 106.8 |
| 13 | Miami-Fort Lauderdale- Miami Beach | 111.0 |
| 14 | Memphis | 86.8 |
A high quality of life coupled with a competitive cost of living gives the Birmingham region a competitive advantage for business and entrepreneurial development. According to ACCRA, the Metropolitan Birmingham has the third lowest cost of living among the top fifteen largest population centers in the eleven-state Southeastern region. ACCRA evaluates the cost of living for more than 300 U.S. metros regarding the following six categories: grocery items, housing, utilities, transportation, healthcare and miscellaneous goods and services. Factoring the cost associated with each category, all metropolitan areas are given a composite score. The U.S. average composite score is 100. A composite score above 100 indicates that the cost of living is above the national average; likewise a composite score below 100 indicates that the cost of living is below the national average.
Housing
| August 2008 Average Selling Price by Region | |
| Region | August 08 Avg. Price |
| U.S. | $245,400 |
| South Metro | $222,000 |
| Southern U.S. | $220,400 |
| Metro Total | $189,587 |
| North Metro | $155,000 |
| East Metro | $116,590 |
Housing cost in Metropolitan Birmingham was is considerably lower compared to the national housing cost. The Metropolitan Birmingham average home price for August 2008 was $189,587 compared to a U.S. average home price of $245,400. The southern metropolitan region posted the highest average housing cost at $220,400. Major cities in this region include: Mountain Brook, Vestavia Hills, Hoover, Pelham and Alabaster. The western metropolitan region has the lowest average housing cost at $68,000. Major communities in this region include: western Birmingham, Fairfield, Bessemer, Hueytown and McCalla.
Leading Public School Systems
Metropolitan Birmingham has some of the best public schools in the nation. According to Newsweek, three of the nation's top public schools are located in the Birmingham region. The Jefferson County IBS ranks 4th; Mountain Brook ranks 214 and Hoover's Spain Park ranks 1,313.
The table below shows a ranking of school systems based on 2007 average ACT scores for leading public high schools and school systems in Metropolitan Birmingham. Eight metropolitan area school systems exceed the national average ACT score. Six metropolitan school systems have exceptional scores on the ACT. Mountain Brook, Vestavia Hills, Hoover, Homewood, Shelby County and Oneonta school systems have an average ACT score of at least 22.
Alabama School of Fine Arts (ASFA)
Located in Downtown Birmingham, the Alabama School of Fine Arts is a partially residential public school authorized and funded by the Alabama Legislature to provide tuition-free instruction to impassioned students, grades 7-12. The school provides focused specialty instruction in Creative Writing, Dance, Mathematics and Science, Music, Theatre Arts and Visual Arts, plus core academic courses necessary to earn an Alabama high school diploma. In 2007 ASFA graduates were awarded over 4-million in college scholarships, grants and awards. The average ACT score was 27.6.