The Birmingham City Council on Tuesday approved a resolution to vacate an 8,011-square-foot portion of public right-of-way between 5th Avenue North and 6th Avenue North, between 14th Street North and 15th Street North, to allow Hallmark ACQ LLC to consolidate property and build a new Hyundai dealership.

Roderick Lowe, subdivision planner for the City of Birmingham, told the council the item is case SUB2024-87 and that one-third of the right-of-way vacation fee was set at $117,796.85. He also noted the Birmingham Planning Commission's subdivision committee did not recommend approval when it considered the case on Nov. 13, 2024, though the Community Development Committee later forwarded it with a favorable recommendation to the full council.

Mike Brown, attorney representing Hallmark, said the alley is bounded by parcels Hallmark already owns and does not connect to other alleys. Brown said Hallmark's plan is to "construct a new Hyundai dealership" and that the company has "an agreement with National Hyundai." He described the project as a "multimillion dollar investment" and estimated "approximately $15,000,000 in improvements, fixed assets, and parts and equipment." Brown added the project would allow Hallmark to consolidate its sales and service operations downtown.

Donnie Oswald, chief financial officer of Hallmark Automotive, and Brown told the council the current operation employs about 200 to 225 people on the site. Brown said the expanded dealership could increase sales and lead to additional jobs over time.

Council members discussed security and future public-access needs. Councilor Clark said the council has flexibility to reestablish a public right-of-way in the future, including by eminent domain if needed, and welcomed Hallmark's continued presence in the downtown tax base. Councilor Williams said the alley vacation would address an existing security challenge at the property.

After public comment and discussion the council voted to approve the vacation. The council recorded a unanimous vote in favor.

The applicant indicated the project still needs final engineering approvals and coordination with Alabama Power and Jefferson County for construction permits, and engineers will review final plans before work begins. No timeline for construction start was provided during the hearing.