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Getting worseEconomy & Tax BaseCONFIRMED

The Galleria is for sale, and it took the tax base down with it

The mall that anchored Hoover’s tax base fell into special servicing and was listed for sale in 2026, while the city’s own consultant found its sales-tax contribution has fallen 41 percent since 2007.

Where it stands

Getting worse

Hits residents

10/10

Years covered

2025–2026

Sources

4 linked

$5.4M
Galleria annual sales-tax generation in 2024, down from about $9.2M in 2007

As of 2024

64.8%
Share of Hoover’s FY2026 general fund revenue from sales and use taxes

As of 2026

4.2M
Galleria visits in 2024, down from 6.3M in 2019

As of 2024

What happened

The Riverchase Galleria’s mortgage went into special servicing with Rialto Capital Advisors, and in June 2026 the enclosed mall was listed for sale through Jones Lang LaSalle. A city-commissioned consultant, Hunden Partners, found the mall’s annual sales-tax generation fell from about $9.2 million in 2007 to about $5.4 million in 2024, a 41 percent nominal decline, while visits fell from 6.3 million in 2019 to 4.2 million in 2024. The attached 17-story office tower was 52 percent occupied and listed for $20 million. This matters because Hoover’s general fund draws roughly 65 percent of its revenue from sales and use taxes. Mayor Nick Derzis called the sale “a positive turning point.” No buyer or asking price has been publicly reported.

Timeline

  1. City consultant Hunden Partners finds the Galleria’s sales-tax generation fell 41% since 2007.

    Hunden Partners, Riverchase Galleria Redevelopment Final Analysis (hooveralabama.gov)
  2. The Galleria’s attached office tower is listed for $20 million at 52% occupancy.

    Hoover Sun (hooversun.com)
  3. Mayor Derzis announces the mall will be listed for sale, citing the limits of the special-servicing period.

    ABC 33/40 (abc3340.com)
  4. Reporting details what is and is not included in the sale.

    Bham Now (bhamnow.com)

Who's involved

  • Brookfield Properties

    Identified as primary owner of the enclosed mall

  • Rialto Capital Advisors

    Special servicer on the mortgage

  • Jones Lang LaSalle Americas

    Listing broker for the 2026 sale

  • Hunden Partners

    Consultant retained by the city to analyse redevelopment

  • Mayor Nick Derzis

    Announced the listing in June 2026

The other side

Derzis called the sale “a positive turning point” and “the catalyst Hoover has been waiting for,” arguing that the special-servicer period had blocked reinvestment in the property. Mall management has publicly expressed optimism about redevelopment interest.

Open questions

  • No asking price or buyer has been reported for the Galleria as of July 2026.
  • The mortgage’s size, origination date, and the date it entered special servicing are not established in any retrievable source.
  • Whether Macy’s, still operating as of the September 2025 report, has since closed is not established.

Sources (4)