Commercial Real Estate Market in Pelham, AL
Updated monthly: sale, lease, property records, location trend, and more… · Last update: August 31
115 active listings and 1,082 off-market properties in Pelham, AL.
Market Trends
Pelham, AL spans 42.6 square miles in Shelby County, Alabama. Figures below refresh monthly; last updated 31 August 2026.
Office
Office vacancy in Pelham, AL runs 20.2% across the South region in 2025, up from 14.4% in 2019.
Vacancy Rate % in South region
Retail
Retail vacancy in Pelham, AL runs 5.4% across the South region in 2025, down from 7% in 2020.
Vacancy Rate % in South region
Industrial
Industrial vacancy in Pelham, AL runs 7.9% across the South region in 2025, up from 6% in 2019. Nearly 2.3x the 2022 low of 3.5%.
Vacancy Rate % in South region
Multifamily
Multifamily vacancy in Pelham, AL runs 11.3% across the South region in 2025, up from 8.5% in 2022.
Vacancy Rate % in South region
Zoning & Land Use
Land Use Mix share of zoned land by category
- Residential 81%
- Commercial 6.6%
- Industrial 5%
- Planned_development 4.6%
- Civic 1.1%
- Mixed use 0.8%
- Open space 0.4%
Largest Zones share of zoned land by district
Agricultural District
Legacy Single Family Residential District
General Business District
Planned Unit Development District
Light Industrial District
Pelham, AL zones 23,377 acres across 27 districts. Commercial zoning covers 6.6% of zoned land, residential 81%, open space 0.4% and industrial 5%. The largest single district is Agricultural District at 57.7%. For commercial buyers the practical constraint is that only 11.6% of land carries a commercial or industrial designation.
Legacy Single Family Residential District (R-1)
The intent of the R-1 single-family residential district is to provide areas suitable for single-family residences on medium density lots, free from other uses which are incompatible with the character and intent of the district.
Market overview
Demographics & Economy
Pelham, AL has 25,667 residents in 10,207 households. Density runs 602 people per square mile. Median household income here is $91,513 and median gross rent $1,575 a month.
25,667
Population
10,207
Households
2.5
Avg Household Size
40
Median Age
50%
College-Educated
95%
High-School Grad
42.6 sq mi
ZIP Area
602
Density / Sq Mi
$91,513
Median Household Income
$50,970
Median Earnings
$1,575
Median Rent
$282,600
Median Home Value
Tools
Nearby Markets
| Market | Average Sale Price, $/SF | Average Lease Price, $/SF/Yr |
|---|---|---|
| Indian Springs | — | — |
| Helena | — | — |
| Alabaster | — | $20.05 |
| Indian Springs Village | — | — |
Frequently Asked Questions
What zoning applies to commercial property in Pelham?
Pelham, AL zones 23,377 acres across 27 districts, of which 6.6% is commercial and 5% industrial. The largest single district is Agricultural District at 57.7% of zoned land. Residential zoning covers 81% and open space 0.4%.
Where does Realmo's Pelham market data come from?
Realmo compiles Pelham, AL figures from 7 recent recorded sales, 98 active sale listings, 17 active lease listings, 1,082 tracked off-market properties, the current Pelham zoning release. Sale and lease figures refresh monthly; vacancy annually. Last updated 31 August 2026.
Methodology & data sources
- Asking prices and averages
- Computed from 98 active for-sale and 17 active for-lease listings in Pelham, AL. These are ASKING figures from live listings, not closed-transaction prices, and a segment carried by a handful of listings reads as indicative rather than an average.
- Vacancy rates
- Published per-sector market series, taken at the metro level where one exists and otherwise at the Census-region level — a chart reading "in <region> region" is a regional number, not this city's.
- Zoning and land use
- The current municipal zoning release: 23,377 zoned acres across 27 districts. Shares are of zoned land, so parcels the release leaves unclassified are excluded from the mix.
- Refresh
- The monthly aggregates close at the end of the previous month, so 31 August 2026 — not today — is the honest last update.
- Known limitations
- office vacancy is reported at South region level, retail vacancy is reported at South region level and industrial vacancy is reported at South region level.
- Coverage
- Metrics below the 10-observation threshold fall back one geographic level. The geography used is named on each figure.
Compiled by the Realmo Data team · reviewed 31 August 2026 · report a data issue
