MASON CITY – More information has come forward to the NIT newsroom regarding the proposed downtown Mason City hotel/parking ramp/retail/performance pavilion development.
NIT reported this weekend that the Des Moines Register published figures about a larger potential development for downtown Mason City – that would be more than just a hotel and retail shops. The figures the Register published may not be accurate, however, as the State of Iowa has turned over the actual application materials that Mason City sent to the Iowa Department of Economic Development (IDED), which differ from those published in the Register.
The Mason City council recently approved an application for funding from the state of Iowa to help fund the 4-part development. The application was sent to Des Moines on March 15, the deadline for the state to accept applications forhelp in creating an Iowa Reinvestment District.
From the Iowa Department of Economic Development (IDED):
On Friday [March 15, 2014], we received an application from Mason City for the Iowa Reinvestment District Program. They have requested assistance in the amount of $6,233,959 with a total capital investment within the district of $30,052,236. The application is available as an open record, although it is quite lengthy, and too large to email in its entirety. In an effort to get you some information today, I have attached the project description pages to this email. If you would like to receive a copy of the entire application, please let me know, I can make arrangements to get a copy you.
The program legislation limits the total state assistance to 35% of the total proposed capital investment in the district. In addition, since these funds are generated within the district, the amount of funding is also limited by the amount of hotel/motel and sales tax that can be generated within the district over 20 years.
There is not an express “local match” requirement in the legislation. Therefore, applicants can propose a mix of financing that works best for their project.
Brief description of the four components of the $30 million development:
CENTRAL PARK HOTEL: $15,968,700. Five stories, 100 rooms, with skyway to $4.85 million parking ramp. Located in parking lot at 1st NW and Washington Ave.
DOWNTOWN PARKING GARAGE: $4,854,450. Multi-level, 225-250 spaces. Metered parking. City claims that about $180,000 in revenues from the parking lot will be generated each year. Located in parking lot at 1st NW and Washington Ave.
MIXED USE RETAIL/RESIDENTIAL BUILDING: $5,955, 150. Three story mixed-use retail residential building. Up to five retail spaces, four facing Federal Ave. and 1 facing 2nd NE. Would contain 18 market rate dwelling units. Indoor parking for six vehicles. Located at gravel parking lot at Federal Avenue and 2nd Street NE.
OUTDOOR PERFORMING ARTS PAVILION: $3,255,936. City says Steben’s and MCC Theatre are not adequate. Large canopy over seats of 300-400. Could accommodate up to 900 spectators. “Low impact development techniques”. Not in flood plain, city says. Located at 2nd Street SW and Washington Ave.