Fifteen Cedar Rapids metro projects received major funding boosts from the state of Iowa as the Iowa Economic Development Authority has announced over $11 million for redevelopment tax credits for Brownfield/Grayfield sites and Workforce Housing Tax Credits. The total capital investment and construction costs for this region totals nearly $235 million.
One housing project that will benefit from these tax incentives is the former Loftus Lumber site, located at the corner of 9th Avenue and 3rd Street SE, which will be converted to downtown housing units. The State will contribute $2 million in redevelopment tax credits for the project with a total capital investment of over $30 million. The current dilapidated location will soon feature nearly 200 market rate rental units with top-notch amenities such as a rooftop deck, shared green space with fire pits, and on-site parking. The building will house a range of unit types, from studio to 3 bedrooms as well as 11,000 SF of commercial space on the first floor.
Dave Drown, principal and co-founder of GLD commercial and developer of the Loftus project, is looking forward to transforming this underutilized property into housing units the city so desperately needs. “This housing project will connect two vibrant downtown neighborhoods and provide housing to hundreds of current and future Cedar Rapids residents,” stated Drown. “We are grateful the State chose this project for the Brownfield/Grayfield and Workforce Housing Tax Credits program as new construction and revitalizing blighted property is a costly endeavor, especially in today’s economy. This type of support from the State, and other support from the City of Cedar Rapids, will help bring additional housing to our area.”
“Projects like these rebuild the property tax base of the community while revitalizing the area,” said Doug Neumann, executive director of the Cedar Rapids Metro Economic Alliance. “Our business community leverages these redevelopment tax credits to assist our growing workforce and population find affordable places to live right here in the Cedar Rapids metro.”
The fifteen projects will bring more than 500 multifamily units to Cedar Rapids, Marion, and Hiawatha. The Economic Alliance assists with Brownfield/Grayfield and Workforce Housing Tax Credit applications as part of its ongoing commitment to drive economic development in the region.