Check out renderings of United Fire Group’s new Cedar Rapids building

CEDAR RAPIDS - United Fire Group's planned 10-story addition to the 102-year-old American Building is to change the appearance of a major intersection in downtown Cedar Rapids.

The Cedar Rapids-based insurer purchased the 10-story American Building at 101 Second St. SE in January 2014. The company announced plans in June 2015 to remodel the structure, built in 1914, and construct an adjacent, similar 50,000-square-foot building after demolishing a one-story building that formerly housed the Cedar Rapids Area Convention & Visitors Bureau.

A rendering by Solum Lang Architects of Cedar Rapids shows the addition with a possible rooftop garden. A skywalk is to link the building to other United Fire Group buildings on Second Street SE.

Cedar Rapids City Council member Scott Olson, an architect and developer, said United Fire Group's planned addition complements the historic American Building and provides a different view from Interstate 380.

'It's neat that we are seeing these kinds of projects coming to the downtown,” Olson said. 'It is a result of peoples' confidence that we're past the recovery stage, we're going to get flood walls and downtown is a good spot to invest for growth.

'United Fire Group will own the whole block, which is a major investment in downtown Cedar Rapids. Based on this extra space, we know they are going to stay in downtown Cedar Rapids because they have a place to grow.”

Randy Ramlo, United Fire Group president and CEO, said last month that construction of underground parking in the company's other buildings and asbestos removal in the American Building are to be the first steps in the renovation and new construction project. He said that work is expected to begin later this year.

'We have one tenant remaining in the building, so we need to wait to do asbestos abatement,” he said. 'We have acquired a building at First Avenue and First Street and we are renovating a space for Rush & Nicholson, which occupies the ground floor of the American Building.”

The Iowa Economic Development Authority has approved the project for tax benefits through the state's high quality jobs program. The renovation and new construction also qualifies for the city's standard economic development property tax exemption or reimbursement programs.

Ramlo said the two buildings provide the company with another 110,000 square feet of office space. He said the company believes the best long-term use of the basements in its buildings is underground parking.

'We should be able to get another 60 to 70 covered parking spots,” Ramlo said. 'As we continue to grow downtown, we already have a shortage of parking.”