Demolition, new exits for Roosevelt to cost city $1 million

CEDAR RAPIDS - No one was thinking much about The Roosevelt apartments when the community first began chasing a $35-million disaster grant from U.S. Economic Development Administration more than two years ago to help build a new convention center and renovate the U.S. Cellular Center arena next door.

With the grant in hand and demolition of everything around The Roosevelt in progress to make way for the convention center, it now has become clear that providing a new, second exit out of apartment building and paying for the inconvenience of demolition is costing some money.

Nearly $1 million.

City officials on Friday reported to the City Council's Finance and Administrative Services Committee that the council will be asked on Tuesday to approve $366,380 in additional spending related to the demolition and the need to build a new secondary egress from the apartment building as part of the city's Convention Complex project.

The new spending will include 21 different expenses, including rent subsidies for tenants in the apartment building's 96 units for the five months of noisy demolition around the building, Drew Westberg, special assistant to the city manager, told the council committee. Other expenses, which he said were worked out between the city and the building's owner, Sherman Associates Inc. of Minneapolis, Minn., include interior repairs, alley improvements, legal fees, engineering fees, additional management supervision and construction management fees.

On April 26, the City council agreed to spend $591,100 to build a permanent secondary egress from The Roosevelt to replace the one that has existed as part of the private parking ramp next door, which is being demolished. On April 26, the council also agreed to spend an additional $24,500 to build a temporary secondary egress from the apartment building so that the demolition on the block can proceed.

On Friday, council member Kris Gulick, chairman of the council's Finance and Administrative Services Committee, and Westberg noted that the private parking garage next to The Roosevelt was not part of the original footprint of the new convention center when funds were being sought for it more than two years ago.

Westberg said a previous renovation of the former hotel by a previous owner took down another secondary egress from The Roosevelt because egress to the private parking garage next door met the need.

Westberg said rent subsidies for tenants in The Roosevelt will start out at about $200 a month per apartment unit during the first stages of demolition in The Roosevelt block. The monthly subsidy is less as the demolition, which is slated to be complete in five months, is finished, he said.

In recent weeks, some members of the City Council have noted the rear of The Roosevelt is an eyesore for those passing by on Interstate 380. Sherman Associates is working with the city on a plan to improve the looks, Westberg said.