UI wants to move businesses to school district land

The University of Iowa hopes to move businesses currently on the site where it wants to build its School of Music to land it has agreed to buy from the Iowa City school district, according to documents released Thursday.

The UI has been mum on what exactly its plans are for property that for now is home to the school district's Central Administration Office building, 509 S. Dubuque St. The school board on Tuesday agreed to sell it to the UI for $4.5 million.

The UI will ask the state Board of Regents to OK the land purchase at a meeting in Ames Aug. 5.

In documents provided to the regents, the UI says the property would “facilitate the relocation of business entities currently located within the parameters of the proposed site for the School of Music.”

It was not immediately clear what those “business entities” are, but it would seem that one or two banks are the prime candidates.

Still, UI spokesman Tom Moore would not even say how many businesses are involved or if they have already agreed to be relocated.

“I really can't discuss details until we have a chance to talk to the regents,” he said.

The UI wants to relocate its flood-damaged School of Music to land on each side of Clinton Street south of Burlington Street.

Part of that site currently is a parking lot that is to be developed into a 13-story mixed-use building, of which the UI hopes to buy four floors. A small building is next to that site, but it is owned by some of the developers involved in the high-rise project.

Across the street are a Bank of the West branch, at 301 S. Clinton St., and a MidwestOne loan center, 325 S. Clinton St.

Bank and UI officials have been negotiating ways for the UI to acquire those spots, but there has been no public mentioning of a possible land swap involving the school district site, which is two blocks to the south.

Charles Funk, president and chief executive officer of MidWestOne, said he could not say if the bank was one of those businesses the UI wants to move to the school district land. He did say the bank has made clear it wants to stay in the downtown area.

Bank of the West spokesman Robert Wolff did not immediately return phone and e-mail messages. Two weeks ago he said the school district site had not been discussed with his company.

The UI says the school district property consists of 56,790 square feet of land. It includes the three-story building, which dates to 1917.

The bank properties combined are 52,150 square feet, according to the Iowa City Assessor's Office.

Moore would not say if the UI expected to incur costs in addition to the $4.5 million purchase price for relocating the businesses. The School of Music project is expected to cost $125 million, with most of that covered by the Federal Emergency Management Agency as part of flood recovery.