Cedar Rapids’ NewBo City Market pursuing $2.5M project to add more space

CEDAR RAPIDS — NewBo City Market is preparing to undergo a $2.5 million project that would provide more space for businesses, a grocery store, a stage and a mezzanine that would become a stronger incubator for local entrepreneurs, artists and farmers.

The planned work at the market — a central community gathering space that developed after the devastating 2008 flood — still is in the early stages, according to Julie Parisi, the market’s executive director.

But the vision has been over a year in the making to make improvements that fuel tourism and enhance the market’s role as a community hub.

  Buy Photo

“We've always kept that eye on the future of the market and how can we meet the needs of the community that's growing immediately around the market, because it's changed a lot in the last 10 years,” Parisi said. “We want to keep changing as well meet those needs.”

The new mezzanine would be built over about one-third of the north end of the market space, where seating is now located. Seating and event space will be moved onto the mezzanine.

That will open an additional 3,000 square feet of business incubation space on the first floor for up to 10 businesses, a farm-to-table grocery store and an indoor stage to incubate local performing artists.

Construction may start in January 2025. The goal is to keep the market open as much as possible during construction, but Parisi said she has not yet determined how work will impact operating hours.

Parisi said staff are reviewing proposals and soliciting bids from architecture design firms before selecting an architect to draft engineering plans over the next year or so.

Business incubator

Currently, the market houses 21 businesses.

Parisi said the market’s Hatchery program, launched in 2021, has had 10 participants and shown success in developing market shopkeepers. The program helps underserved residents looking to start a food or retail business by reducing barriers to entry and equipping them with skills needed to succeed as an entrepreneur.

“We love to … see those businesses go out into the community — Cedar Rapids or within the Corridor — and be full-fledged businesses in brick and mortars,” Parisi said.

Plus, she said, the market has had lots of new inquiries from people seeking business space. Some current and prospective shopkeepers want the market to be open more days each week, Parisi said, and current hours are limiting their business model.

Currently, the market is open from 10 a.m. to 8 p.m. Thursdays and Fridays, 10 a.m. to 6 p.m. Saturdays and 10 a.m. to 4 p.m. Sundays. Parisi said having more space and more opportunities for shopkeepers to operate with expanded hours will help the market find the right space for entrepreneurs.

  Buy Photo

Impact of events

In addition to its role as a business incubator, the market also draws major events including cultural festivals such as Juneteenth and AsianFest. Much of the market’s programming is free to the public, such as the summer Rock the Block concerts on the outdoor stage.

According to the market’s application for Linn County economic development grant funds, which were not awarded, the market hosts about 300 events each year and draws approximately 500,000 visitors to the neighborhood, based on door counter data.

With the expansion, the market estimates it will generate another $100,000 in annual revenue from shopkeepers. Its businesses generate an average of $3.5 million in sales, and the expansion is estimated to generate another $2 million in sales from the added businesses.

The expansion includes indoor event space with a stage so the market can host year-round live musical performances and other events that “will generate a lot of foot traffic, both for businesses inside the market as well as in the district,” Parisi said.

The “Market Basket” grocery store will incorporate the original vision for the market, which was to offer fresh local produce in a “food desert” neighborhood, where few healthy food options are available.

Parisi said all options are being explored to supply the market with food grown by local nonprofits such as Feed Iowa First and Matthew 25, other local producers and long-established farms. The goal is to give those producers exposure while also bringing more niche, specialty food and products to the community.

“Some of the African farmers with Feed Iowa First (through its Equitable Land Access program) have really unique products that aren't in conventional stores,” Parisi said. “They're producing more culturally relevant items that will make the Market Basket really unique.”

There also will be a mother’s room and coworking space open to the community, and private meeting rooms that people can book for a fee.

Fundraising

With construction costs totaling an estimated $2.5 million, Parisi said the organization’s fundraising goal will be $3 million. The market has secured $1.2 million in private grants and is working with corporate partners and will eventually ask the public to pitch in.

“We know we’re a beloved community space, so I think that the community will be happy to see an expansion project and want to participate,” Parisi said.

A $100,000 slice of Linn County federal American Rescue Plan Act funds was earmarked for design. She said she’s also spoken with city of Cedar Rapids officials about the project, so local governments have been supportive.

  Buy Photo

“The market has certainly turned into one of our most successful and valuable public spaces,” said Cedar Rapids City Council member Dale Todd, who represents District 3, which encompasses NewBo.

“Still, places like the market have to constantly change, adapt and compete to maintain sustainability,” he said. “This why I am excited to see them willing to explore new options for future growth. It can be a win-win for us all.”

Comments: (319) 398-8494; marissa.payne@thegazette.com

  Buy Photo