Iowa City discusses future of Linn Street lot

IOWA CITY ― Iowa City residents want to see green space, affordable housing or retail on a vacant downtown lot the city spent $4.5 million to acquire after a developer’s plan fell through.

The city bought the lot, at 21 S. Linn St. at the corner of Linn and Washington streets, so it could have more control over a key site and align its development with the needs of downtown.

The city conducted public input sessions and several surveys from February to May to gather public opinion on what should be done with the lot. The results of more than 6,000 responses from about 1,800 respondents were presented Tuesday to the Iowa City Council at a work session.

According to the presentation, city staff found that common reasons people decide to go downtown are to visit restaurants, bars and shops and to go to arts, culture and entertainment events.

When asked about what residents would like to see built in the Linn Street lot, the top five most common responses included:

Some respondents also stated things they do not wish to see built on the lot — with the most common responses being a bar, vape shop or liquor store, luxury housing, a high-rise building or parking.

While about 23 percent of respondents said they feel green space is missing from downtown, the city’s intended purpose for the lot is to create a mixed-use development there, said Rachel Kilburg Varley, the city’s economic development coordinator, at the work session.

Ultimately, city staff identified four main takeaways to inform the next steps for deciding the future of the lot after reviewing the responses. These include creating an inviting space for the public, creating a unique opportunity that fills the “gaps” of what’s missing downtown, foster an “authentic urban experience” and incorporate nearby assets, such as the nearby Senior Center.

Next steps

Now that the city has finished its public information gathering sessions, city staff will begin putting together a request for proposals for development over the next few months based on the information gathered and input from the City Council.

A request for proposals is a document that details the general outline of what the city is looking for so development companies can create pitches to present to the city to take on the project. According to a May 30 memo, the city anticipates completing the request for proposals by August, pending City Council approval.

From September to December, the city would issue the request and review any proposals received. Then, in 2025, the city would select a company to take on the project.

According to the city’s website, the full project, including construction, is expected to take several years to complete.

Property history

The 21 S. Linn St. lot previously was owned in 2021 by CA Ventures, a Chicago-based real estate investment company. The company planned to build a 13-story mixed-use building with student housing units and a ground-floor commercial area, according to a presentation at the council’s Dec. 12, 2023, work session.

However, in May 2023, CA Ventures backed out of the project and wanted to sell the property, prompting the city to buy the lot.

The lot originally was the site of the original City Hall before it was demolished in 1962 and turned into a drive-through bank building.

The city’s reasoning behind buying the empty lot was to take a “lead role” in determining future development on a prime downtown location as well as to generate income from property taxes, according to the July 2023 property purchase agreement.

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