116 3rd St SE
Cedar Rapids, Iowa 52401
CEDAR RAPIDS - A local real estate company wants to build a 200,000-square-foot warehouse for a new-to-the-city, but undisclosed company and has sought incentives to do so.
The project would include a new $10 million distribution warehouse at 600 49th Ave. Dr. SW. It would create 22 new full- and part-time jobs, 10 of which would pay at least $20.76 an hour, according to city council documents.
Real estate business GLD Commercial made the request for incentives through a company called GLD Properties, which would develop the warehouse. GLD President David Drown said Friday he could not disclose the prospective tenant of the warehouse.
The company would be new to the Cedar Rapids area, he said.
Incentives from the city would come as an estimated $1.1 million through a 10-year, 50 percent reimbursement of the new taxes generated by the warehouse.
The Cedar Rapids City Council will consider the request Tuesday. A final development agreement and approval of the incentives would come at a later date.
The initial approval 'gives the developer some comfort level to finalize things on his end and us to move forward, too,” city Economic Development Analyst Caleb Mason said.
During a recent editorial board meeting with The Gazette, city Economic Development Manager Jasmine Almoayed said Cedar Rapids has 'several project in the pipeline.” Those business projects include a new-to-the-area company 'that's going to be building a pretty sizable facility,” she said. Almoayed confirmed Friday she was referring to the GLD project.
'The amount of new business attraction projects that we're seeing is the most that I've seen in the five years that I've been with this city,” Almoayed said at the meeting.
City staff said they are aware of the prospective tenant, but the company has not been named as a lease agreement has not been finalized.
The warehouse would be constructed in an industrial area east of Bowling Street SW and north of U.S. Highway 151, near Apache Inc. and International Paper. While a timeline is in the works, Drown said the warehouse is expected to be complete sometime next year.
The 14.5-acre property currently is vacant and owned by Hamlet Protein, a Denmark-based company that makes ingredients used in animal feed.
Hamlet Protein bought the property in 2008 and intended to build a manufacturing plant, Hamlet Protein President Scott Moore said. The company, however, found a location in Ohio 'better suited for our business needs,” Moore said in an email.
A sale of the 49th Avenue Drive land is pending, according to real estate listings posted by Skogman Commercial.
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