‘Audacious’ $33.8 million redevelopment planned for Cedar Rapids speedway and expo center

Editor’s note: This article was update to include a statement from Hawkeye Downs Speedway and Expo Center’s nonprofit board of directors.

Long-awaited plans to redevelop, modernize and diversify the uses of a Cedar Rapids racetrack and expo center received a green light this week.

Cedar Rapids City Council members on Tuesday authorized financial incentives for a planned $33.8 million redevelopment of Hawkeye Downs Speedway & Expo Center, 4400 Sixth St. SW.

Plans include moving racetrack pits from the backside to the front side of the speedway for better accessibility and visibility, building a new 45,000-square-foot expo center with suites overlooking the racetrack, constructing commercial buildings and a smaller racetrack for go-karts and other small cars, a 900-square-foot tech barn, 88-room hotel and a restaurant.

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The project will proceed in phases, starting in spring 2025, with the first phase completed by fall 2026. All phases would be completed by the end of 2027.

The development is expected to create at least 32 new jobs and maintain six existing ones, and generate substantial sales tax revenue. Tax credits are being pursued to address environmental issues, including remediation of fly ash, a byproduct of burning coal.

The city would provide a 10-year, 50 percent rebate of increased taxes generated by the project. Based on the planned investment, city officials estimate the project will generate $6.7 million in new tax revenue over a 10-year period, with $2.5 million rebated back to the developer, Sunline Inc. Sunline -- and auto salvage company -- is an entity of Hawkeye Downs Speedway & Expo Center owner Roger Cassill, who also owns Cassill Motors.

Cassill leases the racetrack, the expo halls and surrounding property to Hawkeye Downs’ nonprofit board of directors. In the fall of 2020, Hawkeye Downs sold its property to a private company, which in turn sold it to Cassill in late 2022.

“As a 501(c)(3) organization, the nonprofit Hawkeye Downs board is thrilled to see the proposed development plans recently announced by property owner Roger Cassill,” the group said in a Facebook post. “... Hawkeye Downs continues to conduct business as usual. We are currently planning several events to celebrate 100 years of racing at Hawkeye Downs in 2025, and we are booking expo hall events into 2027.”

Cedar Rapids City Council members praised the planned redevelopment as a significant investment for the community, enhancing the racetrack and expo center's accessibility and economic impact.

“You have aging infrastructure that has needed significant investment, but we've been really lucky to have a really great community partner who's interested in doing that,” Council Member Ashley Vanorny said. “ … So to see that opportunity really be able to improve this space like we've been hearing about for some time, is really great and very welcome.”

Council Member Ann Poe, who is the former executive director of Hawkeye Downs, said the planned investment is “long overdue.”

“For years … there were a lot of dreams of things that could happen, like a go-kart track and envisioning what could happen at the end of turn one, where people could sit and watch the whole race,” Poe said during Tuesday’s meeting. “ … And I just can't wait for it to get done, because it really will add to one of those, again, entertainment factors — another reason to bring people to Cedar Rapids. And with the hotel, they'll be able to attract different types of racing where people can come and stay. So instead of camping out in front, they're going to come and stay at a beautiful new hotel. It's just fabulous.”

Mayor Tiffany O’Donnell thanked the developer for their commitment to preserving and enhancing a long-standing entertainment and sports venue in the area.

“And it was, it was one of those audacious goals, and it looks like we are closer than ever to crossing the finish,” O’Donnell said.

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Hawkeye Downs Speedway has been a fixture in Cedar Rapids since 1925. The asphalt racetrack hosts weekly stock car racing, street drags, drifting expos and more. It also includes more than 35,000 square feet of expo center space for trade shows, meetings and other events.

The nonprofit has received city funds to support its operations as a tourist attraction and community amenity. That includes thousands of dollars of hotel-motel tax funds. In 2022, the city awarded the organization $50,000 in federal American Rescue Plan Act funds as part of money given to nonprofits to support recovery from the COVID-19 pandemic.

Racetrack owner Roger Cassill said the goal of the planned redevelopment is to make Hawkeye Downs sustainable for the future by diversifying its uses. He emphasized the importance of preserving the racetrack for the community and Iowa’s status as a major racing state.

Cassill said the proposed development aims to build a modern expo center for multipurpose community use, including soccer, volleyball and other indoor sports. Commercial buildings, including "contractor condos," are planned to generate income and support the project, he said. A smaller racetrack for go-karts and other small cars is proposed to foster future racers and attract more visitors.

Timeline and completion dates

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Cassill said dirt is already being moved and the development will proceed in two phases, with the first phase starting next year. He estimates that the pits for the racetrack will be completed before the racing season starts in April or May.

The commercial buildings, Expo Center, and smaller racetrack are expected to be completed by fall of 2026. The second phase, including a hotel and restaurant, still is in the planning stage and does not have a definitive timeline.

Council’s action Tuesday authorizes city staff to amend the urban renewal plan for Hawkeye Down to encompass the proposed project and negotiate a development agreement that incorporates terms and conditions outlined on Tuesday for awarding financial incentives for the project.

Cassill said the incentives will enable the developer “to make a venue that's affordable for people to come enjoy it, and affordable for the racers to compete at it as well.”

“But probably the biggest thing for the economy is the amount of money that the racers bring into Cedar Rapids through the racetrack or through the expo center,” he added. “The sales tax revenue is substantial, and the increases that, you know, that we have forecasted are substantial.”

Comments: (319) 398-8499; tom.barton@thegazette.com