Iowa City ponders City Carton’s next move

IOWA CITY - With the sale of City Carton Recycling to Phoenix, Ariz.-based Republic Services earlier this year, city officials are left wondering if and when the recycling company will be moving out of the high-profile Riverfront Crossings District.

Republic Services purchased City Carton, 3 E. Benton St., on Jan. 16, but the former owners of the company have retained ownership of the land.

Republic Services spokesman Russ Knocke said in an email the exact terms of the purchase agreement are confidential and added that, at this point, there are no immediate plans to relocate the company.

At some point, city staff are hopeful the recycling company will move to make way for the future riverfront park.

'That's still our plan moving forward,” said Karen Howard, Iowa City associate planner. 'At some point in time, when and if they decide to move the business to another location as the Riverfront Crossings District develops, the land may become more valuable for redevelopment sites than as a space for that type of industrial activity.

'We have always said that we would work with the owner to acquire the space for the Riverfront Park and create new development sites on those properties.”

According to the Iowa City Assessor website, the five lots that make up the City Carton campus were assessed at roughly $691,000 in 2014.

Ali Hayford, Republic Services division manager in Iowa City, said in an email that she couldn't comment on the sale or Republic Services' plans for the future and directed questions to Republic Services officials or former business owners Christopher and Andy Ockenfels.

'City Carton Recycling still owns the land and Republic Services is leasing it,” Hayford said. 'You would have to talk directly to the Ockenfels family for more information on the future of the property.”

Andy Ockenfels could not be reached for comment and Christopher Ockenfels said he was unable to comment at this time.

Hayford said work at the Iowa City plant has been 'business as usual,” despite the change of ownership.

While the future of City Carton's physical location remains murky, communication on developing the park has been taking place for years, said Jeff Davidson, Iowa City economic development administrator.

'We've been trying to work with them in that respect, but not push them out,” Davidson said of City Carton officials. 'They understand that they're better off not being down there ... . They could easily be better off in another location.”

The largest portion of the future park involves land owned by the city, much of it where the former wastewater treatment plant is located, but the northern chunk of property where the park would be located is home to City Carton. 'It is no secret that the City is interested in acquiring a portion of the City Carton property for the new riverfront park and for a new arterial street connection between Kirkwood Avenue and Capitol Street that will form the edge of the new park and create new redevelopment sites on the remainder of the City Carton property, which will overlook the park and the Iowa River,” Howard said in an email.

Ultimately, the project would remove existing buildings from the 100-year flood plain and concentrate private development nearby, to overlook the scenic park and Iowa River.

Howard said demolition on the wastewater treatment plant will come first, with work expected to be finished this summer followed by grading and stabilization efforts. The first stage of park development - restoring Ralston Creek and creating a wetlands area - will likely be finished in late 2016, she said.

Founded in Iowa City in 1967 by Mort and Marcy Ockenfels, City Carton has expanded over the years both in services provided, but also in communities served, with facilities in Cedar Falls, Mount Pleasant, and Cedar Rapids, to name a few.

City Carton's regional presence played a big role in Republic Services' decision to buy the company.

'A key reason for the acquisition was growth and expansion in eastern Iowa. City Carton's team and platform further positions Republic for growth in our core service offerings,” Knocke said, adding that the company still employs 120 people among seven facilities and customers can expect expanded offerings from Republic Services in the future