State funds for Kingston Village projects, proposed Marion hotel

CEDAR RAPIDS - Three metro development projects on Friday were awarded a total of $2.777 million through the state's Brownfield/Grayfield Redevelopment Tax Credit Program.

Hobart Historic Restoration of Cedar Rapids secured $1.777 million of the credits for two projects in Kingston Village across the Cedar River from downtown Cedar Rapids.

A third project, a proposed $6.6-million 'business-class” hotel in Marion, was awarded $1 million in tax credits.

One of the Hobart projects is The Lofts at Red Cedar, 450 First St. SW, which is scheduled for construction and will feature apartments, condominiums and retail and commercial tenants. The project cost is $11.5 million. It received a $1 million tax-credit award.

The second Hobart project, which secured $777,047 in tax credit support, is the $5.4-million renovation of the historic Mott Building, 42 Seventh Ave. SW. The work is underway.

In Marion, developer GLD Properties LLC secured $1 million in tax credits for a proposed hotel on the former site of Prince Agri Products, 2873 Seventh Ave., Marion.

Dave Drown, president of GibbLambDrown, on Friday said the Marion hotel project is 'a work in progress.”

Marion City Manager Lon Pluckhahn said the city is conducting a hotel study so the city and developer can 'right-size” the hotel to meet demand. A draft of the study is expected by the end of October, he said.

The Iowa Economic Development Authority Board announced the brownfield/grayfield tax credit awards on Friday. The agency had received 99 applications with each applicant vying for a portion of the $10 million in available funding. Statewide, 13 projects were funded.

The Cedar Rapids Metro Economic Alliance helped the three successful Cedar Rapids metro area projects with their applications.