Letter of Support — Grayfield Tax Credit for 346-348 West Locust StreetCity of Dubuque
City Council Meeting
Consent Items # 09.
Copyrighted
September 6, 2022
ITEM TITLE: Letter of Support— Grayfield Tax Credit for 346-348 West Locust Street
SUMMARY: City Manager recommending City Council approve a letter of support for
a Grayfield Tax Credit application to the Iowa Economic Development
Authority for the property located at 346-348 West Locust Street.
SUGGESTED Suggested Disposition: Receive and File; Approve
DISPOSITION:
ATTACHMENTS:
Description Type
346-348 W. Locust St - Grayfield Tax Credit Letter of City Manager Memo
Support-MVM Memo
Staff Memo Staff Memo
Letter of Support Supporting Documentation
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TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Letter of Support — Grayfield Tax Credit for 346-348 W Locust Street
DATE: August 30, 2022
Economic Development Director Jill Connors is recommending City Council approve a
letter of support for a Grayfield Tax Credit application to the Iowa Economic
Development Authority for the property located at 346-348 W Locust Street.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
v
Mic ael C. Van Milligen
MCVM:sv
Attachment
cc: Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Jill Connors, Economic Development Director
Dubuque
THE CITY OF
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TO: Michael C. Van Milligen, City Manager
FROM: Jill M. Connors, Economic Development Director
Economic Development
Department
1300 Main Street
Dubuque, Iowa 52001-4763
Office (563) 589-4393
TTY (563) 690-6678
http://www.cityofdubuque.org
SUBJECT: Letter of Support — Grayfield Tax Credit for 346-348 W. Locust Street
DATE: August 29, 2022
INTRODUCTION
This memorandum presents for review and approval a letter from the City of Dubuque to
support a Grayfield Tax Credit application to the Iowa Economic Development Authority
for the property located at 346-348 W Locust Street.
BACKGROUND
Developers in Iowa can receive tax credits for redeveloping properties known as
brownfield and grayfield sites.
Grayfield sites are abandoned public buildings, industrial or commercial properties that
are vacant, blighted, obsolete or otherwise underutilized. A grayfield has been developed
and has infrastructure in place, but the property's current use is outdated or prevents a
better or more efficient use of the property.
This tax credit program is offered as a way to promote the economic health of
communities by reducing environmental potential hazards, cleaning up eyesores,
creating new jobs and boosting tax revenue.
DISCUSSION
Our department has received notification from Weaver Castle, LLC of their intent to
submit an application to the Iowa Economic Development Authority for financial
assistance to redevelop 346-348 W. Locust Street, which is a vacant residential duplex
building.
The redevelopment of this property will improve the appearance of the West Locust Street
area, located at the intersection of Locust Street and Main Street. The residential
development will provide additional housing units in the heart of the commercial district.
The project also plans to utilize the historic tax credit program, which will ensure an
appropriate, quality redevelopment of the property.
RECOMMENDATION/ ACTION STEP
I recommend City Council approval of the attached letter of support.
2
THE CITY OF
DUB E
Masterpiece on the Mississippi
August 30, 2022
Matt Rasmussen
Program Manager/CDB Administrator
Iowa Economic Development Authority
200 East Grand Avenue
Des Moines, IA 50309
PH: 515.725.3126
Dubuque
All-Amerin City
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2007-2012.2013
2017*2019
Economic Development
Department
1300 Main Street
Dubuque, Iowa 52001-4763
Office (563) 589-4393
TTY (563) 690-6678
http://www.cityofdubuque.org
RE: Financial Assistance for Weaver Castle, LLC, 346-348 W. Locust Street,
Dubuque
The City of Dubuque has received notification from Weaver Castle, LLC of their intent to
submit an application to the Iowa Economic Development Authority for financial
assistance to redevelop 346-348 W. Locust Street, Dubuque, IA, which is a vacant
residential duplex building.
As part of their application, Weaver Castle, LLC has requested a letter from the City of
Dubuque indicating whether the subject property at 346-348 W. Locust Street. is located
on a qualified Grayfield site as defined in Iowa Administrative Code section 261—
chapter 65, "Brownfield and Grayfield Redevelopment".
Iowa code defines a grayfield site as "an industrial or commercial property meeting all of
the following requirements:
1. Infrastructure on the property is outdated or prevents an efficient use of the
property, including vacant, blighted, obsolete, or otherwise underutilized property.
2. Property improvements and infrastructure are at least 25 years old and one or
more of the following conditions exist:
• Thirty percent or more of a building located on the property is available for
occupancy and has been vacated or unoccupied for at least 12 months;
• Assessed value of improvements on the property has decreased by 25
percent or more;
• The property is used as a parking lot;
• Improvements on the property no longer exist.
The City of Dubuque believes the property located at 346-348 W. Locust Street is a
qualified Grayfield site for the following reasons:
1. The building was built in 1880 as a residential duplex.
2. The building has been vacant for over a decade.
3. The property has not seen significant improvements since at least the 1950s,
which improvements would now be considered obsolete.
This project will provide additional needed housing and contribute to the continued
revitalization of Dubuque's downtown.
If there are questions that require further discussion, please contact me at 563-589-
4213.
Sincerely, 'd
Jill M. Connors
Economic Development Director
2