Resolution Approving a First Amendment to Development Agreement by and between the City of Dubuque, Iowa and Hitzler Rental, LLC for the Redevelopment of 2541 Central AvenueCity of Dubuque
City Council
CONSENT ITEMS
# 5.
Copyrighted
January 20, 2026
ITEM TITLE: Resolution Approving a First Amendment to Development
Agreement by and between the City of Dubuque, Iowa and
Hitzler Rental, LLC for the Redevelopment of 2541 Central
Avenue
SUMMARY: City Manager recommending City Council adopt a resolution
approving a First Amendment to Development Agreement by
and between the City of Dubuque, Iowa and Hitzler Rental,
LLC for the redevelopment of 2541 Central Avenue.
RESOLUTION Approving The First Amendment To
Development Agreement By And Between The City Of
Dubuque, Iowa And Hitzler Rental, LLC
SUGGUESTED Receive and File; Adopt Resolution(s)
DISPOSITION:
ATTACHMENTS:
1. MVM Memo
2. Staff Memo
3. First Amendment
4. Resolution of Approval
Dubuque
THE CITY OF
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TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Resolution Approving a First Amendment to Development Agreement by
and between the City of Dubuque, Iowa and Hitzler Rental, LLC for the
Redevelopment of 2541 Central Avenue
DATE: January 13, 2026
Economic Development Director Jill Connors is recommending City Council adopt a
resolution approving a First Amendment to Development Agreement by and between
the City of Dubuque, Iowa and Hitzler Rental, LLC for the redevelopment of 2541
Central Avenue.
Hitzler Rental, LLC has worked with an architect to determine that a fifth residential
rental unit can be added to the building while meeting building code. The Downtown
Housing Creation Grant Program provides $10,000 per unit for new multifamily housing
units (rental or for -sale condos) within the Greater Downtown Urban Renewal District.
The units must be newly created or must have been vacant for a minimum of three
years. As no rental units have been present in the building for many years, this fifth unit
would also be eligible for the Downtown Housing Creation Grant Program. The First
Amendment increases the Housing Creation Grant award from $40,000 to $50,000 for a
total of five new residential rental units.
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 Economic Development
Department
THE CITY OF 1300 (wain street
All-AM111094 Dubuque, Iowa 52001-4763
UB E vxxwi Office (563) 589-4393
1 I I TTY (563) 690-6678
I® http://www.cityofdubuque.org
2007-2012*2013
Masterpiece on the Mississippi 2017*2019
TO: Michael C. Van Milligen, City Manager
FROM: Jill M. Connors, Economic Development Director
SUBJECT: Resolution Approving a First Amendment to Development Agreement by
and between the City of Dubuque, Iowa and Hitzler Rental, LLC for the
Redevelopment of 2541 Central Avenue
DATE: January 13, 2026
INTRODUCTION
This memorandum presents for City Council review and approval a Resolution approving
a First Amendment to Development Agreement by and between the City of Dubuque, Iowa
and Hitzler Rental, LLC for the redevelopment of 2541 Central Avenue.
BACKGROUND
On October 20, 2025, the Dubuque City Council entered into a Development Agreement
with Hitzler Rental, LLC by Resolution No. 343-25. The Development Agreement included
a Downtown Housing Creation Grant for the creation of four residential rental units, among
other incentives.
DISCUSSION
Hitzler Rental, LLC has worked with an architect to determine that a fifth residential rental
unit can be added to the building while meeting building code. The Downtown Housing
Creation Grant Program provides $10,000 per unit for new multifamily housing units (rental
or for -sale condos) within the Greater Downtown Urban Renewal District. The units must
be newly created or must have been vacant for a minimum of three years. As no rental
units have been present in the building for many years, this fifth unit would also be eligible
for the Downtown Housing Creation Grant Program. The First Amendment increases the
Housing Creation Grant award from $40,000 to $50,000 for a total of five new residential
rental units.
BUDGETIMPACT
This First Amendment increases the grant dollars awarded in the Development Agreement
by $10,000. Staff have confirmed that this $10,000 is available in the balance of the
Housing Creation Grant program for FY2026.
RECOMMENDATION
I respectfully request City Council adopt the attached Resolution approving the First
Amendment to Development Agreement with Hitzler Rental, LLC for the redevelopment of
2541 Central Avenue.
FIRST AMENDMENT
TO
DEVELOPMENT AGREEMENT
BETWEEN
THE CITY OF DUBUQUE, IOWA
AND
HITZLER RENTAL, LLC
This First Amendment to Development Agreement, dated for reference purposes
the day of Jr\rWA,;,\l 2026, is made and entered into by the City of Dubuque,
Iowa, a municipality (City), established pursuant to the Iowa Code and acting under
authorization of Iowa Code Chapter 403, as amended (the Urban Renewal Act), and
Hitzler Rental, LLC (Developer).
WHEREAS, City and Developer entered into a Development Agreement dated
October 20, 2025 (the Agreement); and
WHEREAS, City and Developer desire to amend the Development Agreement as
set forth herein.
NOW THEREFORE, IN CONSIDERATION OF THE MUTUAL TERMS AND
COVENANTS CONTAINED HEREIN, CITY AND GRANT RECIPIENT AGREE AS
FOLLOWS:
Section 1. Section 3.5 of the Development Agreement is hereby amended to read
as follows:
3.5 Downtown Housing Incentive.
(1) City agrees to provide to Developer on the terms and conditions set
forth in the Downtown Housing Incentive Program attached hereto as Exhibit
F, a grant in an amount not to exceed Fifty Thousand Dollars ($50,000.00)
(the Grant).
(2) Grant funds will not be disbursed to Developer until City has issued a
Certificate of Completion for the Project. The Grant shall be paid in Ten
Thousand Dollar ($10,000.00) payments for each apartment that receives a
Certificate of Completion up to a maximum of five apartments. Prior to the
disbursement of any funds, Developer shall provide evidence satisfactory to
City that the Minimum Improvements have been completed in accordance
with the Plans and other documentation submitted to City with the Downtown
Housing Assistance application.
Section 2. Except as modified herein, the Development Agreement shall remain
in full force and effect.
CITY OF DUBUQUE, IOWA
,_
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Attest:
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Adrienne N. Breitfelder, City Clerk
HITZLER RENTAL, LLC
By -
Timothy J. Hitzler, President
Prepared by Ian Hatch, Assistant Economic Development Director, 1300 Main Street, Dubuque IA 52001 (563) 589-4105
Return to Adrienne N. Breitfelder, City Clerk, 50 W. 13t' St., Dubuque, IA 52001, (563) 589-4100
RESOLUTION NO. 12-26
APPROVING THE FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BY AND
BETWEEN THE CITY OF DUBUQUE, IOWA AND HITZLER RENTAL, LLC
WHEREAS, the City of Dubuque (City) and Hitzler Rental, LLC (Developer) entered into a
Development Agreement dated October 20, 2025 for the redevelopment of 2541 Central Avenue
in the City of Dubuque, Iowa; and
WHEREAS, City and Developer desire to amend the Development Agreement as set forth
in the attached First Amendment to Development Agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DUBUQUE, IOWA THAT:
Section 1. The First Amendment to Development Agreement by and between the City of
Dubuque, Iowa and Hitzler Rental, LLC, a copy of which is attached hereto, is hereby approved.
Section 2. The Mayor is hereby authorized and directed to execute the First Amendment
to Development Agreement on behalf of the City of Dubuque and the City Clerk is authorized and
directed to attest to his signature.
Section 3. The City Manager is authorized to take such actions as are necessary to comply
with the terms of the First Amendment to Development Agreement as herein approved.
Passed, approved, and adopted this 20th day of January, 2026.
Cavanagh, Mayor
Attest:
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Adrienne N. Breitfelder, tity Clerk