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First Amendment to Development Agreement Between the City of Dubuque and FitzGerald EnterpriZes, LLC for the Rehabilitation of 2400 Central Avenue Copyrighted April 6, 2026 City of Dubuque CONSENT ITEMS # 10. City Council ITEM TITLE: First Amendment to Development Agreement Between the City of Dubuque and FitzGerald EnterpriZes, LLC for the Rehabilitation of 2400 Central Avenue SUMMARY: City Manager recommending City Council approval of the attached resolution approving the First Amendment to Development Agreement by and between the City of Dubuque and FitzGerald EnterpriZes, LLC. RESOLUTION Approving A First Amendment To Development Agreement By And Between The City Of Dubuque, lowa And FitzGerald EnterpriZes, LLC SUGGUESTED Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: 1. MVM Memo First Amendment DA for the Rehabilitation of 2400 Central Avenue 2. Staff Memo 3. First Amendment 4. Resolution Page 958 of 2358 Dubuque THE CITY OF � uhA�eMa cin DuB E ; . � , I � � I. Maste iece on the Mississi t 2oo�•zoiz•zois �P Pp zoi�*zoi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: First Amendment to Development Agreement Between the City of Dubuque and FitzGerald EnterpriZes, LLC for the Rehabilitation of 2400 Central Avenue DATE: April 1, 2026 Economic Development Director Jill Connors is recommending City Council approval of the attached resolution approving the First Amendment to Development Agreement by and between the City of Dubuque and FitzGerald EnterpriZes, LLC. The rehabilitation of 2400 Central Avenue is progressing. However, unexpected building issues, increased material costs, and a tough financing market for development have pushed the project behind schedule. FitzGerald EnterpriZes, LLC has been in regular communication with our department on the status of the project throughout this rehabilitation process. FitzGerald EnterpriZes, LLC has requested an updated closing date of April 8, 2026, and an amended completion date of December 31, 2026. This will allow time for the project to be completed and properly inspected. 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 Page 959 of 2358 Dubuque Economic Development Department THE CITY OF ' ' 1300 Main Street All•Ame�ica City Dubuque,lowa 52001-4763 U� � `��x..,�i�nx ii�:� Office(563)589-4393 , � ► TTY(563)690-6678 � http://www.cityofdubuque.org 2007*2012*2013 Masterpiece on the Mississippi 2oi�*zoi9 TO: Michael C. Van Milligen, City Manager FROM: Jill M. Connors, Economic Development Director SUBJECT: First Amendment to Development Agreement Between the City of Dubuque and FitzGerald EnterpriZes, LLC for the Rehabilitation of 2400 Central Avenue DATE: March 30, 2026 INTRODUCTION This memorandum presents for City Council consideration and action the attached resolution approving a First Amendment to Development Agreement by and between the City of Dubuque and FitzGerald EnterpriZes, LLC for the rehabilitation of 2400 Central Avenue. BACKGROUND The Downtown Rehabilitation Loan Program (DRLP) provides several incentives from the Economic Development department for the rehabilitation of historic buildings in our greater downtown. This program has had a positive impact in the appearance and livability of our downtown, which leads to a more attractive business and residential environment. As such, the Economic Development Department finds these programs to be great tools for attracting and retaining a quality workforce for our businesses. On May 5, 2025, the Dubuque City Council entered into a Development Agreement with FitzGerald EnterpriZes, LLC by Resolution No. 156-25. The Development Agreement included a housing creation grant in the amount of $30,000 and a 15-year tax increment financing incentive. The original agreement required an outside closing date of May 31, 2025 and the minimum improvements to the property be completed by December 31, 2025. Page 960 of 2358 DISCUSSION The rehabilitation of 2400 Central Avenue is progressing. However, unexpected building issues, increased material costs, and a tough financing market for development have pushed the project behind schedule. FitzGerald EnterpriZes, LLC has been in regular communication with our department on the status of the project throughout this rehabilitation process. FitzGerald EnterpriZes, LLC has requested an updated closing date of April 8, 2026 and an amended completion date of December 31, 2026. This will allow time for the project to be completed and properly inspected. RECOMMENDATION /ACTION STEP I respectfully request City Council approval of the attached resolution approving the First Amendment to Development Agreement by and between the City of Dubuque and FitzGerald EnterpriZes, LLC. 2 Page 961 of 2358 FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BY AIVD B TWEEN THE CITY OF DUBUQUE, IUVIIA AND FITZGERALD ENTERPRIZES, L.L.C. This First Amendmen#to D velopment Agreement (the Dev lopment Agreement) dated for reference purposes the day o# 2026 is made and entered into by and between the City of Dubuque, fowa (City}, and FitzGerald EnfierpriZes, L.L.C. (Deveioper). ' WHEREAS,the City and Developer entered into a Development/qreement dated May 5, 2025 for tMe development of the real estate locally known as 2400 Cen#ral avenue, Dubuque, lowa and legally described as follows (the I'roperty): Lot 1 of Lot 1 of ot 'I of Lot 170, Lot 2 of Lot of Lot 170, Lot 2 of Lot 1 of Lot i i 1 of Lot 170, and Lofi 1 0# Lot 1 of Lot 171, all in L.H. Langworthy's Addition #o the City of Dubuque, lowa, according fo the recorded Plats thereof ` and WHEREA3, Ci#y and Developer now desire to amend the Developmen# Agresment as set#qrth herein. i N41N, TH'REFOR; the parties fio fihis First Amendment to Development Agreement, in consideration of th promises, covenants and agreements made by each other, do hereby agree as follows: SECTl4N 1. Section 1.3 is amended to read as follows: 1.3 Closinq. The closing shall fiake place on the Closing Date which shall be the 8cn day of April, 2026, or such other date as the parties shall agree in writing bufi in no event shall the Clasing Date be lafier fihan the 30t" day of April, 2026. Consummation of the ciosing shall be deemed an ag reement of the parties to this Agreement tha the conditions of closing shail have been satisfied or waived. SECTION 2. Section. 2.1 is amended to read as foilows: Page 962 of 2358 6th April i i 2.1 Required Minimum Im rovements. Developer will make a capi#a{ investment of approxima ely Five Hundred Thousand Dollars{$500,000.00}to improve the Building (the Minimum Improvements}. The Minimum Impra ements include creating three (3) new iresidential market rate units and r habilitating the fa ade including doors and windows. SECTION 3. Section 2.3 is amended to read as foliows: 2.2 Timinq of Improvements. Developer hereby agrees fihat cons#ruction of the Minimum Irr provements on the Property shall begin by November 1, 2024, and shall be substantially completed by December 31, 2026. The time for the performance of these obligations shall be suspended due to, unavoidable delays m aning delays, ou#side the control of the party claiming its occurrence in good faith, which are the direct result o# strikes, other iabor troubles, unusua! shortages of materials or labor, unusually sewere or prolonged bad weather,acts of God, fire ar other casualty to the Minimum lmprovements, litigation commenc d by t ird parties which, by injunatian or ather similar judicial action or by the exercise of reasonable discre tion directly resul'ts in delays, or acts ofi any fed ral, state or local governmen which directly result in extraordinary delay. The time for performance of such obligations shall be extended only for the period of such delay. SECTION 4. Ail o#her terms and conditions sha11 remain in full force and effect. C1TY OF DUBUQUE, IOWA FITZGERALD EIdTERPRIZES, l..L.C. By BY Brad M. Cavanagh, Mayor Ky itzgerald, ember Attest: Adrienne N. Breitfelder, City lerk i i Page 963 of 2358 z Prepared by Ian C. Hatch, Assistant Economic Development Director, 1300 Main Street Dubuque IA 52001 (563) 589-4105 Return to Adrienne N. Breitfelder, City Clerk, 50 W. 131h St., Dubuque, IA 52001, (563) 589-4100 RESOLUTION NO. 102-26 APPROVING A FIRST AMENDMENT TO DEVELOPMENT AGREEMENT BY AND BETWEEN THE CITY OF DUBUQUE, IOWA AND FITZGERALD ENTERPRIZES, LLC WHEREAS, The City of Dubuque, Iowa (City) and FitzGerald EnterpriZes, LLC (Developer) entered into a Development Agreement dated May 5, 2025 for the redevelopment of 2400 Central Avenue in the City of Dubuque, Iowa (the Project); 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 between the City of Dubuque, Iowa and FitzGerald EnterpriZes, LLC, a copy of which is attached hereto, is hereby approved. Section 2. That 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. That 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 6th day of April, 2026. Brad anagh, Mayor Attest: Adrienne N. Breitfelder, `City Clerk