Council approves development agreement to convert 1550 Elm into nonprofit health center

The Dubuque City Council on Sept. 2 approved a development agreement with the Greater Dubuque Impact Investment Fund that transfers about 0.59 acres at 1550 Elm Street to a nonprofit redevelopment effort for a community health and related office facility. Economic development staff described a capital package that includes a $174,800 land-acquisition grant offsetting the sale price, and construction estimated at $5,000,000.Photo: Rick Dickinson, speaking as a member of the Impact Fund board, urged council support and described community foundations and nonprofit partners backing the effort.Nut graf: The agreement aims to reuse a city-held parcel for nonprofit health services and related offices. The deal includes a timeline, environmental work expectations, and a 10-year option for tax-increment financing (TIF) rebates if the property is subject to property tax in the future.Body: Economic Development Director Jill Connors told council the agreement requires the developer to purchase roughly 0.59 acres for $174,800, with the price offset by a land-acquisition grant of the same amount conditioned on construction of the agreed improvements. The developer will create community-health and related office facilities to be operated by a nonprofit health provider, with total estimated construction costs of $5,000,000. Connors said construction must begin on or before Oct. 1, 2027, and be substantially complete by April 1, 2029; the schedule anticipates an 18-to-24-month environmental assessment or mitigation period before construction. Under the agreement, if the property becomes subject to property taxes the city will provide up to 10 years of tax-increment-financing rebates; if the property qualifies as tax-exempt nonprofit use the owner may seek exemption. Rick Dickinson, representing the Greater Dubuque Development Corporation on the Impact Fund board, described the Impact Fund as a 501(c)(3) that pools community foundation dollars and other philanthropic capital for projects that need a capital stack. He urged council approval and said the project is a “close collaboration with the city.” Council received and filed the public hearing documents and adopted the resolution approving the agreement; the motion passed on a 7-0 roll call. Ending: With adoption, the project will move into preconstruction steps including environmental review and financing outreach; council recorded the vote as unanimous.