Council approves Lindale redevelopment plan; development agreement to bring Dick’s House of Sports to former Sears site

The Cedar Rapids City Council on Feb. 25 approved the Lindale Urban Renewal Area plan and authorized a development agreement with Shops at Cedar Rapids LLC for redevelopment of the former Sears building at 4600 First Avenue NE into a Dick’s House of Sports, a multi‑use retail and recreation facility.

Bill Michael of Economic and Development Services summarized the proposal and said council previously authorized financial incentives on Jan. 14. Michael said the redevelopment would renovate the 117,000‑square‑foot Sears structure for retail and indoor amenities including batting cages and golf simulators and would add a year‑round multipurpose outdoor field. Construction was described as beginning Aug. 25 with anticipated completion March 26 (dates presented by staff). The minimum private investment in the development agreement was presented at $25,000,000. City incentive terms described by staff were a 10‑year, 100% rebate of the increased taxes on the increment up to the amounts in the agreement; total estimated tax increment over the rebate term was presented as $3,400,000 with $2,100,000 rebated back to the developer under the proposed arrangement.

Council discussed local economic context and the site’s vacancy history. Council member Todd cited taxpayer concerns but said incentives were modest compared with regional alternatives, and he described the project as an opportunity to prevent mall-area decline. Council member Poe noted the Sears building has been vacant since about 2017–2018; Council member Overland, whose district includes Lindale, said the project would be a major improvement and cited reported interest in other end‑cap spaces. The council recorded a public hearing with no public objections and adopted the resolution approving the urban renewal plan; council then approved the development agreement resolution and approved the ordinance on its first reading by voice vote.

Staff recommended approval and noted the project would be one of roughly 10 Dick’s House of Sports locations nationwide, with about 80 full‑time jobs projected to be created and 30 retained at the existing store. The urban renewal boundary will include the former Hy‑Vee building and other mall parcels, accommodating future development as staff described it.

The action authorizes staff to finalize and execute the development agreement consistent with the terms presented at the Feb. 25 public hearing. Council approved the associated resolutions and the ordinance on first reading; subsequent readings and final execution steps remain subject to the city’s normal ordinance and contract processes.