Cedar Falls council approves $950,000 forgivable loan for downtown Riverplace mixed‑use project after heated debate

The Cedar Falls City Council on Feb. 2 approved a development agreement with River Place Properties 2 LC to build a four‑story mixed‑use building at 3rd Street and State Street, authorizing a one‑time $950,000 forgivable loan that would be paid after the building receives a certificate of occupancy. Shane Graham, city staff, told the council the project will include about 4,700 square feet of first‑floor commercial space and 18 residential units above, and staff estimated the property’s assessed valuation after completion would be $8,376,460.

The council’s decision followed an extended public hearing and council discussion that focused on the cash‑flow tradeoffs, parking, and the contract’s appropriation language. Graham described the incentive request as an alternative to the city’s typical 10‑year, 100% tax‑increment rebate and said staff’s estimate…