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Council introduces rezoning for Lucky Pete Subdivision, including a 40,000 sq. ft. esports arena

Coralville City Council · January 27, 2026
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Summary

Council introduced Ordinance No. 2026-1002 to rezone Lucky Pete Subdivision to a commercial planned unit development that would include a 40,000 sq. ft. esports arena, retail/restaurant buildings and 467 parking stalls; staff recommended approval and the Planning & Zoning Commission had recommended 6–0.

The Coralville City Council introduced an ordinance to rezone the Lucky Pete Subdivision from C-2 (Arterial Commercial) to C-PUD1 (Commercial Planned Unit Development One), a first reading that moves a proposed five-building commercial campus — including a 40,000-square-foot esports arena — closer to approval.

Community Development Director Dave Johnson described the application as a master development plan intended to establish the framework for a multi-phase project. The plan calls for five buildings: a 40,000 sq. ft. esports and event center (Building A); a 2,000 sq. ft. storage building; two 11,375 sq. ft. mixed retail/restaurant buildings; and an 8,750 sq. ft. mixed-use building. The developer proposes 467 parking stalls to satisfy peak weekend demand for tournaments and events.

Johnson said staff found the proposed use consistent with the Land Use Plan. The Planning & Zoning Commission recommended approval by a 6–0 vote. Council introduced ORDINANCE NO. 2026-1002 for first consideration; the motion to introduce the ordinance carried on a roll call vote.

Council members asked follow-up questions. Councilperson Katie Freeman asked whether staff had received or requested market research for an esports arena; Johnson said staff reviews access, parking, grading and code compliance but had not requested a specific market or impact study and that the Council could do so if it desired. City Administrator Kelly Hayworth added the council previously approved a 15-year tax abatement for the esports arena building specifically, but not for the other commercial buildings.

Staff said the developer must work with Lowe’s on development covenants for shared access and coordinate with the Iowa Department of Transportation on any secondary access off Highway 6, which will be required prior to phase two and for fire-code access. Grading permits cannot be issued until the Lowe’s agreement and construction site runoff permit requirements are satisfied.

Because the ordinance was introduced for its first consideration, additional readings and conditions remain before final approval.