Moline approves plan for more downtown housing
The city of Moline — in partnership with Renew Moline and Bush Construction — has entered into a final agreement to transform the former RiverStone Group headquarters building on 5th Avenue in downtown Moline for 32 new market-rate apartments.
The agreement was approved Tuesday night by the Moline City Council.
The property at 1701 5th Ave. was originally built by JC Penney in 1956 and used commercially until 1972, then acquired by RiverStone Group in the late 1980s for their headquarters until 2019.
After their relocation to Davenport, RiverStone donated the building and parking lot to Renew Moline to promote redevelopment of the property, according to a city release Wednesday. Bush Construction acquired the building from Renew in May 2024, with plans to renovate the 35,000-square-foot building and add a third story to support workforce housing, a top priority of the city.
“We are very thankful for the partnerships that made this project happen, especially with Renew Moline, who is our chief downtown partner,” Mayor Sangeetha Rayapati said. “Moline continues to evolve and our hopes are high for the new look and experiences that downtown living options like this redevelopment project will provide.”
“One of the city’s goals has been to increase the number of dwelling units in our downtown,” said Chris Mathias, the city’s director of community and economic development. “I’m excited that the Mayor and City Council have found a way to partner with Renew Moline and Bush Construction to further that goal, by renovating a vacant building to add 32 market-rate apartments to our downtown.”
Plans approved in the $6.8-million redevelopment and economic incentive agreement call for the project to start in late 2024 with anticipated completion in late 2025.
“This project will bring much needed housing to our downtown and represents what is possible when local businesses and local government get together to invest in our shared community,” said Moline City Administrator Bob Vitas.
“The city is grateful to have Renew Moline as our economic development partner, Riverstone Group’s collaboration to provide the property, and a new partnership with Bush Construction,” he said.
“It really changes the number of people on the streets. If you come down to this intersection, it feels very different than it did two years ago just because there’s more people and more activity happening here,” said Alexandra Elias, Renew Moline’s president and CEO. “This project will be in the heart of it, and it is going to contribute new residents to be part of that activity.”
The redevelopment will invest in Fifth Avenue, supported by a newly created tax increment financing (TIF) district, like the ones created by other districts over the last 30 years to support downtown redevelopment. Under the terms of the agreement, Moline will provide a loan to close a funding gap that will be repaid by the project through TIF.
The project requires city funds not to exceed $2.8 million to undertake the project, and the $2.8 million will be paid back over the life of the TIF, with the TIF increment (increased property taxes) generated by the project.
The project will provide leased parking spaces for tenants in a nearby lot and add bike racks on the Fifth Avenue side and landscape improvements on 17th Street. The project helps the city’s goal of creating more housing, especially in areas served by public transportation.
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