Coralville OKs 10-Year tax rebate to support Iowa River Power historic building renovation

The Coralville city council has approved a tax increment rebate to help aid in the historic renovation of the former Iowa River Power Restaurant, located at 501 First Ave. in Coralville. At its meeting May 13, the council passed a resolution approving a development agreement with Old Gold & Black, LLC – previously known as Old Gold, LLC – that will rebate property taxes exceeding a base amount of $88,362 over the next 10 years to the developer, in exchange for the renovations. Managing partner Mark Kaufman, a University of Iowa alumnus and longtime Chicago resident, shared his vision for the renovations with the council on Tuesday. Mr. Kaufman, owner of Athletico Physical Therapy, which has over 900 locations nationwide, said he was drawn to the project while visiting his parents, who reside in the area. His memories of visiting the Iowa River Power Restaurant during his college years inspired him to purchase the property in September.

Calling the building “tired” but full of potential, Mr. Kaufman said he is committed to investing heavily in its revitalization. He told the council that he is currently in talks with three potential local tenants, though no leases have been finalized. While acknowledging that the structure needs extensive work from the basement up, he said the building has “amazing bones” and could become a hub for collaborative local businesses. “...I think it has so much potential, which excites me, but the building as it stands, needs some work, needs a lot of attention,” he said. Mackenzie DeRoo, senior director of advocacy with Greater Iowa City, Inc., spoke in favor of the development plans on behalf of Greater IC during the community comment period. “This project along the Iowa River aligns with our community's vision to activate and strengthen the riverfront area,” she said. “It also sits on the edge of one of our strategic investment districts that we've identified in Coralville and can serve as an anchor for the larger Fifth Street corridor…we appreciate the developer’s interest in working with other local businesses on this project to create something that's truly unique to Coralville and reflects the character of our community.” Renovations will include new windows, updated exterior finishes, and historically accurate details drawn from archival photos and plans. “I'm starting to see what could be, and starting to see some of the architectural renderings. I think it'll be something that the community will welcome and be very well received,” Mr. Kaufman told the CBJ. The former restaurant only used a portion of the space within the building and he’s hoping to utilize more of it, once renovations are finished.

In speaking with groups and businesses interested in leasing space there eventually, Mr. Kaufman said he’s considering what would make sense there, in context of the historic building and area. He said the building will house another restaurant and could be used for "multi tenant administrative offices" as well, but that might overlook its unique potential. “More importantly, I think, the history of the building and what has been there successfully for so long” should guide its future use, he said. Mr. Kaufman estimates renovations will be completed by the end of summer 2026. Under the agreement with the city of Coralville, "the project is required to be substantially completed by June 30, 2027," council documents stated.