Redevelopment plan emerging for former Transamerica site in Cedar Rapids

A redevelopment proposal is gradually emerging for the former Transamerica site at the intersection of 42nd Street and Edgewood Road NE in Cedar Rapids, even as a neighborhood group continues to express concerns about the potential impacts of the project. Kerry Panozzo, a Davenport-based franchisee of HomeSmart known as HomeSmart Residential & Commercial Realty, is the primary developer of the project, now known as Edgewood Pointe. He also represents an investment group that’s providing financial backing for the proposed project. The overall development is being conducted under the investment group, EOP Development LLC. A preliminary plat prepared by Hall & Hall Engineers for the project was submitted to Cedar Rapids planning officials Feb. 23, showing general plans for a mixed-use development on the 52-acre site, with commercial and retail development closer to Edgewood Road and 42nd Street and a mix of multi-family residential projects toward the western portion of the property.

Hall & Hall hosted an informal meeting with neighborhood residents March 20 in the plaza between the two Edgewood Pointe Towers on the former Transamerica property. The project is then slated for more formal consideration by the Cedar Rapids Planning Commission Thursday, April 4. That meeting is scheduled to begin at 3 p.m. at Cedar Rapids City Hall. A conceptual plan for the Edgewood Pointe site has been posted to several local real estate websites, but Mr. Panozzo emphasized that there aren’t yet any specific plans for the project. He declined further comment on the project. The property is currently zoned as Suburban Mixed-Use Regional Center (S-MR), which allows for a variety of commercial and residential projects, Mr. Panozzo said. He also said HomeSmart is working collaboratively with GLD Commercial in Cedar Rapids to market the property to potential developers.

The site was largely vacated when Transamerica moved its Cedar Rapids operations to the former Hibu site in southwest Cedar Rapids, a process that began in 2016 and continued gradually for several years. A number of older office buildings on the property were demolished in 2021, but three structures remain, including a pair of 100,000-square-foot Class A office buildings, constructed in 1994, and a 14,000-square-foot former daycare facility. The two office buildings continue to be marketed for potential new occupants, and the former daycare facility could be either repurposed or replaced based on a developer’s wishes. The investment group purchased the entire site in an online auction that closed In June 2022. After clearing escrow, the purchase was finalized in July 2022 for a total cost of $7.02 million, according to records from the Cedar Rapids Assessor’s Office. Since the sale, signs have been posted around the site indicating it’s available for redevelopment. The property was under contract to purchase on two occasions since Transamerica’s departure – first by Hunter Companies, then by Edgewood West, a group of local investors. The deals fell through on both occasions. A Facebook group, “42nd and Edgewood save our neighborhood,” was formed in 2022 to advocate for residents of the area around the Transamerica site. At last check, the group had just over 240 members. Dave Watson, a neighboring property owner and an administrator of the Facebook group, said he realizes redevelopment of the former Transamerica site is inevitable. “We just want something that’s going to blend in with what’s already there,” Mr. Watson said, referring to the residential neighborhoods to the south and west of the property. Mr. Watson said the neighborhood group’s concerns span a variety of issues, from potential increased traffic to tree removal, water retention and runoff, light pollution, sewer issues and possible impact on emergency response. In particular, Mr. Watson noted that the intersection of Edgewood Road and 42nd Street is already monitored by automated traffic enforcement cameras. “There are speed cameras on that intersection for a reason,” he said. Traffic already backs up in all directions from the intersection, Mr. Watson said, and while traffic volume from the Transamerica offices was highest from 7 a.m. to 5 p.m., “with what they’re proposing, there’s going to be traffic all day long,” he said. “There’s an existing community there that was built because that was an office building.” Mr. Watson said he would be most supportive of a development similar to the Jordan Creek Town Center area in West Des Moines, with its mix of green space and development that “made it like a mall in a park.” “Obviously their goal is to sell the property for the most they can get,” Mr. Watson added. “The problem is once they’ve made their money, the residents of that community, all the way back to Seminole Valley Park, are the ones who’ll have to live with it.”