Des Moines Euclid Avenue Building Slated for Historic Renovation
The former University of Commerce building at 615 Euclid Ave. in Highland Park is slated for a $5.8 million historic renovation, featuring second-story residential apartments and ground-floor retail space, businessrecord.com reported.
Des Moines City Council Weighs TIF Incentives for Euclid Avenue Redevelopment
The Des Moines City Council will consider the preliminary terms of an Urban Renewal Development Agreement during its Monday meeting. The agreement involves developer Brian Clark, operating under 615 Euclid LLC, who plans to transform the two-story structure originally built in 1924 as a storefront and business school. That early business school served as a precursor to the AIB College of Business, which closed in 2016.
If approved, the city would provide Tax Increment Finance incentives totaling $338,000 over 18 years. City documents state that the property’s current assessed value sits at $145,000. Once the project is complete, that value is estimated to increase to $1.95 million.
Funding Sources and Construction Timeline for 615 Euclid LLC
Clark, the president and founder of Sonar Development Partners, discovered the building while his firm worked as the city’s chosen developer for a nearby vacant lot. That lot formerly held the Highland Apartments before their demolition in 2023. Although that initial apartment project fell through, Clark learned during the process that 615 Euclid Ave. was entering the market.
“I loved the building, although it was in rougher shape than we thought,” Clark told businessrecord.com. He acquired the property with assistance from Invest DSM. He intends to launch the historic renovation by the end of this year.
“We’re hoping by next October, after a 10-month renovation process, we’ll have our first apartment tenants moving in,” Clark said. The capital stack combines equity sources, historic tax credits, workforce housing tax credits, Community Block Development Grant funds, Invest DSM funds, and city incentives. Clark is currently working alongside a general contractor to finalize these costs.
The development blueprint outlines 14 residential units on the second floor—consisting of two 2-bedroom units and 14 one-bedroom units—alongside roughly 2,000 square feet of retail space on the ground floor. Clark pointed to ongoing neighborhood investments as a primary catalyst for undertaking the Euclid Avenue project.
“Highland Park has a lot of great momentum, and we’re hoping to cap that end of Euclid with a great project at 615 Euclid,” Clark said, noting nearby neighborhood anchors like the Kline Building redevelopment, Lachele’s, Slow Down Coffee Co., and Chuck’s.
Riverview Park Infill Development Considered in Separate Council Action
In concurrent business scheduled for Monday, the city council will review preliminary terms for a separate multi-family residential incentive package near Riverview Park. Cold Storage Rehab LLC, an entity backed by the Neighborhood Development Corp., proposes constructing two 12-unit residential buildings at 2814 Seventh St. on a three-acre infill site.
Under the proposed terms, the city would grant $330,000 in Tax Increment Finance benefits over 16 years. The developer also plans to apply for a 10-year declining residential tax abatement. Assessed currently at $462,000, the property’s value is projected to exceed $4.2 million upon completion, according to city documents.