Tim Landis
The State Journal Register
A group of residents and business owners along MacArthur Boulevard said Thursday they are concerned plans for a Hy-Vee supermarket have yet to be approved by the city nearly a year after the project was announced. City officials said the project remains on track, but negotiating a major development agreement, including financial incentives, takes time.
“There have been delays. Paper movement delays,” Ward 7 Ald. Joe McMenamin told a meeting of the MacArthur Boulevard Business Association. “As a consequence, we cannot expect construction until next spring at the earliest.” McMenamin said he remains hopeful the city legal and economic development departments can have an agreement ready for the city council in the next few weeks. But he said Hy-Vee has been clear that major construction would not begin prior to a deal.
The Iowa supermarket chain announced plans in September 2011 to convert the former Kmart building at 2115 S. MacArthur Blvd. to a full-service supermarket. Both McMenamin and boulevard association president Debbie Thompson said they are confident the project will go through. Hy-Vee already has purchased the Kmart property and completed a site analysis.
“They are coming. They really are coming,” said Thompson. “They just don’t want to build the hope that it’s going to pop up in the next six to eight months.”
“Things are moving along,” said Farmer. “We’re moving as expeditiously as possible and hope to have it done very soon, but I don’t like to put deadlines on it. Certainly, I think this fall is reasonable.” Farmer said it also took months to complete a development agreement for a County Market store under construction at Second and Carpenter streets.
Boulevard residents David Farrell and Larry Golden said they are concerned the project could lose momentum if negotiations drag on. Farrell said there should at least be a sign on the property indicating it is where Hy-Vee plans to build.
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The Hy-Vee plan
* Hy-Vee Corp. announced in September 2011 plans to convert the former Kmart at 2115 S. MacArthur Blvd. to a full-service supermarket and convenience store. A Title-Max payday loan store and the former Spillway Lanes building would be demolished.
* Hy-Vee exercised its purchase option on the properties in January.
* What next? Hy-Vee and the city continue negotiations on a development agreement, including financial incentives from a tax increment financing district along MacArthur Boulevard. TIF funds would be used to reimburse Hy-Vee for redevelopment expenses.
Joe McMenamin for Ward 7 