Presentation on April 3, 2017 to the Sioux City City Council outlining the Sioux City Reinvestment District project. The city is seeking $14 million in future hotel/motel and sales tax revenue from the Iowa Economic Development Authority's Reinvestment District program. The three projects include a new Convention Center hotel, Virginia Square and Ag Expo Center with a total investment of $72 million.

1. Reinvestment District
Council Presentation
April 3, 2017

2. Iowa Reinvestment District (IRD) Program Opportunity
 Competitive state program
 Improve the quality of life
 Create and enhance unique opportunities
 Substantially benefit the municipality, region, and state
 25 acre district
 Allows state hotel/motel tax & sales tax to be
used locally for up to 20 years

3. Our Projects
 New Convention Center Hotel
 Virginia Square
 Ag Expo & LearningCenter
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 $72 million total investment
 Unique entertainment and cultural
center serving tri-state region
 Major downtown gateway

4. Projects Tied Together
 All three projects must proceed to receive IRD funding
 Once largest project completed, Dept. of Revenue establishes district
 State hotel/motel and sales taxes collected up to 20 years
 IRD program provides essential funding for all three projects

5. New Convention Center Hotel
Five-story Courtyard by Marriott hotel with 150 rooms and full-service amenities
Funding:
Courtyard by Marriot Hotel
 Private Investment – $21 million
 CityAssistance – approx. $6 million
(15 year property tax rebate)
ConventionCenter Improvements
 IRD Funding - $5.1 million
* Increased efficiencies for facility marketing and management by Kinseth anticipated to
reduce annual subsidy
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6. New Convention Center Hotel1

7. Available Convenient Parking
 1,097 stalls in the Heritage and Discovery ramps
 Additional 349 public parking stalls within 2 blocks
 On-street parking revisions will create 33 additional
stalls
 Hotel development includes a total of 162 parking
stalls

8. Virginia Square
Ho-Chunk redevelopment of blighted industrial buildings into mixed-use retail,
commercial and market-rate residential
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Funding:
 Private Investment – $20.1 million
 State Grants – $1.9 million
 IRD Funding – $1.6 million
 CityTax Rebate - $600K

9. Ag Expo & Learning Center
Unique multi-use complex will host equestrian, ag and trade shows; sports and
recreational activities
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Funding:
 Private Contributions – $3.2 - 4.0 million
 City, County, MRHD – $4.5 million
 Other Grants - $1.2 million
 IRD Funding – $6.7 million

10. Frequently Asked Questions
 How has information been shared with the public?
 Basic plan outlined to Council (March 2015)
 Extensive media coverage at various steps – IEDA Board Meetings
 Project details shared with each step of process
 Can the Howard Johnson hotel be remodeled?
 Has been explored numerous times
 Prospective developers opinion: cost prohibitive, would not meet recommended standards
 Current owners renovation plans limited

11.  Is there enough parking near Convention Center?
 Studies show sufficient parking in area
 On-site parking will be provided from a new parking structure and revisions to on-street
parking
 Where will tradeshow vendors park (Home show, Garden show, etc.)?
 Some larger events may move to Ag Expo Center once built
 Work with vendors during construction phase
 What assistance is the hotel developer receiving?
 Tax rebates only – these taxes would not be collected if the hotel was not built
Frequently Asked Questions (cont’d)

12. Transformational Investment
 Three dynamic anchor projects create positive economic impact
 $72+ million public-private investment
 273 permanent jobs
 $76 million annual workers’ earnings
 $23.4 million annual economic output
 Builds on stockyards revitalization and interstate reconstruction
 Renews the Convention Center and surrounding commercial and entertainment district
 Brings new investment and visitors to Sioux City