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The Daily Iowan - Iowa City, Iowa - Wednesday, October 19, 2011 - 5
Council OKs project For now, protest is exempt The proposed development originally comprised 17 apartment units. By ASMAA ELKEURTI asmaa-elkeurti@uiowa.edu
The Iowa City City Council voted Tuesday to approve one of two measures that could significantly change the intersection of Linn and Bloomington Streets. When local developer Jesse J. Allen approached the city about constructing a mixed-use, commercialapartment building at the corner, officials determined they would have to alter two regulations: one for zoning and one for land-use designation. At Tuesday’s meeting, councilors voted to approve the change to the land use designation rule. Following a 4-3 vote, developers are now allowed to use the land for commercial use. Mayor Matt Hayek, Councilor Connie Champion and Councilor Mike Wright dissented. However, the council voted 5-2 against the rezoning proposal, meaning structures at the site must still be used for single-family homes, as opposed to a numerousunit apartment complex. Councilors Terry Dickens and Regenia Bailey voted in favor of the proposal. Bailey said the proposed building offered an opportunity for economic development in the area. “I work with small businesses. Looking for affordable small spaces is a chal-
BloomingtonLinn Some of the concerns expressed regarding the changes to land use and zoning at the site: • Increased density in the neighborhood • Increased non-single-family developments • The bulldozing of three standing houses Source: City Bouncil agenda packet
lenge, and this might provide that opportunity,” she said. “This is the kind of innovation we need to start seeing in the community.” Allen’s proposal included a building with 17 apartment units and three bottom-level space for small businesses. The proposal evoked a plethora of community response, with many residents from the North Side coming to prevent what they called encroachment on a nearby historic preservation community. John Thomas, a member of the North Side Neighborhood Association, expressed his opposition Tuesday night. “It was viewed at the time that we really needed to stop the bleeding of the North Side and the loss of single-family homes,” Thomas said, referring to the zoning enacted three years ago to preserve the
Local housing sales increase By RISHABH R. JAIN rishabh-jain@uiowa.edu
Mike Rohr decided buying a house would be cheaper — or even profitable — after one semester renting an apartment and paying $450 a month. And as local real estate sees an increase in buyers, some students have considered purchasing houses instead renting. “The way it’s with mortgage rates right now, especially if your parents have a decent credit score, mortgage rates are cheaper than rentals on most apartments,” said the secondsemester University of Iowa freshman. His parents suggested he buy instead of renting, which he did with the help of his grandparents. Rohr, 21, pays $400 a month on his mortgage. According to the website apartmentratings.com, rental prices nationally on single-bedroom apartments have seen a 14.55 percent increase since 2010. Rohr said he intends to hold onto his home even after he graduates, making a profit by renting it out or selling it. As mortgage rates decrease, more people look to purchase property all over the country. According to HSH.com, 15-year fixed rate mortgages have gone down from about 6 percent in October 2008 to just over 3 percent in September. A report by the National Association of Realtors said housing sales have increased 18.6 percent since August 2010. Throughout the Midwest, housing sales have seen a 30.1 percent increase since that time. Iowa follows that trend. “In the state, the increase in sales of housing is up 20 percent from what it was last year at this time, while the actual sales price of housing is down by about 1 percent,” said John Marshall, 2012 president-elect of the Iowa City Area Association of Realtors.
Marshall said though official numbers are being solidified, Iowa City has also seen a relative increase in sales. The area also saw a relative increase in housing sales during the post-economic slump, Marshall said. And one economic expert said efforts made by the Federal Reserve have encouraged spending, making it a good time to buy property. Hennadige Thenuwara, a UI economics lecturer, said the post-economic-downturn interest rates continue to decrease because of “expansionary monetary policies” — more money in the market along with low interest rates — put in place by the Fed. “It wants to push the long term interest rates down, so that there will be greater demand for long-term mortgages and loans, which will encourage spending,” Thenuwara said, who has experience with central banking as a former assistant governor for economic and price stability at the Central Bank of Sri Lanka. The Fed is trying to increase the purchasing power by pursuing monetary policies that increase the money supply and lower long-term interest rates, Thenuwara said. Parents with several students in college are also considering buying property. Parents of UI students Sana Irshad, 22, and Hiba Irshad,19, bought them a condo in downtown Iowa City in 2009, despite the high mortgage rates. “My older sister was going to start at law school at the University of Iowa, and my parents were tired of paying rent for apartments, which are such a rip-off. So they decided to invest in something as they knew their daughters were going to be in Iowa City for more than four years,” Sana Irshad said, noting that her younger sister has two more years at the UI. Following her graduation, her parents intend to sell the condominium.
area. Christina WebReynolds, another North Side resident, was also concerned. “Too much concentration in one area generally is not a good rule to follow,” she said. “I understand that a bigger complex means more money … If I don’t like it, I can move, but then what? Stabilization fails. Proposals and plans should be in keeping with intended plans of a neighborhood.” However, Councilor Susan o said she supported the expansion of commercial land use to the area but said she had concerns about residential density. “That’s a concern we keep coming back to — the lack of office space, lack of small space for offices or retail,” she said. “It gives a cohesiveness to that whole area that I think makes sense.” Wright said he believes changing codes and policies would eventually lead to increased development and infringement on the neighborhood. “I take issue with changing [the code] so rapidly. It may well have long term ramifications for the North Side neighborhood,” he said. “… Sooner or later, this needs to stop, or the neighborhood’s going to die a death of a thousand cuts.”
By MARY KATE KNORR mary-knorr@uiowa.edu
Occupy Iowa City protesters are conflicted on whether to comply with a suggestion from city officials to obtain a permit. “We want [them] to just let us not have to worry about silly paperwork,” said one of the Occupy protesters who goes by the moniker Ant. “Find out what the real issue is and [be]come involved instead of figuring out the paperwork behind it.” Protesters have discussed the issue since they first occupied College Green Park on Oct. 7. When demonstrators began protesting, city officials said they were exempt from the city code, which would require a permit to assemble. Though city officials said as protesters continue to remain in College Green, the group’s exempt status could change, requiring it to obtain a permit. Occupiers sent a letter to the city prior to the protest that stated they would camp out indefinitely. But Iowa City City Manager Tom Markus said eventually, the group will have no choice but to make
a decision on the permit. “At some point, the spontaneous provision runs out,” he said. “I think that the average person would contend that after a certain period of time, it’s time to move on to the next stage. The next stage would be a permit.” On Oct. 14, Markus and the Parks and Recreation Director Mike Moran approached protesters at College Green to discuss future measures of the movement. “We just wanted to discuss the permit option with them,” Moran said. Markus said city officials hoped to initiate a dialogue between protesters and the city to communicate what needs to be done to respect the protesters’ right to free speech while still abiding by city regulations. Some demonstrators are conflicted about whether they should comply with the city’s request. Though obtaining a permit would allow protesters to stay in the park legally, some argue it would defeat the group’s purpose. “It’s not about whether we’re permitted to do it or not — we’re doing it,” Ant said. “If it’s going to be about paperwork, we
already sent them the paperwork that says we’re [protesting].” For now, Iowa City officials are unsure of what to expect from protesters. Markus said there is no way to characterize what the group feels at this point. “The way that I understand it is that they conduct their business through general assembly,” Markus said. “They were very polite, they were receptive in the conversation. We conveyed our message, we asked them to consider it and get back to us.” There will be a second meeting today at College Green to continue dialogue between the protesters and city officials. Both protesters and Markus said they intend to maintain peaceful talks, and Markus said officials are willing to hold periodic meetings with occupiers when needed. “We want to show them that we can respect each other, so let’s mutually respect each other,” Ant said. “Let us show what human beings really are and not human beings on paperwork.”