Des Moines Council Approves Two Housing Developments
The city has cleared the way for new residential projects in Highland Park and on Seventh Street.
Updated on Oct. 20, 2026 in Commercial
Live Poll
Do you support the use of city tax incentives to fund private real estate development projects?
The Des Moines City Council has approved urban renewal agreements to revitalize the century-old University of Commerce building and construct new housing on Seventh Street. These projects represent a combined investment of $13 million aimed at local neighborhood growth.
Why it matters
These developments respond to growing interest in the Highland Park area and utilize financial incentives to transform underutilized properties. The city is leveraging tax increment financing to stimulate housing supply and increase long-term property values.
The University of Commerce redevelopment carries an estimated cost of $5.8 million, while the Seventh Street project is valued at $7.2 million. The Commerce building's assessed value is projected to rise from $145,000 to $1.95 million.
The players
Des Moines City Council
This is the primary governing body responsible for legislative decisions, budget approvals, and urban planning initiatives within the city.
615 Euclid LLC
This private development entity is managing the specific renovation of the historic University of Commerce building.
Neighborhood Development Corp.
This organization focuses on regional urban revitalization and is leading the new residential construction project on Seventh Street.
The details
The University of Commerce project will feature 14 apartments, including 12 one-bedroom units and 2 two-bedroom units, alongside 2,000 square feet of retail space. Meanwhile, the Seventh Street project will introduce two 12-unit residential buildings to the community.
Timeline
The University of Commerce building was originally constructed in 1924.
The Highland Apartment building at the Seventh Street site was demolished in 2023.
The City Council approved the development agreements on October 19, 2026.
Construction on the University of Commerce site could begin by the end of 2026.
Residential tenants may be able to move into the Commerce building by October 2027.
Culture Shift
These projects reflect a broader trend of repurposing aging infrastructure to meet contemporary urban housing demands. By prioritizing redevelopment over vacant properties, the city is aligning with sustainable growth models that favor historical preservation and density.
Residents can expect the transition of the former University of Commerce building into a mixed-use retail and residential space. The initiative also adds 24 new residential units to the Seventh Street area, potentially increasing housing availability in the city.
The takeaway
The city is betting on the long-term potential of the Highland Park neighborhood through targeted financial support for private developers. Residents should monitor local construction schedules as these projects move from planning to active development phases.
Further reading
For more information on ongoing urban development, visit Des Moines Commercial.
Source note: This article includes information reported by Business Record.
Live Poll
Do you support the use of city tax incentives to fund private real estate development projects?
