Des Moines Staff Backs Office Project Over Arts Center
The city recommends selling a downtown lot to Heart of America Group for a new office development.
Updated on Oct. 29, 2026 in Remote Work
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City officials in Des Moines recommended the City Council approve the $1 million sale of a parcel at 401 Robert D. Ray Drive to Heart of America Group. The firm proposes building a 75,000-square-foot mass timber office structure in the East Village.
Why it matters
Staff favor the office project due to its established financing and defined schedule, whereas a competing arts center proposal faces significant infrastructure and funding hurdles. The office site currently sits above a 44-inch sanitary sewer that would require costly utility work for the arts facility.
The Heart of America proposal is projected to generate $11 million in net property tax revenue over 30 years. In contrast, the arts center development has estimated utility relocation costs of $10 million to $15 million.
The players
Heart of America Group
This real estate development firm is proposing a mass timber office building at the site of a city-owned parcel.
Des Moines Metropolitan Center for the Arts
This entity submitted a competing proposal to develop an arts facility at the downtown location.
The details
Heart of America plans a 75,000-square-foot facility to support between 160 and 300 jobs in the East Village. Conversely, the arts center project carries a projected cost between $190 million and $210 million with no documented financing currently in place.
Timeline
Early 2026: City offices moved to a former Nationwide Mutual Insurance Co. building.
June 2026: The Heart of America project was initially announced.
September 2026: The developer secured a preliminary development agreement.
November 2, 2026: The City Council is scheduled to make a final decision.
Spring 2027: Construction is planned to break ground on the site.
Market Landscape
This development recommendation follows the conclusion of the city's 30-day competitive process for development alternatives. It highlights a shift in downtown urban planning as the city prioritizes tax-generating office space over complex, underfunded cultural infrastructure projects.
The potential shift to a 75,000-square-foot office building suggests a focus on business-centric development in the East Village. Residents should monitor the upcoming council decision for its impact on local property tax revenue and future neighborhood employment opportunities.
The takeaway
City planners are opting for developments with clear, documented financial backing to ensure long-term fiscal stability for the area. Future project proposals in the district will likely face similar scrutiny regarding infrastructure relocation costs and verified user commitments.
What happens next
The Des Moines City Council is scheduled to hold a final vote on the property sale and development agreement on November 2, 2026.
Further reading
For more information on the evolving office environment, visit the Remote Work section.
Source note: This article includes information reported by Des Moines Register.
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