Pharmacy interested in downtown Maquoketa

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By Sheri Melvold | Tuesday, May 13, 2008 |

MAQUOKETA, Iowa — City Council members will be asked Monday night to sign a letter of intent with a Quad-City-based developer to bring a national pharmacy chain to build on the site of the January fire in downtown Maquoketa.

During a city Municipal Enterprises committee meeting Tuesday night, Maquoketa City Manager Brian Wagner told the committee that VMI LLC of Rock Island is seeking to buy the downtown properties, clean up the debris and build a store for a national pharmacy chain. Wagner declined to name the chain.

The letter of intent is between the developer and the city only. The developer would be working with the downtown property owners separately.

The letter proposes a maximum purchase price of $375,000 for the city’s alley and parking lot behind the burned out buildings along Main Street. Also included in the proposed overall project would be the private purchase of the Mitchell Maskrey Mill.

Wagner said there is proposed an exchange of land with the city for property it owns on East Platt Street near where the mill currently operates. Wagner said the price paid to the city may fluctuate, depending on the agreements with the private property owners because the developer has a cap on what he’s willing to spend.

“Along the way, more than one developer has looked at the site for the same project. This developer has looked at other sites in the city for the same project,” Wagner said. “We believe this project is a good fit for the city and this is the preferred location.”

Wagner said the developer has been talking with downtown property owners and would work out a deal with them separately.

“The developer has asked us not to name the company, but it’s a pharmacy. The developer said announcing the name might cause the company to rethink its plans to pursue the project in Maquoketa,” Wagner said.

The city wanted the letter of intent to say to other developers that VMI LLC is who the city is working with on the city property. He said the developer anticipates announcing the company by the end of June.

The city will require the developer to knock down the remaining walls and one building and clean up the site. Wagner said they will negotiate a timeframe with the developer during the next 45 days if the whole project comes together.

The city desk can be contacted at (563) 383-2450 or newsroom@qctimes.com.