(Des Moines, Iowa) – The Iowa Board of Regents gave Iowa State University the go-ahead Wednesday to move forward with its CyTown plans, approving a 30-year development agreement and lease agreement. ISU General Counsel and Chief Risk Officer Michael Norton told board members the agreements were “fundamental” to seeing the project progress. The Iowa Capital Dispatch reports, in a press release, ISU President Wendy Wintersteen said “The CyTown project would not be possible without the tremendous collaboration from many partners, including the Board of Regents, the City of Ames and McFarland Clinic.” She said “We look forward to the ongoing partnerships as the CyTown development begins to take shape.”

With the approval, the university will enter into a 30-year CyTown Management Agreement with Goldenrod Companies and Iowa State University Research Park, Norton said, in which Goldenrod will handle financing and construction of the development. Through the Master Ground Lease agreement, Iowa State University Research Park will oversee Goldenrod’s work in the construction and operation of the development.

The agreement also creates the CyTown Management Committee, made up of members from ISU and Research Park leadership and the board of regents, to direct the university’s partners in the development. Plans for the project include 72,000 square feet of retail and food and drink space, 90,000 square feet of office space, a 215-key hotel and an outdoor music venue with a capacity of 2,800 people, all with an estimated cost of between $175 million and $225 million.

(Photo by Brooklyn Draisey/Iowa Capital Dispatch)

That includes the McFarland Clinic, which was approved for development in June. The research park will be a “flow through entity” for revenue attributed to the university through the two agreements, meaning that it has no financial obligation to the project. In addition to overseeing Goldenrod and holding it accountable for its work and responsibilities, the research park will also have the “first right of rental” to office space in CyTown.

Regent Christine Hensley said in the meeting that she would like for the board to have regular updates on the project and its progress, so members can answer questions they receive from the public with confidence.