Last fall, the Iowa River Power Restaurant closed its doors after serving the Coralville community for almost 50 years.

According to the Iowa River Landing website, the Iowa River and Power Company building originally opened in 1886, where it served as a mill until it switched to electric power generation. The building was then retired as an active hydropower plant in 1968, and in 1977, the building transformed into the Iowa River Power Restaurant.

The Iowa River Power Restaurant served locals and visitors up until 2023, when an announcement was made on Facebook by the restaurant owners. The restaurant owners shared with the public that the building owner had other plans for the building, and their lease had not been renewed.

The historic building has sat vacant for almost a year, causing the city and community members to worry if it would ever be repurchased.

However, on Oct. 22, the Coralville City Council approved an amendment to its urban renewal plan that would allow for the city to give tax rebates.

The building was purchased by Illinois-based company Old Gold LLC for around $3 million, according to records from the Johnson County recorder.

Coralville’s City Administrator Kelly Hayworth said the city plans to support the new owners with tax incentives and rebates to encourage investment in the historic building.

The agenda from the meeting states that the urban renewal project will allow the city to rebate all the incremental tax revenues for the property.

Hayworth said the building will also undergo historic renovations to meet state and federal criteria with the aim of securing historic tax credits. He also said the city plans to be involved as much as possible while supporting the project by freezing taxes at the current rate and rebating any new value created over a 15-year period.

“The building is a major icon for Coralville. It’s where Coralville and Iowa City really got started, right there on the Iowa River,” Hayworth said. “It’s been a part of our community for a long, long time, and so having this building renovated and upgraded, especially to historic standards, is really, really important to us.”

The Iowa River Power Restaurant was known as a higher-end venue that served steak, seafood, and brunch. A smaller restaurant, Flannigan’s, was attached on the street side of the building and known for its Irish pub atmosphere.

Community members enjoyed not only dining at the restaurant but being able to enjoy the view of the Iowa River, as the restaurant offered a scenic view of the river.

The new owners have not shared much on the future of the building, but Hayworth said they plan to restore the restaurant and explore potential uses for the upper stories.

When it comes to the Iowa River Power Restaurant building, Coralville’s Community Development Director David Johnson said the City of Coralville and the new owners need to maintain flexibility when it comes to the application of design standards and building codes.

“We would anticipate, for example, [Old Gold, LLC] wanting to utilize the international existing building code, which is specifically designed to offer greater flexibility in attaining safety standards in buildings, whereas building codes for modern construction and new construction are not designed that way,” Johnson said.

The historic tax credit designation places significant restrictions and requirements on the exterior and interior design of the building, which differs from the city’s normal design standards and building codes.

However, Johnson and Hayworth both believe that no challenges will arise when working the building besides adhering to the restrictions and requirements.

Johnson also echoed the historical importance that the building has had on the community of Coralville.

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“It’s a very important building, originally started out as a milling building, and it has been a Coralville institution for decades,” Johnson said. “Being able to preserve that building, maintain that building’s character, presence, and contributions to that First Avenue corridor, as well as the City of Coralville, is very important.”

The renovations to the original structure contain many benefits, Coralville City Councilor Laurie Goodrich said.

“This renovation will be to preserve the original structure and keep its historical standing in our state,” Goodrich said. “It will also increase tourism to the area, which includes the Iowa River Landing.”

Goodrich stated that the scenery around the building will not only bring tourists to the area but will keep Coralville citizens and others from surrounding towns coming back.

“The Iowa River area with the roller dam is a beautiful scenic place during all seasons with wildlife, fish, and eagles in full view,” Goodrich said.

The addition of the flood mitigation measures put in place a few years made the foundation of the building to be flush along the river’s edge, offering a close-up of the Iowa River. The pedestrian trail also provides individuals with a scenic view.

As the preservation and renovation begins to take place, the city plans to continue working with the new owners and to preserve the history and memories of the Iowa River Power Restaurant building.

“This is an exciting project and will be something new for us, because we haven’t worked with projects in the past that have had historic requirements in regards to that, so that’ll be something completely new for us,” Hayworth said.