A development team led by developer Tim Rypma plans a $2.2 million historic renovation of the American Marking Inc. building at 440 E. Grand Ave. in the East Village area of Des Moines. Rypma’s RE3 LLC plans to convert the 7,658-square-foot building for commercial and residential use. He proposes one apartment unit on the upper floor and about 6,200 square feet of commercial space on the ground floor, according to a city staff report to the City Council, which will be asked Thursday to approve continued negotiations on a development agreement offering an estimated $423,000 in declining tax increment finance assistance through the next 15 years. Rypma also is seeking historic tax credits. The building is located on a block where a parking ramp and mixed-use development is being considered for a city-owned surface parking lot that is on the west side of a 118-year-old building that underwent a historic rehab and office conversion in 2003 by Nelson Construction & Development.