City of Des Moines economic development staff will recommend the selection of Nelson Construction & Development as the preferred developer for the upper reaches of the Seventh and Grand parking ramp.

Nelson has proposed a two-phase project that would bring more than 250 apartment units downtown and establish “a benchmark and case study for increased rents … providing a market comparable for future product of this type.” 

Among other things, the $35 million, 10-story structure would also have furnished apartments for short-term rentals, a rooftop restaurant and bar, and space for events such as weddings.

The proposal comes at a time when several developers are testing the appetite for upscale housing and the high rents that come with it. The city plans to demolish the ramp and build a six-to-seven-level, $22 million structure that would accommodate 600 cars. 

It sought proposals for the air rights above the structure. Sherman Associates Inc. of Minneapolis and Linden Street Partners of Denver also submitted proposals.

Assistant City Manager Matt Anderson said the recommendation came down to a choice between Nelson and Sherman.

“Nelson demonstrated a firm understanding of the downtown market dynamics and a commitment to deliver an unrivaled, iconic project to this important site,” Anderson said in an email.

The city also is asking that Nelson complete the project in a single phase.

“The concept will evolve quickly over the next two months,” Anderson said.