Negotiations to determine who would pay for land and transportation improvements surrounding a proposed mall site in the Northeast Gateway Overlay District are wrapping up after months of discussion.

The city of Ames has been negotiating with developer Bucky Wolford since December regarding a rezoning agreement for Wolford’s proposed mall near the intersection of Interstate 35 and 13th Street. The city proposed that the Tennessee-based developer put up the money to build a $250,000 bike route extension from the proposed mall site to Dayton Avenue, in addition to $100,000 for a new CyRide route to the retail center.

Planning and Housing Director Matthew Flynn said it is common for the city to ask developers to take on certain responsibilities, such as road and parking improvements surrounding their property, but requests like CyRide funding and the bike path have never been asked of another developer.

“If you look at the level of development being proposed, it’s the largest development ever in Ames. We want to promote other forms of travel like cycling, walking and CyRide,” Flynn said. “We think since the new mall will be generating the traffic, it’s fair to ask for part of the funding for these things.”

Wolford said he does not think it is his responsibility to build a bike path to Dayton since it is in front of other properties and said he should not be responsible for a new CyRide route since it will make other stops along the way.

“I had a meeting with city staff in October and November and agreed to donate $50,000 for a new bus as a gift. I thought that was pretty substantial,” Wolford said in a phone interview with the Daily. “I also agreed to build a pick-up area for the bus on the property and a bike path in front of my property at my cost.”

The parties are expected to come to an agreement within the next few weeks. After the agreement is reached, the issue will go to the Planning and Zoning Commission for rezoning before being presented to the City Council for a final decision.

Since the mall was first proposed, design plans have changed from an enclosed mall to an open-air, $50 million lifestyle center that Wolford said will be between 500,000 and 650,000 square feet. There are also plans for an adjacent $22 million power center.

Wolford said that lifestyle centers are becoming more popular across the country, and according to the International Council of Shopping Centers newsletter, only two enclosed malls are being built in the entire country this year.

“I had reservations about it because I know you all get cold winters up there,” Wolford said. “When we first came into the market we got a lot of input from the Ames community, some supporting and some against it, and most citizens like the lifestyle center. Similar centers in Omaha and Lincoln [Neb.] have been very successful.”

Several Ames officials are concerned about the city’s capacity to support the lifestyle center in addition to North Grand Mall, which was purchased by GK Development Inc. based in Barrington, Ill., in December 2004. Flynn said that although he doesn’t believe Ames can support two retail centers, it isn’t the city’s job to make marketing decisions.

Garo Kholamian, president of GK Development, said there are plans for a $20 million renovation and expansion to North Grand Mall that would add one or two more anchor stores as well as several small shops. Kholamian said he is not worried about what happens with the other project.

“I think Ames can support more retail over all, but not two regional malls,” Kholamian said. “North Grand’s already a good mall, and we’re going to make it better. At the end of the day, I think the other project will be more of a power center.”

Councilwoman Sharon Wirth, who has voted against the lifestyle center in the past, said a new mall would bring several positives and several negatives, but the outcome may not be seen for 10 years.

“I don’t think both retail centers can survive,” Wirth said. “I’m concerned we’re going to have two half-dead malls.”

Wolford said the lifestyle center will create more permanent and part-time jobs, attract more shoppers and contribute more dollars from sales tax to the community.

City Manager Steve Schainker thinks the lifestyle center would be a positive addition to Ames.

“There have been market studies that say there’s a need for additional retail,” Schainker said. “The mall would make it more convenient so you won’t have to drive to Ankeny or West Des Moines. It will help us maintain our status as a regional commercial shopping center.”