Over 2,100 new apartment units are expected to be added to Des Moines' downtown area during the next two or so years with most planned in newly constructed buildings.
Some of the new units, though, are being added in buildings where office space is being converted to apartments.
"We'll be able to compete" with units in brand new buildings, said Mark Buleziuk, CEO and managing partner of Lawmark Capital, a Canadian investment company that owns the 25-story Financial Center and other properties in downtown Des Moines.
Fifteen floors of the high rise are being converted to 209 apartments that will be known as the Mezzo on Walnut. Monthly rents will range from $950 to $2,500, depending on size. The conversion is underway with 20 units expected to be ready to lease in May; the remainder will be available by the end of 2026.
"Our rates are in line to compete even though [the Mezzo] is a luxury lifestyle-type of product," Buleziuk said.
"We've got a first-in-class amenity package that I think will be difficult to compete with," he said. "We will differentiate ourselves with amenities like the rooftop garden with the pool and the fire pits."
The Financial Center includes a three-story section along Seventh and Walnut streets. The roof of the section will include the pool and other outdoor amenities and provide users with views of the area southwest of downtown.
A fitness center on the third floor of the high rise will include "a club level-like gym that looks like something you would need a membership to," Buleziuk said. "We're building a unique clubhouse that includes a golf simulator."
The Financial Center at 606 Walnut St. will have 24-hour security for both its apartment residents and office tenants. Residents will also be able to lease an underground, heated parking space.
The amenities and "our proximity to the Court Avenue District and the downtown grocery will set the Mezzo apart from other downtown multifamily projects," Buleziuk said. "People will really feel that they're getting value when they come here."
The renovation and conversion project are estimated to cost $80 million. The property, including underground parking, is valued at over $13.5 million, according to the Polk County assessor.
Construction of the Financial Center began in 1972. When it opened in 1974, the Financial Center was downtown's tallest building.
Wells Fargo, which for years occupied a large part of the Financial Center, left in 2019 prompting Buleziuk to consider other uses for the building.