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Developer sues Bondurant, claiming city's actions will cost the company millions • Iowa Capital Dispatch [1]

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Date: 2025-08

A real estate developer is suing the City of Bondurant, alleging changes in plans for streets could cost the company millions of dollars.

Hubbell Realty Company Bondurant, also known as HRC, is suing the city in U.S. District Court for the Southern District of Iowa.

HRC claims that in 2021, it purchased land in the city near Highway 65 for $2.3 million. Its city-approved plans for the land allegedly preserved for future development two multifamily lots on which HRC planned to build apartments. The preliminary plat specified the location of roadways and was allegedly approved by the Bondurant City Council.

In August 2022, HRC began construction on the development, including the construction of roadways as previously approved by the city. At some point later that summer, the lawsuit claims, city officials decided the planned 16th Street NE should be relocated in such a way as to run through the center of the land where the HRC planned to build the Featherstone Apartments.

As a result, the lawsuit alleges, “HRC will be forced to redesign the subdivision, and HRC will lose millions of dollars. Put another way, had HRC been made aware of the modified roadway in 2021, then it would have structured the entire development in a different way.”

The company claims the modification to the roadway plans also creates a safety risk.

“Imagine a residential thoroughfare running directly through an apartment complex to separate its playground, pool, or other amenities from the residences,” the lawsuit states, adding that new design moves the intersection of 16th Street NE and Highway 65 “dangerously close” to the intersection of 14th Street NE and Highway 65.

“There has been no safety review by the Department of Transportation or anyone else to compare the safety of the proposed intersections contained in the preliminary plat versus the safety of the new concept approved in July 2024,” the lawsuit claims. It alleges city officials say the reason for the change is to assist with a new commercial development that is planned for the other side of Highway 65 in 2028.

HRC argues that the total loss of acreage from the planned changes, and the resulting increase in costs, is the “equivalent to a loss of nearly $2 million to HRC.” The company is seeking a court judgment finding that the Bondurant City Council’s actions constitute violations of the Fifth and Fourteenth Amendments of the U.S. Constitution.

The city has yet to file a response to the lawsuit.

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[1] Url: https://iowacapitaldispatch.com/briefs/developer-sues-bondurant-claiming-citys-actions-will-cost-the-company-millions/

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