A development company in Clive hopes to purchase four vacant, city owned lots in Newton, and build three bedroom single family rental homes on them. The Newton City Council has unanimously agreed to sell Paramount Development L.L.C. each lot for $5,000. The project is contingent upon funding from the Iowa Finance Authority. Principal Officer for Paramount Development, Jerry Floyd, says the company will own and operate the rental homes for at least twenty years.

“These three bedroom homes will be very attractive from the street, you will like them in your community. They are going to rent for about one thousand dollars per month. They have to be affordable to persons making at or below 80% of median income”

The Iowa Finance Authority is expected to make a decision on the project in September or October. If funding is not awarded, the lot sales will not occur. The City of Newton acquired the four lots beginning in 2019 under the Dangerous and Dilapidated Buildings program. The city then had the rundown homes on them demolished. The lots are at 315 East 4th Street South, 509 West 2nd Street South, 514 South 2nd Avenue West, and 616 West 4th Street South.