Not only will the Union Arcade renovation add to the downtown's housing stock, but Blackwell said the project has helped to fill other vacant downtown space with the relocation of the building's office and commercial tenants. The project also comes on the heels of a $10 million investment by Financial District Properties to create 29 apartments in the Wells Fargo building in downtown Davenport.

Davenport Mayor Bill Gluba said the development continues to expand the downtown's housing stock, which already has seen 350 new and renovated apartments since 2008. "As I've said in the past, downtown Davenport is the hottest address in the Quad-Cities and is growing day by day with a waiting list of would-be renters," he said.

According to Kyle Carter, executive director of the Downtown Davenport Partnership, said the Union Arcade is part of $200 million in development planned over the next few years in downtown. "There are going to be many, many construction hats in downtown in the next couple of years," he said.