A voter-approved plan for a hotel at publicly owned Jungle Island on Miami's Watson Island is progressing, but not everyone is a fan. Members of a Miami planning board raised questions over the project's long-term viability in light of sea level rise and storm surge, which pose threats as Watson Island is surrounded on three sides by Biscayne Bay. Also, residents of a Miami condominium less than 1,000 feet north across the bay from the development site raised concerns over disruptive noise and light from the project. They asked for a one-month delay to give them time to review plans, but were unsuccessful. The Miami Planning, Zoning and Appeals Board on Wednesday green-lighted the proposal, moving it on for final consideration by the City Commission. The city owns the 18.6-acre site on the northeast corner of Watson Island that now is home to eco-themed entertainment complex Jungle Island. It leases the site to an affiliate of Aventura-based real estate investor ESJ Capital Partners, which runs Jungle Island. Miami voters in 2018 approved a referendum for the city to extend ESJ Capital Partners' lease up to 99 years and allow a hotel up to 130 feet tall. ESJ Capital says it wants to develop a 281-key, seven-story hotel on top of a four-story garage, in which case the building would be 110 feet. It would be within its rights to add another hotel story with 19 rooms, for a 130-foot tall building. The development would be made to merge with the entertainment complex Jungle Island, which will remain, and will include an elevated porte-cochère leading into the lobby of the hotel, as well as an elevated park reminiscent of The High Line in New York. Planning board member Paul Mann pointed out that Watson is a dredged island, and Miami has declared a climate change emergency, yet this is a waterfront project exposed to sea level rise. "This is a pretty big gamble. I am just curious how that works out," Mann said. "Will it be economically viable?" Miami planner Ryan Shedd, who deemed that the proposal meets city regulation and recommended approval, responded that part of the site isn't in a city-designated high-hazard area. Regardless, the development would be required to meet city and federal regulations that address storms and sea level rise, he added. ESJ attorney T. Spencer Crowley III, an Akerman partner in Miami, pushed back against the request by 1000 Venetian Way condominium residents to defer a decision. The plans were made public in the referendum two years ago, and ESJ Capital is under a deadline of early 2023 to obtain its first building permit, Crowley said. He said the developer held a presentation to the condo on Monday and vowed for more outreach. 1000 Venetian is on Biscayne Island along the Venetian Causeway, located north of Watson Island that runs along the MacArthur Causeway. 1000 Venetian's attorney, Dubbin & Kravetz's Sam Dubbin in Coral Gables, conceded general plans were made public in 2018 but said a 1,000-page, detailed application wasn't made available until a week ago. "One week is simply not enough time for the residents who are going to be most seriously impacted to do the analysis necessary," Dubbin said. "For me as a lawyer, even, to read 1,000 pages like that could take over a week." Mann and planning board member Anthony Parrish were the only no votes Wednesday. If the commission approves the project, ESJ is to pay the city a $1.2 million annual base rent as well as 5% of gross hotel revenue once the hotel opens. The base rent would be $250,000 annually during construction. Jungle Island, at 1111 Jungle Trail, would be the latest Watson Island property to be developed. On the southwest side of the island, Flagstone Island Gardens LLC is building a 305-room hotel with 105 timeshares; a 300-room hotel; and 221,000 square feet of retail. Read more: Miami's Watson Island Flagstone Project Wins on Appeal

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM Digital Member, you’ll receive:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Lidia Dinkova

Lidia Dinkova covers South Florida real estate for the Daily Business Review. Contact her at [email protected] or 305-347-6665. On Twitter @LidiaDinkova.