RIVIERA BEACH — The battle to revamp the Ocean Mall is back at city
hall, with developers wanting a 99-year lease on the public beach,
despite voter approval to limit such leases to 50 years.
Attorney Marc Sinensky, who represents Ocean Mall Redevelopment, sent
a letter to the city this week that said developers are willing to
accept a 50-year lease as long as they can get a 49-year extension on
the $280 million deal. But they won't fight a five-story limit on the
new development that voters also supported.
OMRD, led by builder Dan Catalfumo, struck a deal in December with
the city to raze the 35-year-old Ocean Mall and replace it with shops,
restaurants and a 28-story Marriott condo/hotel.
Some Singer Island and mainland residents opposed the deal and formed
the Public Beach Coalition to fight it. The city and the coalition went
to court, where a circuit judge sided with the coalition and allowed the
group to put initiatives limiting the hotel height to five stories and
beach leases to 50 years on the March ballot.
Voters overwhelmingly approved both measures, making them now a part
of the city's charter. Sinensky wrote in his June 19 letter that the
city could approve the 49-year extension without undoing the election
results.
Sinensky and OMRD officials failed to return phone calls and e-mails
seeking comment on Thursday.
Meanwhile, developer Norton Herrick, a partner in OMRD, has been
meeting with Singer Island and mainland residents, trying to strike a
deal. The negotiations have divided some Singer Island residents, who
believe a compromise may jump-start the redevelopment.
Others think
the extension goes against voters who passed the
referendum and ousted the incumbent mayor and three council members who
backed the original deal.
"We have reiterated to him (Herrick) numerous times that we remain
committed to assuring that the will of the people, as expressed at the
polls, will be carried out," Dawn Pardo, the coalition's chairwoman,
said in a statement Thursday. Pardo also said Herrick told the group
that he can't make a profit without a 99-year lease.
The city, the coalition and OMRD were scheduled for a court hearing
on June 29, where developers planned to argue that the ballot questions
weren't legal. OMRD offered the 49-year extension as a way to settle its
lawsuit involving the city and the coalition.
Developers have asked that the judge postpone the hearing in order
for OMRD to hold a 2 p.m. meeting at the Hilton Hotel on Singer Island
with residents to discuss the Ocean Mall redevelopment.
Tony Gigilotti, chairman of the Singer Island Civic Association,
warned at Wednesday night's council meeting not to ignore negotiating
with the developers. Gigilotti said there is support on Singer Island
and the mainland with giving OMRD a 50-year lease with the first rights
to ask for a 49-year extension.
"If this council doesn't get it right and we lose this developer,
it's over," said a frustrated Gigilotti, who was among those who have
met with OMRD representatives over several weeks. "It is too difficult
to do business in this city."
Council members, meanwhile, were reluctant to discuss the Ocean Mall
deal at the meeting. An attempt by Councilman Jim Jackson to get the
lease on the agenda failed for lack of a second.
At the end of the meeting, however, Councilwoman Norma Duncombe spoke
in favor of the December deal, which provided black businesses a share
of the construction and sales of the condos. She believes the newly
elected council members aren't acting in the best interest of the city,
but on behalf of those who put them in office.
Duncombe had City Manager Bill Wilkins remind her colleagues and the
public that city is only getting about $20,000 annually on the current
Ocean Mall lease. That's because it's based on terms that date to 1972.
Council Chairman Shelby Lowe, who was elected in March, made it clear
that he wasn't going renege on his promise to voters.
"The people have spoken, and the referendum isn't negotiable," Lowe
said. "We have to get past this lawsuit, and the 99 years is not a tool
to use in this instance."
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Legal Notice published in PB Post
Tuesday June 19, 2007
| NO. 8514050
INVITATION TO
PARTICIPATE IN
PUBLIC MEETING
OCEAN MALL Please be advised that Catalfumo Construction
proposes to redevelop the existing Ocean Mall that is located on
Singer Island in Riviera Beach, Palm Beach County, Florida. The
purpose of this notice is to inform you that Catalfumo
-Construction will conduct a public meeting to discuss the
proposed redevelopment plans with Singer Island condominium
associations, homeowner associations, and the general public.
The redevelopment plans call for the replacement of the existing
Ocean Mall with 60,000 square feet of general commercial use,
multi-family residential condominium,
and a future hotel. You are hereby invited to participate in the
public meeting, which will be held at the Hilton, 3700 North
Ocean Drive. Singer Island 33404 on Friday. June 29, 2007 at
2:00 pm. PUB: The Palm Beach Post June 19 - 25, 2007
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