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Deauville PrecedentThe Deauville Precedent Rewarding Billionaire Bad Actors Voters Rejected Increased FAR ●In 2022, Miami Beach voters rejected a FAR increase for Stephen Ross’s proposed Deauville redevelopment –despite Ross’s $1 Million marketing campaign. ●The current redevelopment proposal is even denser than the Ross plan. ●Lowering height from 380 to 300 feet but keeping the same FAR creates bulkier buildings and is still 50% over the 200 foot allowable height limit. Bad Precedent –Spot Zoning Concerns ●Spot zoning for Deauville invites demands from others. ●Mimet Hotel and Sherry Frontenac owners already seeking similar concessions. ○Their attorneys suggest spot zoning may be illegal. ●2022 warnings from Commissioners and Planning Board: ○“Cascading effect” toward overdevelopment ○Risks turning North Beach into “mini Sunny Isles” ○Unequal treatment of property owners ○Opens floodgates for zoning changes Crumbling Infrastructure ●North Beach has over $1 billion in unfunded infrastructure needs. ●Developer only offering $400,000 for infrastructure upgrades. ●Other so-called "benefits": ○150 parking spaces (City must pay to maintain) ○A swale labeled as a "park" ○Two beach access paths ○$7.5 million to the Byron Carlyle Lack of Public Benefits ●$7.5M for Byron Carlyle is not enough. ●Developer should give $200M for NoBe infrastructure. ●No real benefit from more hotels with low occupancy rates. “Triangle Park” Developer Profit vs. Public Benefits ●Zoning concessions worth $568,452,600 (Miami Economic Associates, Inc.report): ○FAR increase: 3.0 to 5.5 ○Height increase: 200 to 380 feet ○Additional 416,250 sq.ft. at $3,000-$4,000 per sq.ft. ●Public benefits: ~$21.5 million (3.782% of concessions) ○$8.24 million cash ○150 parking spaces (~$6 million [$40,000 per space]) ○$250k pocket park; Beach pathways (~$7 million) ●Five Park = ~$80 Million in public benefits ●Deauville grossly disproportionate; Fails fiduciary duty Rewarding Bad Behavior ●The Meruelo family let the Deauville deteriorate (demolition by neglect). ●Racked up $6 million in code violations. ●Put public safety at risk with a fire caused by illegal electrical work and forced beachwalk closure with falling concrete. ●Sued the City, stalled progress, and only agreed to pay when approval seemed imminent. ●We should not reward this behavior with zoning giveaways. ●We should not create a roadmap for other building owners to follow (intentionally allowing properties to deteriorate). Casino Concerns ●Developer refuses to remove oversized podium, which could host a casino. ●Family behind project has casino and hospitality ties. ●Partial replica of the Deauville is not preservation—it’s a distraction. Alex Meruelo CRA Smoke and Mirrors ●CRA revenues won’t materialize for decades. ●Project would take up to 5 years to build. ●CRA was originally intended to be funded by the dozen residential projects in Town Center that are already under construction. Dangerous Precedent ●Approval could open the door to massive overdevelopment: ○Developers could use Live Local to exceed existing height limits. ○Adjacent properties are already requesting the same zoning changes. ●North Beach = the next Sunny Isles? Did the Community Have a Say? ●Limited outreach beyond two required hearings ●Questions: ○How were North Beach residents’ priorities incorporated? ○Why were Commissioners negotiating in private? ○How does this deal maximize public value? ○Why are neighboring condo buildings paying $3,250 per hour to lobby in favor of this project? ●Fiduciary duty: Commission must prioritize public interest What We Need Instead ●Enforce current zoning—developer can still build without upzoning. ●Invest in infrastructure, attainable housing, flood protection. ●Reject overdevelopment, replicas, and zoning favors for bad actors. Final Message ●Let’s protect Miami Beach’s future. ●Stand against overdevelopment and broken promises. ●Say NO to the Deauville giveaway. Unaddressed Infrastructure Impacts ●Project adds 416,250 sq.ft., increasing demand on: ○Roads ○Sewer systems ○Utilities ●Concurrency requirements exist, but: ○Who pays if systems are inadequate? ○No clear mitigation plan ○Burdens existing residents ○Lacks long-term planning Bad Deal –Enforcement Risks Can We Trust the Developer? ●Benefits tied to milestones (COA, permits), but: ○What if Developer delays or defaults? ○Significant upfront concessions already granted ●No clear recourse for City ○Exposes City to risk ○Weak safeguards Overdevelopment & Inconsistency ●Same commissioners once vocally opposed height and FAR increases. ●They argued against overdevelopment, NOT the lack of a replica. ●Now they support a more intense development for minimal public return. Commissioner Bhatt Brings Up Casinos Bad Deal –Missed Opportunities Why Not Renegotiate? ●Alternatives could balance deal: ○Reduce FAR and height ○Increase benefits ●Questions: ○Were these options explored? ○Why accept such low benefits? ●Viable project still possible ●Better terms achievable