Miami Marina’s $80M Redevelopment Plans Head to Voters

The redevelopment fate of the marinas on Virginia Key will be in the hands of voters in November after a lively, more than 30-minute discussion among Miami commissioners over a referendum.

Miami commissioners unanimously approved two measures tied to an $80 million proposal by Virginia Key LLC, a joint venture between Miami Beach-based RCI Marine Group and Dallas-based Suntex Marinas, to redevelop the Rickenbacker Marina and Marine Stadium Marina.

The approvals follow a 2023 ruling by Miami-Dade Circuit Court Judge Alan Fine, who ordered the city to advance Virginia Key LLC’s proposal to a voter referendum after finding the city acted arbitrarily and capriciously in rejecting responsive bids to the second request for proposal and advancing a competing proposal backed by incumbent operator Rickenbacker Marina, despite city selection committees twice ranking Virginia Key LLC’s bid first.

Commissioners Miguel Angel Gabela, Damián Pardo, Ralph Rosado and Christine King, raised concerns during Thursday’s meeting that the Virginia Key marina proposal was based on lease terms and financial assumptions negotiated a decade ago and may not reflect current market conditions.

Miami City Attorney George Wysong told commissioners that the court ruling left them little discretion and warned that delaying or refusing to advance the Virginia Key referendum could trigger enforcement proceedings, including a possible contempt action.

He said plaintiffs could seek to name both the city and individual commissioners in such a proceeding, though he later acknowledged that whether contempt was warranted would ultimately depend on the court’s interpretation of the commission’s conduct.

“If I could vote without a liability … I would vote this thing down today and say new contracts for everybody,” Gabela said.

King questioned whether the commission was required to act immediately and mentioned that voters should be informed that they were evaluating a deal negotiated years ago.

Despite the lengthy debate, commissioners unanimously approved awarding the lease to Virginia Key LLC, subject to voter approval, placing the project on the Nov. 3 ballot.

The proposal would allow Virginia Key LLC to lease 27.6 acres across the Rickenbacker Marina and Marine Stadium Marina on Virginia Key and modernize the facilities with upgraded marina infrastructure, boat storage, restaurants, retail space and public parking.

The dispute dates back to 2015, when Miami issued its first RFP for the city-owned marina property at 3301 Rickenbacker Causeway. A city selection committee ranked RCI’s proposal ahead of Rickenbacker Marina, and when the city launched a second RFP in 2017, RCI partnered with Suntex Marinas and again emerged as the top-ranked bidder.

Despite those rankings, prior city commissions rejected the proposals following bid protests and advanced a competing referendum backed by Rickenbacker Marina. Voters rejected that measure in 2021.

RCI and Suntex now have a path to redevelop the marinas, pending voter approval. Under the proposed lease, the joint venture would pay the city a minimum of $2.2 million annually, with scheduled rent increases, plus 6 percent of gross revenue generated at the property. City documents estimate the deal would generate $204 million in base rent over the 45-year term, excluding percentage rent.

The lease would include two 15-year renewal options, potentially extending the agreement to 75 years.

The redevelopment would be built in three phases, according to city records. The first phase includes construction of a mixed-use building, dry boat slips, commercial space, a relocated dockmaster’s office and parking. The developer would renovate two commercial buildings totaling 19,000 square feet for retail or restaurant uses, upgrade fueling facilities and renovate the boat launch.

The full buildout would add 750 dry slips, 162 wet slips, 13,000 square feet of commercial space and 630 parking spaces.

The proposed lease requires the developers to reserve at least 220 parking spaces for the neighboring Rusty Pelican restaurant.

Supporters of the project have argued the city-owned marina facilities require significant private investment and modernization. Critics have questioned whether public waterfront land should be committed to a private operator under a lease that could last 75 years.