Miami Beach commissioners granted final approvals to the Meruelo family and David Martin for the Deauville Beach Resort property, concluding a long and controversial effort to redevelop the oceanfront site.
The approvals came at the end of a five-hour special meeting held on Friday to address the Deauville project in North Beach, and developer Michael Stern’s proposed project in South Beach. Both were approved.
The Meruelos and developer Martin, CEO of Terra, plan two luxury condo buildings and a boutique hotel on the 3.8-acre Deauville site at 6701 Collins Avenue, designed by Foster + Partners, Shulman + Associates and ODP. Martin acquired a 25 percent stake in the property in April 2024 for $12.5 million. The Deauville, a Melvin Grossman-designed hotel built in 1957, was demolished in 2022.
Commissioners voted 6-0 to approve two amendments to the North Beach overlay district, as well as a development agreement and settlement agreement, the latter of which resolves litigation between the city and the property owners. Commissioner David Suarez was absent for the vote due to travel plans, but signaled that he would have opposed the items.
Suarez said the approvals set a “very dangerous precedent.” The Meruelos racked up more than $6 million in fines and were criticized for letting the Deauville resort fall into such a state of disrepair that it was ordered to be demolished.
The approvals allow the developer to secure a floor area ratio (FAR) increase that allows for a much taller structure on the site.
The Deauville was about 185 feet tall and 17 stories. The new project will be 300 feet tall and will include a partial reconstruction of the Deauville.
“It’s a little distressing, right?” Suarez asked. “David [Martin], this is no fault to you, right? You’re the face of it now, and the Meruelos are not here, but they have been probably the most egregious landowners in Miami Beach. They let an iconic hotel rot and be demolished.”
While Martin is a minority owner, he said he is the manager and decision-maker, and is personally guaranteeing future loans tied to the project. He’ll submit plans for the project to the historic preservation board later this year.
Aside from Suarez, other commissioners were supportive.
“While it seems like pretty bad stakeholders are going to benefit here, it doesn’t outweigh that the community that I am elected to represent and serve is going to benefit from projects like this,” said commissioner Joe Magazine.
The development agreement also calls for public access to the lobby, public beach access pathways, $7.5 million in funds for the Byron Carlisle housing project, the design and cost of a pocket park, and infrastructure funding.
Billionaire developer Steve Ross tried to redevelop the site into a Frank Gehry-designed project via a referendum in 2022, but he failed to garner sufficient voter support. Ross, who grew up in North Beach, had no plans to include a reconstruction of the former historic structure.
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