FORT WALTON BEACH —The developers of the upscale Landmark Center might have their last chance to seek approval for the project at today’s City Council meeting, and already it’s off to a bad start.
Ft. Walton Development Partners, the company behind the proposed mixed-use project planned for the intersection of Perry Avenue and U.S. Highway 98, will ask the City Council to approve a new development agreement that would allow the project to move toward construction.
The Landmark Center discussion will be a quasi-judicial hearing, which is similar to a court case with opening statements, questions and closing statements.
City staff is recommending the City Council not approve the agreement.
“After a complete review of the submitted Development Agreement, all related documents, and applicable laws, Staff finds that the Development Agreement as submitted is not consistent with the conditions of the approved Development Order,” city staff wrote.
“Staff further finds that the proposed Development Agreement requires the City to pledge CRA revenue that may or may not be available at times required in the Development Agreement.”
Read the proposed development agreement »
The City Council does not have to follow the city staff’s recommendation. If it decides to move forward with the development agreement, the issue would come back to the council for a second and final quasi-judicial hearing next month.
Based on the original development order from August 2007, the city would lease land to the developers to build a parking garage with a minimum of 343 spaces. The city would later purchase the parking garage for $3.66 million but allow the developers to retain exclusive use of 36 parking spaces. The city would have the authority to decide if it wanted to charge users to park there.
However, the application for a new development agreement asks the city to transfer the city-owned land needed for the parking garage to the developers. The land has an estimated value of $80,683, but a final appraisal would have to be completed before the land could be turned over.
Ft. Walton Development Partners also proposes that the city lease 220 parking spaces from the garage for a 30-year period at a cost of $4 million, to be paid over eight years, as well as pay a portion of the utilities, taxes, insurance, management and security fees for the parking garage during the 30-year lease.
The Landmark Center is a 122,000-square-foot mixed-use project that would include 90 hotel rooms, 15 corporate apartments, a swimming pool, 31,000 square feet of restaurant and retail space, and a 343-space parking garage.
Today’s meeting is scheduled for 6 p.m. at Fort Walton Beach City Hall.
Contact Daily News Business Editor Dusty Ricketts at 850-315-4448 or dricketts@nwfdailynews.com. Follow him on Twitter @DustyRnwfdn.
