Title
A Resolution Of The City Commission Of The City Of Hollywood, Florida, Approving And Authorizing The Appropriate City Officials To Execute The Amended And Restated Comprehensive Agreement And Amended And Restated Ground Lease Agreement For The Development Of Public And Private Facilities At 1301 S. Ocean Drive Between The City Of Hollywood And PRH 1301 S. Ocean Drive, LLC; Authorizing The City Manager And City Attorney To Take All Actions Necessary And Proper To Effectuate This Resolution; Providing For Conflicts; Providing For Severability; And Providing An Effective Date.
Strategic Plan Focus
Quality of Life & Strong Neighborhoods
Body
Staff Recommends: Approval of the Attached Resolution
Explanation:
The City of Hollywood is the owner of the real property located at 1301 S. Ocean Drive. The property was conveyed to the City pursuant to a 1974 settlement agreement for public and municipal purposes.
On January 21, 2020, PRH 1301 S. Ocean Drive, LLC, an affiliate of the Related Group, submitted an unsolicited proposal pursuant to Florida Statute, Section 255.065, for the redevelopment of the property. The City subsequently solicited and evaluated competing proposals. On February 18, 2021, the City’s selection committee determined that PRH 1301 S. Ocean Drive, LLC’s proposal best met the objectives of the solicitation, and the City Commission unanimously approved the recommendation on March 17, 2021.
Pursuant to R-2022-037, the City and PRH 1301 S. Ocean Drive, LLC entered into a Comprehensive Development Agreement and Ground Lease Agreement on May 5, 2022. The Comprehensive Development Agreement is not a “development agreement” as defined in Florida Statute Section 163.3220 and was entered into pursuant to the City’s home rule and proprietary authority under Article VIII, Section 2 of the Florida Constitution and Florida Statute Chapter 166, and as applicable, Florida Statute Section 255.065.
On April 23, 2025, the City acknowledged an extension of the Entitlement Deadline through June 3, 2028.
Pursuant to R-2026-165, approved on May 20, 2026, the City Commission approved the First Amendment to the Comprehensive Development Agreement, increasing the authorized development on the property to 210 residential units, consisting of 126 condominium units and 84 affordable rental units qualifying under the Live Local Act, Florida Statute Section 166.04151.
Effective July 1, 2026, Chapter 2026-176, Laws of Florida, amended Section 166.04151, Florida Statutes, to extend the applicable Live Local Act preemptions to property owned by municipalities. The City and Developer intend for the project to qualify as a Live Local Project to the extent permitted by applicable law. The inclusion of affordable housing constitutes a public purpose under Florida law.
The proposed change amends and restates the existing Comprehensive Agreement and Ground Lease to reflect the modified site. The City will continue to retain fee simple ownership of the property, and ownership and control of all public facilities to be developed on the property, including the new Hollywood Beach Culture and Community Center.
Upon obtaining all requisite approvals, the site plan for 1301 S. Ocean Drive and the site plan for Harry Berry Park shall be attached to and incorporated into the Comprehensive Agreement.
The Ground Lease provides a 99-year leasehold interest in a portion of the property and therefore does not constitute a sale, conveyance, or other disposition of the City’s fee interest in the property.
The project, as reflected in the amended and restated agreement promotes economic stability, increases the supply of affordable housing on the beach, and enhances public recreational and cultural facilities available to all City residents.
Fiscal Impact:
The City is projected to receive approximately $60,821,592 in the first year the project is on the tax roll, excluding parking, venue and building permit revenue.
Recommended for inclusion on the agenda by:
Lisa Liotta, Development Officer
Joann Hussey, Director, CMED
Jose Cortes, Assistant City Manager