The Pensacola City Council has granted a 30-day extension for Inspired Communities of Florida to present a lease agreement for a significant development at the Community Maritime Park. This decision sets the stage for a crucial vote next month on a proposed $150 million project that would feature a 12-story apartment building and a hotel.
Support Local Stories. Donate Here.
In a press conference before the vote, Mayor D.C. Reeves expressed his support for the extension, emphasizing the need for a strong deal.
"I think it’s important when we have a monumental project going at Maritime Park that we have community understanding of what it is," Reeves said.
The council voted unanimously on Thursday to extend the option, allowing more time for detailed discussions. Inspired Communities of Florida has partnered with EJ Smith Enterprises, the development company owned by legendary football star and local son Emmitt Smith to propose a 240-280 unit apartment building and a 125-150 key hotel on "Lot 5," which is located across Cedar Street from the front entrance of Blue Wahoos Stadium.
District 1 Councilwoman Jennifer Brahier was the sole voice of opposition during Thursday night's discussion. Though she voted for the extension, Brahier said she would scrutinize any lease that was brought forward to ensure alignment with the West Main Master Plan, along with more precise assurances of what affordable housing would be included.
The apartment portion of the building is planned to reach approximately 12 stories, despite the West Main Master Plan's zoning restrictions that limit buildings in the area to six stories. The plan also called for street-level retail at the site, which has been scrapped under the Inspired Communities proposal in favor of a third-floor retail complex atop three stories of parking.
"The mayor said this week in press conferences that Maritime Park is a community park, thus the communities needs to be heard here," she said, "and the community went through years to be heard. (We) documented it. We requested that it be followed, and now we're just acting like that never happened. I'm extremely troubled."
Dennis Pemberton, executive managing director of Inspired Communities, explained that flood risk and related insurance challenges made ground-level retail infeasible.
"If we built retail on the ground level, we wouldn't be able to lease it," he said, "or, if someone leased it, they wouldn't be able to get insurance for their business."
The developers intend to leverage Florida's new Live Local Act, which overrides local zoning regulations if at least 40% of the units are designated as workforce housing. This law also provides developers with the potential to receive up to a 75% tax break on units classified as workforce housing, with rents set at levels affordable for individuals earning between 80 and 120% of the area's median income. In Pensacola, affordable rents for single-income households in this income bracket range from $1,366 to $2,079 per month, based on the latest figures from the Florida Housing Finance Corporation.
Brahier noted that, under the law, the developers could market all of the units at the top of that bracket and still receive incentives.
"Let's just be clear," she said, "that for market-rate apartments they're going to get a 75% reduction in taxes for 30 years and bypass the standards we have on that piece of property."
Pemberton responded that any new housing development would help relieve demand and eventually bring prices down. He said the developers' focus was on bringing forward a project that could maximize lease payments and tax revenue to the city.
"I think everyone recognizes that there is a housing shortage and a housing crisis across all levels," he said. "Providing housing at the 80 to 120 range also opens up other locations and properties for housing at different levels ... If we did lower income housing, we would require ... a lower lease payment and more tax breaks because of the subsidies required for it."
City resident Leslie Yandle expressed her eagerness to see the city reach a deal.
"This property has been a parking lot and a very nice grassy area, though not revenue-generating, for the last 12 years," she said. "If this proposal doesn't go through, then what? And if not now, then when? We'd rather not wait another 12 years to see progress made on that property."
