OCEAN CITY – An ordinance to convey air rights over a resort alley was approved on first reading this week.
In a Mayor and Council meeting Monday, officials voted 5-0, with Councilmen Peter Buas and Will Savage abstaining, to approve the first reading of an ordinance granting air rights over a portion of Washington Lane at 613 Atlantic Avenue. The approval will allow the developer of the Majestic Hotel property to redevelop the site.
“We’re mindful of the fact that we have an iconic property and therefore want to develop it in the best way possible for the benefit of the citizens of the town,” Joe Moore, the developer’s attorney, told officials earlier this year. “Therefore, we have provided a facility which enhances the property from the standpoint of the fact we are developing the entire property from the Boardwalk to Baltimore Avenue.”
In March, Moore came before the Mayor and Council with a request to grant air rights above Washington Lane in order to construct a single building connecting properties to the east and west of the 16-foot-wide public alley. After considerable discussion, officials agreed to advance the request to a public hearing, which was held in April.
“Our obligation this evening is to show you that it’s in the public interest to determine the property and the rights involved are no longer needed for public use, and to permit the developer – my client, 11th Street MD LLC – the acquisition,” Moore said at the time. “So our responsibility is to show you the public benefit of granting the air rights outweighs any public benefit of maintaining the air rights.”
As proposed, the Majestic Hotel property will be redeveloped to include two buildings connected by a fitness center, arcade, hospitality rooms and the like. In exchange for air rights to make the project a reality, the developer has committed to widening the alleyway and constructing a five-foot bike lane.
Moore told the Mayor and Council in April the town had granted air rights ordinances over the years for various projects, including the most recent Margaritaville development. In recent meetings, however, residents have voiced their opposition to abandoning the city’s air rights.
“I’d like to say that I am opposed to abandoning any air rights, which to me is just euphemism for giving it away for free,” resident Robert Help said. “I think the air rights have a definite dollar value attached to it.”
With no discussion this week, Council Secretary Tony DeLuca made a motion to approve the conveyance of air rights above Washington Lane on first reading. The motion carried in a 5-0 vote, with Buas and Savage abstaining.
