OCEAN CITY – While they are seeking the council’s reconsideration of a right-of-way conveyance, the connections of the Margaritaville development have concurrently submitted new plans that include fewer amenities and less conference space.
On Monday, new plans were submitted for Margaritaville, a resort hotel and convention center to be developed between 13th and 14th streets in Ocean City. Hugh Cropper, attorney for the developer, said the submission features significant changes to square footage and layout.
“Margaritaville originally applied for a project designed as a planned overlay district, or POD,” he said. “The right-of-way issue at this time prevents them from moving forward on the POD. They have now submitted for review to the planning commission a new plan that does not require a POD.”
In May, Cropper came before the Mayor and Council on behalf of his client with a request to hold a public hearing for the purchase of the easternmost 20 feet of right-of-way along Baltimore Avenue. The additional land, he said, would allow the developer to meet the 90,000-square-foot site requirements for the project to qualify for a POD designation.
“We’re not asking for a yes vote,” Cropper told the council in May. “All we’re asking for is that you set a public hearing, so you can take public comments on this request.”
During that meeting, however, the council voted 4-3 to deny the public hearing request, with those in opposition sharing concerns that a potential conveyance of right-of-way would impact the eventual redevelopment of the Baltimore Avenue corridor. The project calls for undergrounding utilities, widening sidewalks and improving the overall streetscape.
“The issue for me is you are asking us to take a hunk out of the Baltimore Avenue project for the future …,” Councilman Will Savage said at the time. “If we give it away now, a council 50 years from now isn’t going to have that opportunity and we don’t know what the town’s needs will be then.”
In an interview this week, Cropper said his client has since submitted a new plan for the Margaritaville project, which will go before the technical review committee and then the planning commission for site plan review.
“It’s a great project, but it just doesn’t have as many amenities or as much conference space,” he said. “The pool configuration is different – the original design had it overlooking the ocean – everything is different.”
At the same time, Cropper said he has also asked the Mayor and Council to reconsider the conveyance issue. He said the developer has not yet given up on the POD master design.
“The comprehensive plan encourages PODs,” he explained. “The code itself encourages PODs. PODs are considered a better form of development because it is a single, unified plan.”
When asked how the new site plan submission would impact the air rights the developer secured over Washington Lane, the alley that bisects the property, Cropper said he was hopeful the town would modify its previous approval to apply to the new plan.
“We are optimistic and hopeful they will reconvey the air rights,” he said.
As proposed, the Margaritaville resort will take the place of the old Phillips Beach Plaza property. The new development will feature hotel rooms, conference space, restaurants and retail, which the developer says will bring roughly 250 new jobs and millions in annual tax revenue.
In a statement issued Monday, the Margaritaville development team said the resort could be built under the height-by-right statute if a POD designation is not secured.
“We look forward to continued conversations with local officials about our plans to align with their vision to expand cultural activities, spur new investments and increase visitor spending in Ocean City,” the statement reads. “The community deserves something monumental, and our desire remains to secure a planned overlay district for development of this project, which will support more amenity space to extend the shoulder season in Ocean City.”
The statement continues, “The room count and amenity space are key in attracting this shoulder season business and increasing tax revenues for the City. If we are unable to advance a POD plan, we believe our height by-right plan provides a pathway forward, just not as beneficial to the City.”
