Miami-Dade May Have Made a $400M Mistake

Miami's priciest enclave is trying to evict its shabbiest tenant—and the fight could upend one of the world's busiest cruise ports. On Fisher Island, with a $12 million median list price, residents and a powerful developer group want to tear down a century-old fuel terminal that supplies PortMiami's cruise and cargo ships and replace it with ultra-luxury condo towers, with penthouses reportedly aimed as high as $100 million, reports the Wall Street Journal. Cruise lines say losing the depot, which HRP Group purchased for $180 million last year, would be a logistical and economic blow, with one executive warning no major US port operates without its own fuel source.

Miami-Dade County, alarmed by the potential disruption to a port that generates roughly $61 billion a year for the region, is now trying to buy the 10-acre site—or, if needed, seize it with eminent domain. That's triggered lawsuits from Fisher Island's community association and club, which argue the fuel tanks are unsafe and that a side deal with the developer gives them rights to about four acres and effective veto power over any sale. Labor groups and activists have joined in, casting the battle as a test of whether Miami prioritizes its workers or its billionaires. Many fault the county for not trying to buy the site earlier. Negotiations continue behind closed doors, with HRP Group reportedly asking for $400 million. Under such a deal, the developer would gain $220 million in profit without breaking a sweat, leaving taxpayers to foot the bill, per the Guardian.