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Mega Little Haiti Development Project Receives Initial Approval From Miami City Commission

Sam Turken
/
WLRN
The Miami City Commission on Friday gave its initial approval for a massive commerical and residential project in Little Haiti.

A massive residential and commercial project in Little Haiti received initial approval from the Miami City Commission early Friday morning, a step forward for a plan that has divided community residents over what is best for a neighborhood that has historically experienced disinvestment.

After hours of public testimony and discussion that stretched past midnight, commissioners voted 4-0 to approve the $1 billion Little Haiti Innovation District. They passed an agreement that would force the developers of the project to gradually contribute $31 million over a period between 15 and 25 years toward Little Haiti neighborhood improvements.

The vote is a significant victory for developers behind the plan, which the commission previously put off discussing after a contentious disagreement on the issue. The project, first unveiled in 2017, would include residential and commercial towers as tall as 25 stories spread out across 17 acres and seven blocks in Little Haiti.

Still, obstacles remain before the deal can win final approval from the commission. Heated divisions among community activists continue over whether the project will speed up residential displacement or inject necessary investment into the impoverished area.

And although Commissioner Keon Hardemon—who represents Little Haiti in District 5—supported the initial passage of the project, he and other commissioners demanded accelerated payments from developers toward Little Haiti improvements and more public outreach on the project.

“My responsibility as a district commissioner is to ensure that we work the best deal that’s possible. We’re not there yet where I can say, ‘This is what it is,’” Hardemon said.

Because the Magic City project will occupy more than nine acres, the proposal calls for approval of a Special Action Plan (SAP), which is typical for large projects. The SAP category in the city’s zoning ordinance allows developers to build more than is usually allowed in exchange for providing public benefits such as parks and infrastructure improvements.

The SAP deal voted on Friday would commit developers to contribute the $31 million to the city. The agreement stipulates the money could help Miami pay for affordable housing in Little Haiti, workforce training and other programs for local residents. A Little Haiti Revitalization Trust, which was also approved on Thursday and would consist of five appointed board members, would manage the trust.

Commissioners considered a separate proposal last year that would have committed developers to $41 million including the construction of 550 affordable housing units within the Magic City development. Developers would have also received $20 million in credits for building office and green space and making transit accommodations. But the commission never voted on it after postponing a scheduled vote in November.

Hardemon has said the latest deal provides more help to Little Haiti residents. It forces developers to ante up an extra $10 million because it does not include the credits. The trust would also receive $6 million from developers upon the project’s approval, with the rest of the money contributed throughout the course of the project’s construction over at least 15 years.

Still Hardemon and other commissioners expressed concerns on Thursday that the $31 million may not be enough. Like the earlier proposal, the latest agreement does not guarantee that developers will contribute the full amount if the project fails or construction happens sooner than expected. The payments will also lose value over time due to inflation.

Late Thursday evening, the managing partner for the development team, Neil Fairman, acknowledged that construction could finish within 15 to 25 years, depending on the success of the initial phases of the project. Hardemon—who appeared willing to defer the vote—and Commissioner Manolo Reyes asked the Magic City team to commit to giving the city the payments sooner.

“It’s going to be piecemeal” if the payments occur over 25 years, Reyes said. “We want that contribution to be as effective as we can for the city of Miami and Little Haiti [so] that we can invest it.”

In a tense sign of brinkmanship, the Magic City team quickly pushed back, saying it has already changed the deal multiple times and threatened to abandon the project if the commission defers the vote.

“We’re really at the breaking point of where we can go,” Fairman said.

After Hardemon offered to approve the project on first reading, Fairman said he would try to revise the deal before it comes before the commission for a second reading on June 27. In addition to the accelerated payments, Hardemon asked the developers to hold two more public meetings in Little Haiti on the project and create a college scholarship fund for local residents.

Despite Hardemon’s demand for more concessions from the developers, Little Haiti activists and residents who have been divided on the project did not appear any more united.

Marleine Bastien who directs the Little Haiti-based organization the Family Action Network Movement, said Magic City could lead to Little Haiti’s “demise” and exacerbate displacement. The area is already increasing in value because of its higher elevation above sea level relative to other areas in the city.

“We see residents, businesses coming in, seeking help. They’re getting letters asking them to move,” Bastien said. “We don’t believe the people’s voices will be heard.”

Activist Gepsie Metullus of the group, Concerned Leaders of Little Haiti, said she also has concerns about a growing shortage of affordable housing in Little Haiti. But the project is better than the status quo, she said, and the money contributed by the developers combined with a $100 million city bond program for affordable housing could help fund the development of below-market-rate housing in the area.

“This is one of the first opportunities to have people who change the neighborhood actually contribute something,” she said.

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