Miami Voters Greenlight Major Condo Developments on Watson Island, Securing Park and Baywalk Improvements

Miami voters have approved two ballot measures allowing the sale of city-owned land on Watson Island to private developers for new condo projects. In return, these developments promise public benefits, including new park space and a waterfront baywalk.

The referendums bypass competitive bidding, granting the city manager authority to negotiate these land sales. Under these agreements, Watson Island, located on the MacArthur Causeway between Miami and Miami Beach, will see significant new developments.

The first approved measure, Charter Amendment 1, will facilitate the redevelopment of Jungle Island. Ecoresiliency Miami, a venture between ESJ Capital Partners and Terra, has pledged $15 million toward affordable housing, infrastructure, and a public waterfront expansion. The group plans to buy 5.4 acres within the 13.3-acre Jungle Island property for $135 million, where they intend to build 600 luxury condos. In exchange, they will return more than 13 acres, including much of the waterfront currently occupied by Jungle Island, to the city for use as a public park funded by the developers.

ESJ Capital Partners, led by CEO Arnaud Sitbon, previously secured city approval in 2018 to amend its Jungle Island lease, allowing the firm to develop a hotel, new attractions, and expanded retail and meeting spaces. Though that hotel was never built, the focus has shifted to residential condos. In July, the Miami City Commission passed resolutions to finalize ballot language for the two proposals.

The second measure, Charter Amendment 2, involves a land sale to BH3 and Merrimac Ventures, who plan to buy 3.2 acres on Watson Island for a minimum of $25 million. This purchase allows them to build approximately 100 condos, replacing previously approved timeshare units, and add office space. Nearly 64 percent of Miami voters supported this measure, including a lease extension for additional property on the island.

BH3 and Merrimac Ventures joined forces last year, taking over a lease on about 10.5 acres of land from the previous developer, Flagstone Property Group. Flagstone had initially won voter approval for a development in 2001 but only completed part of the project after years of delays and legal battles.

The Watson Harbour development from BH3 and Merrimac is expected to include two hotels, retail spaces, offices, condos, restaurants, and other public amenities.