Miami's Virginia Key marina lease on the ballot lets the promised plans change

Tuesday's vote on the marinas

A Suntex company in Dallas, Suntex Marina Investors, has put about $3.8 million into winning Tuesday's vote, by our tally of city campaign reports. The vote decides who runs a stretch of Miami's public waterfront for up to 75 years, with renewals at the tenant's choice. The lease says the developer's approved plan "will change from time to time" as design and permits require.

The story so far: Miami sought bids for the two marinas in 2017 and picked the venture now called Virginia Key LLC, the would-be tenant. A court ordered the city in 2023 to award it the lease, pending a public vote, and an appeals court agreed in 2024. On June 11, after the city attorney said the appeals ruling required it, the commission unanimously sent the lease to Tuesday's ballot.

Why it matters: After 45 years, the tenant, not the city, decides whether to renew, the lease says. Rent starts at $2.2 million a year plus 6% of gross revenue. The Yes campaign says two appraisals the city commissioned find those payments meet or exceed market rent, public radio station WLRN reports. Market rent is what the site would fetch on the open market. An appraiser hired for opponents says market rent is higher, WLRN reports. The tenant is an equal partnership of Suntex Marinas and RCI Group, the station reports.

What's new: From Oct. 10 to Oct. 29, Suntex Marina Investors put $1.48 million more into the Yes committee, Help Save Virginia Key PC, its latest city report shows. That includes $275,000 on Oct. 28 that the report lists as a loan. The No committee, Preserve and Protect Miami, got $687,500 more from Rickenbacker Marina Corp, the current operator. The Yes committee also gave $116,000 to a state political committee that Florida Politics reports paid for a "Democratic Voter Guide" urging a yes vote.

Who's who

Virginia Key LLC, the would-be tenant, is a 50-50 partnership of RCI Group and Texas-based Suntex Marinas, WLRN reports. Suntex Marina Investors LLC, of Dallas, has given all of the money the Yes committee reports, city filings show. Florida Politics reports the committee is chaired by Eric Metz, vice president of development at Suntex Marinas. David Filler is Suntex Marinas' chief development officer, and Robert Christoph is an RCI Group executive, WLRN and the Coconut Grove Spotlight report. Rickenbacker Marina Corp, run by the Melwani family since 1983, is the current operator and leads the opposition; Aabad Melwani is its president, WLRN reports. Miguel Gabela and Christine King are Miami city commissioners, Eileen Higgins is the city's mayor and Keon Hardemon is a Miami-Dade County commissioner.

The money on each side

Through Oct. 29, Help Save Virginia Key PC, the Yes committee, had raised $3,833,026, all from Suntex Marina Investors LLC in 11 entries from July 20 to Oct. 28, by our sum of its three city reports. That counts the $275,000 loan. The committee had spent about $3.66 million, leaving about $177,000, by our arithmetic.

Preserve and Protect Miami, the No committee, had raised $1,787,600, by our sum. All but $100 came from Rickenbacker Marina Corp, in seven checks from Sept. 1 to Oct. 29; the $100 was an Aug. 25 check from EDGE Communications. It had spent about $1.70 million, leaving about $90,000. Together the two committees raised about $5.6 million, by our arithmetic.

In its latest report, covering Oct. 10 to Oct. 29, the Yes committee spent $1,621,446, more than the $1,483,026 it raised in that period. Its largest vendor is Big Tuesday Media, a Brickell Avenue firm paid for voter outreach, canvassing, digital media, early voting staff, phone banks and text messages. One Big Tuesday payment on Oct. 29 was $132,500 for "Early Voting/Election Day Staffing." Artisan Media Group got $95,000 for a TV and radio buy on Oct. 19 and $162,000 for TV on Oct. 22. Bucelo Law Group got $25,000 for legal consulting, and Schwartz Media Strategies $19,000 for media consulting. These are campaign payments, not profits.

The No committee's latest report shows $687,500 from Rickenbacker Marina Corp in four checks, Oct. 13 to Oct. 29, and about $602,000 spent. Most went to EDGE Communications and MDW Communications for advertising, direct mail, digital ads and text messages, plus WIN Canvassing for outreach.

Opponents, led by the current operator, argue that reopening the bidding could bring the city tens of millions of dollars more, the Spotlight reports. In 2021, Miami voters rejected a ballot question that would have skipped competitive bidding and given Melwani's company a 45-year lease, WLRN reports.

The "Democratic" voter guide

The Yes committee's latest report lists three payments to Miami-Dade Residents United, each marked "Donation": $86,000 on Oct. 16, $20,000 on Oct. 28 and $10,000 on Oct. 29. That is $116,000 in all, by our sum. State records show Miami-Dade Residents United is an active state political committee based in Coral Gables. Its chairperson is Ryan Fernandez and its treasurer is Anthony Fiore.

Florida Politics reported Oct. 30 that funding for a guide labeled "Democratic Voter Guide" comes from Miami-Dade Residents United, which it calls GOP-aligned. The guide tells voters to vote yes on Miami Referendums 1 and 3, Florida Politics reports. The Miami-Dade Democratic Party supports Referendum 1 and opposes Referendum 3; the county's Republican Party supports both.

Juan-Carlos "J.C." Planas, the county Democratic Party's general counsel, a lawyer and former state lawmaker, sent a letter Friday to those behind the guide, Florida Politics reports. Planas said a similar version in red, white and black is being sent to Republican voters. "There's an official campaign for 'yes on three,'" he said. "Do your campaign. Don't say it's a Democratic voter guide."

The party's own endorsement page recommends a No vote on Referendum 3. It says the party "is aware that several fake slate cards are being circulated throughout the county" and that "This is the only official slate."

What the appraisals and officials say

The Yes campaign cites two 2026 appraisals the city commissioned, WLRN and The Miami Times report. Both conclude the payments would meet or exceed market rent. Joseph J. Blake and Associates put market rent at about $3.35 million a year, against projected contract payments of $3.52 million. CRE Valuation Services projected about $3.86 million a year once operations settle, also above its benchmark. Both noted limits in their data.

Charles Badell, an appraiser reviewing for lawyers representing opponents, concluded in a July 17 sworn declaration that market rent is higher than either city appraisal found, WLRN reports. Melwani estimates the existing marinas bring Miami about $3 million a year.

Commissioner King says she will vote against the measure. "The contract was issued before I even became commissioner for District 5, and I think that it is dated and the city won't be getting the best deal possible," she told WLRN. County Commissioner Hardemon supports it, and his face appears in several Yes campaign ads, WLRN reports.

The lease area covers the two marinas and land used by the restaurants The Rusty Pelican and Gramps Getaway. Historic Virginia Key Beach Park is outside it, WLRN reports.

On Oct. 27, the Virginia Key Advisory Board waved red flags over projects that would change the Rickenbacker Causeway area and urged the city to take a closer look, the Key Biscayne Independent reported. Board member Steven Leidner said he hoped the board would join him that "this [Rickenbacker] marina as proposed is not in the best interest of Virginia Key." The paper gives no vote count on the marina and no response from the developers.

What the lease says about the plan

The Coconut Grove Spotlight, a local news site, reviewed the 88-page lease on Oct. 22 and flagged the clauses that let the plan change. We read the same lease.

Section 5.2 says the city has approved the developer's plan, its "Conceptual Plan," as set out in its proposal. That plan covers the open space, renderings, layouts, walkways and parking. The next sentence reads: "The parties acknowledge that the Conceptual Plan will change from time to time based upon requirements in connection with the design and permitting process." Any reference to the plan "shall mean and refer to those plans as revised from time to time."

The developer must submit construction plans for each phase at least two months before work starts. The city's approval is "not to be unreasonably withheld, delayed, or conditioned." The city acts "in its capacity as the Lessor and owner of the Premises and not in its capacity as a municipality." Its review is limited to whether the plans fit the bid terms, the lease, the plan and the law. A refusal must come in writing within 30 days.

The city may refuse plans that are unsafe, that serve other purposes or that are "inconsistent with the approved Conceptual Plan as modified." That review "shall be in addition to any permitting process required by the City of Miami and other regulatory agencies." The Spotlight's reading is that what voters believe they are approving may not be exactly what gets built.

The lease also keeps the developer's duty to build as its bid and proposal require. Its phasing plan opens: "In no event shall the below phasing plan limit or be deemed to waive the Lessee's obligations to redevelop the Premises in the manner required by the RFP and the Proposal."

What happens if parts cannot be permitted

Section 5.5 says that if the developer, "after using diligent, good faith, commercially reasonable efforts," cannot get the permits for any part of the project, it "shall not be in Default." If the missing part affects the fair market value of the rent, "the City shall engage two appraisers." They appraise what was actually permitted and built, and the rent "shall be adjusted to reflect the Fair Market Value based upon the decreased development."

The clause "is not intended to excuse the Lessee's failure to construct the Leasehold Improvements for any reason other than Force Majeure." Each phase must be finished within 36 months after its permits arrive. The whole project must be substantially complete within 60 months after the city hands over the site.

What would be built

The phasing plan lists 750 dry-storage slips and about 202 wet slips in three phases, plus renovated fueling areas and the existing boat launch. Phase 1 renovates two commercial buildings of about 19,000 square feet "for use as commercial space which may include restaurant." Phase 2 adds about 5,000 square feet of commercial space, and Phase 3 about 8,000 more "(include boat and marine service)."

The Spotlight reports that the roughly 8,000 square feet is envisioned for marine goods and services, but the lease requires only that marine services be included. The phasing plan says third-party involvement "could lead to denial of some permits," and that the developer "reserves the right to develop the Phases out of order."

The developers describe a 2,600-foot landscaped baywalk along the marina basin as their largest public amenity, the Spotlight reports. They say it would be free and open year-round. The words baywalk, promenade and public access do not appear in the lease text, by our reading. The Spotlight reports the lease sets no construction milestone for the whole baywalk. The lease's plan does cover open space and walkways, so the lease does not say the baywalk is optional.

The rent and the land

Base rent is $183,333.33 a month, or $2.2 million a year. It rises each year by the greater of 3% or inflation, never less than 3% or more than 5%. On top of that, the city gets 6% of gross revenue from slips, storage, shops, restaurants and fuel, with no threshold. The lease says the city found the rent is fair market value, based on appraisals by two state-certified appraisers it hired.

The ballot question puts the minimum rent at about $203,980,000 over the first 45 years and promises about $80 million of private investment. With two 15-year renewals, "The total term of the Lease ... is seventy-five (75) years," the lease says. The renewals are the tenant's option, as long as it is not in default, and they keep the same terms, with base rent still rising 3% to 5% a year, Section 3.2 says. Only a further renewal beyond those two would need a new fair market value test by two independent state-certified appraisers. The term starts when the city hands over the site, not on Election Day.

The site is 27.62 acres in the city's legal description. About 10 acres are land and about 17 are submerged bay bottom, the Spotlight reports.

The record at Dinner Key

The Spotlight points to Regatta Harbour at Dinner Key, which Miami voters approved in 2013 with an 80-year lease. The working boatyard in the original plans was never built, it reports. Similar lease language let the developers skip a public pier, a second boat launch, a park and a free rooftop terrace, the Spotlight reports. A rule limiting 400 dry-storage racks to boats under 28 feet was never enforced, it says.

Regatta Harbour still paid the city nearly $3 million in fiscal 2024-25, the most of any city-owned property, the Spotlight reports.

Their side

"The goal is to make it open to everyone, and you don't have to spend a penny," Filler told WLRN and The Miami Times. WLRN reports that he said the company would pay more rent here than at any marina in its portfolio of 100 marinas, and that the ballot language followed city protocol and had legal review. Filler projected yearly payments closer to $4 million. "We will be avid supporters of Virginia Key Beach Park," he said. WLRN notes, "Those pledges are not identified in the lease agreement."

Filler told WSVN 7News: "This marina is dated, and the infrastructure is dated." He added: "When we redo that marina, it's going to be completely open with restaurants, larger promenades."

"You're going to get what you think you're going to get," Christoph told the Spotlight. He said the city's zoning and approval process, along with the lease, would hold the developer to its promises. He called expanded public access to the waterfront nonnegotiable. He said the closed boat ramp would reopen with free launches for kayaks and paddleboards, and that the project needs no dredging.

Asked about the shops and restaurants, he said he expects two restaurants. "There could [also] be a smoothie restaurant," he said. He added: "I'm not sure. I don't want to say something that wouldn't be accurate."

Gabela said at the June 11 meeting: "I think this is a bad deal for the city, something that's ten years old." He moved the ballot resolution after the city attorney told commissioners the appeals court ruling required it, the meeting record and WLRN show. Higgins said, "Obviously we'd like to have a better marina deal."

Miami-Dade Mayor Daniella Levine Cava urged voters to "vote NO on Miami Referendum 3 to preserve and protect Virginia Key," Florida Politics reported. The Miami Herald Editorial Board recommends a No vote, saying a decade-old deal "risks Miami's shrinking public access to the water," according to a summary of its ballot guide. Laura Reynolds of Friends of Biscayne Bay told WSVN: "We need to protect our seagrass and water quality."

What's next

What's next: Miami votes Tuesday, Nov. 3, on Referendum 3. Early voting ended Sunday, Nov. 1. Polls are open from 7 a.m. to 7 p.m., and anyone in line at closing may vote, state law says. Under the city's resolution, the lease takes effect only if a majority of votes cast approve it.

A suit by the current operator over the ballot language goes on. Judge Lisa Walsh declined to block the vote but said her ruling "does not eliminate the entirety of the suit," WLRN reported in August. WLRN reported then that a jury trial was scheduled for "next September." The plaintiffs claim the lease is "30% and many millions of dollars below fair market value."

Sources we read

City of Miami, proposed lease with Virginia Key, LLC (R-26-0254 Exhibit B) and its legal description (Exhibit A). City of Miami Commission, R-26-0254 and R-26-0255, June 11, 2026. City of Miami campaign finance reports for Help Save Virginia Key PC and Preserve and Protect Miami, read Nov. 1, including both committees' reports for Oct. 10 to Oct. 29. Florida Division of Elections, committee record for Miami-Dade Residents United, read Nov. 1. Florida Politics, Oct. 30, by Jesse Scheckner. Miami-Dade Democratic Party, official 2026 endorsements. WLRN, republishing The Miami Times, Oct. 30, by Amelia Orjuela Da Silva. Key Biscayne Independent, Oct. 31, by Tony Winton. Coconut Grove Spotlight, Oct. 22, by David Villano. WLRN, Aug. 21 and Oct. 8. WSVN 7News, Oct. 23. Florida Politics via The Miami Times, Oct. 15. The Miami Herald Editorial Board, via a Yahoo summary of its ballot guide, Oct. 26. Miami-Dade Supervisor of Elections: the Nov. 3 Miami special election sample ballot. Florida Statutes section 100.011. Caribbean National Weekly, Oct. 14. OFM's earlier story on the campaign money, Oct. 19.