FORT PIERCE — A major downtown redevelopment project is in jeopardy as the developers are short $15 million to complete it and the city is contemplating repossessing the property and and going out to find a new developer.
The City Commission discussed the hotel and retail portion of the King’s Landing project on Aug. 3 and agreed to meet again Sept. 14 to further discuss it, take public comment and possibly vote on giving the developers more time to obtain the $15 million. The project is proposed at the site of the former H.D. King Power Plant, between Indian River Drive and Second Street.
King’s Landing developer, Live Oak Development, is roughly $15 million short of the roughly $60 million it needs to complete construction of the hotel and restaurant. Earlier this month, the developers asked the city to loan them the cash or to borrow $15 million needed to finish the project and they would pay it back in five years.
“Budget increases played a factor,” Live Oak CEO Paul Bertozzi said of the shortfall.
Both city commissioners and City Manager Richard Chess have individually said no.
Instead, commissioners are contemplating taking the property back and seeking a new round of bids to get it finished. Live Oak CEO Paul Bertozzi asked the city to grant his company six months to secure the $15 million.
Fort Pierce Florida hotel development has been delayed years
The commission did not vote Aug. 3 on the request, but instead called for the Sept. 14 meeting to further discuss the project. Commissioners Chris Dzadovsky and Curtis Johnson, Jr. opposed granting the developers more time, they said. The developers are in breach of the contract with the city, because of missing construction and financing deadlines, City Attorney Sara Hedges said.
“There are too many issue for too many years,” Dzadovsky said. “It’s time to cut bait and move on.”
“I am way over this,” Johnson said. “I am beyond frustrated.”
The city could be embroiled in costly lawsuits for years if it attempted to repossess the property, Commissioner Michael Broderick said.
“I don’t want to get the city in the hotel business,” Mayor Linda Hudson said at a July 14 meeting.
Florida developers sells off waterfront development
The project would include condos, shopping and a hotel, which developers plan to be part of Marriott’s Tribute Portfolio.
Live Oak took over the project from Audubon Development, which was selected by the city in 2019 to build a multiuse development on the former HD King Power Plant. However, after years of the company and the city pointing fingers and blaming each other for delays, Audubon began negotiating with Live Oak, which took over the 4.75 acre property in April 2025.
Audubon struck a similar deal with INB Homes to take over the combined 0.76 acres planned for 10 townhomes on the property. That sale was approved by the city in January 2025. Construction of the townhomes began in February.
Tim O’Hara is TCPalm’s St. Lucie watchdog, environment and fisheries reporter. Contact him at tim.ohara@tcpalm.com.
This article originally appeared on Treasure Coast Newspapers: Florida development in jeopardy. Project is short $15 million
Reporting by Timothy O’Hara, Treasure Coast Newspapers / Treasure Coast Newspapers
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By Timothy O'Hara, Treasure Coast Newspapers | USA TODAY Network
