Friday, January 10, 2025

Innisfree’s $60 Million Hotel Condo Development at Pensacola Beach Advances

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Innisfree Hotels’ Ambitious Plans for a New Hotel at Pensacola Beach

Innisfree Hotels is moving forward with plans to construct a 12-story hotel adjacent to Crabs on the Beach, a popular local dining spot. While the project is gaining momentum, a significant aspect of the original proposal—a rooftop helipad—has been shelved for the time being. This decision came during a recent meeting of the Santa Rosa Island Authority (SRIA), where board members unanimously voted against the helipad, citing safety concerns and limited public interest.

The Project Overview

The conceptual plan for the new hotel includes a comprehensive redevelopment of the existing Hampton Inn on Pensacola Beach, alongside the construction of a new tower. This ambitious project is set to feature 89 hotel rooms, 16 luxury condominiums, a pool deck with a bar, and a 250-space parking garage. The estimated cost of the entire development is around $60 million, with an anticipated opening date in spring 2024.

The initial proposal included a rooftop helipad, which was intended for limited use, primarily for emergency services rather than commercial operations like helicopter tours. However, the SRIA board expressed concerns about the feasibility and safety of such a facility in a densely populated area like Casino Beach.

Concerns Over the Helipad

During the SRIA meeting, board members voiced their apprehensions regarding the helipad’s practicality. Vice Chairman Liz Callahan remarked, "The use is so limited. I don’t see the public interest." The board was particularly worried about the potential safety risks associated with helicopter landings and takeoffs in a busy area frequented by tourists and locals alike. Chairman Jerry Watson raised questions about enforcement of the proposed limitations on helicopter operations, further complicating the helipad’s viability.

Despite the setback regarding the helipad, the board did approve a combined lease agreement for the properties involved in the project, which includes Club Coco, UFO’s Mini Golf, and the Hampton Inn. This agreement is crucial as it allows for increased occupancy in the new hotel due to the expanded property size.

Mixed Reactions from Board Members

While the majority of the board supported the combined lease agreement, not all members were in favor of the development. Board member Thomas Campanella expressed his concerns, stating that the board was not fully informed about the intentions behind the property acquisition when they initially approved the purchase by Innisfree Hotels Founder Julian MacQueen. Campanella argued that had they known the property would be used for a hotel expansion, their decision might have been different.

He emphasized the board’s responsibility to manage growth on the island, cautioning that the new hotel could obstruct beach views and detract from the area’s traditional charm. "Enough is enough," Campanella declared, highlighting the need for careful consideration of the island’s character amidst ongoing development.

The Path Forward

Despite the challenges, Innisfree Hotels remains committed to the project. Rich Chism, the vice president of development and asset management, noted the demand for upscale hospitality options in the area. He emphasized the project’s strategic location, which would allow guests to easily access local businesses and attractions on Pensacola Beach.

The SRIA is still awaiting the finalized plans from MacQueen and his team, which will need to address the board’s concerns and comply with the conditions set forth during previous approvals. The board had previously granted a density increase for the overall development, allowing for more units per acre, which is essential for the project’s feasibility.

Conclusion

As Innisfree Hotels continues to navigate the complexities of this ambitious development, the focus remains on balancing growth with the preservation of Pensacola Beach’s unique character. The decision to exclude the helipad reflects a commitment to public safety and community interests, while the overall project promises to enhance the local hospitality landscape. With the board’s ongoing oversight and community input, the future of this new hotel could redefine the experience for visitors to this beloved Gulf Coast destination.

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