Macro developments under the microscope (with SLIDESHOWS)

As the Fishing Fleet Marina unveils its big plans, Destin City Council will soon review proposed changes to a system of development rules that Councilor Dewey Destin once described as “extortion.”

In 2006, Destin replaced the compatibility standards in its growth plan — does a proposed development fit with neighboring properties? — with three tiers: Tier One projects meet the city’s normal rules; Tier Two development can add greater height and more units in return for meeting tougher design standards; Tier Three projects must provide a public benefit in return for still greater height and density. The council has complete discretion to decide whether or not the benefit is good enough.

Last year, the council held its first hearings on Tier Three developments:

•The council approved the 15-story Harbor Reflections condo tower on the land that Gilligan’s now sits. To read more about Harbor Reflections and see a video slideshow of the development, click here.

•It approved the five-story Caretta Dunes condominiums in Crystal Beach, which narrowly exceeded the limits on Tier Two in that area. To read more about Caretta Dunes and to see a video slideshow of the development, click here.

•The council rejected HarborWalk Village Phase II, saying the public benefit didn’t justify the development’s scope. To read more about HarborWalk Phase II and to watch a video slideshow of the rejected development, click here.

Once they had hands on experience with the new system, different councilors raised different objections:

•The public benefits weren’t adequate for the size of the developments.

•The public benefits were unreasonably large, verging “on socialism,” said Councilor Kelly Windes.

•There are no objective standards to tell developers whether a particular public benefit is sufficient or not.

•The parking requirement for Destin harbor developments such as Harbor Reflections is based on the city providing public parking north of U.S. 98, and the sites haven’t been bought yet.

•Tier Two projects, which can be up to 10 stories high in some parts of Destin, receive automatic approval without a council vote.

•If a project is acceptable, Councilor Dewey Destin said, a public benefit shouldn’t be necessary, and if it’s not acceptable, it shouldn’t be approved: “It’s not fair to landowners who wonder ‘how many millions of dollars do I have to bribe the city with to get this built?’ ... We’re not applying any standard of how appropriate it is where they’re going into the community. We’re not protecting the folks that live here by not touching any of these things.”

The changes the council requested were as follows:

•Requiring all harbor-district development pay a size-based fee for building public parking in the harbor.

•Requiring developers to pay part of their Tier Three “public benefit” up front, rather than waiting until the city issues a certificate of occupancy.

•Separating out mandatory Tier Three fees and expenses, such as contributing to the city’s affordable-housing fund, from the public benefit.

•Requiring bigger setbacks between waterfront buildings to provide a better view of the harbor from the street.

•Lowering the point at which development qualifies for Tier Three rather than Two.

City Manager Greg Kisela told The Log this week that the city hasn’t yet set a date to bring the results back to the council.

THE YEAR OF TIER THREE
Destin City Council reviewed a trio of Tier Three developments — the biggest, densest level of development under the city’s rules — in 2008:
•Harbor Reflections, a 15-story waterfront condo towers, received council approval in January, making it the city’s first Tier Three development.
•In February, the city approved Caretta Dunes, a condo project with 80 units in two adjoining five-story buildings in Crystal Beach.
•In March, a majority of the council rejected Legendary Inc’s phase-two plan for HarborWalk Village, which included two 15-story condominium towers. A majority of the council said the project’s proposed waterfront plaza didn’t meet Tier Three requirements for an “extraordinary public benefit.”