Steve Ross’ $290M West Palm Beach Hilton project seeks approval but not public funds

West Palm Beach commissioners are set to consider Related Ross’ Hilton Curio hotel at CityPlace that would replace an overflow surface parking lot that has served the Palm Beach County Convention Center and Hilton Hotel for the past decade.

City commissioners are scheduled to vote on the final hearing of the 18-story, 400-room project Monday as part of a series of zoning and site-plan approvals for the proposed hotel on 1.8 acres at 900 South Rosemary Avenue. Commissioners unanimously approved the proposal at its first hearing, and the project was backed by the planning board at its June 16 meeting.   

Related Ross, led by billionaire developer Steve Ross, will finance the $290 million project with its own debt and equity, and the site is part of a $26 million sale-leaseback deal with Palm Beach County. The developer would sell it to the county then lease it back for 33 years with the opportunity to extend the lease to up to 99 years. 

The county would receive a guaranteed $1 billion in rent over 99 years, though the property would no longer generate property tax revenue for the city or county. 

Related Ross plans to rent parking spaces in the convention center’s parking garage to serve the Hilton Curio and the existing Hilton West Palm Beach. And the developer would pay $4.5 million in upfront fees if the project moves forward. 

If approved by the city commission, the proposal moves on to Palm Beach County Commission for consideration. 

The city commission is being asked to establish the Convention Center District, formally define its boundaries, and approve the site plan for the 200-foot-tall hotel.

The developer is requesting waivers to decrease the required active-use space along Rosemary Avenue and L Street and to allow for tighter corner clearance than city regulations permit.

City staff recommended approval.

The project is part of a broader trend of developers pairing hotels with convention centers in the tri-county region, although Related Ross’ is the only one not seeking public funds.

Other projects include the Grand Hyatt in Miami Beach, developed by David Martin’s Terra and Jackie Soffer’s Turnberry, and the Omni Fort Lauderdale Hotel, developed by Matthews Southwest.

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