U.S. 41 property owner proposes land swap with city

After encountering an obstacle in its quest to build a new downtown high-rise project, Palsar Developments Inc. is hoping to make a deal.

The firm owns property at the northeast corner of U.S. 41 and Fruitville Road. In February, Palsar and Core Development Inc. submitted preliminary plans for an 18-story Marriott Hotel and condo project at 332 N. Tamiami Trail — but since then, that effort has stalled.

Palsar says plans for a roundabout at the intersection of U.S. 41 and Fruitville, which have not yet been approved, make it difficult to move forward with any project. Conceptual plans call for the use of a portion of the Palsar property to construct the roundabout — 24 feet along Fruitville Road, and 17 feet along U.S. 41.

At today’s City Commission meeting, the board will consider a proposed land deal with the developer. In a letter to the city on behalf of Palsar, land attorney Brenda Patten writes that a swap could clear up the uncertainty surrounding a potential development.

Under the terms of the deal, Palsar would give the city the land necessary to construct the roundabout. In exchange, the city would give Palsar the portion of a city-owned property at U.S. 41 and Fruitville not used for the construction of the roundabout. The swap would be contingent on the approval of a development plan for the site, Patten wrote.

If the commission approves, city staff will negotiate a property exchange agreement with Palsar. That document would then be brought before the commission for final review and approval.  

The full agenda for today's commission meeting can be found on the city's website.