Miami Receives Million From Little Haiti Developers Who Sparked Gentrification Fears
Developers planning a towering approximate $1 billion complex on 18 acres in Little Haiti Community said Monday that they have cut a approximate $3 million check to the magic city, the first of multiple payments under an agreement that allows bigger, denser construction in exchange for investment in local businesses and affordable housing.
The money comes from the team behind the magic city, a controversial commercial and residential mega-development that two years ago stirred debate among activist groups over how to deal with gentrification in Little Haiti. After months of clamor in the community, Miami commissioners approved the terms of the deal, which included $31 million in payments to a fund that will be managed by a newly created municipal agency that, as of today, does not yet have a board of trustees.
The first payment was announced Monday at a press conference in Little Haiti. The development agreement required the developers, Plaza Equity Partners, to pay the first $3 million within three months after the commission vote became final. A lawsuit from a neighbor who opposed the project challenged the city's vote and paused the timeline for payment, but a three-judge panel dismissed the complaint in November, clearing the way for Monday's announcement.
Neil Fairman, one of Plaza Equity's principals, said the contribution is the start of a long-term investment in the community. Another payment is due to the new board, the Little Haiti Revitalization Trust, within six months.
"We are extremely thrilled to provide this check to the Little Haiti Revitalization Trust, which is the first of many," Fairman said. "The payment to the Trust is part of our promise to empower this vibrant community to give back and ensure local residents are provided business opportunities, to create meaningful jobs, to build economic prosperity for all, and to preserve the thriving culture of Little Haiti."
Commissioners approved the creation of the trust many months ago, but the appointment of a board is only now being considered. Miami's city clerk is accepting applications for the board until 4 p.m., March 12. The board will be made up of five voting members and one non-voting member between 15 and 18 years old.
Commissioner Jeffrey Watson, who represents Little Haiti, will appoint all but one board member, who will be named by City Manager Art Noriega. The appointments are all subject to approval from the rest of the city commission.
How The Little Haiti Trust Was Created
A new community board with a multimillion-dollar budget was not always the plan. An earlier proposal included a smaller public kitty and commitments to build workforce housing with the project's campus.
In early 2019, then-Commissioner Keon Hardemon negotiated a new $31 million package quietly and apart from community activists who either outright opposed the project or wanted a portion of the district's residential units to be affordably priced. After a contentious hearing where many of those activists were blindsided by the new terms, Hardemon said his deal was an improvement because it guaranteed cash up front as the project is built.