Eastward ho! The restoration of Hollywood: in terms of westward expansion, the city of Hollywood has been built out for years. But the redevelopment of its eastern downtown and beach area has just started to take off. What makes it attractive for developers and new residents is a low-rise, low-stress coastal environment that retains its authentic urban flavor. Plus location, location, location - Hollywood City Report

South Florida CEO, April, 2003 by Rochelle Broder-Singer

Currently, Hollywood's last large undeveloped industrial parcel lies inside Port Everglades, at Port Everglades Commerce Center. Florida East Coast Industries took over the 97-acre lease on the Broward County-owned land in 2000, completing one 84,000-square-foot building in January 2002. FECI had agreed to build out facilities that will benefit the port, says spokesman Husein Cumber, but is running into obstacles; heightened security is scaring off tenants, while FECI and the port have squared off over which tenants are appropriate for the space.

In the end, says economic development director Gonzalez, industrial growth will depend on new zoning and the city assembling large parcels to attract developers--both in the works.

Finally, Residential

Despite the flurry of commercial developments along the beach and around the port, Hollywood still remains largely a residential community. In a telling sign, the tax base remains 70-percent residential. And with its western suburbs built out, the only place for growth is to the east, particularly in downtown.

Steve Berman of FIRM Realty, whose family has been developing in Hollywood since the 1970s, was the first to build an upscale project in downtown. His mixed-use La Piazza--25,000 square feet of retail space, topped with 21 luxury rental apartments--opened in January of 2000 on city-owned land across from Young Circle Park. "People thought that I was either daring or crazy by trying to do new construction in downtown Hollywood," Berman says. Today, the retail portion of the development is nearly full; the residential portion has been full since before it opened. "We've had a waiting list for three years," he says.

La Piazza was followed by Hollywood's first large-scale downtown residential project, Texas-based JPI's Jefferson at Young Circle apartment complex, which opened in November 2002. Partially built on city-owned land, the project includes 256 luxury apartments in buildings ranging from three to seven stories, as well as a 650-space municipal parking garage that offers much-needed public parking downtown. The city invested some $3.3 million in the public-private partnership.

Now Berman is back with another mixed-use project downtown: La Piazza II, set to break ground in 2004. The project, on 2.5 acres of FIRM-owned land, will have a far larger scope than La Piazza, but with the same Mediterranean Revival architecture. "The idea was to take the streetscape theme that I created with La Piazza and carry it further along the circle," Berman says. La Piazza II will be a series of tiered-height buildings, the tallest reaching 15 stories. The development will house 45,000 square feet of restaurant and retail space and 300 condominiums. Berman will also build an 800-space parking garage for the city on city-owned land; he will lease around 500 spaces for his development.

La Piazza II is also a public-private venture, with the city providing incentives that include a $2 million upfront payment from the downtown CRA; $8.1 million for FIRM to build and manage the parking garage; and a guarantee that if La Piazza II doesn't make money, the CRA will pay FIRM $200,000 a year for up to five years.