CRA approves up to $29 million bond to buy ground leases at Narcissus and Banyan; lease terms, management raise questions

The West Palm Beach Community Redevelopment Agency and City Commission on Oct. 14 approved a financing package authorizing the CRA to issue taxable tax-increment revenue bonds not to exceed $29,000,000 to acquire ground leases at 255 Narcissus Avenue and 185 Banyan Boulevard.

The action, taken by the CRA and then ratified by the city commission as a companion item, authorized the agency to use proceeds to purchase the existing leases and related interests. Chris Rugg, executive director of the West Palm Beach Community Redevelopment Agency, presented the companion item to the commission and said state statute requires the CRA action also be considered by the commission.

Why it matters: the leases include long-term rights that affect control of waterfront commercial uses, and commissioners pressed staff about who would manage the properties if the current operator steps away. Residents and neighborhood association representatives urged care in selecting successors; commissioners said succession planning and the cost of property management should be resolved before the city assumes direct oversight.

Key details from the meeting: the lease currently in place gives the tenant — identified in the discussion as Frank Navarro, operator under Navarro Lowry Inc. — broad…