As sea levels rise, South Florida’s coastline, known for its prime real estate value, poses significant challenges for developers.
The threat of flood risks due to climate change is forcing many to reevaluate building near the water, with some questioning the sustainability of billion-dollar oceanfront projects.
At a recent Bisnow’s Waterfront Development Forum, Savanna Managing Partner Chris Schlank spoke candidly about the complexities of waterfront redevelopment in these high-risk areas.
Savanna, a New York-based firm, is currently engaged in constructing Olara, a luxury condo and apartment development in West Palm Beach on the Lake Worth Lagoon, which secured a construction loan of $380 million in March.
While Schlank believes the property is relatively protected, concerns about future catastrophic storms loom large.
“Is it going to be exponential? Is it going to be a constant flood rise?” he questioned onstage at the Mayfair House Hotel in Coconut Grove.
The National Oceanic and Atmospheric Administration (NOAA), the main agency tracking weather events in the U.S., has made headlines by announcing it will stop reporting on billion-dollar disasters, casting doubts on the industry’s ability to assess the shifting landscape of severe storms.
Despite the withdrawal of NOAA data tracking, the reality remains stark as Atlantic Ocean temperatures reach alarming levels, subsequently increasing the frequency and intensity of hurricanes.
Additionally, NASA noted that sea levels have risen more than previously anticipated, with a reported increase of 0.06 inches last year alone.
Projections see sea levels rising by another two feet by 2060, with the city of Miami, sitting just three feet above sea level, potentially experiencing impacts even sooner.
Addressing these rising waters, Danilo Nanni, principal of DeSimone Consulting Engineering in Miami, explained that his firm planned marine infrastructure projects with a focus on adapting to future sea level rises.
The design for the MSC Cruise Terminal in PortMiami, for instance, incorporates structural changes to function across multiple elevation scenarios, which include higher garage floors and flexible infrastructure.
“We can mitigate the cost because we’re trying to design so that it works with the sea level rise,” Nanni added.
However, adapting to new regulations and shifting mandates proves to be a complex landscape for developers.
Laura Tauber, principal at Taubco Realty Co., identified that some of the most notable recent changes in building standards have involved seawall codes.
Miami Beach initiated a Seawall Prioritization Plan in 2021, which highlighted 66 seawalls and three living shorelines in need of attention.
Since 91% of seawalls are on private property, stronger policies were established, mandating that all new seawalls be constructed to an elevation of 5.7 feet above the standard sea level baseline, with failing ones required to meet the same standard.
In addition to seawall regulations, new building materials must now meet stricter base flood elevation requirements, as emphasized by Tauber.
Yet, the process remains fraught with challenges from public agencies.
Architect Jorge Garcia, CEO of Garciastromberg, encountered difficulties when regulatory bodies insisted on new elevation standards that did not account for existing site conditions during a seawall project his firm was undertaking.
His team’s 3D model indicated that building the seawall as mandated would lead to flooding, effectively turning the site into a “13-acre bathtub.”
Garcia expressed frustration with the lack of a cohesive regulatory landscape and the inconsistent interpretations from municipal authorities.
“The regulations are difficult, complicated and different; the incompetency in interpretation by the municipalities is aggravating,” he lamented.
During the discussion, Chris Gandolfo from Tavistock Development Co. recounted his challenges with FEMA regarding the redevelopment of Pier Sixty-Six in Fort Lauderdale, particularly concerning flood barriers.
Originally designed at a 6-foot elevation for a mixed-use development, the firm had to adapt quickly to FEMA’s increase of the requirement to 7 feet after completing their designs.
His strategy involved preparing for shifting circumstances by developing a flood wall adaptable to new regulations.
“It’s not easy,” Gandolfo acknowledged. “It requires significant collaboration with local, state, and federal agencies alongside their design teams.”
Despite these challenges, some developers view the situation as an opportunity.
Bryan Cho, Executive Vice President at Related Ross, remarked that Miami’s newer buildings, equipped with advanced resilience features, make climate change and rising insurance costs less pressing concerns.
He highlighted that current construction standards in high-velocity hurricane zones have created buildings that are among the most robust globally.
“This is the strongest and most resilient buildings in the world that we’re creating today, and every three years, those standards go higher and higher,” Cho stated.
In conclusion, as South Florida grapples with rising sea levels and unpredictable flood risks, the need for innovative solutions and adaptable building practices will be central to maintaining the appeal of its prized coastal real estate.
image source from：bisnow
