A Live Local developer suing Hollywood for blocking a 17-story beachfront tower with affordable housing argues that a bill on its way to Gov. Ron DeSantis bolsters his case.

House Bill 1389, recently approved by state legislators, strengthens the state’s controversial Live Local Act by allowing development on government-owned land in a bid to accelerate the state’s supply of affordable housing. The bill would take effect July 1.

Live Local, aimed at enticing developers to build more affordable housing throughout Florida, allows them to bypass certain zoning requirements as long as at least 40% of the residential units qualify as affordable housing.

Under Live Local, developers can match the currently allowed height of a commercial or residential building up to a mile away.

The lawsuit against Hollywood hinges on whether the developer can use the nearby Margaritaville resort — which was built on city land — as the height benchmark for the new tower.

Margaritaville stands 8 inches taller than the proposed tower and is less than a mile away.

The project envisioned by Condra Property Group calls for an apartment tower that would stand 183 feet high in a section of the beach with a height cap of 65 feet.

In a recent court hearing, the city argued that Margaritaville sits within a specialized zone that allows the Hollywood commission to determine building height on a case-by-case basis.

Attorneys for the developer argue Hollywood is misinterpreting state law.

A ruling in the case is expected in the coming weeks.

An aerial view shows the corner of North Ocean Drive and Oklahoma Street looking northeast in Hollywood on Jan. 9, 2026. A Live Local developer is suing Hollywood after the city blocked plans to build a 17-story tower on the site. (Amy Beth Bennett/South Florida Sun Sentinel)An aerial view shows the corner of North Ocean Drive and Oklahoma Street looking northeast in Hollywood on Jan. 9, 2026. A Live Local developer is suing Hollywood after the city blocked plans to build a 17-story tower on the site. (Amy Beth Bennett/South Florida Sun Sentinel)

On Monday, an attorney for the developer notified the court that House Bill 1389 recently was approved by legislators.

“This bill amends the Live Local Act to explicitly include its applicability to government-owned property,” attorney Jacob Korman wrote. “Plaintiffs submit this supplemental authority for the court’s consideration in connection with the issues presently before the court.”

Dan Abbott, the attorney for Hollywood, filed a response from the city on Wednesday.

“The referenced House bill is completely irrelevant to the issues herein,” he wrote. “The House bill, if enacted, would allow construction of a Live Local project on government-owned property, if the project otherwise meets Live Local criteria. The project at issue here is proposed on private property, attempting to use as a height comparator a building located on government-owned property.”

The legislation awaiting the governor’s signature has no bearing on this particular case, Abbott told the South Florida Sun Sentinel.

“It’s not relevant to our case,” Abbott said. “Our case has nothing to do with a Live Local project on government property. Even if a Live Local project is built on government land, it would have to conform to the height density criteria.”

Keith Poliakoff, an attorney on the developer’s legal team, argued that the city is wrong.

“The new law says it can be on government property,” he said. “They’re saying it doesn’t apply to height. But the bill makes it clear the Legislature wanted Live Local to apply to government properties. And the height of Margaritaville can be used as a benchmark for Live Local projects on Hollywood beach.”

Susannah Bryan can be reached at sbryan@sunsentinel.com. Follow me on X @Susannah_Bryan