MADEIRA BEACH, Fla. — A major groundbreaking took place Thursday for a new eight-story, 161-unit hotel development in Madeira Beach.

The project will replace old, run-down buildings along Madeira Way that have sat vacant for years, many of which were heavily damaged during the 2024 hurricane season.

City leaders and the developer said the project is part of the ongoing renewal of a community still recovering from storm damage.

With Madeira Beach Mayor Anne-Marie Brooks at the controls of a CAT machine, a portion of an old building was torn down. The entire structure will be demolished to make way for the new hotel, called “The Beachmaker.”

Brooks said the development will be a major draw for the city, especially as it continues recovering from the storms.

“The storm was terrible,” she said. “It devastated our town, and all of our residents are still trying to rebuild. Our businesses rebuilding and opening, almost all of our businesses have reopened, and now the hotel is going to start. And seeing this piece of property leveled and seeing the progress start is something exciting.”

Developer Bill Karnes said the project represents a resurgence for the area.

“The Beachmaker is the renaissance of Madeira Beach,” Karnes said. “People are going to have so much energy.”

He added, “We want The Beachmaker to be the reason why people come back to the beaches.”

Along Madeira Way, some locally owned businesses remain, including Mad Beach Dive Shop. Owner Will Beneziano has operated the shop for 12 years and said recovery has been slow.

“It’s been horrendous,” Beneziano said. “Just got permits in the end of November. So a year-and-a-half and we are actually still not done with our final renovations. Our re-grand opening is going to be at the end of May.”

Beneziano said he is excited about the potential influx of customers the hotel could bring, but also has concerns.

“When that opens, I could just sell trinkets and postcards and do great, you know?” he said. “We’re super excited about it, don’t get me wrong. It’s just everything else that comes along with it is kinda what our worry is.”

He said he worries about the changing character of the area, saying Madeira Beach being known for small, mom-and-pop shops may be fading.

“We’re just worried about how much more pressure we’re gonna get from outside forces,” he said. “Since we are old school Madeira Beach, mom and pop shop, so we have already started feeling it.”

The Beachmaker is expected to open sometime next year.