Miami Beach’s legendary beach club fights closure in court as incoming operators push forward a redevelopment plan.

wooden cabanas and white furniture at Nikki Beach, a modern dayclub in Miami Beach
Legendary South Beach day club Nikki Beach Miami Beach fights closure in court as incoming operators push forward with a redevelopment plan.

Nikki Beach Miami Beach photo

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With the Nikki Beach lease at 1 Ocean Drive set to expire in May 2026, incoming operators Boucher Brothers and Major Food Group are advancing a redevelopment plan through city boards, even as the current ownership fights the process in court.

The latest conflict centers on what the new group is asking the city to sanction, and how closely that matches the original concept evaluated during the 2023 bidding process.

According to a Jan. 7 Miami Herald report, the new submission proposes razing the existing structure to build a new venue featuring an underground level for parking and storage. Nikki Beach’s attorneys argue that this scope deviates from earlier concepts and are urging the city to reject the application.

The new submission proposes razing the existing structure to build a new venue featuring an underground level for parking and storage. Nikki Beach’s attorneys argue that this scope deviates from earlier concepts and are urging the city to reject the application.

Nikki Beach Miami Beach photo

The 2023 Deal

In October 2023, the Miami Beach City Commission approved a 10-year concession agreement granting Boucher Brothers the right to operate the property starting in May 2026, with Major Food Group serving as a partner.

The agreement stipulates at least $50 million in payments over a 10-year period. The minimum annual rent starts at $4 million, increasing by 3 percent annually. The deal includes revenue sharing tied to gross receipts above the rent amount, plus an added percentage within a specific revenue bracket.

City officials classified the agreement as a concession rather than a lease, stating it did not trigger a citywide referendum requirement under charter provisions. Attorneys for Nikki Beach countered in a letter to city officials, arguing the deal functioned as a lease and required voter approval.

The agreement includes community benefits and resident discounts, such as funding for public safety staffing, yearly contributions to city programs, capital for playground improvements, and discounts on food, beverage, and Boucher Brothers beach rentals citywide.

According to the Herald, the incoming operators describe the project as “Pier Park,” though renderings suggest the venue may operate under the name “Major Beach.” The concept includes multiple restaurants, a beach club, a pool, a fitness club, and retail space.

Nikki Beach Miami Beach photo

How The Original Bid Was Opposed

The road to the October vote was paved with controversy regarding Nikki Beach’s bid submission.

In September 2023, the city rejected Nikki Beach’s proposal to keep operating at 1 Ocean Drive after staff said the application missed the 3 p.m. deadline on the Periscope platform. Records indicate the team reached the “review offers” stage at 2:59:44 p.m. but failed to finalize the submission before the deadline. Nikki Beach’s attorneys insisted they submitted on time, blaming a platform glitch. Although attorneys emailed a link to the documents and hand-delivered a hard copy shortly after 3 p.m., the city maintained that the RFP prohibited email or physical submissions.

According to the Herald, the incoming operators describe the project as “Pier Park,” though renderings suggest the venue may operate under the name “Major Beach.” The concept includes multiple restaurants, a beach club, a pool, a fitness club, and retail space. Proposed dining concepts include a Mediterranean restaurant, Japanese teppanyaki rooms, and a Sadelle’s Cafe.

Major Food Group did not respond to a request for comment.

The letter argues that the current plan does not meet the city’s “substantial conformity” requirement

Nikki Beach Miami Beach photo

What Nikki Beach Owners are Saying

On Jan. 6, 2026, attorneys for the Nikki Beach ownership petitioned the Miami Beach Planning Board to deny or delay application PB25-0792. The letter argues that the current plan does not meet the city’s “substantial conformity” requirement, as tied to the conceptual designs reviewed in 2023, labeling the changes a “bait-and-switch.”

The Nikki Beach team also provided a comparison report by G3 AEC highlighting significant discrepancies, including the demolition of the current building and the addition of a subterranean level. It estimates the understory would add over 55,000 square feet of gross construction area, while the beach club’s operational footprint would expand from roughly 73,600 to nearly 84,300 square feet.

Lucia Penrod, owner and CEO of Nikki Beach Hospitality Group, stated in a press release that the process lacked transparency and fairness, urging boards to postpone the proposal to allow for a new, competitive bidding process. She called the site “public land that belongs to the people of Miami Beach and Greater Miami.”

What’s Next

Following a previous cancellation due to a lack of quorum, the Planning Board is set to review the proposal on February 3. The Design Review Board is also scheduled to consider the project. If the boards recommend approval, the proposal must still be cleared by the City Commission.

The lawsuit filed by Nikki Beach’s owners has been ongoing in the courts since 2023.

Nikki Beach Miami Beach. 1 Ocean Dr., Miami Beach; 305-538-1111; nikkibeach.com.

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A fourth-generation Miamian, Olee Fowler knows every corner of the city. She spent a decade as the editor of Eater Miami, and now as a freelance writer, she captures the stories that make Miami unique. When she’s not exploring Miami’s newest restaurants and bars, you can find her at home with her dogs, Foster and Peanut, or cheering on her beloved Florida Gators. And yes, that’s probably a Coke Zero on her desk.

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