Pier lease talks gain momentum

Pier lease talks gain momentum
Lease terms for the new Anna Maria City Pier are being developed and discussed. - Joe Hendricks | Sun

ANNA MARIA – Anna Maria Mayor Dan Murphy and current city pier tenant Mario Schoenfelder recently reviewed a draft document that includes several potential options for the lease of the new pier.

The construction of the pier walkway and T-end platform are to be completed by the end of August. The new restaurant and bait shop buildings at the new pier’s T-end are expected to open to the public by year’s end.

Schoenfelder’s current pier lease expires in December 2020 and he has expressed interest in entering into a new long-term lease.

The recently developed draft document is not a formal and binding agreement. It merely reflects some of the terms, conditions and options to be considered by the city and Schoenfelder.

The draft lease document presents three options regarding which portions of the new pier could be leased to Schoenfelder or another pier tenant.

Option one is to lease the T-end restaurant, bait shop, bathrooms and breezeway only. Option two is for the entire T-end of the pier, not including the pier walkway and boat landing. Option three is for the entire pier.

Parking option one proposes the city provide adequate marked parking based upon an approved number of seats. Option two proposes the pier tenant lease adequate parking from the city and/or private sources.

The draft lease language states the leased premises will be used solely to operate a restaurant and bait, tackle and gift shop that also serves snacks and beverages.

The lease terms require the tenant’s business operations to be seven days a week 7 a.m. to 9 p.m. with the tenant having the option to extend, but not decrease, the hours of operation. The proposed lease language states that the tenant shall serve breakfast, lunch and dinner unless otherwise specified by the city.

The proposed lease language states all open areas of the pier, including the breezeway and bathrooms, shall be accessible to the public at all times.

Lease terms

The proposed lease term options include a 10-year lease with two five-year extensions or a seven-year lease with two seven-year extensions.

The draft language proposes the pier tenant contribute $250,000 toward the city’s construction of the new buildings that will house the restaurant, bait shop and restrooms. The language also proposes that the tenant is responsible for interior build-out of those buildings at the tenant’s expense.

“All improvements made to the premises shall become the property of the landlord upon installation,” the draft lease language says.


Pier maintenance options include the tenant being responsible for all maintenance of pier premises, or the city being responsible for all maintenance of premises – except for the maintenance of the operational fixtures purchased by the tenant to operate their businesses.

The lease language proposes the tenant pay an unspecified amount per quarter toward the maintenance of the pier, the approach area and the parking lot.

The draft language includes options for either the tenant or the city to insure the pier and pay the annual property taxes.

The possible lease options include an absolute net lease where the tenant pays the maintenance, insurance, tax, improvements and is responsible for all expenses of the facility rented; a triple net lease where the tenant pays for maintenance, insurance and taxes; a double net lease where the tenant pays the taxes and the insurance or a modified net lease where the tenant pays the taxes only.

The language proposes the tenant pay an unspecified, monthly base rent that includes an annual 3% increase – or a base rent that increases or decreases each year based on the Consumer Price Index.

Another option would be a percentage-based rent that requires the tenant to the pay the city 8% of the total revenues generated by the pier-based business operations.

The proposed lease language requires the tenant to maintain a blanket saltwater fishing license that allows anyone to fish from the pier, including those who do not hold their own fishing licenses.

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