Nikki Beach’s lease with Miami Beach is ending soon. What’s the plan for the site?
Nikki Beach, the day club that has been a staple of South Beach for decades, is likely entering its final months.
Its lease with the city of Miami Beach expires in May. Two boards are set to vote in the coming weeks on a proposal by the site’s incoming operators, Boucher Brothers and Major Food Group, who were chosen to redevelop the city-owned property after a controversial process in 2023.
But the owners of Nikki Beach are still fighting — in court and in public — to save their business at the city’s southern end. The application that is headed to city boards for approval, they say, amounts to a “bait and switch” that substantially strays from previous designs for the project.
In their latest documents, Boucher Brothers and Major Food Group are proposing to demolish the existing Nikki Beach building and erect a new structure. The team had initially said in 2023 that it would renovate, but not knock down, the existing building. The new proposal also adds an understory level for parking and storage that wasn’t included in the original plans.
In a letter to the Miami Beach Planning Board, lawyers for Nikki Beach’s owners said the board should deny “this classic bait-and-switch,” arguing that the application violates a city requirement for “substantial conformity” with earlier conceptual designs.
Representatives for Boucher Brothers and Major Food Group did not respond to requests for comment.
The Planning Board was scheduled to meet Tuesday morning to discuss the new proposal for the site at 1 Ocean Drive, but the meeting was canceled due to the lack of a quorum. The board will now take up the proposal Feb. 3.
On Thursday, the city’s Design Review Board is scheduled to consider the project, which will also require approval by the City Commission.
The application by beach-chair juggernaut Boucher Brothers and restaurant powerhouse Major Food Group envisions a project known as “Pier Park,” featuring several restaurants alongside a beach club, pool, fitness club and retail space. Renderings indicate that the venue may also be called “Major Beach.”
In documents submitted to the Planning Board, the group said it will transform the property into a “world-class beachfront destination” with “a range of high-quality recreational, dining, and retail amenities.”
The proposed food options include a Mediterranean restaurant, Japanese teppanyaki rooms and a Sadelle’s Café.
In 2023, Nikki Beach sued the city after officials considered pursuing a no-bid deal for the site, one of the most coveted slices of waterfront land in South Beach.
The city reversed course and put the matter out to bid but ultimately rejected a proposal by Nikki Beach after saying its representatives missed a deadline to submit documents. Lawyers for Nikki Beach said they had made the deadline and blamed a glitch in an online system. The dispute has been hashed out in court.
Miami Beach officials selected the proposal by Boucher Brothers and Major Food Group over several other bids. Under a 10-year concession agreement, the group agreed to pay at least $50 million to the city, including minimum annual rent payments starting at $4 million and increasing by 3% each year.
A lease of more than 10 years would have required approval by voters in a citywide referendum under charter requirements for city-owned waterfront land.
On Sunday, a Miami-Dade Circuit Court judge dismissed several parts of the lawsuit by Nikki Beach’s owners while allowing other parts to move forward.
If the challenge is unsuccessful, it will mark the end of an era in South Beach.
The Nikki Beach brand began as a quiet garden by the ocean in 1998, named Nikki Café to honor founder Jack Penrod’s daughter Nicole, who died in a car crash when she was 18. That later became Nikki Beach, which revolutionized day club culture in the area.
Jack Penrod died in February at the age of 85. His wife, Lucia, remains the owner and CEO of Nikki Beach Hospitality Group, which now has locations around the world.
This story was originally published January 7, 2026 at 5:00 AM.