Palm Beach Billionaires vs. Developers: The $400M Battle to Save Paradise

The room erupted in applause—an unusual scene at a development review meeting. But Maggie Zeidman, then-president of Palm Beach’s Town Council, had just proposed an idea that struck a chord: transforming a central piece of land on the island into a park, just one block from the beach.

“Whoever owns it can turn it into a park,” she said during a January meeting. “So I put it out there—if anyone can make that happen, a group of you, it would be incredible.”

Zeidman’s message was clear: she was asking the wealthy residents of Palm Beach to pool their resources to create a park. It was like something out of a heartwarming movie script—neighbors banding together to stop a developer from paving over paradise. But in Palm Beach, the numbers were staggering. Zeidman estimated the cost at around $400 million, potentially up to half a billion.

“It’s the last piece of land in such a prime location that could become green space,” she explained. “But it’s Palm Beach—these things do happen.”

The land in question is a 5.8-acre parcel at the intersection of South County Road and Royal Palm Way, currently owned by Wells Fargo. Most of the property is an empty parking lot, but its size and location make it a prime target for developers.

“It’s a trophy property,” said Rob Frisbie, of the local development firm Frisbie Group.

Zeidman’s proposal wasn’t far-fetched for Palm Beach, where billionaires such as Stephen Schwarzman, Ken Griffin, and William Lauder own homes. With many residents holding vast fortunes, buying the land for a park wasn’t out of the realm of possibility. However, Wells Fargo had already struck a deal to sell the property to Frisbie Group.

The Frisbie Group's vision for the site included restoring landmark buildings and adding luxurious residential units and commercial space. The plans, featuring nods to Palm Beach’s most iconic architects, showed a thoughtful design with lush landscaping. But not everyone was on board.

Paul Leone, CEO of the historic Breakers hotel, supported the Frisbie project, acknowledging that the land wouldn’t sit idle forever. “Change is inevitable, and Wells Fargo isn’t going to let it remain a parking lot,” he said. “The Frisbie Group, our neighbors with a proven track record, are the best choice for this development.”

Still, opposition emerged. Palm Beach’s wealthy residents, often scions of famous families, voiced concerns. Tina Fanjul, a longtime resident and ex-wife of billionaire Alfy Fanjul, opposed the development, comparing it to the political upheaval her family experienced in Cuba.

“We never heard the thunder,” she said, pleading with the council to listen before it was too late.

Liza Pulitzer, daughter of fashion icon Lilly Pulitzer, also spoke out. While she admired the design, she called the project a “disaster for the island,” citing concerns about overdevelopment. “We’re being besieged by development,” she said. “We’re at the gate of turning something we control into something we’ll regret.”

Following the outcry, the Frisbie Group paused its plans, but no new proposals have been presented. “Everything’s on hold,” Rob Frisbie said.

The standoff between preservation and development isn’t new to Palm Beach. Developers like Lester Woerner, who purchased the historic Paramount Theater, have faced roadblocks. His proposal for a private club was recently rejected by the town council, and Woerner is considering legal action.

“If it isn’t already clear, development is tightly controlled in Palm Beach,” said Pulitzer. “We’re trying to decrease our population and preserve what we have.”

As more billionaires move to Palm Beach, driven by the pandemic and rising property values, the island has become one of the country’s most exclusive real estate markets. Single-family home prices have soared, with some properties selling for over $100 million.

While Palm Beach wrestles with how to manage its future, neighboring West Palm Beach is embracing development. Luxury condos, office buildings, and retail spaces are reshaping the skyline. Billionaire Steve Ross has even compared the area’s potential to Silicon Valley, underscoring the region’s transformation.

As West Palm Beach races forward, Palm Beach faces a dilemma: can it maintain its status as an enclave of tranquility, or will it succumb to the forces of change? For now, the island’s wealthy residents are determined to resist, even if it means facing an unwinnable battle.