On Thursday, Dec. 4, Ocean City officials moved a controversial redevelopment proposal forward, clearing the way for a formal review of the former Wonderland Pier site that could ultimately allow construction of a large resort hotel on the Boardwalk.
After nearly four hours of public testimony, City Council voted 4–3 to ask the planning board to determine whether the long-vacant block at Sixth Street qualifies as an area “in need of rehabilitation.”
According to OCNJ Daily, the designation is a required early step in a process that could eventually permit Eustace Mita, developer and owner of the property, to pursue a 252-room luxury hotel at the site — a use not currently permitted by zoning on that stretch of the Boardwalk.
The vote does not approve the hotel itself but opens the door for potential zoning changes and a future redevelopment agreement.
The decision marked a sharp shift from August, when the Council rejected the same measure with a 6-1 vote. This time, Council President Terry Crowley Jr. cast the deciding vote, saying the city could not ignore the economic concerns raised by business owners and residents.
Opponents — Council members Dave Winslow, Sean Barnes and Keith Hartzell — argued that a newly formed Boardwalk zoning subcommittee should finish its broader planning work before the city considers rehabilitation for a single site.
The subcommittee, created in October, is reviewing commercial zoning along the entire Boardwalk and expects to make recommendations in the spring. Crowley said he believes the subcommittee’s work and the rehabilitation process can advance at the same time.
Mita, who purchased the Wonderland property in 2021, did not attend the meeting, but his attorney told OCNJ Daily the vote was pivotal. Without the designation, he said the property could sit blighted for years, discouraging investment. Mita has previously warned that if the city failed to act, he would consider abandoning the hotel proposal and selling the parcel instead.
The public response to Thursday’s vote highlighted the deep division in the community over the subject. The meeting was moved to the Ocean City Music Pier to accommodate the crowd, and more than 80 residents, business owners and stakeholders spoke, according to OCNJ Daily.
“While opinions differ, the number of Ocean City residents opposed to this designation far outweighs the recently amplified voices of a small group of Boardwalk and Asbury Avenue business owners, many of whom are not residents and not voters. They have a clear financial interest in changing the zoning. And once changed, it opens the door to additional hotels and condos along the business section of the Boardwalk, benefiting property owners on the Boardwalk, but not the community at large,” said Tony Dorado, one of the concerned citizens who spoke at the podium.
Many supporters said the north end of the Boardwalk has struggled since Wonderland Pier closed in 2024 after years of financial trouble, and they view the hotel as essential to revitalizing the area.
“Ocean City does have a great image, but that doesn’t mean it can’t improve. The Wonderland property is one of the most iconic and important anchor properties in Ocean City. The Boardwalk and Wonderland Pier have in part defined Ocean City for generations. Therefore, when someone is willing to invest $150 or $200 million into this town, I just don’t see how we can say no. We understand that there are many that have objections with their stated goal being to maintain Ocean City as a family-friendly town. I agree,” said Joe Maniachi. “It’s been made clear that Wonderland property will no longer be an amusement park. So let’s not set the bar low and settle for more fast food outlets or T-shirt shops. This is an opportunity for Ocean City to welcome a new and an exciting project. Whether it be Eustace Mita’s project or something similar, such as a hotel with perhaps more upscale stores on the Boardwalk.”
Business groups — including the Boardwalk Merchants Association and the Ocean City Regional Chamber of Commerce — urged Council to move the process forward, citing store closures and declining foot traffic. Boardwalk Merchants Association president Wes Kazmarck called the vote a much-needed boost for businesses operating near the shuttered amusement park.
Opponents, however, continued to raise concerns about scale, transparency and Ocean City’s character as a family-focused community. Members of advocacy group Ocean City 2050 said the city should rely on the comprehensive master-plan process instead of pursuing redevelopment through rehabilitation statutes, which they argue offer fewer public safeguards.
The planning board now has up to 45 days to review the property and make a recommendation back to Council. Even if the site is declared in need of rehabilitation, any redevelopment plan — including Mita’s proposed $150 million ICONA hotel — would still require multiple approvals and public hearings before construction could begin.
