The former Wonderland Pier will not be transformed into a hotel. Ocean City’s City Council voted 6-1 to reject the resolution that would have begun the process of designating the property as an “Area in Need of Rehabilitation” on Thursday, Aug. 21.
The vote concluded an emotion-packed, two-and-a-half-hour meeting where more than 40 residents — both for and against the hotel — voiced their opinions before a standing-room-only crowd in Council chambers.
Afterward, Eustace Mita, owner of the property and CEO of ICONA Resorts, said he will not move forward with the hotel and plans to put it up for sale immediately for $25 million, which is the appraised value.
Mita also said he would “exit Ocean City with the hotel business,” the Press of Atlantic City reported.
“It’s over,” Mita told reporters at the end of the meeting. “That will be the end of it as far as ICONA is concerned.”
Mita purchased the property in 2021 for $14 million, rescuing it from a sheriff’s sale after the then-owner, Mayor Jay Gillian, had defaulted on an $8 million mortgage. Mita said he also spent about $1.2 million annually in “carrying costs” under his ownership for the past four years, putting his total investment at $20 million.
The Gillian family had operated Wonderland since 1965. The mayor continued to run it under Mita’s ownership, but closed it for good in October 2024 following years of financial difficulties.
Mita hoped to revive the site by developing “ICONA in Wonderland,” a 252-room luxury hotel that would have included two of the park’s iconic rides: the 140-foot Ferris wheel and carousel.
Moments before hearing the first remarks, City Council President Terry Crowley Jr. requested that the audience be cordial with each other. However, Mita was interrupted with shouts and boos at points, NJAdvance Media reported.
“All Council members have heard both support and opposition to the hotel proposal, and I want to assure everybody that their voices were heard. Throughout this entire process, we have listened, been transparent and complied with the procedures set forth in the Municipal Land Use Law,” Crowley said in a statement. “Now it’s time to move forward and work together to plan a bright future for our boardwalk and the entire town.”
If the resolution had passed, it would have paved the way for Mita, who announced plans in fall 2024 to build the eight-story hotel on the boardwalk, which only allows retail shops, restaurants and amusements — not hotels.
It marked his second attempt in five years to bring a hotel to the boardwalk — his earlier proposal for one next to Wonderland Pier was rejected about two years ago.
The new plan has drawn both support and criticism. Backers said the hotel could’ve provided an economic boost, while opponents worried about overdevelopment and argued the city needs a second amusement park instead.
While several council members expressed interest in the hotel proposal, all but one supported pursuing a master planning process with broader public input. Council member Pete Madden, the sole dissenting vote, said Friday the decision closed the door on fully considering the hotel option, Philly Voice reported.
Julia is a recent Rider University graduate, where she studied multiplatform journalism and social media strategies. In her spare time, she enjoys reading, trying new coffee shops, photography and the beach. She can be reached at juliatrainmedia@gmail.com or connect with her on Instagram @juliatrain
