New Port Richey Negotiates $7.74M Incentive for U.S. 19 Development Project

New Port Richey is set to negotiate a $7.74 million public incentive with Royal Five Hospitality Inc. for the Aqua Harbor development at the corner of U.S. 19 and Marine Parkway. This project will include a six-story condominium complex and an upscale hotel, potentially a Hilton, on the 3.67-acre site of the former Magnuson Hotel.

City officials describe Aqua Harbor as a transformative project that will enhance New Port Richey's southern gateway. The development is expected to contribute significantly to the revitalization of the U.S. 19 corridor and the city's vision of becoming a walkable, waterfront historic hometown.

The incentive package comprises waived impact and permitting fees, $1.5 million in improvements to Floramar Terrace, and a transfer of development rights valued at $5.4 million. This arrangement allows for the dense housing project in a high-hazard flood zone, using credits banked from less suitable development areas.

The site, rezoned last year, will host a 92-unit hotel, 96 residential condos, and a marina. With ten condo units already sold, construction is set to begin by October, with occupancy planned for January 2026. The hotel construction will start by October 2026, with an opening scheduled for March 2028. By 2030, Aqua Harbor is expected to generate over $500,000 annually in property tax revenue, supporting various city projects and programs.