Will a New Atlantic Seafood Ever be Built?

Fernandina Beach residents hoping for a new Atlantic Seafood building at the city’s marina might not want to hold their breath. A series of financial and bureaucratic obstacles make the possibility of a new riverfront retail attraction highly uncertain.

Before any construction can begin, the city must first secure an estimated $3 million in funding to build that section of the flood protection wall adjacent to the boat ramp. The current Atlantic Seafood building would need to be demolished as part of that project, but funding for the wall has yet to be in hand. The city is considering putting a bond issue in front of voters to finance the wall but that likely won't happen until the 2026 general election.

 

Even if the city manages to secure the funds, another significant hurdle remains: approval from the Fernandina Beach City Commission. At least three commissioners would need to vote in favor of the proposed replacement structure, which is designed to be three times larger than the existing building. The expanded size would make it a major addition to the riverfront, a factor that could influence the commission’s decision.

Additionally, the project hinges on financial commitment from the current leaseholder, Ernie Saltmarsh. For the new building to move forward, Saltmarsh must agree to invest several million dollars into the development. A key component of that investment is securing a new 30-year lease agreement from the city, providing him with long-term stability for the project.

 

Saltmarsh is an established Fernandina Beach business owner with The Green Turtle Tavern, Florida House Inn, The Down Under, Beech Street Grill (now a private venue), The Ocean Club of Amelia and Cedar River (renamed Atlantic Seafood).

In a recent interview with the Observer, Saltmarsh expressed his frustration with trying to move the project forward with the city.

 

"I've spent a lot of money early on with architectural plans, drafts ... all of these things that were submitted to the city. But each time the commission says 'oh no we don’t really like this, but what if you do this.' So, we go back and do the what if. Then we come back, and they say 'oh we don’t like that,'" Saltmarsh said. "It’s costing me our hard-earned money to appease (the commission) and to try to follow the system that’s put into place for us to follow."

 

When Saltmarsh assumed the lease on the failing Atlantic Seafood building in August 2022, he was required to submit plans for a new structure to the city.

That proposal was for a two-story, 4,815-square-foot structure and was rejected by the city commission in December 2022.

 

A year later, the city commission approved a reduced in size concept plan for a 4,330-square-foot building that was eventually approved by two other city committees.

But since then, little progress has been made and now a newly elected city commission has expressed limiting Saltmarsh to just the 1,200 square feet of the existing building.

 

City Manager Sarah Campbell has been in communication with Saltmarsh regarding potential plans for a new structure. In a Jan. 17 email, she wrote:

"Dear Mr. Saltmarsh, Thank you again for meeting with me last week. It was great to hear your perspective and learn more about your goals. Attached please find a sketch showing a possible footprint for a new location. Please let us know your thoughts."

 

"If what I’m hearing is all they're (city commissioners) going to do is the exact footprint of what I already have, it greatly alters what can be done, what makes sense for the community and our operation down there," Saltmarsh said. "A certain size building only allows you to do X and (limited) seating only allows you do X. It doesn’t allow you to have alcohol and the like, which is a difficult thing for a restaurant, especially a nice place to not have, to not have the ability to offer that. That’s an important factor, it’s a factor in what you can do."

 

In order to secure financing for a new restaurant/seafood market, Saltmarsh would need a new 30-year lease from the city. The current lease expires in 2028. He said having a viable business requires a larger building since at 1,200 square feet the operation would not generate enough revenues to warrant the investment.

"A 1,200-square-foot building, it’s tough, because the cost of labor and goods, the rent and all the other related expenses that speaks to a different menu. And if you can’t have a rum and Coke with dinner or glass of wine with that, that's going to make your average ticket a lot lower and it’s hard to achieve (profitability). If you're paying the required rent out of that location, I’m not going to have the same rent that I have today, it’s challenging," he said. "That’s what is so hard in the restaurant business today, the cost of everything is going up. The labor cost has increased etc., and it’s squeezed it (profit margins) to the point where it’s hard to do it.  But it feels like to me that where they (the commission) want to go."

 

Saltmarsh said he plans to meet individually with each city commissioner to determine their stance on the size of a replacement Atlantic Seafood building that would make sense for both parties.

 

"It has to be win-win for both parties. I'm not some land grabber who thinks there has to be buildings on every square inch of the waterfront," Saltmarsh said. "I love the idea of having a park down there and I think the two can coexist. I think people want something to do (at the river). If they come to the park or the waterfront, it might be nice to have something to eat while they’re down there in a nice environment."