FORT PIERCE — City officials said Feb. 17 that the closure of Crabby’s Dockside on Feb. 15 followed a lease default at the city-owned property, prompting broader concerns about how Fort Pierce oversees its rental assets.
During a commission meeting, Commissioner Michael Broderick addressed public speculation about the city’s role in the shutdown.
“This is not an action taken by the city of Fort Pierce. This is a tenant default. The tenant defaulted on their lease,” Broderick said.
Officials said the issue involves unpaid rent and property taxes. The restaurant had posted on Facebook on Feb. 12 that the decision was out of its control.
City Manager Richard Chess told commissioners he became aware of the delinquency only recently and sent formal notice after learning of it.
“I didn't know that we were behind in the lease payments. I wasn't aware that we were behind in the property taxes. The moment I found out, I drafted a notice of letter. We didn't say that we were going to kick them out. We just said that the city will take further legal action if necessary. That's as strong as that language was in that letter,” Chess said.
The unpaid amount totals about $215,000 and dates back roughly three years, according to officials, who said reimbursement is unlikely.
Broderick focused on the property tax clause in the lease and the length of time the issue went unaddressed.
“The provision of the lease that I'm more concerned about is there's a real estate tax provision in the lease where the tenant pays the real estate taxes on the site. This default is three years old. Three years the real estate taxes have not been paid and we're just making demand now,” Broderick said.
Chess said the delay stemmed from a breakdown in billing between the city and the county.
“There was an issue with the billing and the property taxes where they were not billed. We did not receive that from the county. The county did not give us the property taxes for us to pay to invoice the tenant. The county gave us three years of bills at one time, paid it, and then we billed the client, the tenant, and they didn't pay it,” Chess said.
Broderick said the situation reflects deeper problems in how the city monitors its commercial holdings.
“I have some very serious concerns as to the handling of this issue internally by the city of Fort Pierce. This is not a way to run commercial real estate assets that are owned by the city,” Broderick said.
Commissioners also raised questions about the condition of the property now that the tenant has vacated.
“So my concern is, is the facility secure? Have we done an inspection? Have we done an inventory of what's in there? And have we changed the locks? And are we prepared to deal with the clean out and all that that's subsequently going to take place,” Broderick asked.
In response to calls for better tracking of city properties, Chess said the city maintains internal records identifying its assets and the staff assigned to oversee them.
“We have a list of all our properties. We have a list of all the managers who are responsible for managing those properties,” Chess said.
Commissioner Curtis Johnson urged staff to take ownership of the issue moving forward.
“Somebody knew this. We need to understand, and we need staff to understand, that everybody here is a leader. You cannot stick your head in the sands right now, because it's all hands on deck,” Johnson said.
Chess agreed with Broderick’s suggestion to designate a lease administrator to oversee rental properties.
Officials said next steps include securing the building and confirming the property’s title status.
Crabby’s Dockside opened in 2020, replacing the Original Tiki Bar, a longtime local establishment whose closure drew controversy at the time.