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Miami sends default letter to Flagstone



Miami's city manager notified developer Mehmet Bayraktar Thursday morning that Flagstone Island Gardens is in default of its master agreement on Watson Island.

In a letter sent by certified mail, Alfonso said Flagstone had failed to secure a construction loan as required by an agreement to enter into ground lease before nailing down an upland lease, and had failed to meet a May 1 construction deadline. The letter does not explain what process Flagstone might have for challenging the declaration of default.

"Please govern yourselves accordingly," Alfonso wrote.

The notice comes one week after city commissioners stunningly voted that Flagstone had violated its city agreements, potentially ending a long and troubled relationship. The controversial developer, which won the right to build a resort on the public island in a 2001 referendum, has so far only built a mega-yacht Marina.

Bayraktar's representatives have been adamant that the city's declaration of default -- issued against the recommendation of the administration -- is illegitimate.