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Sarasota Showdown As Residents Rage Over 327-Foot Obsidian Condo Tower

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Published on May 05, 2026
Sarasota Showdown As Residents Rage Over 327-Foot Obsidian Condo TowerSource: Google Street View

Dozens of Sarasota residents crammed into City Commission chambers on Monday night as the Obsidian, a long-contested luxury condo proposal, came back to the board after years of appeals and mediation. Opponents say the building is wildly out of scale for downtown and warn that construction would chew into the public sidewalk and waterfront views. The latest showdown is the newest round in a three-year fight over just how tall Sarasota's downtown skyline should get.

The development, formally branded the Obsidian or 1260 N. Palm Residences, calls for 14 full-floor homes on a narrow parcel at 1260 N. Palm Ave. and would rise to roughly 327 feet, about 18 stories by the plan's specifications, as reported by Sarasota Magazine. The site would replace a row of low storefronts and sit next to Bay Plaza, according to neighbors.

A special-magistrate mediation under state procedures has produced a recommended settlement after Florida Land Use and Environmental Dispute Resolution Act (FLUEDRA) sessions meant to keep the fight out of court. That recommendation now goes to the City Commission, which can either accept it, reject it, or send everyone back to the drawing board. As reported by Your Observer, Special Magistrate Mark Bentley urged the commission to give the redesigned plan a favorable look.

Opponents are not impressed. Residents packed the chamber and argued that the proposed settlement leaves the building's basic height and footprint intact. “This settlement has only modest changes,” Bay Plaza resident Ron Shapiro told Your Observer during public comment.

Developer Christopher Kihnke and MK Equity counter that the tweaks identified in mediation, including loading arrangements, tree placement, and streetscape adjustments, are technical fixes needed to meet safety and utility rules rather than a reshaping of the tower itself. The developer's materials and local reporting emphasize an ultra-upscale vision built around full-floor residences, according to MK Equity and local coverage.

Legal implications

The dispute went through Florida's specialized mediation track under FLUEDRA, which allows a neutral special magistrate to recommend a settlement but does not force the city to take it. Legal analysis points out that whatever the commission decides could still face a court challenge. For background on how that process works, see The Florida Bar.

What's next

The commission's decision will determine whether the revised site plan moves ahead, gets turned down again, or heads back into another round of negotiation. Any of those paths could set off fresh appeals or additional filings, keeping the Obsidian saga alive a while longer.

Local outlets documented Monday's shoulder-to-shoulder hearing, including coverage from FOX 13 Tampa Bay. The city's upcoming meeting schedule and agendas are posted at SarasotaFL.gov.

Tampa-Real Estate & Development