Tall luxury tower returns to city commission agenda

1260 North Palm, formerly The Obsidian, is back for Round 4 after three rejections.

By Ramon Lopez

Original Air Date: October 29, 2026

Host: The Obsidian is back. Under a different name, and after the city rejected several proposals by the developer of what would be the tallest condo tower in Sarasota, the project is back on the City of Sarasota Commission agenda this Monday. Ramon Lopez reports.

Ramon Lopez: The Obsidian project was first proposed four years ago. But no concrete has been poured to date. This, because the Sarasota City Commission previously rejected the massive real estate development a total of three times.

1260 North Palm Residences, formerly known as Obsidian, would tower over its neighbors. | Rendering courtesy 1260 Palm Properties

The city commissioners on Monday, November 2 will ring up Round 4 of the heavyweight real estate rumble, their fourth round of review. Obsidian opponents hope a fourth rejection will finally kill the project for good.

The proposed 1260 North Palm Residences, formerly known as The Obsidian, is probably the most controversial real estate development pending for Sarasota.

The developer, Matt Kihnke, heading 1260 Palm Properties LLC, seeks to build downtown Sarasota’s tallest tower on North Palm Avenue. The controversial luxury condo would span 18 stories and house a mere 14 rich residents—one per floor—plus some retail shops downstairs.

Obsidian opponents, in red shirts, packed the city hall chambers earlier this year | Photo: Ramon Lopez

The commission’s fourth ruling will be made after mediation before a so-called special magistrate failed to produce a compromise condo design acceptable by the opposing parties.

While the city commissioners may throw in the towel as regards their role in the Obsidian controversy, the heavyweight fight is far from over.

This, because Kihnke had the option to sue the city and perhaps the outspoken lead opponent group, the Bay Plaza Condo Association, led by Ron Shapiro. That’s exactly what Kihnke did back in early June. The 12th Judicial Circuit Court parked the lawsuit until the arbitration process ran its course.

Ron Shapiro | Photo: Lopez

Ron Shapiro: We have Round 4 of what I call “The People versus The Obsidian” coming up on Monday afternoon at City Hall. We haven’t filed a counter lawsuit yet because we don’t see any reason to at this point. It’s possible that—I guess this is wishful thinking, but it’s possible the judge could decide to dismiss the suit. If he sees that the city’s rejected the project four times, he may say, “There’s no reason to even progress on this.” We would only follow a counter lawsuit if they say that’s the only option we’ve got.

We met with the developer early on in the project. He asked for a lot of compromises from us. He didn’t offer anything in return. That’s why we knew we were in for a battle. I would have to say that he’d have to significantly reduce the size and the scope of his project and make it more compatible.

In a protest two years ago, Bay Plaza residents flew banners. | Photo: J. Werner

My anticipation is that, no matter where the city comes out, it’s going to go to court. If the developer loses, he’s already filed a lawsuit; if we lose, we’re going to file a lawsuit. So it’s not the end of the project, but it’s the end of the process with the city.

RL: Meanwhile, the Obsidian opponents plan a counter lawsuit once the dust settles. So, Round 4 may be over, but stay tuned for the next one to get underway. This time, court side.

This is Ramon Lopez for WSLR News.

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