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Housing MarketJul 10, 2026 · The Real Deal — Florida · Miami / SE

Hollywood FL Tower Project Faces Legal Challenge From Residents

A high-profile mixed-use development in Hollywood, Florida is drawing community pushback — and now a lawsuit. The legal challenge targets a project approved under Florida's Live Local Act, a state law increasingly shaping how and where new housing gets built across the state.

Photo: Larry Milligan / Pexels

A new lawsuit is putting one of South Florida's most talked-about development tools under the microscope. Residents and a nonprofit group have filed suit against a major Related Group project in Hollywood, Florida, challenging a residential tower that was approved using the state's Live Local Act — landmark legislation passed in 2023 that gives developers significant zoning overrides in exchange for including workforce and affordable housing units.

The Live Local Act was designed to address Florida's acute housing shortage by cutting through local zoning red tape. Under the law, qualifying projects can bypass height limits, density caps, and certain local approval processes if a portion of units are set aside for income-restricted renters. Developers across the state have moved quickly to take advantage of these provisions, and Related Group — one of Florida's largest and most active developers — has been among the most aggressive adopters.

The Hollywood case appears to center on how the law was applied at the local level, with plaintiffs arguing the approval process overstepped community input and neighborhood character protections. The outcome could set a meaningful precedent for how municipalities across Florida administer Live Local Act projects going forward.

For anyone considering a move to the Miami metro area or Broward County, this lawsuit is worth watching. It reflects a broader tension playing out in many Florida communities right now: the urgent need for more housing supply versus the concerns of established neighborhoods about density, traffic, and rapid change. How courts interpret the Live Local Act will directly shape what new rental and for-sale inventory looks like — and where it gets built — in the years ahead.

You can read more about the specifics of the suit in the original report.

What this means if you're moving to Florida: Legal challenges to Live Local Act projects could slow the pipeline of new workforce and market-rate housing in South Florida's most supply-constrained communities, potentially keeping rental prices elevated in areas like Hollywood and greater Broward County.

Source: The Real Deal — Florida · Summary by Move to Sunshine. Original article not reproduced.

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