Southold Town Planning Board Extends Enclaves Hotel Project

News Summary

The Southold Town Planning Board has granted a six-month extension to The Enclaves hotel project amid community concerns over delays, stockpiled sand, and financing issues. Developers are facing challenges, including the withdrawal of a $25 million financing commitment and opposition from local residents regarding potential impacts on the neighborhood. The ambitious project includes a hotel, restaurants, and event spaces and is expected to resume construction soon, provided certain conditions are met.

Southold Town Planning Board Approves Extension for Enclaves Hotel Amid Community Concerns

The Southold Town Planning Board has approved a six-month extension for The Enclaves hotel project, which has faced ongoing complaints from local residents regarding inactivity and large stockpiles of sand. This decision was made during a meeting held on July 14, 2025, and comes after significant delays in the construction process.

The developers of The Enclaves, which is set to be located on a 6.75-acre property on Main Road, Southold, have encountered several challenges, including a recent withdrawal of initial financing. The developers’ attorney reported that a $25 million financing commitment from Dime Bank was rescinded due to regulatory issues. However, the development team is optimistic about securing new financing within the next three to four months.

The Enclaves project is ambitious and includes a 44-room hotel, four guest cottages, a renovated house that will serve as a 74-seat public restaurant, another restaurant intended for hotel guests, a spa, meeting rooms, lounges, and event space, encompassing nearly 73,000 square feet of new construction. The entire project is projected to cost around $44 million and is expected to take a total of 14 months to complete, with work anticipated to resume in September 2025.

Since its inception, The Enclaves has faced considerable opposition from the local community. Residents have expressed their concerns regarding the potential impacts on local infrastructure and services. Issues have been raised about the benefits provided to the public and fears surrounding the project’s overall impact on the neighborhood. Planning Board Chairman and town officials have echoed these concerns, suggesting the project may have negative effects on the community.

In the wake of construction delays and neighborhood opposition, the Planning Board has sought clarification on why no work has occurred on site recently and has requested a comprehensive timeline for project completion. Developers have reported significant investments already made, totaling over $3.9 million, and they remain committed to bring the project to fruition.

As the approval process continues, further requirements have been imposed to ensure compliance. Local community members have been particularly vocal about the issues surrounding the stockpiled sand, questioning whether any materials have been taken from the site during this period of inactivity. The Planning Board staff has stressed the importance of adhering to updated permits, especially as the necessary highway work permit and health permits from Suffolk County approach expiration.

Amid these complications, the developers have placed a security fence around the site to secure it during the stalled construction. Despite the various setbacks attributed in part to local opposition, the developers have indicated that their intentions for The Enclaves remain unwavering.

The extension’s approval has allowed the developers additional time to address community concerns and finalize financing in hopes of moving forward with the project. The Planning Board’s decision reflects the ongoing balance between development interests and community wellbeing, highlighting the complex nature of large construction projects in residential areas.

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Additional Resources

• East End Beacon: Enclaves Hotel Extension
• Suffolk Times: Enclaves Hotel Tax Breaks
• Patch: Enclaves Hotel and Restaurant Vision
• Encyclopedia Britannica: Hotel Development
• Google Search: Southold Hotel Project