Downtown Miami East Flagler Street construction delays frustrate residents and businesses

Downtown Miami construction delays frustrate residents, businesses on East Flagler Street

Pressure is piling up around a stalled construction project on downtown Miami's oldest street.

The contractor hired for the job refuses to finish work on East Flagler Street due to a dispute, city leaders said. 

Dispute between city and contractor halts East Flagler project  

Lanzo Construction did not comment.  However, sources close to the company said the city owes Lanzo Construction more than $1 million.

City managers claim Lanzo Construction failed to meet its obligation and ordered a bonding company that insured the project to find a new contractor, according to Miami City Commissioner Damian Pardo.

However, the bonding company chose Lanzo Construction to finish the work and is negotiating to bring workers back to finish East Flagler Street, Pardo said.

"If it's not done quickly, we're going to make a request for another contractor to complete this job," Pardo said.

The City of Miami, the Miami Downtown Development Authority and the Flagler Business Improvement District launched a five-block makeover to East Flagler Street in 2019. The plan to finish within a few months stalled several times.

Six years later, phase one of the project opened with new brick, curbless sidewalks in July. 

The contractor stopped short of completion, though.

When asked about the dispute being over money owed to Lanzo Construction, Pardo said, "I have never heard of that being an issue, but even if that were an issue, there would be channels to resolve that pretty quickly."

Pardo said his office talks to the city manager and the city's head of building constantly to get updates on the project.

"We thought this would be done a year ago," Pardo said.

Lanzo Construction failed to hold up its part of the deal, Pardo said.  So, city managers ordered the bonding company to find a new contractor.

The bonding company chose Lanzo Construction. The two sides are negotiating to resume work.

"[The bonding company has] a very strong relationship with the construction company," Pardo said.  "Obviously, the construction company wants to make sure that they can get bonds.  So [the bonding company has] a lot more leverage on the company than the city does."

City staff plan to use that leverage to see the project completed.

Residents with disabilities face major accessibility challenges  

"It's difficult [to get around East Flagler]," said Miriam, who did not provide her last name but said she lives in Overtown and uses a powerchair to get around.

She and her friend, who uses a cane to walk, take East Flagler Street to reach a county building to renew Section 8 vouchers.

"It's hard to get there," Miriam said. "[There are] broken sidewalks, barriers blocking the way. One man working on the street did not notice me in my chair. He started moving things on a dolly. There was no room for me to go around."

Two weeks ago, the owners of Miami Discount Center and Sneak Peek Luxury, both on SE 1st Avenue half a block south of Flagler, said their businesses are struggling because the city is keeping the avenue closed at Flagler Street.

"It's two years almost and nothing is moving," said Danny Moshe, who owns Miami Discount Center with his wife, Jacqueline. "Nobody is coming to work."

For people with disabilities, inclusion advocates said the construction delays keep them out.

"If there is no accessible parking and somebody has to walk or travel 300, 400 or 500 feet, it makes it very difficult," said Matthew Dietz, the director of the Disability Inclusion and Advocacy Law Clinic.

While Miriam plans to avoid the area, her city commissioner expects problems on East Flagler Street to end soon.

"I'm incredibly empathetic," Pardo said.  "I'm confident by the end of this year, the first month (of 2026) January, this issue will be gone."

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