Two offers made for former Wonderland Pier property on Ocean City Boardwalk

Hotel developer Eustace Mita confirmed Friday he has received two offers for the Ocean City Boardwalk site where he had once hoped to build a $150 million luxury resort in place of the defunct Wonderland Pier amusement park.

Mita, owner of the ICONA brand of upscale resorts at the Jersey Shore, once had plans to build a 252-room hotel, called “ICONA in Wonderland.” However, he was thwarted when City Council turned down his request to consider designating the site “in need of rehabilitation” to fast track the zoning approvals for the project.

Council instead agreed to take a look at the development of the Wonderland Pier site as part of a comprehensive review of the Boardwalk in the city's master plan.

Mita immediately announced after the Aug. 21 vote by Council that he would withdraw his plans for the hotel and put the property up for sale for $25 million.

Now, a bidding war of sorts has broken out for the property. The family of South Jersey Democratic political powerbroker George E. Norcross III has made a $25 million offer for the property, Mita said in an interview Friday. The offer came from Phil Norcross, George’s brother.

At the same time, Mita has also received an offer from the national homebuilding company Ryan Homes that is “substantially north” of the Norcross bid, he said. Mita declined to specify the amount of the offer by NVR Inc., the parent company of Ryan Homes.

Mita indicated he expects to take the next 30 to 60 days to review the offers before making a final decision.

“I think we’ll do the best and final offer and then see what happens,” he said.

    An architectural rendering depicts the proposed "ICONA in Wonderland" resort hotel on the Ocean City Boardwalk.
  

Mita said that both the Norcross family and Ryan Homes have expressed interest in building townhouses on the former Wonderland Pier site at Sixth Street and the Boardwalk.

The city’s zoning laws currently allow retail shops, restaurants and amusements on that section of the Boardwalk. Townhouses would need a zoning variance from the city to be built on the property, Mita said.

Mita bought the Wonderland property in 2021 to save it from a sheriff’s sale after the then-owner, Mayor Jay Gillian, had defaulted on an $8 million mortgage.

Gillian, whose family had operated Wonderland since 1965, continued to run the iconic amusement park under Mita’s ownership, but closed it for good in October 2024 following years of financial difficulties.

Mita said he paid $14 million to buy Wonderland Pier and spent about $1.2 million annually in “carrying costs” under his ownership for the past four years. He put his total investment in the property at $20 million. He said the current value of the site is $25 million.

Even with a price of $25 million, Mita characterized the property as a bargain. He noted that his Achristavest luxury homebuilding company just sold a bayfront lot in Ocean City for $9.2 million and an oceanfront property in Avalon for $16 million.

Mita said the two-acre former Wonderland site is far larger than the homebuilding sites in Avalon and Ocean City and would be “the deal of the century” in comparison.

At the same time, Mita noted that he didn’t expect to receive two offers so quickly after putting the property up for sale.

“I was very surprised this came in so quickly. It’s a lot of money,” he said.

    Hotel developer Eustace Mita addresses City Council during the Aug. 21 meeting in which his project suffered a fatal setback.
  

At least one other group has expressed interest in possibly buying the Wonderland site. A local group called Ocean City 2050 announced in August that it was involved with an investment group that hopes to purchase the Wonderland property from Mita at a price less than $25 million.

Ocean City 2050 was one of the most vocal opponents of Mita’s luxury hotel project, believing that it would have been too big for the Boardwalk and would have overwhelmed the surrounding neighborhoods.

The investors would help Ocean City 2050 to carry out its previously announced concept to turn the Wonderland Pier site into “Wonderland Commons.” The multifaceted project would feature a smaller, more compact amusement park, a digital entertainment center, public attractions such as a band shell for live music, and a low-rise boutique hotel.

"Our City Council made the wise choice to call for a comprehensive master plan that considers the entire Boardwalk before any decisions are made about what should be built on the Wonderland site. We commend this action, and we'd welcome any buyer who is willing to work wiith the Council and the community, follow appropriate zoning, and invest in the long-term best interests of our city," said Bill Merritt, a leader of Ocean City 2050.

Mita, meanwhile, said he continues to believe that his plans for a luxury hotel would have been the best project for the former Wonderland Pier site and the entire city.

“I’m sad for Ocean City. I hold no animosity. That’s not my way. But I think that’s a mistake. It’s a once-in-a-lifetime opportunity. I feel bad,” Mita said of the Aug. 21 City Council vote that he felt killed his plans for the hotel.

    Wonderland Pier's iconic Ferris wheel remains idle following the amusement park's closing in October 2024.