Martin County taking over golf course restaurant, hitting bays after abrupt closure

MARTIN COUNTY — The future of the county’s dining-and-entertainment facility at its golf course, Sailfish Sands, remains foggy, but county commissioners have agreed to a short-term plan to reopen the facility after a 10-year lease with the management company running it was cut short.

The county will take over operations for up to a year, hopefully beginning next month, according to County Administrator Don Donaldson.

The facility, operated by LaMattina Management, closed May 14 after seven months in business. County officials said they got only two days notice before LaMattina broke the lease and turned over the keys. However, company president Mike LaMattina told TCPalm the county had served a default notice a month earlier with a May 18 deadline.

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“I’m disappointed in our leaseholder because I will tell you that I felt the times that I was there that the service was first-rate and that the food was excellent,” Commission Chair Ed Ciampi told fellow commissioners Tuesday. “This was not a decision where we were trying to force someone out. He and his managerial team forced themselves out.”

The lease called for $42,594 monthly for the first two years and $60,341 the third year. LaMattina, who also runs Sailor's Return restaurant along the St. Lucie River in downtown Stuart, acknowledged he had difficulties paying his employees, the operating costs and the monthly rent while trying to get the business off the ground.

"It was a bad lease that I signed, and I should have went with my gut initially, because I was nervous about it," LaMattina said. "We had great comments and feedback on (service and food). It was just trying to bring down the overhead and the rent. That was the main issue."

A mutual-termination agreement finalized by commissioners included LaMattina leaving about $257,000 of equipment to make up for what he owed.

County financial documents show “sufficient revenues were collected to cover expenses, including rent,” with the total past-due rent representing less than 12% of the facility’s gross revenue, or $2.1 million. But net sales, LaMattina said, showed a worse financial picture. Negotiations with the county began in January but were unsuccessful, he said.

"I feel like I did a really good job trying to make it work with the revenues that were coming in, which, as a starting business, is always a struggle," LaMattina said. "It's not like this came out of left field that we weren't making money ... It's either pay the bills and pay your staff to stay open or pay the rent."

It could take up to 10 months to find a new operator and have them take over the operation, Assistant County Administrator George Stokus said.

For her part, Commissioner Stacey Hetherington wanted county staff to immediately search for the next operator.

“Philosophically, I’m not in favor of county-run facilities. I like private sector,” Hetherington said. “I don’t think that I could sit up here and say that the county has no responsibility in this facility faltering … I believe (LaMattina Management) entered into this also not knowing exactly what to expect, as we all did.”

Hetherington cast the only vote against the short-term plan, noting the potential year-long, in-house operation and limiting alcohol sales to wine, beer and premixed drinks.

Lina Ruiz is TCPalm's watchdog reporter for Martin County. You can reach her at lina.ruiz@tcpalm.com, on Twitter @Lina_Ruiz48 or at 321-501-3845.

This article originally appeared on Treasure Coast Newspapers: Martin County staff to operate facility at Sailfish Sands golf course