Sarasota redevelopment site near hospital listed for $25M

A 3.4-acre redevelopment site just north of Sarasota Memorial Hospital has been listed for $25 million, placing one of the largest available parcels along U.S. 41 in Sarasota on the market.

The property sits at 1425–1427 South Tamiami Trail, one of the city’s primary north–south corridors. Sarasota-based brokerage Ian Black Real Estate is marketing the assemblage as a mixed-use redevelopment opportunity in a district anchored by healthcare, employment and tourism.

Today, the site includes a 13,500-square-foot retail building that is about 80% leased and the former 99-room Baymont by Wyndham Sarasota, which closed last year. Current tenants include Integrated Dental of Florida, Playa Bowls, Curaleaf Dispensary Sarasota and Verizon.

Jag Grewal, CCIM, SIOR, a partner at Ian Black Real Estate, represents the undisclosed seller.

“Given the proximity to the hospital, this site is a blank canvas that would benefit from a number of uses,” Grewal said. “I can see anything from medical office space to a hotel or apartments with retail, all of which would pull from the existing traffic at Sarasota Memorial and the nearly 11,000 staff members who work there.”

Large U.S. 41 infill parcel enters market

Large development parcels are scarce along South Tamiami Trail, particularly near the hospital district. Development sites near Sarasota Memorial Hospital have drawn increasing interest as the health system expands and nearby residential growth accelerates.

The listing combines multiple parcels into a single redevelopment footprint, creating a project scale that developers rarely find along the corridor.

“The combined parcels create a rare infill development opportunity along U.S. 41,” Grewal said. “I don’t think there’s another development site of this size available on U.S. 41.”

Sarasota Memorial Hospital anchors the surrounding district and serves as one of the region’s largest employers. The area supports a steady mix of medical offices, hospitality uses and neighborhood retail tied to hospital traffic.

Concept plan outlines hotel and apartments

Marketing materials include a conceptual redevelopment plan showing how the site could be repositioned.

The concept illustrates:

• An eight-story dual-brand hotel with 246 rooms
• A six-story residential building with 279 apartments
• Three levels of structured parking with about 402 spaces
• A shared fourth-floor amenity deck with a pool

Residential units include studio, one-bedroom, two-bedroom and three-bedroom floor plans, a mix that could appeal to hospital employees and residents seeking proximity to downtown Sarasota.

Live Local Act may shape redevelopment

Florida’s Live Local Act may provide a pathway for higher-density residential development on the site.

The law allows qualifying residential or mixed-use projects to move through approvals with fewer entitlement hurdles and increased allowable density when workforce housing thresholds are met. Developers across Florida have begun evaluating the law as a tool to unlock redevelopment opportunities along urban corridors where land costs and housing demand continue to rise.

Location connects hospital and tourism hubs

The site sits less than six miles from Sarasota-Bradenton International Airport and close to several major cultural and tourism destinations, including Marie Selby Botanical Gardens, The Ringling and Siesta Key Beach.

Developers evaluating the site would also draw from the steady activity generated by Sarasota Memorial Hospital, which employs nearly 11,000 staff members and attracts patients and visitors from across the region.

Ian Black Real Estate is marketing the property to developers seeking a redevelopment opportunity at the intersection of Sarasota’s healthcare corridor, tourism economy and residential growth.