PHILADELPHIA (AP) — A longstanding rental dispute has finally been resolved between the conservancy responsible for the historic SS United States ocean liner and its landlord, paving the way for a Florida county to transform the iconic ship into the world’s largest artificial reef.
Earlier this year, a federal judge mandated that the SS United States Conservancy must develop and present plans for relocating the 1,000-foot ship by September 12. However, the deadline passed without resolution as the conservancy claimed in a lawsuit that Penn Warehousing was obstructing its efforts to sell the ocean liner. This led to a multi-year contention over rent, with the conservancy arguing against an abrupt increase in dockage fees.
On Friday, both parties announced the resolution of the rent dispute, which facilitated a tentative agreement between the conservancy and Okaloosa County, located on Florida’s scenic Panhandle. This agreement, however, awaits final approval from a federal judge, as reported by the Philadelphia Inquirer.
Officials from Okaloosa County foresee submerging the SS United States to create an exciting diving destination. The ship is anticipated to become a unique attraction amidst the county’s collection of over 500 artificial reefs—expected to boost local tourism and generate millions of dollars annually for businesses like scuba shops and charter fishing excursions.
During a small transfer of title ceremony held at the Philadelphia pier where the ship is docked, conservancy board member Thomas Watkins delivered a heartfelt goodbye, assuring that the historic vessel would be honored and cherished in its new underwater home: “You will not be lost, you will not be forgotten. You will be rightly honored, cherished, and loved in a new home and in a new dimension,” he stated.
The transaction to transfer ownership of the ship is estimated to cost over $10 million. The complex processes of cleaning, transporting, and eventually sinking the vessel will take approximately 1.5 years.
The disagreement arose when Penn Warehousing decided to double the daily dockage fee to $1,700 in August 2021. The conservancy rejected this increase, which led to the termination of their lease in March 2022 after they continued paying the previous rate established in 2011. U.S. District Judge Anita B. Brody presided over this matter, encouraging both parties to find an amicable settlement while ultimately stating that the conservancy’s refusal to pay the new rate didn’t breach their contract.
This once-prominent ocean liner, launched in 1952, marked a significant achievement in American naval engineering and even served a dual role as a military troop transport vessel. The SS United States holds the transatlantic speed record since achieving an average speed of 36 knots (over 41 mph) on its maiden voyage, crossing the Atlantic in just three days, 10 hours, and 40 minutes—beating the RMS Queen Mary’s record by a notable margin of 10 hours.
After being designated as a reserve ship in 1969, the SS United States passed through several private owners who contemplated redevelopment plans but ultimately abandoned them due to high costs and poor timing. As a result, the once-majestic ship has languished for years in a state of neglect along the Delaware River waterfront in South Philadelphia.
