C7AW - Sponsor Adidas Athx Games

Resolutions - C7 AW

C7 AW A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING THE ADMINISTRATION TO NEGOTIATE AND FINALIZE A SPECIAL EVENT SPONSORSHIP IN AN AMOUNT NOT TO EXCEED $600,000 WITH BREAKWATER HOSPITALITY GROUP (“BREAKWATER”) FOR ADIDAS ATHX GAMES AND THE CITY AS PART OF MIAMI BEACH FITNESS WEEK IN MARCH 2026 AS APPROVED BY THE CITY COMMISSION VIA RESOLUTION 2024-33198 DIRECTING THE ADMINISTRATION TO ENGAGE WITH RELEVANT VENDORS TO BRING A FITNESS FESTIVAL TO THE CITY IN MARCH 2026 WITH FUNDING ALLOCATED DURING THE FY 2025 AND FY 2026 BUDGET PROCESS; AND FURTHER AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE THE SPONSORSHIP AGREEMENT. Applicable Area:

COMMISSION MEMORANDUM

RECOMMENDATION

Adopt the Resolution.

BACKGROUND/HISTORY

Historically, the month of March has been a period when the increased impact of visitors placed added stress on Citywide services, as well as on residents who live in and around the Art Deco Cultural District (ACDC). This period is defined as high-impact and spans a seven-week period, including the month of March and the first two weeks of April. Within the seven weeks, the second and third weekends in March have been identified as having the highest number of visitors and incidents. During this period, the Miami Beach Police, Fire, Code Compliance, and Sanitation departments have enhanced staffing in the ADCD area.

In March 2023, the City programmed the month of March with fitness and cultural activations under the Miami Beach Live initiative, a City-sponsored program directed by the City Commission via Resolution No. 2022-32363, to engage with and contract various event producers and provide special event sponsorship incentives for Miami Beach Live.

The theme of fitness was the focus of the month-long program aimed at replicating the impact that the Arts economy has on Miami Beach during Art Week Miami Beach. The connection between cultural and sporting activities as key drivers of economic impact, attracting visitors, and generating income served as a programming blueprint.

Fitness Festival in March On April 3, 2024, at the request of Commissioner David Suarez, the Mayor and City Commission referred a discussion item (C4 J) to the Finance and Economic Resiliency Committee (FERC), regarding a Fitness Festival (the Festival) in March 2025 or 2026. The referral memorandum recommended the Administration to engage prominent fitness organizations, television programs, and brands such as CrossFit, American Ninja Warrior, Hyrox and RedBull to explore potential

collaborations. The inclusion of such entities would potentially elevate the Festival’s profile, attract high-caliber participants and spectators, and enhance the overall experience for attendees.

At the June 28, 2024, FERC meeting, staff presented initial research into the feasibility of programming for a Fitness Festival in March 2025. The Administration recommended focusing discussions on the production of a fitness event for March 2026. The FERC passed a favorable recommendation for the City Commission to direct the Administration to negotiate with the relevant vendors to bring the Festival during March 2026 and to make a budget priority during the FY 2025 and FY 2026 budget process.

On July 12, 2024, at the FERC Budget Workshop, the Committee recommended a fitness festival activation in March 2026 for $ 1.4 million. The funding would be allocated from the existing Large-Scale Community Events budget ($606,000). The Administration would set aside $500,000 allocated annually in FY 2025 and FY 2026 for $ 1.0 million from the Large-Scale Community Events budget. The remaining $400,000 would be identified through sponsorship or the FY 2026 budget development process.

At the July 24, 2024, City Commission meeting, the Mayor and City Commission accepted the favorable recommendation from the Finance and Economic Resiliency Committee at its June 28, 2024, meeting, via Resolution 2024-33198 attached, and directed the Administration to proceed to engage with the relevant vendors to bring a Fitness Festival during March 2026 and to make a budget priority during the FY 2025 and FY 2026 -budget process.

Subsequent to the City Commission meeting Staff engaged the event organizers behind two major fitness events, TYR Wodapalooza and HYROX, to activate the second and third weekends in March in the Lummus Park beachfront. Having both events on back-to-back weekends allows for the creation of a “Fitness Week,” in Miami Beach.

ANALYSIS

HYROX Update: On October 30, 2025, a representative from Breakwater Hospitality Group (Breakwater), the local event producer for HYROX North America, Inc., informed the City that HYROX has accepted the Miami Beach Convention Center’s offer to host their event indoors on a date that better aligns with their tour schedule. Since then, the Breakwater team has worked diligently to secure a comparable large-scale global fitness event to program for the third weekend in March 19-22, 2026, and has successfully identified and secured the Adidas ATHX Games.

Adidas ATHX Games: Adidas ATHX (ATHX) is a 2.5-hour continuous fitness competition held across six zones, each featuring a designated challenge intended to test a different dimension of athletic performance. The series, which originated in Europe and now comprises more than 15 events, will use Miami Beach as its first entry point into the U.S. market.

Breakwater has established a partnership with ATHX and will serve as their local production and promotion agency. Breakwater is proposing that the Adidas ATHX Games event utilize the same general footprint originally planned for HYROX in the Lummus Park beachfront, between 10 and 13 Streets. The ATHX footprint would be approximately 50,000 square feet, similar to the March 2023 HYROX activation. In addition, Breakwater is requesting the special event sponsorship in the same amount as had been approved for HYROX, not to exceed $600,000, and waivers of square footage fees and relevant city services support.

Currently, there is special event sponsorship funding in the amount of $600,000 in the FY 2026 budget, approved by the Mayor and Commission for the Administration to incentivize a large- scale fitness event for March 2026.

FISCAL IMPACT STATEMENT

The fiscal impact to incentivize Breakwater / Adidas ATHX for March 2026 is in an amount of $600,000 that was allocated from FY 2025 and FY 2026 budget process via Resolution 2024- 33198

Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY)

If applicable, the Business Impact Estimate (BIE) was published on: See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meeting-notices/

FINANCIAL INFORMATION

B udget code is 160-0380-000349-25-406-548-00-00-00-

CONCLUSION

The Administration recommends moving forward to negotiate and finalize a special event sponsorship agreement in the amount not to exceed $600,000 with Breakwater Hospitality Group for the Adidas ATHX Games and the City as part of Miami Beach Fitness Week in March 2026 as approved by the City Commission via Resolution 2024-33198 directing the Administration to engage with relevant vendors to bring a fitness festival to the City in March 2026, with special event sponsorship funding currently approved and allocated in the FY 2025 and FY 2026 budgets.

Applicable Area

South Beach

Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No

If so, specify the name of lobbyist(s) and principal(s):

Department

Tourism and Culture

Sponsor(s)

Commissioner David Suarez

Co-sponsor(s)

Condensed Title

Approve Sponsorship Agmt w/ Breakwater/Adidas ATHX, MB Fitness Week in March 2026. (Suarez) TC