PHILADELPHIA — The organization responsible for the preservation of the famed though deteriorating ocean liner has reached an agreement with its landlord, settling a long-standing rent conflict. This resolution paves the way for officials in a Florida county to transform the historic SS United States into the world’s largest artificial reef.
In June, a federal judge had mandated that the SS United States Conservancy submit a plan to relocate the iconic 1,000-foot-long vessel by September 12. However, that deadline passed as the conservancy contended in a lawsuit that Penn Warehousing was undermining its endeavors to sell the ship.
Earlier this month, the conservancy announced a preliminary agreement with Okaloosa County, located along Florida’s Panhandle, contingent on resolving the rent dispute through court-ordered mediation. The conclusion of this dispute was communicated on Friday.
On Saturday, conservancy and county representatives convened at the pier in Philadelphia, where the ship is docked, for a ceremonial transfer of title. Nevertheless, the arrangement with Okaloosa County still requires final endorsement from a federal judge.
The officials from Okaloosa County intend to sink the vessel, creating a unique diving site that advocates believe will add to the county’s existing collection of over 500 artificial reefs. This project is estimated to bring substantial economic benefits, potentially generating millions in annual tourism revenue for local diving shops, charter companies, and hotels.
In his farewell to the vessel, conservancy board member Thomas Watkins expressed, “You will not be lost, you will not be forgotten, you will no longer be neglected and abused. You will be rightly honored, cherished, and loved in a new home and in a new dimension. While you may no longer sail the seas, you will be surrounded by them.”
The transaction to acquire the ship is projected to exceed $10 million. The comprehensive process of removing, transporting, and ultimately sinking the vessel is expected to span at least 1.5 years.
The rent dispute originated from Penn Warehousing’s decision in August 2021 to increase the ship’s daily docking fee from $850 to $1,700, a hike the conservancy contested. The company argued it needed the berth available for commercial use to bring jobs and tax revenue to the city. When the conservancy opted to continue payments at the original rate established in 2011, Penn Warehousing terminated their lease in March 2022.
After extensive legal disputes, U.S. District Judge Anita B. Brody held a trial in January but encouraged both parties to come to a mutual agreement instead of awaiting her ruling. Ultimately, she concluded that the conservancy’s refusal to pay the revised rate did not constitute a breach of contract or justify damages to Penn Warehousing. However, she indicated that, according to Pennsylvania law, the berthing agreement was terminable with appropriate notice.
The SS United States, launched in 1952, was heralded as a marvel of American engineering and served as a troop transport ship capable of carrying thousands. During its initial journey, it set the transatlantic speed record in both directions, averaging speeds of 36 knots, or over 41 mph, crossing the Atlantic in just under 3 days and 11 hours, eclipsing the RMS Queen Mary’s record by 10 hours. This accomplishment still stands, securing the SS United States’ reputation as the fastest ocean liner ever.
The vessel was taken out of regular service in 1969 and changed hands multiple times among private owners who envisioned its redevelopment. Unfortunately, their plans proved too costly or poorly timed, resulting in the ship remaining dormant for years along Philadelphia’s Delaware River waterfront.