One Rehoboth Project to Begin in September

January 8, 2026

Contact: Brooke Thaler, Communications Manager 302-227-6181 ext. 522

One Rehoboth will resume demolition and construction in September 2026, representatives from Onix Group told City officials this week. The timing follows approval of the project’s final amendment in December and reflects additional necessary planning after the former Sirocco Hotel was demolished.

That work revealed unknowns related to the foundations of neighboring properties, prompting adjustments to the project design. As a result, the development team elected to delay demolition until after the height of the 2026 summer season, a schedule intended to minimize disruption and give the project the best chance to miss only one summer season during construction.

“The City of Rehoboth Beach supports the decision to start demo and construction on One Rehoboth in September 2026,” says City Manager Taylour Tedder. “This gives our businesses, residents and visitors the summer season without additional fencing, detours and construction; and allows work to begin immediately after the height of the summer season. Instead of two summers being impacted, which would be the case if the project started now, it will just be one.”

The project is expected to take 18-19 months, and the plan is to have work completed in Spring 2028. Tenants of the existing buildings will now have the opportunity to stay open this summer before demo begins. Developers will add more signage to the site so passersby are aware, and the property will remain properly secured.

The demo permit will be extended by the City, for work to begin in September.

About One Rehoboth

The commercial building, situated on the boardwalk between Rehoboth and Baltimore Avenues, will encompass four above-ground stories, three to be utilized as a hotel and the bottom floor as retail and restaurant space, as well as underground parking. The hotel will have 60 rooms. The owner-applicant for this project is One Rehoboth Avenue LLC, a partnership between Grotto Pizza and Onix Group, a Pennsylvania-based real estate development company. The original plan for the hotel was approved in January 2025.

For media requests directed to Onix, please contact: Jonathan Silver Jonathan.silver@onixgroup.com