The SS United States, a historic ocean liner that still holds the transatlantic speed record it set over 70 years ago, is facing a rent dispute that could force it out of its berth on the Delaware River in Philadelphia. The conservancy overseeing the ship and its landlord, Penn Warehousing, are heading to mediation to resolve the issue. A federal judge had previously set a deadline for the conservancy to present plans to move the vessel, but the deadline was missed after the conservancy filed a lawsuit accusing Penn Warehousing of sabotaging its efforts to sell the ship. The conservancy has requested an extension to the plan deadline, which U.S. District Judge Anita B. Brody has agreed to suspend for now.
The conservancy has been in talks with a Florida county to acquire the ship and turn it into the largest artificial reef in the world. However, Penn Warehousing asked the county for a $3 million payment to stay past the deadline, putting these plans on hold. The rent dispute began when Penn Warehousing doubled the ship’s daily dockage fee in 2021, which the conservancy refused to accept. The firm wants to replace the ship with a commercial customer to provide jobs and tax revenues to the city. Despite legal proceedings, Judge Brody ruled that the conservancy’s failure to pay the new rate did not breach the contract but found that the berthing agreement is terminable at will with reasonable notice under Pennsylvania contract law.
The SS United States was christened in 1952 and was once considered an American engineering marvel, doubling as a military vessel. It set the transatlantic speed record on its maiden voyage by crossing the Atlantic in three days, 10 hours, and 40 minutes. The ship has held this record for over seven decades. Since becoming a reserve ship in 1969, the SS United States has changed hands among private owners who had ambitious but costly redevelopment plans that did not come to fruition. It has been a prominent feature on Philadelphia’s Delaware waterfront for many years.
The mediation process between the conservancy and Penn Warehousing has not yet been scheduled, and the conservancy has expressed willingness to resolve the dispute and relocate the vessel safely. The attorney for Penn Warehousing described the $3 million payment request as part of negotiation tactics and a starting point for discussions. The stalemate over the rent increase and subsequent lease termination in March 2022 has led to legal battles, with Judge Brody urging the parties to reach a settlement. The future of the SS United States remains uncertain as both sides navigate the complexities of the rent dispute while honoring the ship’s historical significance and potential for preservation as an artificial reef.
