Dewey Beach, Del. – Dewey Beach officials have approved a conditional-use permit that paves the way for a new public parking lot on Dagsworthy Street, replacing the former Ivy Restaurant property on the bay side. The lot will be managed by Highway One, the same company that already oversees an adjacent lot nearby. The permit allows the new lot to operate around the clock, with daily cleaning requirements included as part of the agreement.
The property was previously being considered for residential development. Town officials say this shift reflects a growing need for more public infrastructure to keep up with peak-season demand. As summer crowds begin arriving, many in the area have pointed to a consistent parking shortage, especially during weekends and holidays as a strain on both traffic flow and local business access. The added lot is being welcomed as a timely improvement to support the town’s economic activity. No official timeline has been announced for construction or opening, but the approval clears the final hurdle for development to move forward.