A 10-acre property in Southampton that holds the recently-shuttered Lobster Grille Inn is on the market for $11.5 million, with the opportunity for someone to develop waterfront town houses.

There is a preliminary variance for developing 25 luxury town houses on the site and turning the restaurant into a clubhouse, adding a waterside pool, spa, tennis courts and owner boat slips, says listing agent David Donohue of Douglas Elliman Real Estate. In addition, there are two building lots with water views where two single-family homes could be built.

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“It lends itself to 27 units in total,” Donohue says. “A variance is granted so somebody could take it in that direction if they wanted.”

A buyer could also keep the site as a restaurant and develop homes on the property.

“If someone really wanted to keep the restaurant, they would probably end up with 13 single-family residences,” Donohue says.

The owners of the Shinnecock Hills seafood shack announced over the winter that it had closed.