The proposed development was refused because of access issues
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Plans for a marina within a canal-side village in West Sussex have been turned down by councillors.
Adur District Council said it supported the regeneration of Shoreham Harbour but the plans needed to include more than one access route for traffic.
It was the third time Shoreham Port Authority's proposals were considered.
Rod Johnstone, chief executive of the authority, said he was "very disappointed" with the decision and its board may choose to appeal against it.
The proposed development, which would have had two marinas and a colonnaded courtyard, would have created 1,000 new jobs.