Hawaii developers may be footing the bill to build, maintain parks in Kakaako

Hawaii developers may be footing the bill to build, maintain parks in Kakaako

Duane Shimogawa Reporter – Pacific Business News

The state agency overseeing the redevelopment of Kakaako, the so-called “Third City” of Oahu, plans to focus on developing park space and will make developers in the area pay a percentage in land or cash equivalent to build and maintain parks, according to a recent area neighborhood board meeting.

Anthony Ching, executive director of the Hawaii Community Development Authority, told the Ala Moana/Kakaako Neighborhood Board, that there is no standard set for park space, but by most accounts, the normal amount is two acres per 1,000 people.

He noted that the 77 acres of nearby Ala Moana Beach Park is not counted in that total.

The authority anticipates that 12,000 people will move into the Kakaako area in the next several years, and plans for 50 acres of open space.

If it provides more activities for more residents to take part in, the homeless may move out, said Ching, who also pointed out that the agency wants greater community outreach through neighborhood board forums in the district.

The need for more open space in Kakaako as it gains scores of condominium towers in the coming years, is one of the concerns of residents in the area.

Other issues include the need for more schools, medical services and addressing infrastructure issues.

There are 4,386 residential units under construction, permitted or pending approval in Kakaako.

Bill aimed at improving Hawaii agency overseeing Kakaako redevelopment sent to governor’s desk

A bill to "reboot" the Hawaii Community Development Authority, the state agency charged with overseeing the redevelopment of Kakaako, seen here in this file photo, has been sent to Gov. Neil Abercrombie for his signature.

A bill to “reboot” the Hawaii Community Development Authority, the state agency charged with overseeing the redevelopment of Kakaako, seen here in this file photo, has been sent to Gov. Neil Abercrombie for his signature.

Bill aimed at improving Hawaii agency overseeing Kakaako redevelopment sent to governor’s desk

Duane Shimogawa Reporter – Pacific Business News

A bill that aims to improve management, legislative oversight and public participation of the Hawaii Community Development Authority, which oversees the redevelopment of Kakaako, was sent to Gov. Neil Abercrombie on Monday.

“[ House Bill 1866] will allow us to ‘reboot’ HCDA and allow it to refocus on its mission, provide greater transparency in its operation and decision making, and allow the public to have greater input in its deliberations,” State Rep. Scott Saiki, D-McCully-Downtown, who lives in Kakaako and introduced the bill, said in a statement. “At the end of the day, it will help HCDA create a community that is more livable, more productive and that better reflects our island values, lifestyle and sensibilities.”

Dubbed by some as Oahu’s “Third City,” Kakaako, the Honolulu neighborhood sandwiched between Downtown and Waikiki, is undergoing major developments that will place thousands of new residents in more than 10 new condominium towers.

Abercrombie has the option to sign H.B. 1866 into law, veto it or allow it to become law without his signature.

Former Kaneohe Ranch CEO D’Olier turns attention to Honolulu’s Kakaako neighborhood

Former Kaneohe Ranch CEO Mitch D'Olier was the keynote speaker Monday at the 11th Annual NAIOP Hawaii Real Estate Symposium at the Hawaii Convention Center in Waikiki.

Former Kaneohe Ranch CEO Mitch D’Olier was the keynote speaker Monday at the 11th Annual NAIOP Hawaii Real Estate Symposium at the Hawaii Convention Center in Waikiki.

Former Kaneohe Ranch CEO D’Olier turns attention to Honolulu’s Kakaako neighborhood
Duane Shimogawa Reporter – Pacific Business News

Former Kaneohe Ranch CEO Mitch D’Olier has turned his attention from the Windward side of Oahu to Honolulu, with his take on the island’s so called “Third City” of Kakaako.

D’Olier, who stepped down from his position as president and CEO of both Kaneohe Ranch and the Harold K.L. Castle Foundation — which sold their Hawaii commercial real estate assets that included a majority of Kailua town for $373 million to Alexander & Baldwin — is now the chairman of both boards.

He said that while he does not mind tall buildings in Kakaako, he feels that the area could be planned out better.

“We need to urbanize the city, from Kaimuki to Pearl City,” he said to a group of more than 100 Hawaii commercial real estate stakeholders at the 11th Annual NAIOP Hawaii Real Estate Symposium held Monday at the Hawaii Convention Center in Waikiki, where D’Olier was the keynote speaker. “Think about the rail [transit] lines and take advantage of rail stops.”

He noted that the state’s Hawaii Community Development Authority, which is overseeing the redevelopment of Kakaako, should do pedestrian planning, much like the project he helped oversee in Kailua.

D’Olier, who worked in Kakaako when he was CEO of Victoria Ward Ltd., also said that he’d like to see a family-use plan in Kakaako, as well as a bike plan that utilizes government stream rights of way as bikeways rights of ways.

“Where are the kiddie parks?” he asked. “There needs to be coffee shops, soccer and basketball fields, gyms, need places for people to do recreational things.”

The former Hawaiian Airlines and Goodsill Anderson Quinn & Stifel executive, who is known to have a funny bone or two, started off his speech with the song “Reflections” by the Supremes on his iPhone, which he used to describe his current state.

“I have been blessed to have four great jobs,” D’Olier said. “But I managed to do it with the help of my teams. I stood on their shoulders.”

Building boom begins to slow down

 

The 801 South Street project on the site of the former Honolulu Advertiser Building is among the developments that are moving forward.

The 801 South Street project on the site of the former Honolulu Advertiser Building is among the developments that are moving forward.

Duane Shimogawa Reporter – Pacific Business News

With 4,386 residential units under construction, permitted or pending approval in Kakaako, the state agency overseeing the redevelopment of Honolulu’s so-called Third City is noticing a slowdown in the current condominium boom.

“You can already tell the market is slowing down,” said Hawaii Community Development Authority spokeswoman Lindsey Doi. “Developers did what they wanted to do. We can’t predict the future, but it kind of seems like we saw the peak last year. We’re thinking that was the most.”

Four residential projects totaling 1,568 units are under construction, including Alexander & Baldwin’s 341-unit Waihonua at Kewalo and OliverMcMillan’s 388-unit Symphony Honolulu.

A&B’s 467-unit The Collection and The Howard Hughes Corp.’s three condos totaling 919 units are on the list of permitted projects.

Rick Stack, A&B’s senior vice president of development, said the company has no specific timetable for construction.

“Timing will depend on a variety of factors, including achieving acceptable presales and completing the regulatory approval process,” he told PBN in an email.

Projects awaiting HCDA approval include Stanford Carr’s and Gerding Edlen’s 632-unit Keauhou Lane and Castle & Cooke’s and Kamehameha Schools’ 183-unit projects on Keawe Street.

“When it slows down, developers might want to add projects [to existing developments] or floor area for commercial projects,” Doi said. “We’re still looking at building active community areas.”

Kamehameha Schools, one of the major players in the area, says it is pleased with the progress in getting its projects moving. Its “Our Kakaako” master plan includes nearly 30 acres and nine full-block parcels with 2,750 residential units and commercial space.

“Kamehameha Schools is really thrilled with the way the community itself has sparked an entrepreneurial spirit, created a connected place, bringing different people together and bringing different opportunities,” said Paul Quintiliani, senior director of commercial real estate. “We’re thrilled to death about that.”

The Howard Hughes Corp., another major Kakaako landowner, began its transformation of Ward Centers last year into Ward Village, an urban master-planned community that will include approximately 4,000 residential units and more than 1 million square feet of retail and commercial space.

“We are excited to be part of the development taking place in Kakaako, which will benefit the state of Hawaii as a whole,” Senior Vice President of Development Nick Vanderboom told PBN in an email. “Ward Village will be part of a thriving integrated community that is environmentally sustainable, making a vibrant place where people can live, work and play.”

He noted that the Howard Hughes Corp. communicates frequently with Kamehameha Schools to ensure that their long-term plans are coordinated to create a sustainable community.

“We believe that Kamehameha Schools and their development efforts will contribute to making the Kakaako area a better place,” Vanderboom said.

But, challenges remain.

The Howard Hughes Corp., for example, points out that it is in a rare and fortunate position of having 60 acres of land in its master plan, which has a deep and distinct cultural history.

“We are committed to creating a place that breathes new life into the area while also continuing to pay homage to its history,” Vanderboom said. “With that, we have worked closely with the recognized cultural descendants of the area and our cultural advisers to rise to that challenge and ensure that Ward Village is designed and developed to exist in harmony with the cultural heritage and history of this area.”

Kamehameha Schools is in a similar position as a major landowner in Kakaako.

“There are lots of challenges, millions of square feet of improvements, regulatory challenges, community concerns,” Quintiliani said. “For us, it’s just to continue to remind ourselves why we are doing this and staying true to that vision. We want a vibrant, connected, beautiful community that acts as a place for innovation. That’s what we’re working towards.”

Think Howard Hughes Corp. is Kakaako’s largest landowner? Guess again

Sep 6, 2013, 12:52pm HST

Duane Shimogawa  |  Reporter- Pacific Business News

Who owns the most land in Kakaako? If you answered Dallas-based The Howard Hughes Corp. or Kamehameha Schools, you’d be dead wrong.

Nearly 200 small landiowners own the majority of the land in Honolulu's Kakaako neighborhood, which is undergoing a major redevelopment.

Nearly 200 small landiowners own the majority of the land in Honolulu’s Kakaako neighborhood, which is undergoing a major redevelopment.

I actually thought the same thing, too.

Instead, there are nearly 200 small landowners, mostly industrial-type businesses, that own about 20 percent of Kakaako.

By comparison, Howard Hughes Corp. (NYSE: HHC) owns 19 percent and Kamehameha Schools owns 17 percent of land in Kakaako.

And with the major redevelopment of Kakaako into the “Third City” on the horizon, with some 17 or so high-rise condominiums planned, these small landowners are facing a bit of a quandary — do they sell, stay or even a better question, how much will it take for them to sell?

Most owners I spoke with say that they’re not willing to sell and would like to be in Kakaako through its redevelopment stage.

Some will change their business models to include more services that are needed by some of the new residents to the area.

Besides these landowners, which also occupy their spaces with their businesses, there are also tenants who lease their spaces.

Take, for instance, Linda Kano, owner of Interior Showplace Ltd. at 956 Queen St., whose lease is up next year with The Howard Hughes Corp., which owns the land and building in which she runs her business.

She told PBN that her lease will be renewed for at least another five years.

After being in business for 35 years and at the same location for a little more than a decade, Kano feels that change is inevitable and that it will make the entire area very different.

In her case, she hopes to stay in Kakaako, but not so much so she can cater to the new residents, since her firm caters more to businesses.

“We go to customers,” Kano said. “I have to have a showroom, but don’t cater to residents.”

Nearly 200 small land owners own the majority of the land in Honolulu’s Kakaako neighborhood, which is undergoing a major redevelopment.

Hawaii lawmakers to discuss Kakaako condo plans with area residents

May 28, 2013, 7:11am HST
Staff Pacific Business News

Residents of Honolulu’s Kakaako neighborhood concerned about the plans to add high-rises that exceed the current height limit will meet with Hawaii lawmakers Thursday at the state Capitol.

KITV reports Rep. Scott Saiki, D-McCully-Downtown, who lives in Kakaako, is one of the coordinators of the meeting, along with Reps. Tom Brower, D-Waikiki-Ala Moana, and Karl Rhoads, Kalihi-Chinatown; Sens. Suzanne Chun-Oakland, D-Liliha-Downtown, and Brickwood Galuteria, D-Waikiki-Moiliili, and City Councilwoman Carol Fukunaga.

KITV reports Saiki said the public is frustrated because plans for the area dubbed “The Third City” are changing and says the public isn’t being given enough information.

The Hawaii Community Development Authority, which is charged with overseeing development in Kakaako, in December selected Forest City Hawaii to develop the 690 Pohukaina project, which may include a 650-foot tower.

The agency is scheduled to hear proposals next month from the Howard Hughes Corp. (NYSE: HHC), which last week announced plans for three condominium towers in the first phase of its Ward Village master plan, and from Alexander & Baldwin (NYSE: ALEX) which plans to acquire the site of the former CompUSA building from Kamehameha Schools and build a condo tower there.

Company Disclaimer: Information is deemed reliable but not guaranteed.