Foodland Farms lease at Ala Moana Center tops $24M

Foodland Super Market Ltd. has signed a lease with General Growth Properties calling for it to pay $24.3 million over an initial 20-year term for what will be its largest store in Hawaii — a 47,395-square-foot Foodland Farms store at Ala Moana Center.

The lease, which is scheduled to expire on June 30, 2036, with extensions for four successive periods of five years each, is for Foodland Farms’ new flagship store that will include The Coffee Bean & Tea Leaf, R. Field Wine Co., a Foodland Pharmacy and an in-store bank.

The old 18,500-square-foot Foodland grocery store on the street level of the mall — one of Ala Moana Center’s original tenants when it first opened in 1959 — closed in 2014 after company executives decided to not renew their lease for the space.

Honolulu general contractor Albert C. Kobayashi Inc. has started construction on the new store, which is located beneath the 185,000-square-foot newly-repositioned Nordstrom department store that recently opened in the mall’s Ewa Wing on Piikoi Street. It is scheduled to open later this year.

The new store will be more than twice as large as its original location, near the Ala Moana Center post office, and be the largest Foodland location in the state.

The store is part of mall majority owner General Growth Properties Inc.’s $573 million expansion project to redevelop a former Sears department store into an expanded three-level retail area with 650,000-square-feet of new retailers, including a 167,000-square-foot Bloomingdale’s department store.

Pacific Business News

Alexander & Baldwin taps Honolulu firm to handle leasing for ‘The Collection’

This rendering shows The Collection, A&B Properties' planned 466-unit mixed-use condominium project it plans to build on the former CompUSA site in Honolulu's Kakaako neighborhood.

This rendering shows The Collection, A&B Properties’ planned 466-unit mixed-use condominium project it plans to build on the former CompUSA site in Honolulu’s Kakaako neighborhood.

Alexander & Baldwin Inc.’s subsidiary has tapped Honolulu-based Beall Corp. to lease out the ground floor commercial spaces of its 465-unit The Collection mixed-use project in Kakaako, Beall Corp. confirmed to PBN this week.

The Collection, which is next to Kamehameha Schools’ Salt at “Our Kakaako” 85,000-square-foot restaurant and retail complex, has ground floor commercial space totaling 12,022 square feet.

Beall Corp. said that with eight planned new high-rises within a half-mile radius and three currently under construction, retailers will have access to a captive audience of local residents and visitors.

Located at 600 Ala Moana Blvd. on the site of the former CompUSA store, The Collection consists of a 43-story condominium with 397 units, a four-story building that houses 54 loft-style units and 14 three-bedroom townhomes.

Construction on Honolulu-based A&B Properties Inc.’s $200 million project began about a year ago, and is scheduled to be completed by late 2016.

Duane Shimogawa
Pacific Business News

Honolulu development firm buys Kakaako property for its headquarters

Phillip Hasha of Redmont Group LLC. The Honolulu-based commercial real estate development

Phillip Hasha of Redmont Group LLC. The Honolulu-based commercial real estate development

Redmont Group has purchased property in Kakaako, the fast-growing Honolulu neighborhood where the commercial real estate developer is headquartered and where the firm plans to focus most of its resources, including designing, building, managing and investing in projects, the company’s executives told PBN.

The firm, which has ties to Birmingham, Alabama, and Auburn University, where some of its top executives used to live and go to school, bought the leasehold interest at 814 Ilaniwai St. for $190,000 from Honolulu-based Shopping Services of Hawaii Inc.

The two-story 6,000-square-foot building sits on a 5,000-square-foot parcel of land owned by Honolulu-based 814 Ilaniwai LLC, which lists Kaye Kawahara and Carolyn Shiraki tenancy by entirety as its managing member.

The property has a total assessed value of about $1 million, property records show.

Phillip Hasha, principal and chief operating officer of Redmont Group, told PBN that the three-year-old company, which has 10 employees, will eventually spruce up its new headquarters.

Before moving to Kakaako on April 1, its headquarters was located in Downtown Honolulu at the Harbor Square mixed-use tower.

“Hawaii is our focus but we still will invest elsewhere,” Hasha said, noting that it recently sold an apartment complex in Birmingham, with the proceeds from that sale to go towards investing more in Hawaii. “We are urban developers that are focusing on Kakaako and the airport area.”

One of its current projects is the new Acura dealership property near the airport, which will be an adaptive re-use project to the tune of about $6 million.

“We’re constantly looking for industrial properties to do adaptive re-use projects,” Hasha said. “We’re only scratching the surface.”

The founders of Redmont Group — Hasha, Ryan Takaki and Brad Wardlaw — all attended the Auburn University real estate developers program, where they met.

“It’s a privilege to live in Hawaii and we know how serious it is to develop in Hawaii,” said Thomas Rubel, president of Redmont Construction, a division of Redmont Group. “Everything we do is looking through the lens of how we are changing Hawaii.”

Duane Shimogawa
Pacific Business News