The City and County of Honolulu is contacting property owners along Kaahi Street in Iwilei as it moves forward in acquiring additional parcels of land for the next phase of its Kuwili Station Transit Oriented Development Area Redevelopment project.

What You Need To Know

  • The project, part of a larger plan to redevelop key areas along the still-expanding Skyline rail transit route, aims to transform the underutilized area into a mixed-use, walkable community with a focus on expanding access to affordable housing and transportation
  • The project will include new pedestrian pathways, bike lanes and street networks to improve connectivity and access to neighboring uses and nearby employment centers and to provide convenient access to multiple forms of transportation
  • The city has already acquired two major properties: the former First Hawaiian Bank property at 445 North King Street, which closed in December 2023, and Iwilei Center property at 866/850 Iwilei Road and 505 Kaaahi Street, which closed in January 2024. The Iwilei Center property alone totals approximately 167,032 square feet of land
  • Compensation for properties will be based on fair market value, as determined by an appraisal of the property

The project, part of a larger plan to redevelop key areas along the still-expanding Skyline rail transit route, aims to transform the underutilized area into a mixed-use, walkable community with a focus on expanding access to affordable housing and transportation.

The project will include new pedestrian pathways, bike lanes and street networks to improve connectivity and access to neighboring uses and nearby employment centers and to provide convenient access to multiple forms of transportation, including major roads, shared-use paths, bus lines, and the Kuwili Station located makai of the Dillingham Boulevard and Kaaahi Street intersection

According to the city, additional parcels are needed to redevelop key blocks into new affordable housing, infrastructure improvements and public amenities while also addressing environmental concerns like flooding and rising sea levels.

The city has already acquired two major properties: the former First Hawaiian Bank property at 445 North King Street, which closed in December 2023, and Iwilei Center property at 866/850 Iwilei Road and 505 Kaaahi Street, which closed in January 2024. The Iwilei Center property alone totals approximately 167,032 square feet of land.

“With the potential to deliver thousands of housing units in the heart of Honolulu, we are excited to take this next step in advancing a project that will have long-term benefits for our community,” said Kevin Auger, executive director of the Office of Housing. “These acquisitions are essential to unlocking redevelopment opportunities within the Kuwili Station TOD area, including affordable housing, multimodal connectivity, and neighborhood-serving uses envisioned in the Master Plan. We’re committed to treating property owners and tenants with respect and ensuring that everyone affected receives the information, support, and assistance they need throughout this process.”

Compensation for properties will be based on fair market value, as determined by an appraisal of the property. The city will perform and pay for the appraisal report. Property owners will be contacted in the coming weeks to schedule site inspections and will receive detailed information on the appraisal and compensation process, as well as relocation assistance where applicable.

Impacted individuals are encouraged not to relocate or sign any new lease or purchase agreements until they have received formal notification of their eligibility for relocation benefits. All affected occupants will receive a minimum of 90 days advance written notice prior to any required move.

DLM is still seeking a qualified development partner to plan, finance, design, and construct a high-density, mixed-use housing development at the Iwilei Center site to advance the City’s redevelopment efforts.

Michael Tsai covers local and state politics for Spectrum News Hawaii. He can be reached at michael.tsai@charter.com.