Group's bid to to preserve Lahaina land heads back to County Council

Group's bid to to preserve Lahaina land heads back to County Council

The Maui News
Sunday, March 10, 2002

By VALERIE MONSON
Staff Writer

WAILUKU - Leaders of a nonprofit organization set up to buy out the developers of a proposed shopping center next to Moku'ula in Lahaina will resume their appeal for a $500,000 grant before the Maui County Council's Budget Committee Tuesday afternoon.

The West Maui Heritage Foundation, which received its nonprofit status earlier this year, needs $3.9 million to purchase the property where JDI Limited has approvals to construct Harbor Village, an 18,352-square-foot commercial center.

The property adjoins a county public parking lot across from King Kamehameha III school. The foundation also wants a long-term lease on the county parking lot to raise revenues to help pay off the debt.

The Budget Committee meeting begins at 1:30 p.m. on the eighth floor of the Kalana O Maui building.

Peter McKenney, president of the foundation, appeared before the budget panel two weeks ago, but the item was deferred to give the committee more time to study the plan.

The break also gave McKenney a chance to sit down with Lahaina residents who say they want to support the concept, but still have questions about the new group and its intentions.

"All we want to do is to be able to preserve the land," said McKenney in an interview.

Even though JDI (Just Do It) has received the necessary approvals from the Maui County Council and other county commissions over the past several years, there has been a growing wave of community opposition to the project because of its location next to Moku'ula, a historic home of Hawaiian royalty.

Responding to the community objections, Mayor James "Kimo" Apana last summer recommended that a nonprofit organization apply for a $4 million loan guaranteed by the Department of Agriculture (USDA) to take over the property. He said also suggested that the group might work out an arrangement to turn existing free parking spaces at an adjoining county lot into paid stalls to pay back the loan.

Apana added that he would like to see control of the land eventually wind up in the hands of The Friends of Moku'ula, the nonprofit organization that's in the process of restoring the sacred site next door.

The owners of JDI agreed to give the community a chance to respond to the mayor's idea, and that's when the West Maui Heritage Foundation stepped forward, offering to tackle the logistics of raising the money with the promise of keeping the property open.

But somewhere along the line, a failure of communication took place, leaving the Lahaina community split over whether to rally behind the foundation's buyout plans.

A key fear was that the organization might have trouble paying back the loan, and be forced to develop all or part of the site.

"We have to be assured of what's going to happen because we're making a big investment of our own," said Akoni Akana, executive director of Friends of Moku'ula. "We don't want the (Harbor Village) development, but we don't know what the West Maui Heritage Foundation is going to do, either. They have to let us know what they're going to do and then let's form an agreement.

"We need to continue our dialogues and work out these concerns before we can throw our support behind them."

McKenney and Don Malcolm, the retired president of the Maui Economic Development Board and a member of the heritage foundation board, have heard the development rumors, too. They insist such a thing will never happen.

"We want to get this land and keep it in the nondevelopment stage until the Friends of Moku'ula are ready to include it in their plans," said Malcolm. "Our No. 1 commitment is to keep the land open."

Steve Gatchell, one of the owners of JDI, said that while the company has been in talks with McKenney and the nonprofit, it's also in the process of completing its construction drawings.

"We would very much like to build and we are proceeding as if we are going to build," said Gatchell. "We did tell the county that we would work with them or a private nonprofit group - and they've been working in good faith and we've been working in good faith. If something happens, fine. They (West Maui Heritage Foundation) are a good group of people."

Gatchell didn't want to say anything more on the buy-out simply because "it's really not far enough along to comment further."

The West Maui Heritage Foundation was created to purchase certain properties in the Lahaina area for preservation, including the Harbor Village site and the abandoned cane fields between Kauaula Stream and Lahainaluna Road. McKenney said although the group only recently obtained nonprofit status, it actually has been around for two years.

The board of directors consists of Roy Sakamoto, Jeanne Skog, Wes Nohara, McKenney and Malcolm.

McKenney is a relative newcomer in community affairs, but he's no stranger to West Maui. A longtime part-time resident and retired broker, he moved here permanently three years ago and remains involved in real estate and property management. His wife of 40 years is the former Luanna Farden, the niece of singing legend Irmgard Farden Aluli. Luanna was a member of Puamana, the famous family quartet founded by her aunt, and is as enthusiastic as her husband about preserving the land next to Moku'ula.

Keoki Freeland, executive director of the Lahaina Restoration Foundation, said he has faith in McKenney and the Heritage Foundation.

"Definitely, they have good intentions," said Freeland. "All the answers are not answered yet - in reality they can't be because it's a long, drawn-out process."

Freeland said his board of directors backs the West Maui Heritage Foundation "100 percent, as long as they don't vary from those (original) intentions." Should those plans change, the restoration foundation would have to reconsider its support, he said.

"We are very happy the West Maui Heritage Foundation made this proposal," she said. "We support anybody who is trying to preserve our treasures of Lahaina."

McKenney said the $500,000 county grant is needed to match a similar amount from private foundations. When that money is secured, the group will ask the USDA for a $3 million loan.

"This is a cooperative thing," said McKenney. "The mayor has played a huge part in implementing this unique and creative partnership. The JDI developers have been very cooperative."

If successful, the West Maui Heritage Foundation would buy the property from JDI and obtain a long-term lease from the county to charge for parking at the public lot on the corner of Prison and Front streets. That would also require permission from the state because the county has operated the lot via an executive order.

Malcolm, like McKenney, hopes all the misunderstandings will soon be put to rest.

"The community has been saying they want to make sure the (Harbor Village) land is saved," said Malcolm. "And we're dedicated to that."