Councilor urges Front Street land purchase

Councilor urges Front Street land purchase

The Maui News
Wednesday, March 13, 2002

By VALERIE MONSON
Staff Writer

WAILUKU — Because of growing concerns about a nonprofit organization’s plans to buy out a proposed shopping center on Front Street, County Council Member Riki Hokama is suggesting the county purchase the land.

Hokama, the council Budget Committee chairman, asked Finance Director Wesley Lo on Tuesday to “look at the possibilities” of the county swinging a deal to buy the Harbor Village commercial center from JDI Limited.

The owners of JDI have been cooperating with a bid by the nonprofit West Maui Heritage Foundation to buy the land for $3.9 million.

Hokama’s comments came after foundation representatives appeared before the Budget Committee on a request for a $500,000 grant as a portion of a down payment on the purchase.

Peter McKenney, president of the foundation, acknowledged, “There have been some concerns (from the public) that, frankly, surprised us,” and the organization needs time to smooth out those problems.

The Harbor Village site is next to Moku‘ula, a historic home of Hawaiian royalty that’s being restored by the Friends of Moku‘ula.

JDI has received the necessary permits to build the commercial center and the developers say they have not abandoned their plans. But they also have been cooperating with McKenney and his group on the effort to purchase the property with grants and a loan from the U.S. Department of Agriculture. Once the land has been secured, McKenney said it would be kept as parking and open space until the Friends of Moku‘ula could include it in their plans.

Since the developers continue to move ahead, McKenney said timing was of the essence for the grant, which would be used to match $500,000 committed by private foundations. Following that, a loan of $3 million would be sought from USDA.

“We can’t spend too long doing this or this opportunity will go away,” said McKenney, adding that the buyout was “already in jeopardy” because of unexpected delays.

Committee members asked him to understand the reasons for questions from lawmakers and community concerns.

“You’re asking the county to ante up quite a bit of resources to secure this property,” said Hokama.

“We need to make sure things are done with inclusiveness and not just moving forward with a sense of urgency,” said Kane.

McKenney agreed that his group would continue talking with other community organizations that have expressed concerns about the plans and the ability of the new nonprofit to take on the debt.

While the request was deferred, Hokama asked Lo to research and return to the committee with numbers to determine if the county could purchase the land.