The Kauai Planning Commission has unanimously approved permits to renovate the shuttered Coco Palms Resort.
The commission voted 6-0 Tuesday to approve applications submitted by Coco Palms Hui LLC for a special management area use permit, project development use permit, variance permit and Class IV zoning permit. With the approval, the group can move forward with a full design of the project, county Planning Director Michael Dahilig said.
Hui partners Tyler Greene and Chad Waters could not be reached for comment.
"Coco Palms is certainly a very visible and historic development not only in the context of Kauai, but in Hawaii overall," Dahilig said.
With the county, state, community and developers working collaboratively on the permits, "It was a balanced approach," Dahilig added. "The permits reflect and address a myriad of concerns and also provide an opportunity of a rejuvenation of that area."
The resort shut down in 1992 due to extensive damage caused by Hurricane Iniki.
Under the approval, the investment group is required to meet a long list of conditions that address issues such as traffic mitigation, historical preservation and parking.
Traffic was a primary concern raised by the commission, and among the conditions of approval is an 18-month pilot project for shuttle service to the resort from Lihue Airport to Lydgate Beach Park, Wailua Beach and other sites within the Kapaa corridor.
Bicycles will also be offered to guests.
To help with parking, Greene said the plan is to build 30 housing units less than a block from the resort for employees, who could walk to work. "We agreed to give employees the first right of refusal for the housing units," he said during the meeting.
Forty parking stalls for the public also will be created.
Coco Palms Hui plans to renovate or rebuild 350 rooms, a drop from the resort’s original 398 rooms. Also proposed are retail shops, several restaurants, a museum and a new spa and gym.
Development costs are estimated at $135 million. Hyatt Hotels’ management will oversee the resort.
In an emailed statement, Kauai Mayor Bernard Carvalho Jr. said, "We are pleased that the commission and our agencies did their due diligence and that we now have a solid proposal. This is an important step in seeing Coco Palms redeveloped, and I hope that we will soon see the property transformed after decades of waiting."
