Eleven years ago, when developer Honey Bee USA Inc. was picked to lease and improve two parcels at Ala Wai Small Boat Harbor, the state was being criticized for many years of inadequate repair and maintenance of boat harbors.
Its move then toward a public-private partnership in shoreline commercial development was a reasonable approach — amid an economic downturn — to generate funds to pay for long-overdue upkeep at a state boating facility, while sparing boaters potentially drastic increases in mooring fees.
Now, despite Honey Bee’s flat-out failure to execute even the bare bones of a makeover, the private-public concept still holds promise. It’s encouraging that the state is again soliciting developers to revitalize
11 acres at the run-down site.
The state had been mulling whether to launch a second round of competitive bidding since 2016, when Honey Bee’s lease was voided following a bankruptcy proceeding. The surrendered property left harbor users with a lingering construction site — and without a fuel dock and a boat repair facility, both demolished to make way for envisioned development.
With new bidding subject to approval by the state Department of Land and Natural Resources’ board, site transformation is likely years down the road. In the meantime, DLNR should not allow further deterioration of this prime Waikiki-gateway site.
For starters, it should provide at least stop-gap replacement of the gas dock and boat maintenance area. That’s a justifiable priority for harbor tenants — primarily recreational sailors and boaters attached to 752 berths.
In 2011, when the Legislature approved a zoning waiver that enabled Honey Bee to secure a 65-year lease from DLNR to improve parcels widely regarded as underused, there were high hopes that the project would give rise to a lively venue for residents and visitors in three stories of commercial space.
Now on the table: a lease for up to 55 years, and construction of mixed-use development, which could include restaurants and retail, residential units and hotels, and various other magnets. Among the unofficial developer ideas offered up so far: a “simulated experience” staged in a movie theater, similar to virtual rides at Universal Studios and Disneyland; and a large-scale Ferris wheel that could be modeled after the 175-foot-tall Seattle Great Wheel.
Such attractions could yield a lot of ticket sales, which, in turn, could yield harbor upgrades. But before signing off on any high-visibility moneymaker, DLNR, in tandem with the community, must weigh whether it enhances or dilutes Hawaii’s distinctive sense of place — the islands’ main attraction for many visitors.
Since Honey Bee’s exit, nearly 30 different parties have expressed interest in the redevelopment opportunity. While some are offering up dazzling visions, DLNR must remain tethered to maximizing revenues without short-changing its own mission, which is to “enhance, protect, conserve and manage Hawaii’s … natural, cultural and historic resources.”
DLNR is rightly directing bidders to fold into consideration community feedback on the harbor’s future. An agency-commissioned report, based on comments gathered at public meetings and written testimony, found almost total opposition to housing and hotel uses. It also said most commentators want buildings no higher than two stories.
As the state agency and its board analyze options, they should reject any that diminish the harbor’s boating mission. Instead, carefully consider proposals for a low-rise, Hawaii-focused space that holds realistic potential to reap rental income that will pay for much-needed upgrades at harbors across the state.
