Governor hones vision to transform Kakaako

Gov. Neil Abercrombie’s vision for an urban village in Kakaako has come into greater focus as the state Legislature advances a potential $200 million land settlement with the state Office of Hawaiian Affairs.

The early pieces are 690 Pohu­kaina, a $500 million mixed-used development project near Mother Waldron Park that would feature the tallest high-rise condominium in Hawaii, and the settlement with OHA that would transfer state-controlled land along the waterfront that Native Hawaiians could transform for residential and commercial use.

"How do you address the question of not only where should we live, but how should we live in a 21st-century context?" the governor said in an interview on Thursday, stressing that embracing urban density could help prevent sprawl.

Abercrombie, who once dismissed high-rises in the region as "kennels for the rich," sees a place where people can live, work, shop and play, relieving some of the pressure to push new development across Oahu. His hope for Kakaako is to blend luxury condos with less-expensive housing near rail transit, commercial development with small businesses and recreation with shoreline access for surfers and bodyboarders.

Small-business owners, community activists and surfers who have opposed some of the previous development projects in Kakaako, particularly along the waterfront, are concerned about the new plans.

Dexter Okada, a fish and seafood wholesale distributor who is with the Kakaako Business & Landowners Association, said that some businesses are worried that increased residential development would lead to conflicts and that redevelopment would drive property values and property taxes higher. "We’re afraid of being squeezed out of Kakaako," he said.

State Senate Majority Leader Brickwood Galu­te­ria (D, Downtown-Waikiki) said redevelopment in Kakaako will need significant buy-in from residents and businesses to be successful. "It’s got to be balanced growth. It’s got to be planned well," he said. "We’re not looking for any Riviera in Kakaako."

State Rep. Tom Brower (D, Waikiki-Ala Moana) said involving the community early in the planning will be important.

The Hawaii Community Development Authority oversees redevelopment in the area.

"The neighborhood, sometimes they’ll wait until the bulldozers begin to move rubble before they complain. But everyone believes you need to develop more in Kakaako. There’s too many empty lots," he said. "The big argument is going to be, What’s it going to look like?"

The OHA settlement is a priority for Abercrombie, one of more than a dozen initiatives the governor and his advisers are tracking as the 60-day legislative session nears its midpoint. Other priorities include a regulatory framework for an interisland power cable, criminal justice reform to free jail space and return prisoners from the mainland, watershed protection, teacher performance evaluations and replenishing the state’s rainy day and hurricane relief funds.

An improved state revenue forecast may give lawmakers more flexibility to consider some of Abercrombie’s requests. But the governor, who recognizes the pent-up demand to restore funds for state programs, is also preaching caution. "I’m not going to let myself get trapped in thinking, ‘Oh, I’m OK now. Let’s go back and make all the same mistakes we did before.’"