It was good to learn that the state wants to compromise on raising the rents for farm and residential tenants of Waiahole Valley on Oahu’s Windward side, the lush farming region famous for its locally grown kalo.

The original proposal to raise ground rents by 560% — after years of abnormally low rents with little or no increases — gave some tenants sticker shock and raised fears of eviction.

The increase was deemed necessary to maintain and repair worn-out infrastructure, which has been costing the state $1.1 million a year. It’s only fair that the tenants should help cover more of those costs. Besides, even with the increase, rents would still be about 50% below market rates, the state argued.

It seems clear that a compromise was needed. To that end, the Hawaii Housing Finance and Development Corp. (HHFDC), which owns the land, now proposes much smaller rent increases.

For farms, the current rent is $100 a year per acre, plus $500 a year for a residence occupying up to 7,500 square feet of land. The new rent would go up 100% for the farming area and 230% for the residential area, as opposed to a general 560% hike.

The new deal also comes with an important requirement — that farm tenants submit production reports to the HHFDC to confirm they are actively farming the land. Those who aren’t should expect rent increases.

This is in keeping with the state’s mission to keep the valley in productive agriculture, the reason it bought the property from developers who wanted to fill it with suburban homes.

The tenants of HHFDC’s 60 residential lots currently pay just $600 a year for their ground lease, plus 35 cents per square foot for lot area beyond 7,500 square feet. HHFDC proposes more moderate reductions from the original proposal, which would have increased the annual base to $3,960 a year.

Certainly there is room for negotiation, as what’s reasonable depends on each tenant’s financial situation. But there’s a deadline for reaching an agreement: July 1 for residential lots, Aug. 1 for farm lots.

Otherwise, it could go to arbitration, which could force an unwanted solution on at least one of the parties.

It would be best for tenants and HHFDC to find common ground and restore peace in the valley.