Hawaii AEC Network - Architecture, Engineering & Construction in Hawaii

Project Owners, Developers & General Contractors

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It’s easy for all to see that our local as well as national commercial real estate markets which peaked in about 2007 have not made a comeback yet. Many forecasters are predicting a slow recovery starting next year however it will likely take a number of years to fully recover.

That’s not stopping land owner Lanihau Properties LLC from making some progress on their planned West Hawaii Business Park. Even though the company is not ready to actually install the project’s infrastructure at this time, they are taking a first step by initiating mass grading of the first phase of the project which is slated to begin in December 2011.

According to Riley Smith, President of Lanihau, LLC, they have worked out a sort of symbiotic arrangement with West Hawaii Concrete (WHC) in which WHC will perform the mass grading of the site in exchange for the excavated rock material to be used at WHC’s batching plant, just mauka of the project. WHC will crush the rock into aggregate which they use as their raw material to make concrete. “It’s really a win-win situation for both companies” said Smith. “They get a huge supply of aggregate and we get our site excavated.”

Smith said starting this portion of the project now will allow his company to take advantage of the opportunity to initiate entitlements as well as comply with obligations agreed to with the State Land Use Commission and a County ordinance granted in 2004. He also pointed out that the development is consistent with the Kona Community Development Plan which advocates a Transient Oriented Development node at Honokohau Village.

The project is located in North Kona, mauka of Queen Kaahumanu Highway and across from Kaloko-Honokohau National Park. Kaloko Light Industrial Park which includes Costco and Home Depot as well as many other businesses is just to the north and Kealakehe Parkway is near by to the south.

The mass grading will involve drilling, blasting, excavating, processing and hauling material off site. 15.8 acres will be graded to a maximum depth of approximately 75 feet and 600,000 cubic yards of material will be removed over a period of about 4 years.

The tsunami that hit Hawaii on the morning of March 11, 2011 caused considerable damage to King Kamehameha’s Kona Beach Hotel. Charles “Chuck” Lipps of Lipps & Son General Contractor was on the job the very next day to start the recovery effort.

Lipps & Son had just recently completed a major renovation project at the hotel and was the obvious choice to head up the clean up and repair of the property. The tsunami caused heavy damage to the first floor shops and restaurant as well as the surrounding grounds.

According to Mr. Lipps, his company spent the first month cleaning up and removing all of the damaged materials and debris. The State and County had waived permitting requirements to help speed recovery and the hotel opted for a design/build contract so the contractor would not have to wait for the preparation of construction plans or design specifications. After spending March and April with the insurance company defining the scope of work and determining the cost, Lipps was ready to start the repair work.

The restaurant and kitchen have been completely gutted. The restaurant is being rebuilt with an all new look and design along with an expanded outdoor seating area. The kitchen will have all new equipment, with plumbing, and electrical upgrades. The restaurant as well as the shops and hotel lobby will have all new finishes and fixtures.

The small structures between the hotel and the shoreline are either being rebuilt or getting a thorough face lift. With respect for historical and cultural sensitivity, the wedding and luau stage which used to be near the south edge of the grounds and adjacent to the Ahu’ena Heiau, is now being rebuilt near the north edge of the grounds. Many of the lava rock walls were heavily damaged and are also being rebuilt. All new landscaping (including tiki torches) is being installed on the front and ocean / makai sides of the property. New white sand for the beach and the adjoining canoe lot has already been installed.

“We are now at full speed with about fifty people working on the project. We will have the grounds ready for the first luau by August 6 and will have all the other areas completed by September 15, in time for Iron Man" said Lipps.

Much of the work is being performed by Lipps’ own staff as well as many other tasks by subcontractors including:

Lipps & Son General Contractor is based here on the Big Island, but also works on Oahu, Maui and Kauai for Macy’s, Sunglass Hut, LensCrafters, Famous Footwear and other national retailers. 

Greg Gagnon Construction Company is building the Deronde Residence, a 3,500 square foot custom home on a 10 acre parcel of land in Kohala Ranch on the Big Island. “The project broke ground in June 2010 and is expected to be completed by March 2011” said Michael Banko, Operations Manager for the company.

The one story home with large lanai and attached garage was designed by Greg Gagnon with site design by Civil Engineer, Peter Dahlberg.

Subcontractors working on the project include; site work and grading by Stanford Kepoo of S&L Excavation, lava rock walls by Travis Nelson of Divine Rock Masonry, concrete by Randy Ramirez of Triple R Construction, plumbing by Michael Shimamoto of Red Opae Plumbing, electrical by Rod Zepeda of Zepeda Electric, flooring by Bruce Martin of Martin’s Custom Flooring and roofing by Lee Gregory of Kona Coast Roofing.

“Framing and finish carpentry will be performed by our own carpenters” said Banko. “We have assembled a really great team of subs for this project, we all work together like one big happy family.”

The company is just about finished with the grading and rock walls. “I think these are really the nicest looking rock walls in all of Kohala Ranch, very natural looking” said Dr. Tim Richards, Kahua Ranch President and General Manager. 

Palamanui, a new large scale development is being planned on the slopes of Hualalai just north and mauka of Kona International Airport.

The development will encompass 725 acres and is slated to include 1,116 single and multi-family homes, a town center with shops, restaurants and a market, a business/leisure hotel, a business park, a regional park, a dry land native forest preserve and interpretive center, as well as the first increment of the University of Hawaii, West Hawaii Center.

It has been reported that the development is being planned by local contractor Guy Lam, investment banker Charles Schwab and Hunt Development Group of El Paso, Texas.

Although many areas of the US have been experiencing very little or no activity, Hawaii's construction industry is still showing signs of life. An example is the $50 million dollar West Hawaii Civic Center recently completed by Maryl Construction for Hawaii County. The Civic Center was completed in January 2011 and is part of the 80 acre Honokohau Village development. Most County departments and services in West Hawaii will be moved to the new civic center.

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