Kauai developer goes public

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By Russ Lynch
rlynch@starbulletin.com

A Kauai real estate developer that specializes in installing factory-built homes on lots has gone public through a reverse acquisition with a publicly held company.

Kinaole Development Corp., which has six houses under way in five separate projects on Kauai, technically was acquired by TMI Holdings Inc., a Florida corporation that trades on the over-the-counter "pink sheets" system as TMIO.

Mike Sessions, chief executive of Kinaole Development and now also CEO of TMI Holdings, said the merger into a "shell" corporation was a way of positioning Kinaole to raise capital.

Kinaole is receiving homes from the Quality Homes factory in the Campbell Industrial Park on Oahu and is beginning to assemble them on Kauai lots, Sessions said.

John Meyers, chief operating officer of Kinaole and now of TMI, was for a time president of Hawaiian Palisade Development, the Kauai arm of now-bankrupt Hawaiian Palisade Homes. There is no longer any connection with Hawaiian Palisade, Sessions said, and that company did not deliver any homes to Kauai.

Kinaole is in talks to purchase larger tracts of land for development on Kauai.