City approves
land negotiation plan

Luana Hills deal frees
construction budget
for Council vote

By Gordon Y.K. Pang
Star-Bulletin

A compromise reached on the future of the Luana Hills Country Club in Maunawili Valley has helped clear the city's $581 million capital improvements budget for a City Council vote next week. The agreement, however, does not resolve the question of development on the controversial site.

Members of the budget committee yesterday unanimously approved a plan for the city to begin negotiating with property owner HRT Ltd. for a "conservation easement" across the 18-hole golf course.

It leaves up to $8.1 million in the budget for the acquisition. HRT would appear to be able to continue operating the course.

The committee last week failed to move the annual construction budget because members could not agree on a proposal to condemn and, in essence, take over operation of the course.

City officials can't condemn property for a conservation easement.

The city, under the leadership of area Councilman Steve Holmes, already set aside $4.2 million to purchase roughly 900 acres surrounding the course.

Holmes and others who supported the city's takeover of the course said they want to ensure the land will stay as a green belt and not be covered with houses.

But opponents did not like the idea of going after HRT, a subsidiary of the nonprofit Harry and Jeanette Weinberg Foundation.

They also questioned whether it would be profitable for the city to operate the course.

Keith Kurahashi, a representative for HRT, said his clients found the new language "less objectionable." Kurahashi noted that HRT is barred by a deed restriction from redeveloping the golf course until 2006.

According to Holmes, Mayor Jeremy Harris and Council Chairman Jon Yoshimura brokered the deal with developer Tom Enomoto, a consultant for HRT on the project.

"I think it's clear we did not have the votes on the Council to move toward outright condemnation," Holmes said.

"We did what was practical." He said he is hopeful that the purchase of the 900 surrounding acres "gives us some leverage."

The $581 million capital improvements package is the highest in 15 years.

"It doesn't make sense to increase the city's debt load so dramatically," said Councilman Andy Mirikitani, who noted that the current year's budget is only $385.5 million, about two-thirds the current proposal.

"This seems to be driven by politics and a gubernatorial campaign rather than the public's interest."

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City & County of Honolulu