ALEXANDER & BALDWIN INC. The Kuhio Avenue site elevation for Alexander & Baldwin Inc.'s new condominium high-rise shows off the arches intended to give it a distinctive identity.

A&B condo
project first for
Waikiki in 10 years

The 100-unit high-rise is
expected to cost $40 million
and yield $50 million in sales

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By Tim Ruel
truel@starbulletin.com

Alexander & Baldwin Inc.'s real estate subsidiary plans to spend about $40 million to build a 100-unit condominium high-rise in Waikiki, the first residential tower development in the area in nearly a decade.

Each fee simple, two-bedroom unit would sell for $450,000 to $500,000, on average, project manager Rick Stack said. At those prices, A&B could expect to see up to $50 million in total sales. "I think it's a moderately priced project," Stack said, noting that fee-simple residential developments have been uncommon in Waikiki in recent years.

The area's last major residential project, the luxury Waikiki Landmark, offered its 196 units in leasehold when it was completed in 1993.

A&B Properties Inc. bought the vacant 71,000-square-foot property it is developing last year from Japan-based DAI Investments Inc. for $3.6 million.

A&B's condominium, with 25 floors, will stand 300 feet tall, the maximum height in the area. Each floor will have four units, with each unit at 1,000 square feet.

The as-yet unnamed project would encompass most of the block bordered by Kuhio Avenue, Olohana Street, Ala Wai Boulevard and Kalaimoku Street, just mauka of Niketown.

A&B will eventually build a separate, 10,000-square-foot, two-story commercial building on a parcel of the block that fronts Kuhio Avenue. A commercial tenant has not been picked, Stack said.

Construction on the main tower would last from August 2003 through December 2004.

Existing buildings on the block include the Waikiki Twin Towers condominium on the Ala Wai end and two single-family residences. A&B sought to purchase the two single-family parcels, but didn't reach agreement with the landowners. Last month, the Waikiki Neighborhood Board requested that the city look into securing the two single-family properties for A&B. A city spokeswoman had no comment yesterday.

For now, A&B will proceed with its development without the two parcels, Stack said.

A five-level secured parking structure will provide 200 parking stalls for tower residents. Another 31 stalls for commercial parking will be accessible from a separate entrance. Twelve stalls will be available outside for guests.

A&B is complying with the city's 50 percent open-space requirement by putting greenery and a pool on the ground level. As planned, the project won't need a variance for open space or setbacks, Stack said.

A&B estimates the project will create an annual average of 174 construction jobs and 237 support jobs over the 16-month construction period.