Odd plan will supply needed homes

THE ISSUE Billionaire land owner is readying property in pricey Kahala for low-cost rentals.

A BILLIONAIRE who says he will rent multimillion-dollar homes in posh Kahala for as little as $150 a month should not be surprised if his plans are viewed with some reservations.

Such philanthropic propositions are rare, if not unheard of, even in the aloha state.

Nonetheless, people interested in what would be very affordable homes in one of Honolulu's most luxurious neighborhoods may choose to take him at his word -- and maybe with a grain of salt.

Gensiro Kawamoto, the Japanese tycoon, last month announced that he will offer a number of homes he has bought since 2002 to Hawaiians, ideally those with large families, to "honor their land." His 21 holdings are priced between an estimated $2 million and $20 million.

Kawamoto, who generated criticism a few years back when he evicted renters in a sell-off of hundreds of rental properties on Oahu and in California, told the Star-Bulletin's Nina Wu last week that he has already chosen tenants for the first of nine homes in his rental catalogue.

Perhaps mindful of federal law that prohibits advertising or statements indicating preference or limits based on race, national origin, sex, religion and other attributes, Kawamoto also said he will not require potential renters to have a percentage of Hawaiian blood, nor will he check genealogy. But he may still run afoul of the law should someone challenge the legality of his actions.

Though his motives have been questioned -- some say his strategy is to lower housing values in the area so he can buy more property while others claim he is merely a publicity hound trying to rehabilitate a scarred reputation -- he says he expects his "Kahala Avenue Mission" will create a "better and fun community" that promotes Hawaiian culture and tropical gardens "with Polynesian flair."

His plans to set up museums for his art collections on his properties could run into problems, however, because of homeowner association covenants that bar non-residential occupation.

Kawamoto's offerings won't make a big dent in the tally of people seeking affordable housing in a market that has seen rents soar in tandem with purchase prices.

Still, if he is sincere, he could provide his target group -- large, low-income Hawaiian families having trouble finding places to live -- with needed homes at monthly prices that normally would not cover a night in a mid-range Waikiki hotel.

As good as his intentions are, the billionaire, often described as eccentric, might run into opposition. Regardless, Hawaii could use some altruistic contributions to a housing market short of low-cost units.