The potentially imminent shut down of the Ilikai hotel has created fear and angst among workers, guests and residents of the once iconic Waikiki property.

“;We are devastated,”; said Joli Tokusato, a service center clerk at the Ilikai for more than 18 years. “;The economy is very scary right now.”;

News that the circa-1960s hotel - immortalized in the television show “;Hawaii Five-O”; - may close indefinitely after lenders refused to pay for ongoing operations comes as more hotels lay off workers and reduce staff to cope with a severe slowdown in Hawaii tourism.

“;It's not like we can go to other hotels and apply,”; said Lynne Suan, a front-desk clerk at the Ilikai for nearly 14 years who has three young children. “;I don't even know how to do a resume or what the interview process is right now. It's just overwhelming.”;

About 150 full and part-time workers would be affected by a closure, according to Joseph Toy, the hotel's court-appointed receiver who filed the motion to end hotel operations on Feb. 8. His receivership of the property began Oct. 29 as part of a $75 million foreclosure suit brought by lender iStar FM Loans LLC.

It is disheartening to see what started off as a vibrant hotel with nearly 800 rooms go to nothing with 350 people over the years losing their jobs, according to Blaine Nishigawa, a 32-year engineer at the Ilikai.

“;It's so disrespectful that people with money and power can take something good and just turn it into nothing,”; he said.

Cherryl Perteet and her husband, Rich, first stayed at the Ilikai during its heyday in 1968 when it attracted elite dignitaries and Hollywood stars. They visited again 10 years ago when the Ilikai was still “;quite nice.”;

“;It's kind of like one of the old historic places,”; said Perteet, a Seattle time-share owner with Shell Vacations. “;I remember it being really something. To see it kind of deteriorate is really sad.”;

The New York-based lender filed the foreclosure in August on the residential and retail mortgages held by troubled Big Island developer Brian Anderson and his Anekona companies, whose condominium hotel has been plagued for the last several years by controversy over its redevelopment.

Common areas and guest and service elevators are under the control of the homeowners' association and shouldn't be affected by a hotel closure. Homeowners can continue renting units individually or through another hotel rental pool.

Still, many hotel patrons are repeat visitors and retirees who have made the Ilikai their second home, but may reconsider annual trips to Hawaii if the hotel shuts down.

“;We haven't found anything we love as much,”; said Lucille Peesker, who has stayed at the hotel every year with boyfriend Ed Hein for the past decade. “;We're really sad because we were coming back next year. If we can't book the location I'm not sure where we'd go.”;

The closure of the Y-shaped hotel at the entrance of Waikiki would significantly affect property values for more than 600 homeowners, according to Lyle Hosoda, attorney for the Owners of the Ilikai Apartment Building Inc.

Already unit values have plunged 30 percent to 40 percent from two years ago, according to Realtor Philip McCaffray, who owns a unit there. That's compared to a 10 percent to 15 percent drop in value at other Waikiki properties, he said.

“;It will cure quite quickly once this is solved,”; he said. “;It's just a bump in the road.”;

Ilikai condo owner Marylou Bettencourt, who's lived in Hawaii for more than 50 years, shared the same sentiment yesterday.

“;Every era has its setbacks,”; she said. “;You cross the bridge when you come to it - that's all.”;

Other condo owners don't take the situation as lightly, since many of them no longer have the option of selling their units.

“;I would have a hell of a time selling,”; said Hans Puehse, a part-time Ilikai resident from California. “;My apartment was worth $600,000 a few months ago. It's now worth half that if that much. I don't know how we're going to rebuild the Ilikai.”;