Hawaii resort owner defaults on $283M loan

Financial difficulties deepened yesterday for the owner of the Turtle Bay Resort, which is planning to build five new hotels on O'ahu's North Shore.

More at Honolulu Advertiser
More reporting at Pacific Business News

Comments have ranged, but the majority sees this as the next step in Oaktree's departure from the North Shore resort. With financial woes hitting them as early as June of this year, it looks that the expansion plans are far more less likely to happen unless parent company Oaktree infuses some of their reported $55 billion in this struggling resort.

The vulture fund company may be trying tactics to reduce the underestimated resistance, but the PR battle has little chance of being repaired.

City gives more time to plan Hawaii resort

The city has given Kuilima Resort Co. six more months to meet requirements that will set the stage for a major expansion at Turtle Bay Resort.

Read the whole story at the Honolulu Advertiser

On-Air Panel Discussion concerning Turtle Bay Resort

Defend Oahu Coalition board members Mark Cunningham and Choon James will be guests on Hawaii Public Radio (KHPR 88.1 FM) next Wednesday, October 17, 2007 from 5:00 to 6:00 pm. The discussion will focus on the proposed Turtle Bay Resort expansion announced by parent company Oaktree Capital Management.

EIS also needed for developments

The conclusion of the Supreme Court that the Hawaii Superferry must conduct an environmental assessment seems obvious but deserves applause from anyone out there who cares about maintaining the quality of life that we knew when we were growing up here.

So let me get this straight; hundreds of vehicles arriving from Oahu to Kauai should warrant an environmental impact statement. But thousands of cars and people and a massive development of prime ag/conservation land at Kawela Bay-Kahuku on Oahu should not. Makes perfect sense to me!

And they want us to conserve water by shortening our showers and starving our plants, yet the Hawaii Visitors Bureau is constantly trying to increase our visitor count.

Maybe the Hawaiian people are finally realizing that our resources are running out and we can't rely on the government to embrace what many of us hold dear. And maybe the government should realize that we are through putting up with its lack of leadership.

Toby Morris
Kailua

Defend Oahu Coalition calling for support at public hearing

DOC is encouraging residents to voice their concerns and opinions at the 2007 review of Ko'olauloa Sustainable Community Plan. The public hearing will be on Thursday, August 30, 2007 at 7:00 pm in the Laie Elementary School Cafeteria.

The organization is asking community members to keep in mind issues relating to the proposed Turtle Bay Resort expansion. In 1999, the City and County of Honolulu approved the Ko'olauloa Sustainable Community Plan that included the 1986 proposed expansion of Turtle Bay Resort. Eight years later, Defend Oahu Coalition is asking: Is a community plan that includes the proposed expansion of Turtle Bay Resort really “sustainable”?

L.A. Hedge Fund Facing Opposition on Hawaiian Plans

San Diego Business Journal

By SARAH FILUS - 7/23/2007
Los Angeles Business Journal Staff

Six years after gaining full ownership of Turtle Bay Resort in Hawaii, one of the only oceanfront getaways on Oahu's quiet North Shore, Oaktree Capital finds itself involved in a growing controversy over its plans to further develop the property.

The L.A.-based vulture hedge fund announced last year it planned to expand the 443-unit resort and was looking for either a financial partner or a buyer for the entire 880-acre site.

Hilton Hospitality Inc., Beny Alagem's Alagem Capital and Michael Dell's MSD Capital all were said to be interested in the site, but the announcement also caused a public outcry, protests and lawsuits that may have chilled any deal.

More recently, Starwood Hotels & Resorts Worldwide Inc., the owner of the Sheraton and Westin brands and a major developer of time shares, fell out of active negotiations for a purchase or partnership, though Hawaiian media reports indicate the company has not completely scuttled a deal.

"When all the press coverage and uproar sprang up from the local community about the expansion, that became one of the major reasons that investment firms who looked at it didn't want to pursue it," said Mike Hamasu, the consulting and research director for Colliers Monroe Friedlander Inc. in Honolulu. "There is an extreme sensitivity to development in Hawaii, especially along the North Shore."

Oaktree, through its subsidiary Kuilima Resort Co., wants to add about 3,500 hotel and condominium units to the property it acquired full control of in 2001. It has already spent $60 million to renovate the existing hotel and to add a condominium complex called Ocean Villa. In 1998, it had teamed with developer Bill Mills to gain an interest in the resort.

The resort, originally developed by Prudential Insurance Co. and Del Webb Corp., has expansion entitlements from the city of Honolulu that date back to 1986 but were never pursued. Since that time, though, opposition has grown to further construction of the largely undeveloped North Shore.

Keep the North Shore Country, a group opposed to the resort's planned expansion, sued for an environmental impact report. The group also alleges the development will disturb ancient Hawaiian burial grounds. The suit was thrown out once and last month it was appealed, with a decision still pending.

"(Honolulu) allowed the developer to expand as if nothing has changed since 1986," said Gil Riviere of Keep the North Shore Country. "Our position is that everything has changed. Even the impact of those 4,000 units is greater now and they should be studied."

New York-based real estate investment banking firm, Eastdil Secured LLC is helping to market the property.

Oaktree representatives declined to comment.

Fund closure
Turtle Bay is not Oaktree's first venture in Hawaii. During the 1990s recession, Oaktree purchased a number of high-end properties on Hawaii.

The North Shore controversy comes as Oaktree is looking to divest the resort and close the investment fund that owns the property. The OCM Real Estate Opportunity Fund was set to expire last year, according to a story by Pacific Business News.

However, Lloyd Greif, chief executive of L.A.-based investment banking firm, Greif & Co., said it is not unusual for companies to get fund extensions if they still have holdings they would like to sell off.

Typically, investment funds such as OCM Real Estate Opportunity Fund have 10-year life spans, he said. The money raised by institutional investors is usually spent acquiring assets during the first three to four years of the fund's life. From years four and on, the holdings are divested and money is distributed to the investors.

"Oaktree has very savvy investors. It makes perfect sense to sell," said Greif. "A few years ago, people were still trying to figure out what life was going to be like after 9/11. Now, there is a lot of money out there and people are spending it on themselves. They want to go to exotic places and Hawaii is an exotic place. I expect that Oaktree will come out smelling like a rose."

Defend Oahu Coalition to join mayor in clean up of North Shore

Honolulu Mayor Hannemann and his Cabinet will be on the North Shore of Oahu cleaning up beach parks this Saturday, August 4, starting at 7:45 a.m. DOC members are asked to join him wearing your green Keep the Country Country t-shirts to remind the Mayor of our commitment to Keep the Country Country!

Volunteers will meet at 7:45 a.m. at Hale'iwa Ali'i Beach Park, on the Mokule'ia side of the Hale'iwa Boat Harbor. Volunteers plan to work through the morning at Hale'iwa Ali'i Beach Park and Kaiaka Beach Park. At midday the mayor and his Cabinet will be available to talk story and have lunch at the park. Parks scheduled to receive attention that morning include Hale'iwa Ali'i Beach Park and Kaiaka Beach Park.

Anyone interested in helping should report to the Mayor's aloha tent at Hale'iwa Ali'i Beach Park before 8a.m. Saturday.

Remember to wear your green Keep the Country Country T-shirt!

Proposed tax worries owner of Turtle Bay

By Dennis Camire
Gannett News Service

WASHINGTON — A top official of Oaktree Capital Management, owner of Turtle Bay Resort on O'ahu's North Shore, says he is concerned proposed tax increases on managers of private equity and hedge funds would encourage them to keep their operations shielded from public scrutiny.

Read more at Honolulu Advertiser

North Shore project will strain resources

Watching the Live Earth concerts recently, I was reminded of our interconnectedness. Each of us has an impact on the global climate crisis.

O'ahu is saturated with cars. The proposed Turtle Bay expansion will not only strain roads beyond their limits, but will add to Hawai'i's contribution to the climate crisis by placing further demands on water, electricity and waste disposal resources. How much more can O'ahu take?

Just as importantly, a development such as this will cause the loss of one of the most pristine, undeveloped and beautiful places in the world. Once it is lost, it will be lost forever. The coastline between Turtle Bay and Kahuku Point is equal in beauty to Ka'ena and Ka'iwi.

I recently answered a telephone survey for Hawai'i 2050, created by the Legislature to "establish a mechanism to ensure that our unique islands and way of life are maintained and sustained for current and future generations to enjoy."

While this is a noble effort, in reality there is no 2050. There is only the present, and the time to create a sustainable environment is now.

Building 3,500 more resort units on the North Shore would be an act of destruction, the exact opposite of sustainability.
Michael Zucker
Palolo

Defend Oahu Coalition comments on Kuilima Resort proposals

DOC member and long-time North Shore resident, Choon James said, "Oaktree keeps saying their massive development will provide needed jobs for North Shore residents. This is pure corporate spin because Turtle Bay has perennially been unable to fill all its existing job vacancies. Another five hotels and more gated condos and timeshares for the rich would require importing workers from elsewhere. This will inevitably trigger the "multiplier effect" on our communities. Where would these additional workers live? Could the hundreds of additional workers make the long daily commute from other parts of Oahu on our already-crowded narrow two-lane roads? Currently, most upper-level Turtle Bay Hotel management jobs are held by out-of-state personnel, including from England." James further noted, "This battle between David -- local residents -- against the Goliath of rich developers regularly plays out all over our islands. Locals do not want to see these islands turned into a playground for the rich. Our elder statesman, Governor George Ariyoshi eloquently warned that we must plan and not skip from one project to another. Otherwise, we will incrementally lose what we hold dear and precious about Hawai`i." James also echoed the need for Oaktree's local management to exercise needed corporate conscience and begin a meaningful dialog with the community. "If ever there was a time for an international corporation to talk story and for Hawaii's elected and appointed County and State officials and the large land-owning Hawai`i trusts to all come to the table to plan and protect what is left of Hawai`i, that time is now. Grassroots activism and growing frustration with our public officials caused by this latest round of run-a-way development escalate in the islands. If I were an elected official, I would take note of this growing public angst."

DOC member Mark Cunningham, a respected waterman and Kawela Bay resident said, "Many of our DOC members and supporters are veterans of previous battles to protect the North Shore from over-development: acquiring the Pupukea/Paumalu bluff, saving Waimea Valley, and defeating the Shark's Cove Mall development. But we're growing tired of having to continually fend off such unrealistic projects and are going to start demanding more accountability from our elected officials. People have property rights of course, but these large-scale development proposals that threaten the very identity of the North Shore should never be accepted and the community will continue to rally against them.

Members of the Defend Oahu Coalition have tried repeatedly without success to meet with Honolulu Mayor Mufi Hannemann and to get the Mayor's administration to require the developer to produce a supplemental environmental impact statement (EIS) for Turtle Bay's now 20+-year old permits. On May 19, 2006, the non-profit Keep The North Shore Country was joined by the Sierra Club, Hawai`i Chapter in a lawsuit asking that Kuilima Resort be required to perform a supplemental environmental impact statement. The lawsuit also seeks an injunction against further ground work or construction at the resort until a supplemental EIS is completed. This lawsuit was later consolidated with a similar suit brought by Unite Here Local 5, the hotel workers' union. When the Union settled their labor dispute with Oaktree, they agreed to drop their suit. On November 13, 2006, Judge Sabrina McKenna heard Motions for Summary Judgment and ruled in favor of Kuilima Resort Company. A Notice of Appeal was filed on January 8, 2007. Before the briefs were submitted, a technical error was noted in the court paperwork: the Union's case was still referenced as active, even though they had withdrawn. Additional paperwork was filed by the Union's attorney to clarify that they are no longer party to this lawsuit and when that was recorded, the clock began anew for filing an appeal. As of this date, the legal challenge is still very much alive and it would not be affected by any changes in ownership at Kuilima. DOC President Carol Philips said, "The standards have changed dramatically since the original EIS was conducted due to improved technology and measuring techniques. Considering the potential traffic impact alone, it's outrageous that the city would not want a supplemental EIS. Add to this the very real impact of the additional sewage and wastewater disposal on our ocean and reefs, the iwi issue, the lack of affordable housing and all the rest, it's disturbing that our elected and appointed officials don't use their power to require an updated EIS."

The Defend Oahu Coalition is not the only Oahu group fighting this latest round of rapacious over-development, seemingly being empowered by uncaring politicians and appointed officials. In fact, there are over a dozen small groups now organizing to grow the county-wide effort to prevent inappropriate over-development. Now meeting regularly, the as-yet-unnamed group is working to focus their common interests in order to more effectively challenge large corporate development interests and Oahu's elected and appointed officials who continue to sell out to them. During the second meeting of the group -- coincidentally also on Friday, July 13th -- in Honolulu, one native Hawaiian participant put it this way; "Why aren't our officials listening to us? Why are they ignoring the obvious and facilitating all of this inappropriate development to the detriment of our residents?" Carol Philips observed, "Now that's the real question."

Starwood decides not to join in Turtle Bay project

Starwood Hotels and Resorts has pulled out of negotiations to develop up to five new hotels and time shares at the Turtle Bay Resort on the North Shore of Oahu.

The decision not to participate in the project with resort owner Kuilima Resort Co. was made by Starwood executives on Tuesday, according to several people familiar with the negotiations.

More at Pacific Business News, Honolulu Advertiser, KHNL

"The good news here is we're talking about a $350 million valuation of the property, which could mean a much smaller development than originally planned," Eric Gill, secretary and treasurer of Unite Here Local 5, the union that represents workers at Turtle Bay said.

Honolulu Star Bulletin

All can unite in campaign to save Hawaii

By Kevan Blanche

Warm tropical waters, swaying palms, long stretches of fine sandy beach — it is the image of Hawai'i the world over — the source of its universal appeal, as well as the seed of its own demise. Like any of the world's true geographic gems, in modern times Hawai'i has always worked to strike a balance between man and nature — between development and preservation.

More at Honolulu Advertiser

‘Ilio’ulakalani Coalition calls for resignation

‘Ilio’ulakalani Coalition, a statewide grassroots organization comprised of cultural practitioners who advocate for the perpetuation of our culture and the preservation of our sacred lands and the protection of our ‘iwi kupuna is calling for the immediate resignation of Mr. Henry Eng as Director of Permit & Planning for the City & County of Honolulu and a member of the Mayor’s Cabinet.

In a recent news article dated June 27, 2007, Mr. Eng was quoted as follows:
Eng said the issue of Hawaiian burial sites on the property likely would not affect the decision on the infrastructure permit. "If this (the burial site issue) needs to be addressed, it probably would get addressed later on," Eng said.

Mr. Eng’s remarks reflect blatant disrespect for all burial sites. No permit should be issued before the concern of the impact a development will have on a burial site is fully addressed. An infrastructure permit gives a green light for pile driving, grading and clearing of a site. It is usually at this point that burials are discovered and then declared inadvertent finds.

We demand a full archaeological survey of all sites before any permit is issued.
We demand that the impact of development on burial sites be addressed before issuing any kind of permit is approved.

The native Hawaiian community will not stand by and allow this kind of mentality to exist in the City and County of Honolulu’s administration or any other administration. As native Hawaiians we will not stand by and allow entities such as the Department of Permit & Planning to disregard the importance of our ‘iwi kupuna and favor development that is not right. As native Hawaiians we will do whatever is necessary to protect the ‘iwi kupuna from any kind of development that would infringe upon the sacredness of our culture.
Elected officials must be put on notice that this kind of behavior and mentality will not be tolerated or accepted by native Hawaiians. The time has come for all native Hawaiians to speak out and not allow individuals like Mr. Eng to be in positions of authority and have no regard for the host culture of these islands.

A press conference has been scheduled at Honolulu Hale on Thursday, July 5th at 10:00am. We invite everyone to attend the press conference and stand in solidarity for the resignation of Mr. Eng.

Fourth of July Rally to Keep the Country COUNTRY!

Defend Oahu Coalition wants YOU for a Fourth of July Rally to Keep the Country COUNTRY!

Wednesday, July 4, 2007
4:30 p.m. – 6:30 p.m.

Practice your right to free speech with a good old-fashioned Sign Waving by Land and by Sea to protest the Turtle Bay/Oaktree hotel expansion plan!

Kamehameha Highway - in front of Turtle Bay Resort
or
Ocean Side of the resort – on your boat, outrigger, surfboard, paddleboard, jet ski or stand up board!

Church pressures Oaktree

The owner of Turtle Bay also manages funds for the United Methodist Church

By Kristen Consillio
kconsillio@starbulletin.com

The pension and benefits arm of the United Methodist Church is pressuring the owner of Turtle Bay Resort to resolve its dispute with opponents of the resort's planned expansion.

Owner Oaktree Capital Management LP, which manages some of the $15 billion in assets of the General Board of Pension and Health Benefits of the United Methodist Church, has come under fire after Hawaii parishioners voiced concerns about whether the company is adhering to the church's strict social principles that deal with fairness, equity and the environment.

More at Honolulu Star Bulletin

No more toleration for Oahu's urban blight

Funny how life works. Here we have O'ahu bending, some would say breaking, with unchecked development, the subsequent overpopulation and an almost unperceivable urban blueprint.

Too shortsighted to plan for future generations, we continue the mass degradation of O'ahu, complete with an eroding quality of life.

Lo and behold, who should rise up and save us from ourselves? The ancients, whose bones and spirits will no longer tolerate the blight of rampant development on the lands they once wandered.
Pat Kelly
Honolulu

Starwood courting resort on Oahu

Starwood Hotels & Resorts is negotiating to purchase or partner in the expansion of the Turtle Bay Resort, which could include up to five new hotels.

Oaktree Capital Management, owner of Kuilima Resort Co., which includes Turtle Bay Resort, is negotiating with Starwood, Kuilima spokesman Nathan Hokama said yesterday.

More at Honolulu Advertiser

Don't let resorts take over the island

I'm a student from Germany who had the great opportunity to spend half a year in Hawaii during a six-month internship.

You are living in paradise and you should definitely not only think twice but a couple of times before you give permission to or plan to build a resort on one of the most beautiful stretches of coast, along Oahu's North Shore.

One thing that makes Hawaii still special is the fact that it hasn't seen too much development compared to other tourist regions in the world. You should keep it that way.

On the island of Lanzarote, Spain, for example, they have a law that you can't build hotels, resorts and the like higher than a palm tree. The island benefits because they don't have these huge hotel complexes standing in everybody's way and making the landscape ugly.

Please reflect on this and also think about your kids who will not have the opportunity to enjoy this beautiful place like you and we have.

Holger Stripf
Munich, Germany

Turtle Bay - It's absurd to allow old plan to be in force

Bob Nakata's June 19 commentary listing all the good reasons for the city to deny building permits to Oaktree Capital Management LLC should be read out loud to our City Council and Mayor Mufi Hannemann.

It is absurd to allow Oaktree, or anyone else, to build anything with a 20-year-old agreement.

Anyone who has come to the North Shore during the last 20 years has noticed it can now take up to two hours to get from Hale'iwa to Sunset Beach.

There is also a huge housing shortage and shops and restaurants have a hard time finding workers. And our ocean is full of sediment from developments that is killing our coral reefs and fish.

Whatever legal reasons the Circuit Court judge had for allowing a 20-year-old agreement to stand without another environmental impact statement does not mean that the city has to ignore the obvious changes on the North Shore in the last 20 years.

The short-term benefits that any politicians, or a handful of North Shore residents, might have for supporting Oaktree's expansion are far outweighed by the problems that this project will bring to our state.
Lorenn Walker
Waialua

Oahu can't support Turtle Bay expansion

By Bob Nakata

The proposed massive expansion of the Turtle Bay Resort by Oaktree Capital Management LLC, and its subsidiary, Kuilima Resort Co., threatens to turn O'ahu into one continuous urban center. The huge impact it will have on traffic will make it impossible to feel like you are in the "country" anywhere on O'ahu.

More at the Honolulu Advertiser

Is Turtle Bay’s Expansion Good for the North Shore?

Hawaii Business Magazine
Defend Oahu's Choon James counters Turtle Bay's Project Manager Ralph Makaiau on the merits of the proposed development.

Q: Is Turtle Bay’s Expansion Good for the North Shore?
RALPH MAKAIAU
project manager, Kuilima Resort Co.

A: Balanced, responsible development that takes into account the needs of the community was the intent of the Kahuku community that originally envisaged the Turtle Bay plan and has been embraced by Kuilima Resort Co. since its involvement in the project. Through lengthy collective effort and negotiations, the developer and community leaders each received what they wanted. The preservation of vast open spaces, easy access to beaches, shoreline setbacks that exceed the standard for developers to protect culturally sensitive areas, and height restrictions on new construction were among the stipulations in the Unilateral Agreement, a legally binding document that locked in the developer and community to keep their promises to each other. Creating another high-density Waikiki clearly was never part of the plan.
The agreement served as a model of collaboration for other developers. Now, once again, Kuilima has become a case study for Hawaii’s business community because of significant implications for all developers. Over the years, the Kahuku property has switched hands and the downswing of the local economy through the 1980s and ’90s halted development throughout the Islands. At a time when Hawaii’s economy is picking up and Kuilima is ready to move forward, new legislation and activist groups attempt to undermine the community’s entitlements. Unfortunately, as is often the case, a loud, vocal minority drowns out the silent majority in the community.
Despite Hawaii’s low unemployment rate, Koolauloa (Oahu’s Northeast Side) is in dire need of revitalization. We envision a vibrant, flourishing community without compromising the rural feel unique to the area. Kahuku Hospital faces financial challenges without support from businesses and the community to keep its doors open. A strong economic driver in the area is vitally necessary to prevent homelessness and other social ills. There is much more we can do for the community, and Kuilima has an important role to play in Koolauloa.

CHOON JAMES
Defend Oahu Coalition Boardmember

A: International investment groups like Oaktree Capital are exploiting Hawaii. Paradise is becoming a playground for the rich. These corporations profit millions of dollars at the expense of Hawaii’s people, culture and environment. Without protection, North Shore will become another ritzy resort a la Kaanapali, Maui. Local folks will eventually be priced out and pushed out. (The cheapest Turtle Bay Resort Ocean Villa condo is $1.5 million)
The Golden Rule – the one with the gold rules – buys top-gun consultants who quietly ramrod permitting processes and attorneys who insinuate lawsuits if they don’t get what they want, thereby paralyzing elected politicians from representing their constituents.
Five new hotels with an additional 3,500 units will inevitably trigger the “Multiplier Effect.” Oaktree dangles the carrot of 2,500 jobs. But, the present 487-unit hotel perennially has trouble filling employment vacancies. Needed imported labor will trigger more competition for housing, educational/social services, and aggravate already chronic traffic congestion. Oaktree touts 100 affordable homes. Twenty-five-hundred (imported) jobs and 100 homes? Do the math. What are the real community benefits?
When corporate investors reap their dividends and leave the Islands, all of Hawaii’s tax-payers will pay for the inevitable impacts – traffic woes, infrastructure improvement, rising property values, limited beach access, water/electricity resources, and an irretrievably vanished country lifestyle that kamaainas hold dear and precious.
Oaktree: We are your neighbors. We are hotel workers, unionists, kupunas, teachers, firemen, mothers, uncles, environmentalists, the everyman. You recycle certain hotel employees as your community support. But 76 percent of Hawaii residents are against building a new hotel.
Oaktree claims a new era of “openness.” Then why fight against updating the irrelevant 1985 Environmental Impact Statement for this resort expansion?
Oaktree: Live Aloha! No PR games, no smoke-and-mirror maneuverings. Let’s resurrect the defunct 1986 Unilateral Agreement’s Kuilima North Shore Strategy Planning Committee for a transparent public dialogue.

Report casts doubt on Turtle Bay's finances

The owner of the Turtle Bay Resort on O'ahu's North Shore yesterday declined to comment on a published report that the company may not have enough cash to meet a loan payment due at the end of June.

The full story at the Honolulu Advertiser

Hotel Expansion - North Shore roads are already inadequate

Fortunately, there were no injuries or lives lost from Saturday's rockslide at Waimea Bay.

However, combined with the continued erosion of this nearly century-old two-lane highway, its partial closures during high surf and the almost daily bumper-to-bumper traffic, it clearly demonstrates that the roads on the North Shore are inadequate to handle even the current traffic load.

Given this reality, Turtle Bay Resort's planned expansion defies common sense.
We need to seriously examine the wisdom of allowing this project to proceed unchecked, especially considering its impact on the North Shore.
Carol Philips

Honolulu Advertiser
Posted on: Friday, April 13, 2007

Activist-Actor Sean Penn Dances on Sacred Hawaiian Burial Grounds

As the massive Turtle Bay Resort development project threatens to destroy what's left of rural Oahu, part time actor (I Am Sam, Fast Times at Ridgemont High)/full-time activist Sean Penn, his wife, Robin Wright Penn, and his two children have checked in to the resort for the holidays. But, while the Penn clan relaxes, Hawaiian natives are getting restless over the normally enlightened movie star's ignorance of their cause.

More at:
Hollywood, Interrupted
New York Post

Turning up the heat at Turtle Bay

Wearing red shirts for solidarity and chanting as they marched, about 150 Native Hawaiians, North Shore residents and environmentalists made their way from the highway entrance of the Turtle Bay Resort to the ocean yesterday to protest a plan to build five more hotels along the rural coastline.

Full story at Honolulu Advertiser...
More reporting at:
KGMB News (Honolulu)
KITV News - The Hawaii Channel (Honolulu)
KHNL News (Honolulu)

A Letter From the Defend Oahu Coalition

Here's a letter sent out to the public informing of upcoming pending hearings for the State House. Defend Oahu Coalition is asking the public to voice their opinion and support of SB 851:

SB 851 (SD1) will ensure that any future development in the Koolauloa District respects current cultural preservation rules and regulations. It also requires a new cultural assessment of the area. It will not effect existing buildings and structures. In fact, we believe that even though the wording has been changed in the latest amendment (SD1), it is still limited to the Turtle Bay Development since it is the only development that we know of in Koolauloa that got its permits before the changes in the law.

DOC believes that developers should respect Hawaii's host culture, and, given the communication between the owners/developers of the Turtle Bay Resort and the Department of Land and Natural Resources, the respectful and responsible thing to do is to follow DLNR's suggestion of a 750 foot setback for the Turtle Bay Resort expansion project. Such a setback would ensure the preservation of the sand dunes and other areas which are thought to have more Native Hawaiian burial sites.

http://www.defendoahucoalition.org/DLNR_letter_Oct_2006.pdf

NOTE: This bill does not prevent the Turtle Bay Resort expansion from going forward. It merely "strongly encourages" the developer to follow the suggestion of DLNR to set the project back and additional 100-150 feet from what their permits already require to keep the sand dunes and other areas that are suspected to have burial sites in tact, to follow the suggestions of the Oahu Burial Council, the Historic Preservation Division, and other agencies in the Department of Land and Natural Resources.

DOC does not support the Turtle Bay Resort expansion - especially given the fact that the permits are over twenty years old. Many changes have occurred over the last twenty years and we have a better understanding of environmental issues now than we did when the project was first approved.

While SB 851 (SD1) will not stop the project, DOC believes it is an important step in the right direction - requiring a new cultural assessment for the area and encouraging the developer to respect the iwi of the kupuna who lived here before us.

The bill needs to get a hearing in the House Water, Land Ocean Resources & Hawaiian Affairs as well as the Judiciary Committee and it needs to pass And, then it can be voted on by the entire House.

For more information on SB 851 (SD1) and why Defend Oahu supports it, go to: http://defendoahucoalition.org /index.php

Contact information for State House committee leaders:
Chair: Rep. Ken Ito 808-586-8470 repito@Capitol.hawaii.gov
Vice-Chair: Rep. Pono Chong 808-586-9490 repchong@Capitol.hawaii.gov
Committee Member Rep. Michael Y. Magaoay 808-586-6380 repmagaoay@Capitol.hawaii.gov

Oahu shoreline setback proposal could affect entire state

A proposal to increase the shoreline setback to 750 feet for Oahu's entire windward North Shore has passed the Senate and could open debate about increasing shoreline setbacks for oceanfront property across Hawaii.

More at Pacific Business News (Paid subscription)

DOC Rally at Honolulu Hale/City Hall

Defend Oahu Coalition has organized a rally to occur in front of Honolulu Hale/City Hall (530 South King Street) on Thursday February 22, 2007 starting from 9 am. They are calling upon the Mayor (Mufi Hanneman) to listen to the community and substantial opposition to the Turtle Bay Resort expansion plans. They are calling upon the Mayor to act.

The Turtle Bay Resort expansion plans were announced early last year among overwhelming opposition. Still, the parent company Oaktree Capital Management has pressed on with plans.
Oaktree is a $30 billion investment company. Oaktree's investment specialty is in markets where information for competitors is limited, sometimes known as "inefficient" markets. Such focus has been described by Business Week magazine as a vulture fund.

The Defend Oahu Coalition is a diverse group of community residents, environmentalists, activists and religious leaders all working together towards one goal: protecting communities on Oahu from the dangerous effects of large scale development. They believe that the beautiful North Shore is for all Oahu residents as well as visitors, and is committed to ensuring that it will continue to be a resource for generations to come.

Senate bill to be heard affecting Turtle Bay Resort expansion

Hawaii State Senator Jill Tokuda has reported that the Committee on Water, Land, Agriculture, and Hawaiian Affairs will be hearing Senate Bill 851 (relating to the shoreline setback and cultural assessment for the TBR development site) at its meeting on Wednesday, February 21 at 2:45 p.m. in room 414 of the Hawaii State Capitol.

Testimony on behalf of residents, community organizations, and concerned citizens is welcomed. You can submit by:

1. email testimony@capitol.gov
2. dropping off testimony with the committee clerk, Room 407, State Capitol
3. faxing (up to 5 pages) to the Senate Sergeant-at-Arms Office at 586-6659 or 1-800-586-6659 (neighbor islands).

Testimony from visitors is also welcome! Tell our legislators why you come to O'ahu.

SB 851 "Requires a new historic and cultural assessment and a minimum shoreline setback of seven hundred fifty feet for any development makai of Kamehameha highway between Kawela stream and Marconi road in the Koolauloa district on Oahu."

Hawaii State Senator Russell Kokubu, chair of the Committee on Water, Land, Agriculture, and Hawaiian Affairs introduced SB 851.

Hawaii State Senators who represent the area of concern are:

Senator Russell S. Kokubun, Chair
Water, Land, Agriculture, and Hawaiian Affairs
Phone 808-586-6760; Fax 808-586-6689
E-mail senkokubun@Capitol.hawaii.gov

Senator Jill N. Tokuda, Vice Chair
Water, Land, Agriculture, and Hawaiian Affairs
Phone 808-587-7215; Fax 808-587-7220
E-mail sentokuda@Capitol.hawaii.gov

Senator Clayton Hee
Phone 808-586-7330; Fax 808-586-7334
E-mail senhee@Capitol.hawaii.gov

You can monitor the bill status here: SB 851

City Council to Vote on Permit Deadline Resolution

Courtesy of Defend Oahu Coalition

Resolution 06-366, Requesting the Department of Planning and Permitting to establish appropriate deadlines for project commencement and completion as conditions in unilateral agreements relating to significant zone changes, will be voted on by the City Council this Wednesday, 1/24/06.

Now is the time to remind our City Council that open-ended development agreements must never again be approved. Please make your voice heard!

Written testimony can be faxed to 527-6910 and email testimony can be submitted at http://www.honolulu.gov/council/emailccl.htm
Persons wishing to testify in person are requested to register by 10 a.m. in the interest of time management as follows:
a. use the On‑Line City Council Speaker Registration form available at http://www.honolulu.gov/council/attnspkccl.htm;
b. send a fax to 527-6910 indicating your desire to register to speak, along with your name, phone number and subject matter;
c. fill out the registration form in person; or
d. call 523-4236.

Also, urge our city council to allow the public to have input on the impact of Turtle Bay ’s proposed 5 new hotels on the North Shore by holding hearings for Resolutions 06-173 and 06-075.

Resolution 06-173: Assigning to the Director of Planning and Permitting a Proposal to Amend Ordinance 86-99 (Re: Rezoning for Turtle Bay Resort Expansion Project) by Amending the Unilateral Agreement Incorporated Therein by Reference. Click here to check the status of this bill on the City Council Docushare.

Resolution 06-075: Urging the Department of Planning and Permitting to Enforce Strict Compliance with All Applicable Laws and Unilateral Agreement and Special Management Area Use Permit/Shoreline Setback Variance Conditions Prior to the Issuance of Any Permits and Approvals for the Turtle Bay Resort Expansion Project. Click here to check the status of this bill on the City Council Docushare.

Kuilima's Response on Burials is Arrogant

Kuilima Corp. once again has shown its arrogance by defying a state official's suggestion to revise its massive development plans at Turtle Bay Resort and Kawela Bay.

Issues such as burials are precisely the reason a new environmental impact statement should be required of Kuilima.There have been too many changes on the North Shore since the 1980s when the original agreements were made.

Most tourists coming to the area do not want to spend vacation time in densely populated areas; that is why they seek the tranquility of the country. Development on the scale of Kuilima's plans would destroy that sense of place.

Kudos to State Historic Preservaton Division administrator Melanie Chinen for warning Kuilima about future obstacles.

If the warnings go unheeded, and Kuilima is forced to revise later when delays will cost millions of dollars or kill the project entirely, you will not see any tears from me.
Robert Thurston
Hale'iwa

State urges Turtle Bay resort to revise layout

A key state official is warning the Turtle Bay Resort to drastically revise its plan to build up to five new hotels or it could face delays and other issues because of the strong chance that human remains will be found at the site.

A lawyer for the resort's owners, Kuilima Corp., responded that the project's financing could be jeopardized if the state doesn't back off.

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