HIGHLIGHTS OF DECEMBER 5, 2007 HCDA MEETING

Following is a summary of actions taken at the December 5, 2007 meeting of the Hawaii Community Development Authority (HCDA).

SELECTION OF NEW HCDA EXECUTIVE DIRECTOR

Authority members selected Anthony J. H. Ching as the new  HCDA executive director.  Ching will assume his duties at HCDA on January 2, 2008.  He will fill the post left vacant with the resignation of Daniel Dinell in August 2007.  HCDA Project Manager Teney Takahashi has served as Interim Executive Director since that time.

Ching, who has considerable experience in planning and land use, has worked as an administrator in state agencies for more than 25 years. Most recently, he served as the Executive Officer of the State Land Use Commission (LUC), a position he has held since 2001. In that capacity, he oversaw the Commission’s administration of the State Land Use Law, promotion of appropriate patterns of human settlement throughout the State, preservation of the natural environment, and the development of inclusive communities.

Prior to directing the operations of the LUC, Ching held positions as the Deputy Director of Health, Environmental Ombudsman, and Senior Planner for the State Department of Health.

Ching attended the Kamehameha Schools and earned a Bachelor’s degree in Political Science and a Master’s in Urban and Regional Planning from the University of Hawaii.

In announcing Ching’s selection as HCDA Executive Director, HCDA member and leader of the Executive Director selection committee Theodore Liu stated, “The board unanimously agreed that Anthony Ching has the skill sets and the experience that make him the ideal choice to serve as HCDA’s executive director. His managerial and administrative capabilities and his in-depth knowledge of land use will serve the agency well as it moves forward on a number of important projects.”

“I am excited about the work being carried out by HCDA,” said Ching. “The agency and its board are in the forefront of working with government agencies, the public, and stakeholders in ensuring that Kaka‘ako and Kalaeloa become vibrant and vital communities. With the planning for the new transit system added to the existing mix of projects in Kaka’ako and Kalaeloa, I look forward to working with the Authority towards a better tomorrow.”

EXTENSION OF HCDA OFFICE LEASE

The Authority authorized the HCDA Interim Executive Director or successor to execute a two-year extension of the lease with CEP Investors LLC until December 31, 2009 for Suite 1001 in the 677 Ala Moana Building.  HCDA has leased these premises since 1988.

REPEAL OF RULES RELATING TO THE CANCELLED KAKA ‘AKO IMPROVEMENT DISTRICT 11 PROJECT

HCDA members voted to repeal rules relating to the cancelled Kaka‘ako Improvement District 11 (ID-11) (Queen Street Improvements Project).  These rules established the ID-11 assessment area and methodology and assessment amounts to the properties specially benefiting from the infrastructure improvements that were going to be constructed in Queen Street from Ward Avenue to Kamakee Street.  In February 2007, the HCDA cancelled ID-11 because additional funds were not available to cover the increase in construction costs resulting from necessary design changes.  A public hearing was held on November 7, 2007 to solicit public testimony on the proposed repeal of rules to abolish the ID-11 assessment area and the property assessments.

STATUS REPORT ON PHASE IV OF THE 404 PIIKOI PLANNED DEVELOPMENT PROJECT

K2 Investors LLC (K2) presented a status update on the Phase IV of the 404 Piikoi Planned Development Project.  K2 is the developer of the final phase of the 404 Piikoi Planned Development Project, a project that was originally approved by HCDA in 1984.  It allowed for a mixture of residential, commercial and industrial uses on 17.25 acres of land generally bounded by Waimanu Street, Piikoi Street and Ala Moana Boulevard.  Over the years, the permit has been amended and modified several times and the project has also been redesigned.  Three phases that have been completed include the Nauru Tower (1992), Hawaiki Tower (1999) and the project’s first reserved housing component 1133 Waimanu (1996),  and Ko‘olani (2006).  K2 would like to begin construction on Phase IV by the end of 2008.

Although Phase IV has been permitted, the developer has applied for an amendment to the permit to allow for joint development of Phase IV with a second site for reserved housing units.  The developer is requesting modifications to the front yards and view corridor requirements for the reserved housing site.   A public hearing for the proposed modifications is tentatively scheduled for January 9, 2008.

K2 presented preliminary design concepts to HCDA for discussion and feedback in September 2007 and subsequently met with tenants of the surrounding residential towers and neighborhood boards and organizations to present these design concepts and obtain feedback.  As a result, K2 changed its proposed plans to relocate the ramp for the Phase IV site to share the existing driveway used by Koolani tower at Pensacola Street.

According to the permit, the proposed Phase IV tower would be allowed to develop approximately 349,429 square feet of floor area and will include general design parameters such as:  approximately 20,454 square feet of open space along Waimanu Street, a podium which shares the Ko‘olani podium’s existing driveway, a tower of up to 400 feet in height, and 277 market units.

The proposed reserved housing site would be located at 1226 Waimanu and 1235 Kona Streets.  The reserved units would be located in a low-rise building (between 40 to 60 feet in height).  On the ground level, commercial space would be provided along Piikoi and Kona Streets, open space would be provided along Waimanu Street, and a residential lobby would be located next to the parking/loading areas for the building.  Four floors of reserved units would be sited above the commercial space and parking area.

The reserved housing units would be developed as “for-sale” condominiums for “gap-group” buyers.  There would be 32 one-bedroom and 32 two-bedroom units.  The developer estimates that the proposed price of the reserved housing units, based on forecasted 2009 median income, will be about $300,000 for a one-bedroom unit and $400,000 for a two-bedroom unit.

Due to the unusually good location of the reserved housing site, the Authority requested the developer to consider options to provide more reserved units and public parking.