PD RECOMMENDATION REPORT (PL-SMA-2021-000002)

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(King's Trail). According to the applicant, demand for golf at the King's Course has significantly diminished over the last 20 years despite an overall increase in resort visitor traffic. This trend and the extended closure of the resort/golf courses during the Covid-19 pandemic has caused long-term financial challenges for the resort and analyses indicate that the resort's current and long-term future demands could be supported with 27 golf holes at the resort(18 holes in the makai Beach Course and a reconfiguration of 9 Holes in the King's Course). Based on the preceding, the applicant has developed a master plan to develop the Kumu Hou project across three (3)non-contiguous areas totaling approximately 189.2 acres of land. The development of the Kumu Hou project will be facilitated by the several land use entitlements, including the amendment of SMA 25 to remove the land areas covering the Kumu Hou project, three (3)new SMA Use Permits and two (2) changes of zone. Instead of amending SMA 25 to include the proposed uses, the applicant has chosen to apply for the subject SMA Use permit to allow the development and operations of uses in "Area A" of the Kumu Hou project area. According to the applicant, the new SMA Use Permit would allow the development of the proposed new facilities and amenities plus the ability to upgrade, repair, maintain, and operate existing or future facilities in the Kumu Hou project area. Furthermore, the new SMA Use Permit will support separate governance structures and conditions that will be relevant to differing development plans and ownership anticipated for each of the three (3) areas to be undertaken over an extended period of time. The project will represent a long-term build-out with an estimated start date of 2025 and completed build out occuring around 2043 at over$1.2 billion dollars. Approximately 1,450 jobs in development related and full-time equivalent and operational-related jobs would be created upon project completion. Once complete, the Kumu Hou project will generate an estimated 1,080 ongoing jobs. The applicant notes that these timeframes are conceptual and for modeling purposes, and that actual implementation of the master plan will be dependent on a myriad of factors (economic, market, finance, community, environmental, and other factors)that will manifest over time. -2-