2018-08-16 Leeward Exh B (AMEND REZ 1049)

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UNGER: Okay. MOORE: So they are the landowners. I am Bill Moore. I’m the planning consultant. I’m based in Hilo. UNGER: Okay, great. We might want to take a step back, and, I don’t know – do you want to make a presentation before we dive into questions? I was going to start, we were going to start with questions there, but. MOORE: You know, I’m happy to just, I think, let me just address your first question on Kamanu Street. UNGER: Okay. MOORE: And a little bit of history. And, you know, I’ll do a real quick, why don’t we start with a brief overview of the applicant. UNGER: Okay. MOORE: Thank you. SMITH: Aloha Chair Unger, Members of the Planning Commission, Planning Department staff, Corporation Counsel, my name is Riley Smith. I’m the president and chief executive officer of Lanihau Properties. We also own Palani Ranch, 1,000 mother cow operation, in North Kona. Our roots go back to 168 years ago when Henry Nicholas Greenwell moved to Hawai‘i and massed some lands. These lands in Honokōhau are part of our landholdings that we’ve worked since 2003. We provided an EIS in March of 2003. We went through the State Land Use Commission in 2004, changed the Land Use designation from Conservation to Urban. In 2004 we also went through a County zoning ordinance and obtained the approval to take the land to MCX-20 and MG-1a as identified in the Planning staff report. What we found is that, since 2008 we’ve been trying to sell the lands, we are not an active developer, we are a passive landowner, we tried to sell all the entitled lands, which are about 245 acres, and we could not find a buyer. We then tried to go back to just Parcel 76, which is about 95 acres, to see if we could find a buyer for those lands, and the high infrastructure costs that we found in West Hawai‘i, especially with all the rock, just made it prohibitive. The offers we were getting is that they would pay us the value that would cost us to build the road; so in exchange basically what we are doing is we are giving the land to somebody, they give us enough money, we build the road and we walk away from the land that we’ve owned for 160 years. So we didn’t think that was viable. What we thought would be an opportunity was if we could look at a smaller chunk of infrastructure, so instead of building Kamanu Street, which extends from Kaloko Light Industrial to the Honokōhau Properties land to the south, instead of building that road upfront before we could subdivide, what we are looking to do is build three roads that Christian Kay talked about, so the North Access Road that connects Queen Ka‘ahumanu Highway and Kanalani, Kanalani Street from the Kaloko boundary to the South Access Road, 5 EXHIBIT B