Hawaii Uncle Billy’s Hilo Bay Hotel sold By Shane Nelson / February 22, 2016 Share 1 -- Uncle Billy’s Hilo Bay Hotel, a 145-room property located on the eastern coast of the Big Island of Hawaii, has been sold and is now operating under a new name, the Pagoda Hilo Bay Hotel. The property had been scheduled to close permanently earlier this month, prior to the expiration of its land lease with the state of Hawaii in March, but it has since been purchased by Honolulu-based developer Peter Savio and will be managed by Castle Resorts & Hotels. “For all intents and purposes, it will be business as usual at the property,” Savio said in a statement. “We don’t anticipate making any staffing changes at this time, and all reservations on the books will be honored. We also look forward to maintaining the local traditions established by Uncle Billy.”A longtime fixture of the Hilo community, Uncle Billy’s has figured prominently in the community’s annual Merrie Monarch celebration, the Aloha State’s most honored hula festival.Located on Hilo’s bay-front Banyan Drive, the hotel features an oceanfront swimming pool, general store, and meeting facilities.