HONOLULU -- Outrigger Enterprises is planning a $300 million
redevelopment of 7.9 acres of Waikiki land it owns on one of the
most densely developed blocks in town.
Starting sometime in the first part of 2003, Outrigger will tear
down three hotels at the west end of Waikiki near Fort Derussy: the
Edgewater Lanais, which is currently vacant; the Ohana Coral Seas,
and the Ohana Edgewater.
The block Outrigger plans to redevelop in the first phase and
name Waikiki Beach Walk falls between Lewers Street and Beach Walk
Street and Kalia Road and Kalakaua Avenue.
In place of the hotels will be a two-level retail complex, more
open space for pedestrians, meetings space and entertainment areas
all centered on an open-air plaza. That phase is set for completion
Honolulu mayor Jeremy Harris called the project a "linchpin" in
the remaking of Waikiki as a revitalized visitor destination.
"The redevelopment of this block has been in the city's dreams
for years," said Harris. "Coupled with all the improvements the
city has made at Kuhio Beach, the new bandstand in Kapiolani Park
and the Natatorium, the linchpin has been the redevelopment of this
very important block."
Carey said Outrigger has waited until now to redevelop the block
because "we finally got all the pieces lined up in a positive
economic environment with the interest of key investment
In addition to tearing down the three hotels, the first phase of
the project will include moving the guest entrances of the Ohana
Waikiki Village and the Ohana Waikiki Tower from Lewers Street to
the other side of the hotels on Beach Walk Street in order to ease
congestion on Lewers Street.
Moving the hotel entrances, redirecting delivery trucks to Beach
Walk and moving retail outlets farther back off the sidewalk on
Lewers Street will create a less-crowded and more open area,
according to Outrigger chief executive officer David Carey.
"Today Lewers Street is packed with tour buses, cars and
delivery trucks," said Carey. "We want it to be more pedestrian
Creating more open space and more restaurants that are conducive
to people-watching is one of the goals of the project, said
"If you think about Waikiki today, there are not many places you
can go and sit down and people watch other than at the beach,"
according to Carey.
Honolulu city director of Waikiki development Peter Apo said the
block of Lewers Street and Beach Walk needs to be opened up.
"It's really dense in there now, and when you walk down there,
people are often wandering around asking 'Where is the beach?' and
the beach is right in front of them but they can't see it,"
according to Apo. "So I'm really excited about this."
During phase one, Outrigger will lose 436 hotel rooms.
Phase two of the project is scheduled to start in 2006 with the
elimination of the Ohana Reef Lanai, the Ohana Royal Islander and
the Malihini Hotel, all of which will be replaced by a new 890-room
That phase involves the block bounded by Kalia Road, Beach Walk
and Saratoga Road.
Carey said the company currently has about 3,100 hotel rooms in
the area in several hotels.
After the completion of both phases of the project, the company
is expected to have between 3,300 and 3,400 rooms in the area.