Kamehameha Schools is moving forward with plans to redevelop Kahala Square, at the corner of Waialae Ave. and Hunakai St.
The three-acre property currently houses 20 tenants, including Island Urgent Care and the Shell gas station.
Senior Planning and Development Manager Sharon Gi said aging infrastructure calls for a new retail and dining center. The place will be renamed Kahala Marketplace.
"We are going to upgrade the tenant mix and we'll be featuring a grocer anchor, a few restaurants both sit down and casual and some retail and services as well," Gi said.
All existing buildings will be demolished.
Gi says designs will include natural and organic elements. The parking lot will be expanded and the project will help bring in around 500 jobs.
"It will be a benefit to the community to have something that's upgraded, brand new and something that caters better to the area demographics," Gi said.
Not everyone is feeling the new plan.
Tacos Zarate owner Paul Zarate said he moved into Kahala Square a little over a year ago and that business has been better than ever. Now he may have to move, again.
"The rent is going to be higher than what we're paying now, so I'm actually in the process of looking for a second location somewhere else on the island," Zarate said. "Most of these people have been here over 10 years running their businesses, so a lot of them are going to get displaced."
"It was a surprise to me," said Kahala resident Jesus Basuel. "These are local neighborhood shops and it's actually a really maintained mini mall."
Gi said they are working to try and keep some of the current tenants, but a list hasn't been finalized yet.
This is Kamehameha School's second redevelopment project in Kahala.