ALA MOANA, Hawaii (HawaiiNewsNow) -A new mixed-use development will soon take shape near Ala Moana Center. On Wednesday, dignitaries and developers broke ground on Sky Ala Moana, a condo and hotel on Kapiolani Boulevard.
Avalon Development says the $500 million, 43-story project will be located at the end of the line for the Honolulu Rail Transit. Honolulu Mayor Kirk Caldwell hopes it will ease the housing crunch and the need for more space for tourism.
“There’s this huge demand and we struggle with vacation rentals and that market is there because there isn’t enough product. And now we’re going to see a hotel in an area where I think it makes a lot of sense.," Caldwell said.
Officials say it will provide hundreds of new jobs and spur more economic growth outside of Waikiki.
“The idea is to lessen the pressure on that the outside, community’s assets by providing more within our community," Avalon Development’s President & CEO Christine Camp said.
Once completed, the two towers will have about 390 market rate units, 300 hotel rooms, as well as 84 units marked as affordable.
“We’re providing much-needed market housing in the urban core, close to transit, close to Biki bikes, close to walking to work, riding to work and not being stuck in traffic coming in from the Ewa plain,” Caldwell said. “It starts here, next to rail, along with other project, adding that affordable housing that we so much need.”
Many of the units are already sold; however, some one and two-bedroom units are available. Those remaining units are priced between $700,000 to $1 million.
There will also be retail space and dining as well as the “Sky Terrace,” a 54,000 sq. ft. amenity deck on the 8th floor.
Sky Ala Moana is expected to open in 2022.