OHA, DHHL sign deal to build Kakaako Makai housing

The project is possible because DHHL can override the law against residential development on the site.
Published: Oct. 23, 2026 at 5:34 PM HST|Updated: 4 hours ago

HONOLULU (HawaiiNewsNow) - The Office of Hawaiian Affairs and the Department of Hawaiian Home Lands have signed an agreement to build housing in Kakaʻako Makai, a move that breaks through a prohibition against residential development on the property.

OHA owns nine parcels covering 29 acres in Kakaʻako Makai, on the ocean side of Ala Moana Blvd. The agency has owned the land since 2012, when then-Gov. Neil Abercrombie transferred it to settle the state’s debts to OHA.

“This is a great day for Hawaiʻi, not just for OHA, not just for DHHL, but for everybody who loves Hawaiʻi and wants Hawaiʻi to succeed and everybody in it to have a Hawaiʻi life,” Abercrombie said during a ceremony to sign the agreement Friday.

OHA owns the land, but only DHHL, governed by federal law and with exceptions to build housing for Native Hawaiians, has the authority to build housing there.

Partnership plans multi-tower housing complex

So far, the partnership includes plans for a 200-foot multi-tower, 400-unit complex for eligible Native Hawaiian families. The project is possible because DHHL can override the law against residential development on the site.

“That restriction is especially inappropriate for Hawaiian trust lands held by OHA, as well as his commitment at DHHL. Housing our people should be part of the opportunity these lands provide,” said Kali Watson, DHHL Chairman.

OHA Board Chairman Kai Kahele pointed to the view of Diamond Head, the ocean and Waikīkī from the east side of Kakaʻako Makai where the ceremony took place.

“Look at this view. Can you imagine Hawaiians own this? Hawaiians own this,” Kahele said.

The agencies envision more than just the one project, including a hotel, amphitheater, cultural center, maritime museum and additional housing.

“It is my honor to unveil our vision for the future of homestead housing in Kakaʻako Makai. This is what partnership looks like. This is what possibility looks like,” Kahele said as OHA staff lifted coverings over several large renderings of the DHHL project.

Senator says residents have health concerns

Sen. Sharon Moriwaki said area residents oppose residential and high-rise development on the open space, which sits near what used to be a municipal dump and incinerator.

“We’re not against it because of what they think. ‘We don’t want high rise. We don’t want luxury housing.’ That is not the problem. The problem is it’s unhealthy,” Moriwaki said.

Moriwaki said the state should take the land back and give the agencies other properties instead.

“Get someplace that’s more immediately shovel ready to build housing for the Native Hawaiians and really get something going,” Moriwaki said.

Agencies bring in union, city support

The agencies have brought in construction trade union leaders, who signed a guarantee that union contractors will do the work. Honolulu Mayor Rick Blangiardi also endorsed the effort.

Asked whether the partnership gives the agencies more leverage in seeking land use entitlements, Kahele said, “At the end of the day, absolutely. And there’s other opportunities, too.”

Watson said the agencies would still need to change the law or work through DHHL to resolve remaining restrictions.

“We are trying to work within the restrictions and guidelines of the rules,” Watson said.