Ka Wai Ola - Office of Hawaiian Affairs, Volume 38, Number 3, 1 March 2021 — Why lt's Time for OHA to Develop Kaka'ako Makai! [ARTICLE+ILLUSTRATION]

Why lt's Time for OHA to Develop Kaka'ako Makai!

y LEO ELELE > TRUSTEE MESSSAGES

The Office of Hawaiian Affairs was created to ensure the "betterment of conditions for Native Hawaiians." That's a daunting task because, tragically, the conditions of many Hawaiians are less than ideal. Far too many Hawaiians laek eeonomie mobility, are in poor heahh, or are trapped in poverty. Studies show that Native Hawaiians have among the highest rates of obesity, heart

disease and diabetes. A 2020 effort to count homeless individuals on O'ahu found that half of those surveyed identified as Native Hawaiian or Paeihe Islander. New research also shows that Hawaiians lag behind other Hawai'i residents with respect to median household ineome, graduation from college, and earning graduate or professional degrees. Mueh of that was supposed to begin changing after OHA's acquisition of 30 acres of prime waterfront land in Kaka'ako Makai in 2012 as a settlement for past Public Lands Trust revenues owed to OHA by the state of Hawai'i. Valued at $200 million at the time, the property was intended to be an eeonomie engine to generate significant weahh for the betterment of the conditions of Hawaiians. Instead, virtually no development has taken plaee on this valuable property since OHA acquired it. The potential millions of dollars of value it could have generated since then to meet the needs of Hawaiians has been lost. As OHA acknowledges on our website, "the property could potentially bring millions into OHA to help fund community-based programs aimed at improving conditions for Native Hawaiians." In contrast, across the street, on the mauka side of Kaka'ako, private developers have generated incredible weahh through carefully planned and skillfully executed development. While OHA cannot be faulted for having limited experience as a major commercial property owner at the time it acquired the Kaka'ako Makai properties, unfortunately, after years of conceptual

planning, the properties are still not on a pathway to their full potential. Whatever the reasons may be for the stalled development of Kaka'ako Makai, OHA's beneficiaries should be pleased with a new push to make progress. Following the initiative of Board Chair Hulu Lindsey, the Board of Trustees recently agreed to establish a special committee to investigate the development of policies and strategies V ' 1 J^U11V1VU UllU JUUIV^1VJ

relating to OHA's Kaka'ako Makai properties. I believe this step reflects a shared sense of urgency among the Trustees to realize the potential of Kaka'ako Makai to produce needed revenues for Hawaiians. Legislators, too, are seeking to move the ball forward with several pieces of legislation this session aimed at the development of Kaka'ako Makai. Some proposals include raising the allowable building height limit and permitting residential development whieh is currently prohibited. We've still got a long way to go, but I'm glad to see that the Board of Trustees is heading in the right direction. Given the intensifying of needs amongst Native Hawaiians due to the COVID- 19 crisis, our mandate as Trustees is all the more urgent. To better the conditions of our people, we must take all reasonable steps to remove barriers from the development of Kaka'ako Makai and engage expert parties who ean help us fulfill the potential of this valuable 'āina. The fulfillment of Kaka'ako Makai' s potential could lead to revenues that ean bolster the intergenerational sustainability of the Native Hawaiian Trust Fund that OHA is tasked with administering. With legislative action, the properties could also add critical residential housing supply in metro Honolulu in addition to commercial space. The possibilities are endless and ean bring great benefit to Native Hawaiians and all residents of Hawai'i Nei. ■ Trustee Akina welcomes your eomments and feedback at TrusteeAkina@ oha.org

Keli'i Akina, Ph.D. TrustBB, At-larye