Agreement Sets Stage For Kona Village Resort to Reopen

Honolulu, Hawaiʻi - Kamehameha Schools and Kennedy Wilson announced today they have reached  final agreement on a  ground lease of the Kona Village Resort property on Hawai'i island. 

While complete terms of the transaction remain undisclosed, the agreement allows Kennedy Wilson  to immediately begin the process of restoring and enhancing the 81.4 acre property while maintaining a clear focus on retaining the original vision as a low density iconic destination. The agreement also allows for the rehabilitation of the 125 vacation bungalows (hale), the property's infrastructure, and other operational improvements.

"This agreement is a testament to the commitment and diligence of all parties that will reconnect the resort with the Kona community, " said Walter Thoemmes, Kamehameha Schools' managing director of commercial real estate. "Kona Village will provide much needed jobs for the West Hawaiʻi Region and will perpetuate Native Hawaiian identity through its rich cultural history. We are excited  to have a project partner that maintains the vision."

 With the agreement in place, Kennedy Wilson  is now poised to focus on redevelopment and rehabilitation plans with an anticipation of being fully operational by the summer of 2019.

"Kennedy Wilson is humbled to become the next steward of the iconic Kona Village Resort" said Dave Eadie of Kennedy Wilson. "We are well aware of the trust that Kamehameha Schools has placed in us in choosing Kennedy Wilson to protect and preserve such a culturally significant resource for the benefit of all Hawai'i island residents and the thousands of guests around the globe who consider the Kona Village Resort one of the most special places in all the world. Kennedy Wilson has been involved in Hawai´i for over a quarter century and embraces and respects Hawaiian culture and the protection of Hawai´i's natural resources. We take great pride in  the fact that returning the Kona Village Resort to full service will provide stable jobs for scores of Hawai'i island residents."

Prior to its closure in 2011, Kona Village Resorts was in operation for 45 years. Opening its doors in 1965, Kona Village employed a significant role in the economic and cultural vibrancy of the West Hawai'i island region. 

About Kamehameha Schools: Kamehameha Schools (KS) is a private charitable educational trust endowed by the will of Hawaiian Princess Bernice Pauahi Bishop (1831-1884), the great-granddaughter and last direct descendant of King Kamehameha I. Today, her endowment supports an educational system that serves thousands of Hawaiian learners in Hawai'i and across the nation. Approximately 98 percent of the support for KS' educational programs comes from the endowment fund. Program tuition and fees are nominal, and the majority of students receive financial support from KS. As Hawai'i's largest private landowner, KS is responsible for the stewardship of over 365,000 acres of land on Hawai'i island, Maui, Moloka'i, O'ahu and Kaua'i.  The endowment's plans include countless opportunities to broaden and deepen Kamehameha's impact on the wellbeing of Hawai'i through KS programs and with the assistance of dedicated individuals, groups and organizations who share KS' educational mission. For further information on Kamehameha Schools, please visit www.ksbe.edu

Strategic Plan 2020: SP2020 is a five-year strategic plan that will guide Kamehameha Schools from 2015 to 2020. The plan marks a starting point toward KS' Vision 2040, which envisions success for all Native Hawaiian learners.

This agreement addresses Goal 5 of SP2020 which calls for KS to prudently optimize the strength, breadth, and strategic alignment of our resources with an organization-wide focus.

About Kennedy Wilson: Kennedy Wilson is a global real estate investment company. We own, operate, and invest in real estate both on our own and through our investment management platform. We focus on multifamily and commercial properties located in the Western U.S., UK, Ireland, Spain, Italy, and Japan. To complement our investment business, the Company also provides real estate services primarily to financial services clients. For further information on Kennedy Wilson, please visit here.