By Suzanne Roig
Advertiser East Honolulu Writer
HAWAI'I KAI — The pioneers of East Honolulu, its farmers, are feeling the squeeze as development pushes into the few remaining open areas of Hawai'i Kai, a community that's highly prized but nearly built out.
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| Charles Nii has owned a Hawai'i Kai plant nursery since the 1960s, but now deluxe homes are being built in the remote Kamilonui Valley where he farms. He has had to move his business twice because of developments in the area. |
This hardy group of 13 farmers who toil in the soil of Kamilonui Valley are all that remain of a farm community that was 350 strong in the 1950s, before industrialist Henry J. Kaiser began building the residential community that today is Hawai'i Kai. As new homes pushed them out of the way, they unintentionally became part of a trend that has seen the number of small farms in Hawai'i — those less than 10 acres — grow by nearly 33 percent since 1964.
The advent of the small farm and the rise in diversified agriculture both sprang from the decline of large-scale sugar and pineapple production.
That seminal event was also largely responsible for a nearly 1 million-acre decline in the amount of land in cultivation statewide in the same period. But that also made farm land readily available on the North Shore.
That's little comfort to the farmers in Hawai'i Kai, where they have lived and worked for decades, raised kids and grandkids, even seen a second generation take over on several of the farms.
Today they occupy a total of 87 acres tucked deep into Kamilonui Valley. They're hemmed in by the mountains and the marina, and now urbanization is encroaching. To one side a housing development is going up and on the other side and behind them will eventually be a cemetery.
While they still have 24 years left on their leases with landowner Kamehameha Schools, they worry what will become of them and their way of life.
"We are completely surrounded by development and we are being forced out," said Lillie Wong, president of the Kamilonui Farmers Cooperative. "Everything is completely urbanized now around us. I'm so angry over what's going on.
"Are we second-class citizens?" said Wong. "We, the cooperative, are the pioneers of Hawai'i Kai."
The farmers now must be concerned about wind direction when they're plowing, or the smell from fertilizers and chemicals because the homes are so close. A landscaped buffer is supposed to shield the homeowners from the farming enterprises, but the farmers worry whether it will be enough. Some farmers say those in Hawai'i Kai should see the inevitability of urbanization and take their farms and nurseries to the North Shore or the Wai'anae side of Kunia Road, an area that is sprouting new farms as abandoned sugar land is carved into smaller farms.
"Agriculture and residential don't mix well," said Larry Jefts, who cultivates several thousand acres on Moloka'i and in Kunia. "There's more room for farming in Hawai'i; it's just not in Hawai'i Kai."
Hawai'i Kai is popular with homeowners for its good schools and proximity to town, which brings top dollar in the real estate market. Those factors made the community ripe for development, and the last push is under way with 600 homes springing up in The Peninsula, 60 more at Schuler's Leolani development — adjacent to the farmers — and 85 more near the post office.
"There is significant pressure to develop on farm land," said Stephanie Whalen, Hawai'i Agriculture Research Center president. "Farms are developed in areas where there is water, good soil and flat land. Ultimately, that's the same area that development occurs on."
Kamehameha Schools says it will guarantee the farmers the right to the land until their leases expire. After that no one can predict, said Neil Hannahs, director of the trust's land assets division.
Farming is important to Hawai'i's economy as a way to reduce its dependence on tourism. A constitutional mandate backs that.
Gov. Linda Lingle supports agriculture, said Sandra Kunimoto, state Department of Agriculture chairwoman. Diversified agriculture is considered the basis of Lingle's economic stimulus package outlined in her 28-page governmental plan entitled "A New Beginning for Hawai'i." In tony restaurants around the state, locally grown produce is often touted. There are Kula strawberries, 'Nalo greens from Waimanalo, Kamuela tomatoes from the Big Island and Maui onions — all grown on small-scale farms.
"There's an increase overall in the number of farms," Kunimoto said. And the small farm has played a big part in that, she said. "In 1997, 63 percent of the farms are under 10 acres, compared to 53 percent in 1964."
Policy makers have been meeting since January to work out a plan to preserve land zoned in agriculture, but it's a long process.
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| New homes have sprung up on land that a neighbor of Gary Weller used to farm in the Kamilonui Valley. Much of the farm land in the Hawai'i Kai valley is now surrounded by housing developments. Bruce Asato • The Honolulu Advertiser |
Help can't come fast enough for the farmers in Kamilonui Valley. The sound of power tools from the construction of the nearby Leolani housing project disturbs the hush of the valley, where cool breezes rustle the corn stalks, banana leaves, green onions and nursery plants.
When the 60 homes are built, developer Schuler Homes will plant a landscape buffer between the farms and the homes. The buffer is supposed to block the noise of farming, the smell and the dust. For the length of the lease, Kamehameha Schools will support the farmers if problems arise from the proximity of homes, Hannahs said.
Still, the farmers worry what will happen if the new residents complain about their operations.
Robert Osgood, Hawai'i Agriculture Research Center vice president, said the Hawai'i Kai farmers could attempt to purchase their land in fee, start producing high-value products that bring in better money, or obtain special legislative protection from state or county government for greenbelt status.
But the farmers say the price of land in Hawai'i Kai is out of their league. And many government programs that offer loans or grants are unavailable because they typically require a 30-year term and the farmers don't have enough time left on their leases.
Since the last big housing boom in Hawai'i Kai began three years ago, the farmers have diligently attended community meetings. They are a quiet lot, not used to speaking in front of city officials or council members, but still they come to remind other residents that they derive their livelihood from the land.
But, they point out, they also provide food, jobs and green space.
Charles Nii, 87, has had to move his farm twice in the past 45 years, both times forced out by housing developments.
Nii has carved out a niche for himself as a hybrid hibiscus grower. He knows that further change may lie ahead for him and his son, Glenn. But he's not about to give up his farming lifestyle.
"We know we may have to move again if we don't have a lease," Nii said. "We might go to Waimanalo.
"There's enough sun there. But we plan to carry on the Nii Nursery wherever it will have to go."
L. Kae Graniel
November 15, 2010 at 1:51 am Great insight into a problem that I face on a regular bases. The CC of HNL has a Tax Review board. It’s always made me wonder if the landowners who ask for a decrease in their 2nd, 3rd and 4th or more properties ever give the leasees a break on their monthly rent prices. Some by the photos of the property are really slum lords. Welcome to the land of Aloha.
November 15, 2010 at 7:41 am Somewhere along the line, KS went from charitable trust to evil empire. It’s true that a lot of the lessees have gotten off with good deals, but I know a number of them who really are on a thin line and could be at least treated with some flexibility in the payments. However, KS is towing the hard line, probably to force these folks out and redevelop to get some of that fat, juicy, mainland money.
November 15, 2010 at 10:01 am oh, the rich get richer and the poor get children, in the meantime, in betweentime, aint we got fun.
The more things change, the more they stay the same.
Cliche Monday, I know….but what we see and what we get is how things go when we llive in a society where money talks and the rest of us walk.
Off to work – have a Good Monday everyone
November 15, 2010 at 10:21 am “Business is War”.
Not Kamehameha School itself but those who are trusted to run the School that are the ones to blame. It is again Business Persons who run Hawaii.
If you note in the article presented, The Same Politicians who are deciding on the fate of Kalihi are involved again. Are they being “paid” off by donations to cater to the “rich”?
I scratch your back, you scratch mine? The poor cannot afford a back scratcher!
November 15, 2010 at 11:12 am The State wants to help agriculture; step in and ‘condemn’ the farmland from KS/BE for $30/acre and then, negotiate a lease agreement with the farmers for slightly more per acre. The farmers, hopefully, won’t be stressed by a smaller increase of $15 to $32-35/acre compared to KS’s $434. Are the farmers using well water or paying for pumped in water? I guess land-owners always want incentive$ to keep agricultural lands in production but, why do some/most of them ‘ask for blood’ right off the bat’ instead of long-term vision toward sustained agricultural revenues? The Kamilonui Valley farmers seem to be in a ‘serf-like’ position….being asked/demanded to give all to the land-owner and hope for crumbs in return which seems doubtful in this situation.
November 15, 2010 at 2:18 pm Kamehameha Schools forwarded a copy of its full statement to the media:
November 15, 2010 at 4:45 pm KSBE’s media statement is contradictory. If the lessees are in violation of the lease such as subleasing, not using at least 50% for agriculture or using the land as a dumping ground then KSBE should warn, then evict the people who violate the lease. Lessee violations should have NOTHING to do with increasing rent for everyone, INCLUDING the families/groups or are abiding by all lease rules, NOT using slave labor like Aloun farms, providing food for Hawaii residents and making a modest profit to continue on with their farming business.
Also the difference in additional rent money collected by KSBE for the old lease rates with the higher lease rates for all 87 acres as identified by press release adds up to less than $260,000 more per year, which is chump change to KSBE. You get the feeling that KSBE figures it is legally easier and less of a public relations nightmare** to just ‘throw out the baby with the bath water’ and impose a blanket rent increase for everyone as a more effective tool to kick out the bad tenants once and for all. The legitimate tenants who are efficient and can make good use of KSBE land to farm can stay because only they will be able to comfortably abosrb the increase in their rent.
** Possible that some of the renters who are abusing their rental agreement with KSBE will try to get the local media to paint them as the “victims” who are now being kicked out of their “homes” by the “greedy” KSBE. Seems KSBE is using a preemptive strike to get it out to the public that some of these renters are not all “innocent victims”.
November 16, 2010 at 6:58 am The lessees submitted a proposed lease rent based on the Income Capitalization method of valuing land. KS, and the other large landowners in Hawaii , have relied on Sales Comparison as their exclusive method for valuation. This allows them to hold their land for income (rent) yet value it at speculative levels as if it were for sale, which it is not.
The local appraisers ignore the federally mandated principles contained in USPAP ( it uses “should” instead of “shall”) to the detriment of the lessees, who are the farmers and small businesses of Hawaii.
The basic principle of choosing a methodology for appraisal is that it should reflect the actions of the market participants. If they are speculators or investors then Sales Comparison or Replacement Value is most appropriate. If they are seeking rent then the Income Approach is called for.
But not in Hawaii.
November 16, 2010 at 10:18 am Math correction:
Current:
($185/acre-yr)*(87 acres)=$16,095/yr
KSBE proposed:
($434/acre-mnth)*(87 acres)*(12 mnth/yr)= $453,096/yr
Difference:
$437,001/yr
Still chump change to KSBE but that is salary for at least one KSBE lobbyist
November 16, 2010 at 2:44 pm ppcc, re: “…at least one KSBE lobbyist”
I was haunting the Capitol this past session, and in the process interviewed some registered lobbyists. One was a former KSBE contractor and they advised me that post “Broken Trust” KSBE had released all their formal contracts and were basically AWOL from the Leg. Too much scrutiny of their past bad behaviors had lead to hyper sensitive current trustees. Hence, no active lobbyists on the floor.
BUT…I just had another talk with a lobbyist who advised me that KS is currently taking proposals from lobbyists for active representation in the next session. So, if in fact they ever really left, what with alumni sprinkled throughout elected and administrative positions, it seems like they’ll be back to politicize their interests once again. I guess 10 years or so was long enough in purgatory.
This lobbyist advised me that KSBE was highly concerned about leasehold reform, and the HRPT success in having ACT 189 overturned had apparently emboldened them. They want to nip in the bud any attempts to change the status quo. I guess LURF and the other secondary representation is not enough.
Have you ever wondered what a Dynastic Trust looks like? Well, I checked their latest reported 2008 results:
9.44 billion 2008 up from 9.05 billion in 2007, thus they earned 435 million that year with Total Expenditures for ALL activities 273 million or less than 3% of assets. A Dynastic trust can keep increasing their portfolio basis by earning more than they spend with no statutory limit to the life of the trust. They have announced their portfolio is down to the 7+ billion range in 2010, but their income should be holding steady.
And thanks to the farmers of Hawaii Kai, maybe even going up!