Honolulu City Council members are questioning a fantastic deal that the Queen’s Surf Cafe and Lanai is getting from the city. Located on an oceanfront spot on Kapiolani Park, the open air restaurant and concession stand has a contract with the city to pay only 5 percent of gross sales to the city. This equates to approximately $3,442 per month during the first year that it has been open. The owners of the restaurant are also required to maintain the public restrooms and do some landscaping of the surrounding area. City Councilwoman Ann Kobayashi, the Budget Committee Chair, stated, “I told the department that I don’t have anything against the vendor. It’s a beautiful setting, and we haven’t had any complaints about the business. My concern is the process. If this isn’t the highest and best use of the space, the city is losing money. It’s also a fairness issue.”
Kim Scoggins is the vice president and division manager for Colliers International, a local real estate company. Scoggins added, “Typically they’d be paying more like $25,000 in net rent for a retail space like this. It’s really up to the city to make sure their system is correct and that they are watching.”
The current permit will expire on December 3, 2012 and it is unclear if the owners of Queen’s Surf Cafe will win the bid again.
Source: Honolulu Star Advertiser, 8-26-2012, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Broker-in-Charge, Realtor®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com
Posted by Jeff Uyemura-Reyes, Broker-in-Charge, Realtor®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com
