NOTICE OF PUBLIC AUCTION
PIER 7, HONOLULU HARBOR, 65-YEAR LEASE
DEPARTMENT OF TRANSPORTATION,
HARBORS DIVISION
Notice is hereby given that the State of Hawaii, Department of Transportation, Harbors Division (STATE) shall conduct a public auction (Public Auction) for lands located at Pier 7, Honolulu Harbor, Island of Oahu, State of Hawaii.
Pursuant to Chapters 171-15 and 171-16, Hawaii Revised Statutes, the Department of Transportation, Harbors Division, hereby gives notice of a Public Auction for a sixty-five (65) year lease for Pier 7, Honolulu Harbor.
The Public Auction will be conducted via sealed bids:
1. General Description and Location of the Premises. The Premises is comprised of five (5) easements situated at Pier 7, Honolulu Harbor, Island of Oahu, Tax Map Key Nos. (1) 2-1-001:057 (P) and (1) 2-1- 001:058 (P), Governor’s Executive Order No. 3542. The five (5) easements are as follows:
Parcel IA: 1,290 square feet of nonexclusive use for landscaping by the LESSEE, vehicular access by the United States Coast Guard (USCG) for the maintaining, installing, and servicing of its existing range light and as a turnaround area for emergency and service vehicles.
Parcel IB: 15,345 square feet of exclusive land used by the LESSEE for the construction of museum building and related facilities including the improvements.
Parcel IC: 2,000 square feet of exclusive land for use by the LESSEE for landscaping and for the main public entrance to the improvements.
Parcel ID: 6,500 square feet of nonexclusive land used for a loading area, parking for handicapped visitors of the LESSEE, vehicular access for the USCG for the maintenance of its range light within Parcel IA, emergency vehicle access, pedestrian access, service vehicle access for cruise boats operations conducted from Parcel IE. Parking of vehicles within the parcel other than those aforementioned is prohibited.
Parcel IF: 2,800 square feet of nonexclusive land for USCG’s vehicles, service vehicles for cruise boats utilizing Parcel IE, access for vehicles of LESSOR required in the maintenance, repair, etc., of Parcel IE. LESSEE has the right to install a maximum of seven (7) structural supports approved by LESSOR along a two (2) foot wide strip. Additionally, the LESSEE shall have the right of the air space fifteen (15) feet above Parcel IF and extending to a maximum height of seventy-two (72) feet for the construction of improvements.
2. Term of Use. The term of the Premises Lease (Lease) shall be for sixty- five (65) years, commencing upon execution of the Lease. The Lease premises shall be used for a museum and related facilities, with a harbor and wharfage operation component, that allows for pier and space availability for harbor and wharfage operations.
3. Upset Rent. The upset annual rent for the first (1st) five (5) years shall be SIX HUNDRED TWENTY-EIGHT THOUSAND THREE HUNDRED DOLLARS AND NO/100 ($628,300.00). The rental amount shall be due and payable in quarterly installments in advance for the term of the Lease. Additionally, a minimum investment of 8-12 million dollars toward improvements of the area and its direct surroundings is required.
4. Information relating to this property is available by appointment at Department of Transportation, Harbors Division, located at 79 S. Nimitz Highway, Honolulu, Hawaii, 96813. Call (808) 587-1945, Ms. Jennifer Tomita, Property Manager, to request an appointment or email, jennifer.dh.tomita@hawaii.gov.
5. Bidding. Each prospective bidder will be required to complete the Bid Intent Package consisting of a Qualification Questionnaire and completion of the minimum qualifications required of applicants listed below. Please submit request of Bid Intent Package to jennifer.dh.tomita@hawaii.gov. Please return verification qualifications and completed Qualification Questionnaire two weeks prior to submission deadline. Once received and verified, notice will be sent via email to interested parties. Please allow ten (10) days to resolve any issues related to minimum qualifications and if resolved, three (3) days will be given for notice of reconsideration.
Any qualified individual, corporation, limited liability company, partnership, joint venture or other entity may bid at the Public Auction after timely submission of an acceptable Bid Intent Package.
6. The STATE reserves the right to cancel the Public Auction, or to postpone or continue the same from time-to-time, as it may deem necessary, by publication of notice to that effect or by public announcement at the time scheduled therefore.
Minimum qualifications required of applicants are as follows:
Individual/Company must be legally registered to conduct business in the State of Hawaii
Applicant will be subject to any Environmental Assessment, Traffic Study, HRS 6E review, etc., requirements for the Applicant’s proposed use and purpose.
Must be in good standing with Department of Commerce and Consumer Affairs
Will be required to obtain current State Tax Clearance Form
Will be required to obtain current City and County of Honolulu Tax Clearance Form
Has not had during the five (5) years preceding the date of this public auction, a previous sale, lease, license, permit or easement covering public lands canceled for failure to satisfy the terms, conditions and covenants thereof.
Please submit all sealed bid applications to Department of Transportation, Harbors Division, 79 S. Nimitz Highway, Attn: Property Management (Public Auction), Honolulu, Hawaii 96813. All sealed bid applications must be received by 12:00 noon (HST) on November 3, 2022. The bid opening will be held on Friday, November 4, 2022 and all participants will be notified of the result by e-mail and/or mail.
(SA1388583 10/3, 10/17/22)
