Capital Markets | Investment Proper ties

ASKING PRICE | $8,000,000

FOR SALE

PAHALA OCEANFRONT LAND SALEHAWAII ISLAND - KAU DISTRICT | “GREAT CRACK” PROPERTY

PAHALA OCEANFRONT LAND

THE OFFERINGPROPERTY DESCRIPTION

CBRE is pleased to offer 1,951 acres of fee-simple oceanfront land east of Pahala in the Ka’u District of the Island of Hawaii. This spectacular property has approximately 2.7 miles of Pacific Ocean coastline.

PROPERTY SUMMARY

+ Total Land Area: 1,951.05 acres

+ Zoning: A-20A (Agricultural use only) and State Land Use Agriculture / Conservation District

+ Tenure: Fee Simple

+ Flood Zone: Zone X

PROPERTY DETAILS

Zoning - The property is zoned A-20A which is agricultural use only; one building on minimum of 20 acres. The area of the Property from the ocean to approximately 300 inland from the ocean along the shoreline is under the State Land Use Agricultural / Conservation District.

Location - The Property is situated within the Ka’u District, east of the town of Pahala. Pahala is located approximately 75 miles southeast of Kailua-Kona and 52 miles southwest of Hilo. The Property is immediately south of the Volcanoes National Park.

Access - Access to the Property is from a road leading southeast from Mamalahoa Highway (Highway 11).

Property Features - The Property offers spectacular ocean and mountain vistas. The famous “Great Crack” runs through the Property. The Great Crack is an eight-mile long crack in the island that is about 60 feet wide and 60 feet deep.

PARCELS ACRES

TMK (3) 9-6-13-3 1,537.41

TMK (3) 9-6-13-7 70.03

TMK (3) 9-6-13-8 27.05

TMK (3) 9-6-13-9 272.28

TMK (3) 9-6-13-10 44.28

TOTAL 1,951.05

P A H A L A O C E A N F R O N T L A N D S A L E

MARKET OVERVIEWCommonly known as the “Big Island”, Hawai’i Island’s 4,038 square miles of land area is more than twice that of all the other Hawaiian islands combined. Home to 193,000 residents, Hawai’i County’s population has grown faster than the rest of the state in recent years. The same can be said for Big Island tourism growth. With its relatively un-crowded beaches, ancient Hawaiian sites and the raw beauty of Hawai’i Volcanoes National Park, Hawai’i hosted roughly 1.4 million visitors in 2015, an increase of more than 30% from 2005.

Tourism-related industries such as accommodation and food services and retail trade are the dominant industries on the Big Island. The agricultural sector, while much smaller than during the era of plantation sugar production, is larger here than in the rest of the

state. The diversified agriculture industry includes cattle, Kona coffee, cut flowers, macadamia nuts and other crops. The unique high-tech industry in Hawaii County is structured around the Natural Energy Laboratory Hawaii Authority and the astronomy programs at Mauna Kea.

The number of visitors to the Island of Hawai’i expanded significantly during the past decade. Almost two-thirds of all Hawaii County’s visitors come from the U.S. mainland. The Japanese market is more important in Hawai’i County’s tourist industry than on the other Neighbor Islands because Kona International Airport services direct flights from Japan. Modest gains are expected as the U.S. and global recoveries strengthen.

LOCATION

The Property is situated within the Ka’u District, near the town of Pahala. Pahala is located approximately 75 miles southeast of Kailua-Kona and 52 miles southwest of Hilo. The Ka’u District is located south of South Kona and stretches around the southern tip (South Point) of the Island of Hawaii. Isolated to a large degree by the vast Ka’u desert, which dominates the northeastern portion of the district, the area is rich in culture and history. This district encompasses 922 square miles and includes over 80 miles of undeveloped coastline. According to the Ka’u draft Community Development Plan, nearly two-thirds of this district is designated Conservation by the State of Hawaii, a small fraction is settled, and the remainder is used for agricultural purposes.

PHYSICAL CHARACTERISTICS

Ka’u has more significant historical sites than the other island districts combined, with 78 areas so designated by government archaeologists. It is a region steeped in a rural lifestyle and its residents are bonded by the desire to preserve the natural and cultural resources that are the foundation of their agrarian philosophies. The area is characterized by moderate slopes, relatively young and permeable lava flows, and annual rainfall which varies from less than 20 inches up to 75 inches at the 5,000-foot elevation.

The natural beauty of the district offers some of the state’s more memorable sights. Volcanoes National Park dominates the desert terrain of the district’s northeast sector. The district also features the island’s famous black and green sand beaches, located at Punalu’u and Kealualu Bay, respectively.

ECONOMY

Over the past two decades, since the decline of the sugar industry, residents have utilized their rural roots and expanded into other forms of diversified agriculture. Tourism, which is the engine that drives the majority of the state’s economy, is still in infancy stages in Ka’u. The community is interested in maintaining the rural ambiance of the area and is resistant to the introduction of major visitor infrastructure to Ka’u. The Hawaii Volcanoes National Park, located at the northeast entry to the Ka’u District, is improved with the 33 room Volcano House hotel which was renovated in 2013 at an estimated cost of $3 million, but other accommodations in the district are limited to smaller bed and breakfast operations or private vacation homes and cottages.

ACCESS

The Ka’u District is easily accessible from either Hilo or Kailua-Kona but this region of the Island of Hawaii remains largely undeveloped. Primary access to the Ka’u District is via Highway 11 (portion of the Mamalahoa Highway), a bidirectional thoroughfare that roughly extends along or proximate to the coast between Hilo and Kailua-Kona.

The closest airport is Hilo International Airport which is approximately 53 miles northeast of Pahala. Driving time to Hilo International Airport is about 1.0 hour from Pahala. The Kona International Airport is about 80 miles from Pahala with a drive time of approximately 1.75 hours.

PARCELS ACRES

TMK (3) 9-6-13-3 1,537.41

TMK (3) 9-6-13-7 70.03

TMK (3) 9-6-13-8 27.05

TMK (3) 9-6-13-9 272.28

TMK (3) 9-6-13-10 44.28

TOTAL 1,951.05

CONTACT US

© 2017 CBRE, Inc. All rights reserved. This information has been obtained from sources believed reliable, but has not been verified for accuracy or completeness. Any projections, opinions, or estimates are subject to uncertainty. The information may not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property and verify all information. Any reliance on this information is solely at your own risk. CBRE and the CBRE logo are service marks of CBRE, Inc. and/or its affiliated or related companies in the United States and other countries. All other marks displayed on this document are the property of their respective owners. Photos herein are the property of their respective owners and use of these images without the express written consent of the owner is prohibited.

F. KEVIN AUCELLO (B)First Vice President+1 808 561 5601kevin.aucello@cbre.com

Capital Markets | Investment Properties

KA:RMP_IV78PahalaLand_08.15.17

PROPERTY WEBSITEwww.PahalaOceanfrontLand.com

PAHALA OCEANFRONT LAND