ISLAND VOICES
Close chapter on land control
By Stephany L. Sofos
President of S.L. Sofos & Co. Ltd, a Honolulu real estate consulting firm
The City Council's recent decision to vote on moving forward with condominium condemnation vs. waiting to discuss the issue again at a later date was the right thing to do.
There are many reasons for my position, but chief among them is the future of the quality of life in our Islands.
The condemnation issue has been affirmed through the court system because of equality issues. Regardless of the small landowners' position, most fee owners of many residential leasehold tracts still remain the large trusts that in turn create land oligopolies.
Whenever so few own so much there is a tendency to control, no matter how benevolent the landowners appear to be in public. We have seen in our recent past there is also the probability of manipulation of land values and the people who reside on the properties. The residential leasehold system breeds terror in lessees and forces them to comply with the pressure of the landlords out of fear of retribution and the loss of their homes.
The land condemnation allows individuals who have incurred risks and have mortgaged their lives for their homes to now have the ability to either create a legacy for their children or give themselves a home for their senior years without fear. The landowners are receiving fair market value and in many circumstances inflated value for their land. They are not losing money on the transaction.
Should they choose, the money can then be moved into other investment vehicles without taxation and in many cases provide a higher and greater yield for their dollars.
Many of the large landowners fear the forced breakup of the residential leasehold will hurt the beneficiaries of the land and trusts. But both the Damon and Campbell Estates understood residential leasehold ownership was outdated and got out of the business in the 1950s and 1970s, respectively. Both trusts function well today.
Finally, while I understand this is an emotional issue for many Native Hawaiians, I think it is appalling to take children out of school for them to testify at meetings.
We all need to close this chapter of Hawaiian feudal land control and move forward into the 21st century.
