Aloha Tower seeking $700,000

By Andrew Gomes
Advertiser Staff Writer

The owner of Aloha Tower Marketplace said it needs a $700,000 loan to continue operating the retail center at Honolulu Harbor.

Aloha Tower LP, which filed for bankruptcy protection in January because of a ground rent dispute with the state, filed a motion in U.S. Bankruptcy Court on Friday asking for approval of the loan to cover projected operating losses during the next six months.

The partnership said an affiliated company that holds the marketplace mortgage has already advanced about $500,000 to cover losses this year through September, but is unwilling to advance any more money.

The festival marketplace has had $1.6 million in losses from operations this year through September, and will need $700,000 through April to cover projected operating losses, according to court filings.

A firm majority-owned by Central Investment Holding Co. has agreed to make the loan, according to court filings. Aloha Tower LP limited partner Trinity Investment Trust LLC would own 14 percent of the lending firm.

Officials representing Trinity and Aloha Tower LP could not be reached for comment yesterday.

A hearing date to consider the loan has been scheduled for next Friday.

Aloha Tower LP said in the filing that it needs $100,000 in the next 30 days, and has requested the loan on an emergency basis after being turned down by local lenders and one in Washington state.

Reach Andrew Gomes at agomes@honoluluadvertiser.com or 525-8065.