PBS Hawai'i to buy land behind Hard Rock Cafe
By Andrew Gomes
Advertiser Staff Writer
Public television station PBS Hawai'i has taken another step in its quest to become more self-sufficient, agreeing to buy a property near the Hawai'i Convention Center on which to build a new broadcast facility.
The station is buying a vacant property at 1812 Kalakaua Ave. between the Ala Wai Canal and Hard Rock Cafe for $2.45 million from the estate of convicted financier Sukamto Sia that is in bankruptcy.
The purchase is expected to close within 60 days, and allow the station to move from its Manoa home on Dole Street leased from the University of Hawai'i.
PBS Hawai'i plans to announce a $10 million capital campaign in January to finance facility construction, largely through foundation grants and private donations.
The new broadcast center is part of an effort by PBS Hawai'i to become more financially stable, following its conversion from a state-run station to a private nonprofit three years ago.
The lease with UH ends in 2005, though PBS Hawai'i anticipates needing an extension to complete construction of the new facility.
Mike McCartney, president and chief executive of PBS Hawai'i, said the new facility will provide the station more manageable operating costs, but he emphasized that the station's relationship with the university will continue.
Since 2000 when PBS Hawai'i became a private nonprofit, the station has rented the UH property for $111,000 a year in production credits, which UH uses to produce special programs and films.
Prior to 2000, the station had paid nominal rent or no rent for about 25 years, as the university was the original licensee for public television in Hawai'i.
Proceeds from the property sale will go to Mitsui Trust & Banking Co., which holds a mortgage on the 28,761-square-foot property that was formerly the home of a Veterans of Foreign Wars clubhouse.
Sia is serving three years in a federal prison in Lompoc, Calif., for bankruptcy fraud.
Reach Andrew Gomes at agomes@honoluluadvertiser.com or 525-8065.
