Starwood ends deal with Molokai Lodge

By Kelly Yamanouchi
Advertiser Staff Writer

Molokai Lodge and Kaupoa Beach Village will operate as independent hotels under Moloka'i Properties Ltd. Advertiser library photo • May 8, 2001

Molokai Properties Ltd., also known as Molokai Ranch, owns the hotel and will manage Molokai Lodge and Kaupoa Beach Village and operate them as independent hotels. Molokai Properties owns 40 percent of Moloka'i and managed the 22-room lodge and 40-room beach village before Starwood took over in 2002.

Molokai Properties chief executive Peter Nicholas said Molokai Lodge will also become a member of Small Luxury Hotels of the World. The Hotel Hana-Maui is the only other Hawai'i member of Small Luxury Hotels, a collection of more than 300 hotels worldwide.

Starwood wanted to expand the property's lodge from 22 rooms to about 60 to accommodate groups, but the expansion never happened and the parties broke off the agreement after two years.

"Our agreement had to do with expansion plans that we felt were important to the future success," said Keith Vieira, senior vice president for Starwood Hotels & Resorts Hawaii. "I don't believe that they're in that same expansion mode."

The Molokai Lodge is Starwood's only property on Moloka'i. Vieira said Starwood will focus attention on new properties on the Big Island and Maui.

All Lodge and Beach Village employees will remain through the transition, though some employees may choose to take other positions at Starwood, according to Molokai Properties. Most employees were employed by the ranch, Vieira said.

Molokai Properties also plans to base reservations operations on Moloka'i.

Taryn Waros has been named general manager of the property.

Molokai Properties is owned by Singapore-based BIL International Ltd., a publicly-traded company that owns 20 hotels in London and bought part of Moloka'i in 1988.

Reach Kelly Yamanouchi at kyamanouchi@honoluluadvertiser.com or 535-2470.