The city has scheduled a public hearing on a developer's application to build a small two-story retail complex in Waikiki.

Malibu, Calif.-based American Commercial Equities LLC plans to develop the 14,000-square-foot complex at 1944 Kalakaua Ave. on the diamondhead corner of Niu Street near Fort DeRussy.

The property is largely a former car rental lot and is adjacent to the recently opened ING Direct savings bank Internet cafe on the site of a former Local Motion store also owned by American Commercial.

American Commercial needs a Waikiki Special District Permit to proceed with the plan.

The city Department of Planning and Permitting will hold a public hearing on the permit application March 6 at 10:30 a.m. at Honolulu Hale in Room 205, the City Council Committee Meeting Room.