KAILUA-KONA — The physical aesthetic of Kona’s economy is changing as construction begins on a new shopping center, big names in retail switch locations, and some mainstay storefronts appear destined for vacancy while others may soon bustle again with new commerce.
Safeway will move a few blocks makai down Henry Street to anchor the new Niumalu Marketplace at some point during the first half of 2020, leaving questions as to what business will assume its place at the Kona Crossroads Shopping Center where Safeway has done business for more than two decades.
Crossroads includes several restaurants and retail shops built around the central draw of the grocery store.
Cliff Ogata, of Evolution West Management Services, which manages the current Safeway storefront, said the logistics of the company’s agreement with Safeway make answering that question impossible — and even asking it premature.
“The reality is we don’t have control over the space as of yet, so there’s nothing we can do,” Ogata said. “Safeway still has a valid lease for many years.”
Ogata declined to provide direct information on the length of Safeway’s property lease with Evolution West.
He added that while talks between the two sides have commenced, any decisions on the lease and a replacement tenant likely remain years away.
There are several possibilities for transitioning the storefront but neither side has approached possible renters or vice versa, Ogata said.
Evolution West will continue to do business with Safeway on other properties. Because of that, Ogata said he expects the two sides will work together successfully to find a mutually beneficial solution.
“We anticipate an amicable, win-win situation,” he said.
While Crossroads contemplates what happens when Safeway departs, the rumblings of retail may soon return to the old Sports Authority, a long-vacant storefront located in Kona Commons.
Management at Kona Commons declined to provide specifics but said the center is involved in promising talks with several retailers interested in the storefront, which has been utilized solely for community events and activities since it closed its doors almost two years ago.
“Kona Commons is in discussions with multiple local and national users to take over the former Sports Authority space, but we can not reveal more at this time,” management said.
The Kmart in Kona, located Kamakaeha Avenue, announced officially in May its plans to shutter the store in early August. There are no reports of prospective tenants interested in taking over the space at this time.