Waikele Business Center Added To Savio Projects
Peter Savio has announced plans to offer office space, initially for lease and eventually for purchase, at Waikele Business Center, a 36.795 acre industrial/commercial complex adjacent to his Waikele Storage Park.
Savio Realty has managed Waikele Business Center for owner Ford Island Ventures for the past 14 years and is currently contracted to purchase it with a projected closing date of August or September this year.
Savio acquired the 500 acre Waikele Storage Park in fee in October 2015 and has condominiumized the entire property, which includes warehouses, fenced yards and concrete and steel bunkers used by the U.S. Navy for munitions storage until the 1970s. The bunker-like compartments, dug out of solid rock in the lower portion of Kipapa Gulch, came to Savio’s attention approximately 20 years ago when he was serving as a consultant to a company that had won the rights to develop Ford Island Navy housing.
Both Waikele Business Center and Waikele Storage Park were components of a Navy base that also included administration buildings. Savio Asset Management currently supplies 24-hour security and maintenance for both complexes. Once Savio completes condominiumizing the business center, which includes a total of 10 structures, he plans to merge it with Waikele Storage Park.
He is currently in the process of rehabilitating the three-story Navy headquarters building, which has been vacant for 10 years and contains 29 individual offices, each of which is 313 square feet. Renovations include new windows, doors and flooring, painting inside and out, installation of rooftop photovoltaic panels, and electrical and plumbing upgrades as needed. A common-area restroom will be added on each floor.
“The building itself, which was built by the Navy, is structurally sound,” Savio said. “When we finish the remodeling and landscaping, it will be a very attractive and desirable office building, providing space on very reasonable terms to renters, and eventually to buyers, over a three-year period. Both open and covered storage on the property will also be available to office tenants.
“Tenants currently leasing two separate structures on the property, the Waikele Community Association and Global Specialty Contractors, have indicated their desire to purchase their units. We will sell them a 99-year lease and convert it to fee-simple condominium ownership in the future. If they do not purchase their units, we will offer them to investors or other tenants.
“Among prospective renters and buyers are our current tenants in Waikele Storage Park, which has no office space, so we would expect them to take advantage of the convenience of having their offices right next door in the business center. At some point, after we condominiumize it, we will be able to sell in fee to buyers, but for the interim we are offering non-binding preregistration agreements,” he explained.
According to Savio, the location of the project couldn’t be more convenient with an H-2 Freeway exit and entrance in both east and west directions close by. Pearl City and Kapolei are minutes away, plus there is easy access to Mililani, Waipahu and Wind-ward Oahu.
“Waikele Business Center includes ample parking for both tenants and customers. We have already resurfaced the parking lot and are working on the landscaping. As with Waikele Storage Park, I will be using open space along the gulch for a reforestation project that has been very successful … native trees such as koa, milo and hau thrive in the area. Our Waikele developments have actually become environmental projects,” Savio added.