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- calendar_today October 27, 2026
Development Proposal for Hilo Business Park
The Department of Hawaiian Homelands (DHHL) has confirmed plans to develop a business park on 146 acres of land along Railroad Avenue in Hilo, Hawaii. This initiative is part of a broader effort to support DHHL's first residential development in East Hawaii in more than two decades, the Panaewa residential homestead project.
Aiming to Serve East Hawaii's Communities
Ann Mikkio, a consultant for DHHL from PBR Hawaii, stated that the proposed business park would primarily serve residents between Puna and North Hilo. The location is designed to address the needs of these communities and stimulate further hilo commercial growth.
Preliminary Tenant Discussions Include Costco
DHHL shared that although no formal agreements have been reached, early talks have taken place with potential tenants, including the big box retailer Costco. Should these discussions progress, the business park could host the only Costco on the eastern side of Hawaii Island. Currently, the island's lone Costco outlet is located in Kona, on the west side.
Significance for East Hawaii Retail and Economy
Local leaders have commented on the potential impact of a new Costco in the area. Residents from Puna, Hilo, and Hamakua frequently travel to Kona for shopping, contributing to heavy traffic on Highway 200, also known as Saddle Road. Senator Lorraine Inouye of Hilo noted the high demand for big box stores and expressed strong support for a Costco in East Hawaii.
“Between the folks from Puna and Hilo, Hamakua, all goes to Costco. I mean, that’s why our traffic on Highway 200, Saddle Road, is always busy,” she said.
Sen. Inouye expressed optimism about the proposal, welcoming Costco to East Hawaii and predicting the retailer would find strong community support and success should the project be approved.
Next Steps for the Hilo Development
With the business park proposal in early stages and tenant agreements not yet finalized, the DHHL will continue its planning process, including further discussions with interested businesses. The outcome could mark a significant development for east hawaii retail and the area's economy by providing new shopping options and supporting the panaewa homestead initiative.
Source: khon2.com.
