Kahala Nui, top, and Mary, Star of the Sea Church and School. (Photos by Celia K. Downes / Hawaii Catholic Herald)
Hawaii Catholic Herald
Last October, the Diocese of Honolulu announced a land sale agreement with Kahala Nui, a retirement community that for decades had leased a 6.5-acre plot of land next to Mary, Star of the Sea Church and School in Waialae-Kahala.
The agreement provided permanence and stability for Kahala Nui and its wide range of apartments and life care services for seniors. It also ensured that Mary, Star of the Sea would retain long-established use of portions of the land, including an underground parking lot and a soccer field, and it placed the diocese on firmer financial footing.
The deal initially was expected to close in the last quarter of 2024 but was delayed. On Jan. 16, the diocese and Kahala Nui confirmed that the land sale had successfully closed.
“We are grateful for our nearly two decades of partnership with Kahala Nui, and this transaction represents a mutually beneficial outcome for both organizations,” Bishop Larry Silva said in a news release.
Craig R. Courts, president and CEO of Kahala Nui, shared a similar sentiment: “We are honored to continue our relationship with Mary, Star of the Sea Parish and School, and we look forward to being an enduring part of this neighborhood.”
The diocese will create a number of perpetual endowment funds to manage the proceeds from the sale. The Hawaii Catholic Community Foundation will oversee endowment funds for Mary, Star of the Sea Church and the diocese to ensure both will continue to receive the same amount of revenue that was generated under the previous land lease deal.
Perpetual endowments will be established for deacon formation, seminarian and clergy education, and clergy medical and retirement expenses. The land sale will also help shore up priest and lay pension funds.
Other beneficiaries include the Augustine Educational Foundation, a nonprofit that operates under the diocese to provide financial assistance to students attending Hawaii Catholic schools, and the Cathedral Basilica of Our Lady of Peace in downtown Honolulu, which needs repairs and renovation.
