Kamehameha acquires Varsity Theatre site

Pacific Business News (Honolulu) - 11:34 AM HAST Wednesday, June 27, 2007
Kamehameha Schools is acquiring the Varsity Theatre site in Moiliili in a land exchange that gives Robertson Properties Group the trust's old Kamehameha Drive-In property in Aiea.
The deal, announced Wednesday, gives Hawaii's largest private landowner the deed to the 1.7-acre Varsity property on University Avenue, which includes the Varsity Office Building, in exchange for the property at the corner of Moanalua Road and Kaonohi Street near Pearlridge Center and an undisclosed cash payment.
Los Angeles-based Robertson Properties Group is owned by Pacific Theatres parent Decurion. Pacific Theatres owns Consolidated Theatres and the Varsity Theatre.
"Consolidated's decision to close the Varsity provided us with an opportunity to acquire a strategically valuable piece of property," Kirk Belsby, vice president for endowment for Kamehameha Schools, said in a statement.
"It strengthens our ties with the university community and with Moiliili business and residential communities, and it strengthens our ability to support our educational programs and services."
Robertson plans to redevelop the Aiea site and will come up with a master plan in the coming months, said John Manavian, vice president of development for Robertson Properties Group.
Kamehameha Schools plans to upgrade the Moiliili area, which includes Puck's Alley, in the next few years, said Tara Young, senior commercial asset manager for Kamehameha Schools.
"The Varsity property adds even greater synergy to our options and opportunities in Moiliili," she said.
Robertson Properties Group recently completed the renovation of the former Waikiki Theatre site on Kalakaua Avenue, now called the Center of Waikiki, and is currently developing a shopping mall called Pearl City Gateway on the city's former Manana land in Pearl City.
"Oahu is one of our core target markets where we are actively developing and acquiring land," Manavian said. "It also is a challenging market but we are well-positioned to move quickly and pursue opportunities where we can bring new uses to older properties and reposition them to better serve Oahu residents."