DLNR still plans to appeal sale of hotel
The state Department of Land and Natural Resources still plans to continue its appeal of the Naniloa Volcanoes Resort sale, according to its land manager.
The sale in U.S. Bankruptcy Court closed Tuesday, but DLNR still believes there are loose ends with the process that need to be addressed, said Land Administrator Russell Tsuji.
DLNR filed the notice of appeal last week.
Tsuji said the agency has concerns over the court transferring the lease for the property to the buyers, WHR LLC, without its consent. Additionally, it wants assurances that other “non-monetary issues,” including building code violations, will be addressed.
He believes that the court could have set a bad precedent for other DLNR tenants that go into bankruptcy by not addressing those issues.
Benjamin Rafter, president and CEO of Aqua Hospitality, one of hotel’s new partners, said code violations and other problems will be resolved.
Tsuji said he hopes to talk with the representatives of the new owners, adding that the appeal is “likely to go forward.”
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