Discovery Harbour Verdict: A long-running lawsuit over development rights in the South Point area of Discovery Harbour was decided last month in favor of the developer, South Point Investment Group, LLC. Third Circuit Judge Henry Nakamoto found that the properties owned by SPIG, including a golf course and several commercially zoned lots, were not subject to any of the restrictive covenants of the Discovery Harbour Community Association.
One of the principals of SPIG, Gary McMickle, told The Hawaiʻi Tribune-Herald, “We want to go ‘old Hawaiian,’ adding that plans for a high-end resort floated decades ago were not going to be pursued.
The community association has appealed Nakamoto’s judgment to the Intermediate Court of Appeals.
Meanwhile, another lawsuit SPIG brought against the association in 2018 is still being litigated. In that case, SPIG says that it was damaged by defamatory remarks the association’s officers made in meetings held by the county to develop the Kaʻu Community Development Plan. “SPIG’s right to develop a hotel and commit the commercial lots to other commercial uses is protected by the U.S. Constitution, the Constitution and laws of the state and county agencies relevant to the permitting of the proposed uses,” the complaint states. All the lots in the entire Discovery Harbour community remain in the state Agricultural land use district. The Kaʻu Community Development Plan land use policy map calls for the lots to be designated either Rural or Low Density Urban.
(For details on the lawsuit, see “Homeowners’ Association Is Sued by Kaʻu Developer with Big Plans,” in the April 2018 edition of Environment Hawaiʻi.)
Makauwahi Cave: Visitors to the Grove Farm website (grovefarm.com) are informed that it “is committed to preserving its historic sites and areas which are rich in cultural significance. We believe that understanding, embracing, and preserving historic sites leads to a richer community and better quality of life.”
One such site celebrated on the company’s website is the Makauwahi Cave Reserve. “This rich scientific site began to be discovered in 1992 by Dr. David and Lida Pigott Burney,” Grove Farm states. “Since the Burneys’ initial discovery, Makauwahi Cave has become internationally recognized as a model for paleoecology and its application on restoration and learning activities.”
Notwithstanding the website’s praise for the Burneys’ work, they left the site on October 31. In a statement, they announced they were retiring from their roles in fundraising and managing the site. “Uncertainty over Grove Farm’s future plans for the property prompted the company’s officials to tell the Burneys and their staff that no more grant-funding can be sought because the company did not wish to have any ‘encumbrances’ on the property.” A federal grant of $2.3 million for conservation initiatives as well as a state grant of $260,000 for community forestry were lost as a result.
A year ago, the Burneys’ lease for the cave was put on a month-to-month basis. The Burneys kept the site open to tours and for carrying out previous grants for nearly a year after that. But now, “all the money is spent, and as people in our mid-70’s, we can’t afford to dip into our personal saving to keep it going while Grove Farm decides what to do with the place.”
Environment Hawaiʻi asked Grove Farm about its plans for the cave. No response was received by press time.
— Patricia Tummons
Melissa Wheeler
Did anyone from Environment Hawaii call/email the Discovery Harbour board to confirm this information? It is incorrect. And yes, the HOA is appealing a decision regarding the validity of our HOA, which has nothing to do with SPIG’s property development. Our HOA has no facility in our governing documents to control what SPIG does with their property. It never had nor ever will, that is up to the county and state zoning people. SPIG has been suing the wrong entity for nearly 7 years now.
Irene Eklund
Sad that the writer regarding the Discovery Harbour Lawsuit can’t even get the known facts straight.
Aaron Stene
The DHCA is the correct entity for SPIG to sue according to final judgement from Judge Nakamoto. The decision lays out the facts of the case, which is pretty clear cut in my opinion. DHCA asserted the lots SPIG owns, and wants to develop, are subject to the CC&Rs of the subdivision. SPIG has successfully litigated the lots are NOT a part of the Discovery Harbor subdivision and DHCA is NOT a legal community association.