Archives from March 2007 to March 2009
Below are archived posts that were posted by the website founder, Hans. Hans dedicated two years to serving the Ilikai community.
A notice from Olga, the website’s current administrator: I moved the website to another web hosting company and re-designed the whole website. Consequently, the links in the archived posts do not work because I did not re-create the links. I do have the files.
3-10-09 From the “activerain” blog, part of a worldwide realestate network comes this news. This entry as well as previous press reports have referred to the Ilikai as a “Condotel”. Some apparently do not realize that it will require 67% of all owners to approve changes to Ilikai governing documents to change the Ilikai full service hotel to a “condotel”. Certainly, getting 67% of all owners to go along, is highly questionable.
3-10-09 Today, the Star Bulletin featured an article entitled “Ilikai Parishioners just praying for survival. Read the article here. The paper reports that the hotel potion of the Ilikai will be auctioned off in Circuit Court on April 15, 2009.
3-9-09 The current AOAO counsel Mr. Christopher Goodwin seems to be selective in pursuing the collection of maintenance fees. Read this amazing article that appeared in the Jan 31, 2009 edition of the Honolulu Advertiser. It seems that some will always have water even if they owe hundreds of thousands in maintenance fees.
3-5-09 The first meeting of the new AOAO Board of Directors has been scheduled for Friday, March 6th, 2009 at 3 pm in the Maui Room. All owners are encouraged to attend. The first agenda item is to elect officers (president, vice president, secretary and treasurer). We hope you can make it.
3-5-09 At yesterday’s annual meeting of Ilikai owners a new Board of Directors was installed. 7 of 9 director positions were up for election. Owners voted to oust Brian Anderson, Cord Anderson and Peter Herndon. Now that the ANEKONA nightmare has come to a conclusion, this website will shut down in the next few days. We wish to acknowledge the tireless efforts of a select group of owners to “save” the Ilikai. Of course, numerous challenges remain and we hope that the new Board will have the vision, courage and stamina required to rebuild the Ilikai.
3-5-09 HAWAI’I Magazine.com published an article about the Ilikai today.
3-3-09 As owners struggle to preserve the Ilikai, the State of Hawaii is adding new challenges. A new bill in the legislature is proposing [once again] to commercialize the Ala Wai Small Boat Harbor to generate revenues. A hearing before the House Finanance Committee has been scheduled for today at 5 pm in Room 308 of the Capitol building. This development could seriously affect the property values in the Ilikai and you may want to make your voice heard. You can read the bill [HB-1766-HD1] by clicking here. Also, we are posting arguments against this bill here. In addition, one of our neighbors has provided testimony in opposition of this bill. You can read it here.
3-1-09 Gary Dubin, counsel for Brian Anderson and his ANEKONA group of companies has filed a “Notice of Appeal to the Hawaiian Intermediate Court of Appeals” protesting the summary judgement in the foreclosure action. This step could further complicate and delay a final resolution to the mess at the Ilikai.
2-27-09 The next AOAO Board meeting has been scheduled for Wednesday, March 4 at 3 pm in the Hawaii Prince Hotel. Reminder: the annual meeting of Ilikai owners will be held at the same location beginning with sign-ups at 5 pm. If you come from out-of-town, this is your chance to attend an AOAO Board meeting.
2-26-09 Perhaps these folks know more than we do. Read about Edition Hotels.
2-25-09 If you like rumors, here’s what we have picked up from HotelChatter.com. Perhaps the publication is referring to the Yacht Harbor Tower but then, who knows. Read the article here.
2-24-09 Although we have not received any official notification, it appears that tomorrow’s Board meeting has been cancelled. You may wish to check the bulletin board in the mail room to be certain.
2-23-09 Last week’s motion by iStar to remove Joseph Toy as Receiver and Foreclosure Commission was granted at today’s hearing. The Court substituted George van Buren. In other news, Mr. Toy’s previous motion to close the Ilikai Hotel was withdrawn.
2-23-09 Marshall Reddick Real Estate Network, ANEKONA’s partner in selling off approximately 97 units in the Ilikai last year, has filed for Chapter 11 Bankruptcy Protection on Feb 17, 2009. Marshall Reddick’s own announcement can be viewed by clicking here.
2-22-09 The next Board of Directors meeting has been scheduled for February 25th, 2009 at 2 p.m. The location of the meeting has not yet been announced. Please check the bulletin board in the mail room. All owners are invited to attend.
2-20-09 Perhaps time share is the next casualty of current economic conditions. The Wall Street Journal issue of February 13, 2009 reports “Timeshare write-down hits Wyndham Profit”. Will our “neighbours” be next? Read the article here.
2-20-09 iStar FM Loans LLC, Ilikai’s lender has filed a motion in Circuit Court to replace current receiver/foreclosure commissioner Joseph Toy in a dispute of fees. Thus far, Toy and his team have incurrec about $800,000 in fees since October 29th, 2008. The lender has asked Circuit Judge Blondin to install attorney George van Buren to run the hotel and auction off the Ilikai’s hotel and commercial assets. Read today’s article in the Star Bulletin here.
2-17-09 Hearing postponed! The hearing on Mr. Toy’s motion to shut down the Ilikai Hotel has been postponed again. The new hearing date is February 25, 2009. There has been some speculation that Mr. Toy would resign as Receiver/Foreclosure Commissioner, however, as of now the Court has not appointed a replacement. Stay tuned.
2-15-09 Have you sent in your proxy yet? If you are interested in protecting the Ilikai from selfish investors who have no interest in preserving your home or vacation property values, be sure to assign your proxy to one of our volunteers who will ensure that Board control is returned to individual owners. If you have any questions about the proxy form or where to send it, please contact Ms. Lea Sasak at (925) 580-9149.
IMPORTANT NOTICE OF ANNUAL MEETING OF THE ASSOCIATION OF APARTMENT OWNERS OF THE ILIKAI AND PROXY SOLICITATION
The annual meeting will be held on Wednesday, March 4, 2009 at the Hawaii Prince Hotel – Mauna Kea Ballroom. Registration begins at 6:00 pm, the Call to Order at 6:30 pm
To read more about this year’s proxy solicitation, please click here.
2-6-09 After the Liquor Commission at its hearing yesterday heard testimony from eRealty [dba Hawaii Hotel Services 2] and from members of the community [including Ilikai owners and Unite Here! Local 5 members] voted to deny eRealty’s motion to withdraw its application. Subsequently, the Commission also denied the application as a result of protests by a majority of eligible voters living within 500 feet of the YHT. The Commission encouraged eRealty to reach out to the community the next time they apply, most likely a year from now.
2-4-09 eRealty Company, owner of the Yacht Harbor Tower adjacent to the Ilikai main tower, was facing overwhelming opposition to their application for an all encompassing liquor license. Rather than risking a denial by the Liquor Commission which would have prevented eRealty from re-applying for the license for one year, eRealty withdrew the application. You can read the report in today’s Business Journal by clicking here.
2-2-09 The hearing originally set for tomorrow, Feb 3 on the Receiver’s motion to shut down the hotel has been postponed. Please read the update on the dates, times and locations of the various hearings by clicking here.
2-1-09 “Condotel king hits downcycle” reports Honolulu Advertiser’s Andrew Gomes. When you read this article, you may wish to add a grain of salt.
1-29-09 When Circuit Judge Blondin finalized iStar’s forclosure proceedings against Brian Anderson and ANEKONA last week, it rendered Brian Anderson, Cord Anderson and Peter Herndon ineligible to serve on the AOAO Board. Consequently, they were replaced at yesterday’s Board meeting with owners Charles Carroll, Bob Romo and Lea Sasak. Stay tuned for further developments.
1-24-09 “Parts of Hawaii’s famed Ilikai could go dark” made national headlines and has been reported by the Associated Press. This article was published in the Chicago Daily Herald.
1-24-09 KITV NEWS: Tough Time for a Waikiki Landmark. Watch the news clip here.
1-23-09 “It may be lights out for parts of Ilikai,” according to an article in today’s Star Bulletin. The AOAO has been paying electricity for the entire building but has yet to be reimbursed for electricity charges incurred by ANEKONA’s hotel and retail operations. This dispute may result in the power being cut off to ANEKONA-owned units on February 1, 2009.
1-22-09 Update on Proxy Solicitation: Apparently, there has been some confusion about this year’s proxy solicitation. Please click here to read the “Concerned Ilikai Owners” letter and follow those instructions rather than the ones you have received from Hawaii First, Inc. If you need a new proxy form,please send an email to admin@ilikaiowners.com.
1-20-09 If you care about the Ilikai and want the current nightmare to end, then help us take back control of the Board. Click here to read how you make your vote count.
1-20-09 “Ilikai Workers Devastated” reads today’s headline in the Star Bulletin. Read the article here online.
1-19-09 On January 2, 2009 we asked Richard Emery of Hawaii First, Inc., the AOAO’s financial managing agent, how much ANEKONA owes the Ilikai’s AOAO. Read his answers by clicking here.
1-17-09 NBC’s affiliate KHNL featured an article on their website about the impending Ilikai Hotel closure. Read it here.
1-16-09 The Star Bulletin reports that the “court-appointed Receiver for the iconic Ilikai hotel has filed a motion to shut down the Waikiki landmark property on Feb. 8 after its lender refused to pay for ongoing operations. About 150 full and part-time hotel workers will be affected by the closure”. Read the article by clicking here.
1-16-09 Today, the Honolulu Advertiser surprisingly carried a brief on the planned shut-down of the Ilikai. The paper has rarely reported on the problems caused by Brian Anderson and the ANEKONA group but the hotel shut-down news just could not be ignored. Read their story and reader comments here.
From the ILIKAI grapevine (at Sarento’s)
Brian Anderson, whose Ilikai properties have been foreclosed on, was overheard saying with a big smile on his face that he has a buyer for the Ilikai who plans to convert his residential units into time share. We say “NOT SO FAST, Mr. Anderson. Even if your high-priced lawyers tell you what you and your lender might want to hear, a time share operation is NOT permitted at the Ilikai. Fortunately, Hawaii’s Land Use Ordinances or time share plans do not override Ilikai’s governing documents. Owners vigorously oppose time sharing and plan to litigate the matter to protect their rights”. After all, Ilikai owners have learned much about time share opertions that have resulted in ever increasing maintenance fees and outrageous assessments when they were introduced into mixed-use properties such as the Ilikai.
1-15-09 Two weeks ago, we asked Mr. Richard Emery of Hawaii First, Inc. to provide us with the total amount ANEKONA owed the AOAO for maintenance, electricity, air conditioning and other charges as of December 17, 2008, the date the motion for summary judgment was granted. Mr. Emery offered to have this information by Jan 7. Unfortunately, as of today we are still waiting for this data. As soon as this information is available we will publish it here.
1-3-09 Active management at Ilikai keeps property fresh
Please note comments made by Joe Toy, iStar’s Receiver, in this piece published by Pacific Business News (Honolulu). Just click the underlined link.
12-30-08 Starwood Drops Management of W Honolulu Diamond Head Hotel. Starwood announced it will end its management contract of the W Honolulu Diamond Head hotel effective January 9, 2009. The hotel will no longer be named the W Honolulu Diamond Head and its management will transfer to ANEKONA or a new operator, according to travelpulse.com.
12-18-08 iSTAR FM LOANS, LLC, ANEKONA’s lender, filed a motion for Summary Judgment against all defendents and for Interlocutory Decree of Foreclosure on December 17, 2008. The motion was granted by Judge Blondin of the Circuit Court. Details on the hearing and ruling are described in more detail in The Star Bulletin and the Pacific Business News. You may read the stories by clicking on the links (shown in red).
12-8-08 You may have received maintenance fee payment coupons for 2009 from Hawaii First, Inc. The first batch of coupons erroneously listed a separate amount for air conditioning although it had been decided to no longer break out that amount. Thus the coupons called for a monthly payment of $538.02. The correct amount should have been $498.02 for a one-bedroom apartment. Corrected coupons have been mailed and if you have not yet received them, they should arrive shortly.
12-6-08 – 12-18-08 This site was off the air. New developments, however, make it necessary to restart the website and keep the Ohana informed.
12-5-08 This has been a tumultous week. The AOAO had been paying electricity bills for several months without being reimbursed by ANEKONA. This week, after the AOAO threatened to cut electricity to ANEKONA’s properties, an interim agreement was reached under which ANEKONA’s lender agreed to pay $250,000 to the AOAO, avoiding the power cutoff for the time being. Negotiations are continuing.
12-5-08 More than one month ago, we welcomed Messrs. Webb and Dominguez to our Board of Directors and asked them some questions that had been received from owners. Read our email to them here and form your own opinion.
11-30-08 Owners John Hall (not to be confused with John V. Hall, the director) and Jo Ann Fitzpatrick sent a letter to the Planning Director, City & County of Honolulu. Read it here.
11-26-08 The customary Board of Directors meeting recap is now available. We can now also – finally – share with all owners the 2009 Approved Budget, the 2009 Approved Maintenance Fees and the Reserve Study. Just click the name of any of the files named above and view the relevant document.
11-24-08 The next Board of Directors meeting will be held tomorrow, November 25, 2008 at 10 a.m. in Canoe’s [former] restaurant. You can view the agenda by clicking here.
11-24-08 The following photograph is self-explanatory.
11-24-08 The following photograph is self-explanatory.
IMAGE OF eREALTY’S BOBCAT
11-23-08 “Henry J. Kaiser, Hawaiian Booster – by Randall O’Toole. Compare Henry Kaiser to today’s “developers”. You can read the story by clicking here.
11-21-08 After some 50 owners and members of Local 5 showed up for the Liquor Commission Hearing, eRealty & Companies requested a continuation of the hearing. In the face of substantial opposition to the granting of a general liquor license for the Yacht Harbor Tower, the applicants decided that a continuation was better than an outright denial. They cited three reasons for their request: 1. they had “just” started their community outreach, 2. eRealty is finalizing construction plans with Marriott after which they would be able to be more specific in terms of areas and times where liquor would be served and 3. they had “discovered” rumors and misinformation which they wanted to correct. It seems that these days, we can only get answers about plans when our support is needed. Our recommendation to eRealty: Communicate your plans, be less arrogant and thus avoid any rumors.
We have obtained a copy of the agreement between eRealty and Marriott as well as the agreement between eRealty’s lenders and Marriott Hotel Services. If you are interested in reading these agreements click here for the Management Agreement and here for the Subordination, Non-Disturbance and Attornment Agreement between Wells Fargo Bank, M. Waikiki (an eRealty company) and Marriott Hotel Services.
11-19-08 WAIKIKI (KHNL) – A high-rise fire in Waikiki Tuesday night sent at least one person to the hospital. The fire started in a condo unit on the 19th floor of the Ilikai Hotel. At least part of the hotel had to be evacuated while fire crews investigated. They tell us one person was in the unit at the time of the fire and that the room was cluttered with personal items. The sprinklers helped them contain the flames. Crews had the fire under control shortly after 7:30 p.m. Paramedics took one person to the hospital in stable condition for observation. The cause is still under investigation. Damage from the fire is estimated at $40,000.
11-7-08 Finally, with the help of several homeowners attending the Board meetings on November 3 and 7, 2008, we can publish our traditional Board Meeting Recap. Please read it here.
The November 3rd, 2008 Board meeting could not be concluded due to the fact that Richard Emery of Hawaii First, Inc. was unable to attend and present financial information. As a result, there will be a supplemental Board meeting tomorrow, November 7th, 2008 at 10 a.m. in the Maui Room. Taking advantage of the fact that Director Popovich will not be available on such short notice, the ANEKONA-aligned directors have added a few agenda items in the hope of pushing them through. Please see the agenda here. Owners are asked to attend this meeting in force to monitor activities by the Board.
11-7-08 NBC’s affiliate KHNL Channel 8 covered yesterday’s rally against the issuance of a general liquor license to the owners of the Yacht Harbor Tower. Click here to read the article.
11-7-08 Here goes another one. According to the Star Bulletin, First Hawaiian Bank has filed a lawsuit to foreclose on the W Hotel, owned by Brian Anderson. Read the article here.
11-6-08 Alert for Ilikai Owners! It appears that some AOAO management issues are brewing. Please read about them here.
11-5-08 As a result of one owner’s diligent and persistant pursuit, we now have a clear understanding of the Ilikai’s Flood Insurance Requirements. If you are a homeowner with a mortgage and have been required to purchase additional flood insurance coverage, please read this important update. Click here for the short version or here for the long version. You could save substantial amounts in premiums and may even be eligible for a refund.
11-4-08 Entities that own or operate the Yacht Harbor Tower have applied for a general Liquor License. Most Ilikai owners protest the granting of this license. Please click here to read about our reasons for the protest. We have made it easy for you to protest the issuance of the liquor license. Please click on this link and load the protest form. You can then print it out, complete it and fax it as soon as possible to 808-941-2166. Thank you for your support.
10-31-08 A new parking plan goes into effect Saturday at the Ala Wai Small Boat Harbor. The lot is located behind the Ilikai Hotel, next to the helipad and Kaiser’s surf break. More than 300 hundred stalls will be free for ocean users, but will be closed overnight from 10:30 to 4:30. The remaining stalls are designated to harbor tenants and paid parking, which will cost 25 cents an hour. Diamond Parking has been selected by the Dept. of Land and Natural Resources to manage the parking areas.
10-31-08 On October 28, 2008 Circuit Court Judge Karen N. Blondin ordered the appointment of Mr. Joseph M. Toy as Receiver for iStar, ANEKONA’s lender. According to reliable sources present at the hearing, Mr. Gary V. Dubin, ANEKONA’s attorney attempted to persuade the Judge that the appointment of a Receiver was unwarranted. In his arguments, he admitted that Brian Anderson never had any intention to operate a hotel in the Ilikai. His plan was always to sell individual condominiums. Of course, Ilikai owners were not fooled by Anderson. They knew all along that his so-called renovation plans were for the sole purpose of getting owners’ approval to change the restricted usage covenants in our governing documents so that the hotel portion of the Ilikai could be converted to individual units either for conversion to a condotel or time share. Judge Blondin’s order can be viewed here.
10-29-08 Please check the “Letters from and to Owners” tab occasionally as new letters have recently been posted.
10-25-08 The lawsuit filed by Ilikai owners against ANEKONA-aligned directors on October 6, 2008 in Circuit Court has been responded to. Read the “I know nothing” response here.
10-20-08 – News you did not want to hear: Thanks to a dedicated owner with a camera we are able to expose the monstrosity built by the Hilton Hotel next door. The fact that Hilton has been able to plough ahead with view-obstructing buildings begs the question how our Board of Directors and its legal support team have allowed this to happen. Please view the images posted under the “Gallery” tab. If you wish to express your concerns, please write to the Board of Directors c/o Peter Herndon. His email address is: pvherndon@y2marketing.com. In addition, it may be useful to contact Mr. Henry Eng, Director of Planning & Permitting at the City and County of Honolulu – Tel: 808-768-8000 or send a fax to 808-768-8001. Only forceful protests will get their attention.
Before Hilton’s Monstrosity
IMAGE OF HILTON’S MONSTROCITY
After Hilton’s Monstrosity. Ilikai Owners, please get involved to have this torn down!
10-14-08 Late Update: At today’s Special Board Meeting, called on Friday within minutes of conflicted Board members being served with a lawsuit, the Board elected two Board members to replace Teri Orton and Wendy Redman. They had resigned rather than face legal action. To no surprise to anyone, the new Board members are Mr. Creighton Webb, a long-time supporter of ANEKONA and their “renovation” plans and Mr. A. James Dominguez, CEO and President of JD Painting & Decorating, a former Ilikai contractor hoping to get new business. Also, at this meeting, the Board hired a former employee of Hawaii First, Inc. He was hired as a Manager-Consultant at $7,000/month for a period of at least 3 months. It is not known what his function will be. Perhaps he has novel ideas on how the AOAO can collect overdue maintenance fees from ANEKONA. Can the AOAO afford yet another consultant when we are experiencing serious financial problems due to ANEKONA’s delinquencies? If you want to read our opinion and commentary, please click here.
10-14-08 Update: At a status conference yesterday, Judge Gary Chang of the First Circuit Court decided not to bar today’s special board meeting from occurring, in which ANEKONA-aligned directors have indicated a plan to replace two directors who had voluntarily resigned as a result of impending legal actions against them. However, the Court expressed concern to counsel for Defendants about ANEKONA stacking the deck with directors. The Court also expressed concern about the creation of a General Manager position. The Association is financially strapped because ANEKONA has defaulted on maintenance payments. The total sum owing may soon surpass 1 million dollars. The Court invited the suing owners back to Court in the event that the ANEKONA-aligned directors do not meet their fiduciary responsibilities.
10-10-08 Now that ANEKONA-aligned Board members have been sued in Circuit Court, they are rushing to call a Special Board Meeting for Tuesday, October 14, 2008 at 2 p.m. to fill the vacancies created by the two Board members who have voluntarily resigned at the request of the suing Ilikai owners and directors. They have also decided to hire a General Manager for the Association in Executive Session, a position that has not been approved. All indications are that the current conflicted Board members are trying to maintain control of the Board, even if they are ultimately removed by a Court of Law. View the Notice of the Special Board Meeting here.
10-06-08 More than 100 owners and 2 directors have filed a complaint on behalf of the AOAO in Circuit Court against ANEKONA-Aligned directors for removal and monetary damages. Read the complaint here.
10-10-08 INVESTORS FILE $10 MILLION SECURITIES FRAUD LAWSUIT AGAINST REAL
ESTATE “INVESTMENT CLUB” [Marshall Reddick Real Estate Network) AND HAWAII DEVELOPER [Brian Anderson] FOR FAILED CONDO HOTEL PROJECT IN WAIKIKI. Read the complaint here.
6-27-08 Judge extends restraining order against developer. Published in Pacific Business News. Read the article here.
3-28-08 Members of the hotel workers union Unite here! Local 5 and Ilikai homeowners joined in a demonstration yesterday afternoon protesting ANEKONA’s treatment of workers and homeowners alike. Hundreds of people participated. The event was covered by three local Television stations and print press. ANEKONA representatives were not available for comment. To get a visual image of the protests, click here.
3-27-08 Read today’s full article and comments in the Star Bulletin. For your convenience, we have provided this link. Just click here.
3-26-08 You may have read the article in today’s Honolulu Advertiser, entitled “Developer scales down Ilikai Renovation Plan”. The fact that Brian Anderson is blaming homeowners for his unsuccessful attempts to change the Ilikai should come as no surprise. Read the article here.
3-24-08 A letter from several owners has been sent to Mr. Richard Emery, President of Hawaii First, Inc., the new managing agent for the Ilikai AOAO. The letter questions the ruling on cumulative voting at the continued annual meeting of owners on March 14th, 2008. Read the letter here.
3-20-08 Pacific Business News also reported that Ledcor Pacific Construction, LLC has filed a mechanic’s lien against ANEKONA Retail, LLC and SVC (Shell Vacations Club) for unpaid work amounting to $62,718. Check out page 37 of PBN here (this takes a few minutes to download). Seems like the AOAO is not the only organization looking for timely payments.
3-19-08 Now that ANEKONA has taken complete control of our Board of Directors, they have also taken on substantial fiduciary duties. Therefore, it is important that all homeowners be vigilant and track all of their actions. Please report any concerns or violations of our declarations, bylaws, house rules, etc. to admin@ilikaiowners.com.
3-14-08 If you were unable to attend today’s continuation of the March 4th, 2008 Annual Meeting of Ilikai Owners, click here to read the recap. The recap also presents the results of the election of three board members.
3-14-08 In other news: Developer Brian Anderson and his wife are being sued for $2.76 million. To read today’s article in the Pacific Business News, go to: http://www.bizjournals.com/pacific/stories/2008/03/17/story8.html
3-8-08 Some owners have asked why so many walked out of the 2008 Annual Meeting of owners last Tuesday. Here’s an explanation that might help understand the circumstances. Just click here.
3-5-08 If you thought that the Association’s Annual Meeting last year was a fiasco, wait until you click here and read what happened at the 2008 Annual Meeting yesterday.
3-4-08 Welcome to the annual meeting of the Association of Ilikai Owners to be held today at the Hawaii Prince Hotel. Please be there at 6:00 p.m. or earlier to register, and pick up a copy of the resolution we will introduce. This resolution calls for “Proportionate Representation” on the Board of Directors. As you know, we share a mixed-use condominium complex with residential and non-residential units. The purpose of the resolution is ensure that minority interests will not dominate our Board of Directors. Your YES vote will ensure that you, the individual owner, will be represented on the Board proportionate to the interest all homeowners have. Also, pick up your “collector’s item” button that reads “The Ilikai is our home”.
You will also be asked to sign a petition to call a Special Meeting of the Association to disolve the Board in the event that ANEKONA is successful getting control. In that case, after disolving the Board, a new election will be held at which time ANEKONA will not get more seats on the Board than they deserve, based on their interests in the property. There will be several of us circulating this petition. Please print your name, sign the petition and add your apartment no(s).
2-29-08 The recap of yesterday’s Board of Directors meeting can be found here.
Previous home page items have been moved to the “Archived” tab to reduce clutter.
The next Board of Directors meeting has been scheduled for March 27th, 2008 at 3 p.m. in the Maui Room on the second floor of the Ilikai main tower.
2-6-08 Please click here to read Ilikai Homeowners call for Unity, if you wish to maximize your effectiveness as you vote at the upcoming Annual Meeting of Ilikai Apartment Owners. If you need a blank copy of the official Proxy form, you may download it for here and simply print it.
1-23-08 ANEKONA put out a letter to all owners urging them to vote on the “Written Consent Packet”. The letter includes several attachments billed as letters from owners both for and against their proposal. Some owners have reported receiving seven copies of the same email within a few minutes. Perhaps the results of the vote are not going well for ANEKONA. We suggest that you read the material carefully, separate spin from fact, add a grain of salt and then cast your vote intelligently.
1-19-08 ANEKONA has embarked on an aggressive campaign to persuade homeowners to approve their “Written Consent Packet”. They are regularly posting so-called facts and or questions, designed to mislead homeowners. We will be posting their notices under the newly set-up “Spin vs. Facts” tab above.
1-14-08 The next Board of Directors meeting has been scheduled for January 23rd, 2008 at 3 p.m. All owners are invited to attend. If you have any requests or comments that should be taken up at the Board meeting you should complete a “COMMENT/REQUEST FORM” in the AOAO office. For more information, please call the AOAO office at 942-1828.
1-14-08 New photos have been added to the Gallery page.
1-13-08 Owner Cindy Jacobson has taken the time out of her busy schedule to share with you her view of ANEKONA’s so-called “Renovation Package”. Her letter was mailed to owners of record on Jan 4, 2008. If you have not seen her letter, you can read it here.
1-10-08 ANEKONA, as expected, has begun an email campaign to solicit votes in support of their “Written Consent Packet”. You will be receiving regular emails with so-called “Fact of the Day” attachments. Caution: Check their “facts” against reality. If you have any questions, please send an email to admin@ilikaiowners.com. As predicted, if you have not sent in your NO vote, expect to be barraged by more emails, phone calls or other communications from ANEKONA. There is a simple way to stop all of that: Send in your “Written Consent” form in the provided envelope and mark your form:
þ NO. I AM AGAINST THE PROPOSED ACTION
By the way, ANEKONA will attempt to convince you that most owners are supporting the “Written Consent Packet”. This is simply not true. They are counting their own votes, of course. Remember how our Board of Directors voted to recommend rejection of the package before the group was intimidated by Brian Anderson. With the help of Mr. Goodwin the motion was put on the agenda for next month’s meeting, thus avoiding a timely Board action.
1-8-08 We have successfully established a Legal Defense Fund in order to retain independent legal counsel to represent Ilikai owners’ interests. If you wish to contribute to this fund, please send an email to admin@ilikaiowners.com with your name, apartment # and pledge amount. So far, individual owners have contributed amounts from as little as $100 to as much as $2,000.
1-3-08 Where to mail ANEKONA’s “Written Consent” form. Brian Anderson’s cover letter instructed you to return the form either in the postage-paid envelope or to fax it to (808) 945-7477 or email it to info@anekona.com. Please be aware that the fax number and the email address both belong to ANEKONA. We think it is inappropriate to return your form to anyone but Hawaiiana Management Co. Their address is:
Pacific Park Plaza, Suite 700
711 Kapiolani Blvd.
Honolulu, HI 96813 – - – - If you wish to fax your form, please use (808) 593-6333
Unite Here! Local 5 Hawaii has sent a letter to homeowners recommending a NO vote on ANEKONA’s “Written Consent Packet”. If you have not received your copy and would like to read it, click here.
1-1-08 Documents on this website that have been corrected/updated, are highlighted. Please read them again to see the changes. Specifically, the “Recap of the December 27th, 2007 Board meeting” and the “Ilikai Renovations Breakdown – what really benefits homeowners” documents have been updated.
12-27-07 Today’s Board of Directors meeting had some very interesting aspects. The recap is not equivalent to the official Board meeting minutes. What is being reported here is for informational purposes only and has no legal standing whatsoever. Although this recap follows the sequence of the agenda, the last part should be of particular interest to you. Read the updated recap by clicking on this sentence. After reading the recap, scroll down to the STOP sign and read the corrected “Warning”.
What follows pertains to ANEKONA’s “Written Consent Packet”. Please read it in order to be fully informed and not mislead. If you have any questions, please send an email to admin@ilikaiowners.com or call one of these numbers: (916) 730-2346 or (808) 441-6721.
12-25-07 Please review ANEKONA’s “Written Consent Packet” carefully. ANEKONA states in the transmittal that the proposed lease will bring $11M dollars of revenue to the AOAO. In reality, the lease has a Present Value (PV) of $2.3M (at 5%) or $1.6M (at 7%). The $11M figure is clearly misleading. We recommend that you vote NO or that you do not vote at all.
12-25-07 An attempt at reconciliation with ANEKONA has been made in a letter to Brian Anderson. You can read it here.
12-20-07 ANEKONA held a “Renovation Meeting” at Canoes Restaurant today. You can read a recap of this meeting here.
ANEKONA’s “Written Consent Packet” has been mailed. As you study the proposal, you may also want to read
“ANEKONA Proposal Seeking Owner Consent” and
“Ilikai Renovations Breakdown – what really benefits homeowners” and
“Explanation of the ANEKONA’s proposal by the AOAO’s legal counsel”
Just click on the red links above to access the documents. Hopefully these documents will provide some additional information as you consider your vote. The attorney’s letter has been mailed to all homeowners.
Warning (this note was corrected on 12-28-07): Please take your time and do not return your vote immediately, as has been suggested. You may receive telephone calls or other communications from ANEKONA urging you to send in your YES vote. Remember, you have up to one year to cast your vote! Once you have sent in your vote, you cannot change your mind later. As soon as Hawaiiana receives 67% YES votes, the voting process ends and ANEKONA will be able to move forward with their new powers, the 99-year lease and the poorly described “renovations.” If you disagree with ANEKONA’s “Written Consent Packet” you should returnyour ballot by marking
þ NO. I AM AGAINST THE PROPOSED ACTION
What is the difference between voting NO as shown above and not voting at all? If you vote NO, ANEKONA will not likely attempt to call you and pressure you to vote yes as you cannot change your mind and send in another ballot. If you do not vote at all, ANEKONA can and most likely will attempt to persuade you to vote YES – up to one year.
Previous Posts have been moved from the home page to the “Archived” page. This make the home page load faster.
2-6-08 The next Board of Directors meeting has been scheduled for February 28, 2008 at 3 p.m. on the second floor of the Ilikai Apartment Building. All owners are invited to attend.
2-1-08 Good news for Ilikai homeowners: Bikram Yoga College of India will not be coming to the Ilikai in the foreseeable future. According to Bikram’s own website (http://www.bikramyoga.com), they have found a new permanent location for their Teacher Training Seminars in Acapulco, Mexico.
2-1-08 The UNITE HERE LOCAL 5 agrees with homeowners and is recommending a NO vote on ANEKONA’s “Written Consent Packet”. See their mail-out here and vote NO, if you have not already done so.
1-31-08 You may wish to read additional letters from owners received in the month of January. Check out the “Letters from and to Owners” tab above.
1-30-08 The local press has reported an agreement between ANEKONA and ResortQuest. Links have been provided to the articles under the “Press Links” tab above.
1-29-08 Some owners have contacted us because they have lost or misplaced their ballot but wish to vote NO. Rather than searching for the ballot, you can just click here to bring up a copy. Simply print it, enter your name and apartment number and sign and date it. There is no need to mark any of the OPTION boxes at the bottom. Send the completed form to:
Hawaiiana Management Company
Attn: Carol
Pacific Park Plaza, Suite 700
711 Kapiolani Blvd.
Honolulu, HI 96813 – - – - – If you wish to fax your form, please use (808) 593-6333
1-26-08 In reviewing property tax records for the Ilikai, we have found that a number of apartments/units are incorrectly classified for property tax purposes. If you think you are paying too much in property taxes, you may find our Ilikai Property Tax Tips useful.
The Board of Directors of the Ilikai Apartment Building is NOT in favor of ANEKONA’s “Written Consent Packet”. It can be safely assumed that the Board has carefully considered the Renovation Package and has found that it is not in the best interest of owners.
This was confirmed today as the Board approved the minutes of the December 27, 2007 meeting. As we have said before, inspite of all the promotion and propaganda by ANEKONA, you should vote NO and send in your ballot to Hawaiiana.
NO. I AM AGAINST THE PROPOSED ACTION.
6-21-08 Read “Ilikai dispute prompts lawsuit” in today’s Honolulu Star Bulletin.
6-20-08 Pacific Business Journal features a more detailed report on the lawsuit filed by Network Development Properties, LLC. Read the article by clicking here.
6-17-08 We have obtained a copy of the complaint filed in U.S. District Court by Network Development Properties, LLC (Marshall Reddick) against Brian Anderson and ANEKONA ISLANDER. Read the complaint here. Marshall Reddick had partnered with ANEKONA to sell units in the Ilikai. View their video promotions here. Additional information of their “joint development” project can be found here.
6-16-08 In our attempt to explain the issues of the Reserve Study and the much talked-about possibility of a $10M loan to the AOAO, we have asked the AOAO’s Managing Agent for financial matters. Click here to read the Q & A.
6-15-08 Are you interested in the previously prepared RESERVE study? This may help you understand why the AOAO does not need a $10M loan. Check this information by clicking here. We have provided this data to Mr. Emery of Hawaii First, Inc. and asked for his assessment and opinion. Explaining the issues of the Reserve Study and the possibility of a $10M loan, please read our dialog with Mr. Emery here. If you have any questions, please send your email to admin@ilikaiowners.com.
6-11-08 We have updated our paper ”The Continuing Assault on the Ilikai”. To read it, please click here.
6-5-08 The Design/Reserve Committee seems to be up and running. While the anticipated reserve study [provided "free" by Hawaii First, Inc. ] has not yet been completed, it seems the committee is moving forward with cosmetic changes to the Ilikai, funded by a $10M loan to be amortized by Ilikai owners. Read the committee’s notes of their June 5, 2008 meeting here. Additional information, as it becomes available, will be posted under the “Design/Reserve Committee” tab.
6-5-08 You may recall that on March 14, 2008 the Pacific Business Journal reported that Brian Anderson and his wife had been sued over a Kauai hotel transaction. Now, a judgement in the case has been entered. Holualoa Aloha, LLC won the judgment and was awarded $2,884,575.90 plus attorneys’ fees and costs, which amount to an additional $24,156.15. Anderson had originally agreed to pay $2.65 million to buy out Holualoa Aloha’s share in the company that owns the Aloha Beach Resort on Kauai (which is called Anekona Aloha Ownership, LLC). Anekona made five payments of $21,748 each, but missed the balloon payment for the balance. Now Anekona will have paid a total of $3,017,472.05 for the Holualoa share (including attorneys’ fees), which is $376,000 more than they would have had to pay if they had made all their payments on time.
5-30-08 NOW HEAR THIS - First, the developer illegally and without consent of the AOAO or its Board of Directors moved the Ilikai security office from the Yacht Harbor Tower to the Ilikai garage area, although the AOAO holds a long-term lease for the space in the YHT. According to our bylaws, the garage area cannot be used for a security office and now the Association’s attorney charges that the AOAO is in effect in violation of the Ilikai bylaws. This would be rather comical if it were not so serious. Who is the President of the AOAO (which allegedly is in violation)? Who is the President of the AOAO’s Board of Directors? Who has the authority to end this violation to avoid a lawsuit by owners? And finally, who is the AOAO’s attorney of record to keep the association out of legal trouble? If this is not the hallmark of an abusive Board, I don’t know what is. How much is the AOAO paying the attorney? Please read the comments from Mr. Herndon (well, he had none), and from Mr. Hall with the assitance of the AOAO attorney here.
5-30-08 The current location of the Ilikai Security Office and its previous, illegal move from the Yacht Harbor Tower to the Ilikai garage is the subject of this letter to the AOAO Board President.
5-29-08 As an Ilikai owner, can you identify with what’s described in this article?
5-28-08 Is the ILIKAI in a similar situation to the one described here?
5-26-08 Be vigilant and stay informed. Several important issues have come up and you should take action to protect your investment and interest in the Ilikai. The first issue is the potential and not yet proven error in electricity charges being co-mingled with overdue maintenance dues. Read correspondence with Mr. Emery here.
The second issue is the unilateral, unapproved move of the AOAO Security Office from the Yacht Harbor Tower to the Ilikai main tower, although the AOAO has a long-term lease for this space. Read about this issue here. A letter has been sent to the Board President. You may read it here.
The third issue relates to the Board-appointed committees (Security, CEC and Design/Reserve Committee). Have you ever given any thought why the Board has appointed so many committees, primarily staffed with ANEKONA Board members and ANEKONA-recruited owners? The anwer is rather obvious. The ANEKONA-controlled Board wants its recommendations presented and/or ratified by committees that appear to have owner participation. This would reduce the appearance of abuses by the Board. Do not be fooled by this tactic. The developer and the Board president, an ANEKONA officer, firmly control [or at least try to control] all activities, actions and decisions by those committees. How many committees does the Hilton Hawaiian Village have? How many does the Waikiki Trump Tower mixed-use hotel/condominium project have?
As the specifications for a security contract are sent out to potential vendors we should ask if a proposal from the new company “5-0″, owned by Brian Anderson should be considered. What is the experience level of this new company? What references can they provide that would give us the confidence of awarding a contract worth tens of thousands of dollars per month. What has been the track record of providing unlicenced security services to the Ilikai in the past? Why should we trust security to the company that is owned by the company that controls our Board of Directors?
5-22-08 To view the [partial] recap of yesterday’s Board meeting, click here.
5-21-08 The Hotel and Restaurants workers union UNITE HERE! LOCAL 5 distributed some 800 leaflets at the Filipino Parade in Waikiki on May 10, 2008 with information about Brian Anderson. To see the flyer, click here. In addition, on May 19, 2008, the union sent a letter to Ilikai homeowners. If you have not yet received this letter, you may read it by clicking here.
5-21-08 Continuing violations of our house rules, declarations and bylaws demonstrate the need for the new Enforcement Committee. Check out the new tab above.
5-21-08 The Timeshare factor at the Ilikai. Shell Vacations Club has been populating the Ilikai in recent years. Has this contributed to the deterioration of the Ilikai and its clientele? The WALL STREET JOURNAL published an article on the timeshare industry in Hawaii on March 10, 1983. It seems not much has changed in 25 years. You may access an image of this article by clicking here. Once the image appears on your screen, you may have to click on it to enlarge it.
5-19-08 – UDPATE! As our beautiful Ilikai continues to deteriorate, we felt it was important to highlight the most important issues facing the Ilikai Ohana. You can read this document by clicking here. Once you have opened the document, you will find underlined text in blue. By clicking on those links, you can get additional information. If you find any inaccuracies or wish to comment, please send an email to admin@ilikaiowners.com.
5-17-08 You are aware that our Board of Directors has established and staffed three committees to review issues and make recommendations. The Ilikai Ohana has decided to add an “Enforcement Committee” with responsibility to review violations of AOAO Declarations, By-Laws and House Rules. This committee will present its findings and make recommendations for remedies to the Board, the Association’s Manager and the Association’s attorney. Members will meet monthly and minutes will be posted on this website under the new tab “Enforcement Comm”.
5-16-08 The next Board of Directors meeting, originally scheduled for May 28, 2008 has once again been rescheduled. According to our information it will now be held on May 21st, 2008 at 1 p.m.
Additional information about the current state at the Ilikai will be posted during the coming weekend.
5-13-08 We have restructured the BLOG. Please click on the Blog tab above and use it to voice your concerns or express your opinions.
5-12-08 The “Meetings/Results” tab has been replaced with four new tabs: Board of Directors, Common Elements Committee, Security Committee and Design/Reserve Committee. Available information or minutes from these meetings will be posted under the respective tab. This website is a collaborative effort. If you have any comments or concerns about what is posted here, please send an email with your name and apartment number to admin@ilikaiowners.com.
NO PARKING at these rates in the Ilikai! Try the Ilikai Marina at $200/mo.
5-9-08 ANEKONA NOTICE! Effective June 1, 2008, monthly parking rates will once again be increased. Prior to ANEKONA’s purchase of the hotel in July 2006, monthly parking rate was $100 when paid one year in advance. Shortly thereafter, ANEKONA increased the rate to $150 on month to month basis, obviously to preserve their right to change the rate again at a moment’s notice. New customers had to pay $200. The new rate will be $225.00 another 50% increase for those who were paying $150/mo. Thus the increase since ANEKONA purchased the hotel and parking amounts to 125%, a far cry from the consumer price index. Perhaps owners have to foot the bill to cover the lost revenue from empty stores and low hotel occupancy.
5-9-08 Today, the newly appointed Design Committee met. Once again, Mr. Herndon talked about the possibility of a $10M loan to AOAO to renovate the Porte Cochere and the pool. Strangely, this amount equals the amount that had been allocated in ANEKONA’s renovation packet. Now that ANEKONA could not get the packet approved by owners, they are trying a new approach: borrow the money, make those renovations that would make it easier for ANEKONA to sell their stake in the Ilikai and have owners repay the loan. Standing by to assist in securing such loan would be Mr. Richard Emery of Hawaii First, Inc. – for a commission, of course (Mr. Emery, CEO of Hawaii First has responded with “Hawaii First has a strict ethics policy that prohibits any commission, fee, or pay for work we do on behalf of the association, other than our contract”). Hawaii First has also offered to do a reserve study – for free?! Perhaps it would be better to pay an independent company to do such study. Remember the old saying “You get what you pay for” (Mr. Emery’s response: “our contract requires us to provide a free reserve study to the Ilikai”) We have asked for a copy of the management contract which, of course, should not be a secret.
5-8-08 Today, the newly appointed Security Committee met for approximately 3 ½ hours. Randall Mack attended the meeting in addition to the committee members. The meeting has been described as ‘extremely contentious’ and by and large as ‘a waste of time’. Apparently ANEKONA, through their representatives on the Board (John Hall, Creighton Web, Peter Herndon), tried once again to prevent the contract for security services from being sent out for bid. Eventually, after considerable discussion, it was agreed to send out the RFP on May 20th, 2008 and invite vendors to respond within 30 days. Another continuing issue was the lease of the security office. After ANEKONA moved the security office from the Yacht Harbor Tower illegally and without any authorization whatsoever. The AOAO has a long-term lease for the space in the YHT and must insist on getting comparable space both in size and practicality with identical lease terms before it can agree to terminate the lease in the YHT. ANEKONA has thus far failed to provide for comparable space leaving the matter once again in limbo. The security equipment, which was advertised by Randall Mack as “State-of-the-art equipment”, has numerous shortcomings. For example out of the 36 cameras, between 4 and 6 are not working. ANEKONA has proposed to sell or lease this outdated and defective equipment to the AOAO. When this issue is brought back to the Board, we must make sure that ANEKONA’s representatives are prevented from voting on this as it presents a clear conflict of interest once again.
5-2-08 First CEC (Common Elements Committee) meeting. Evidently, this meeting got off to a rocky start. Remember Dr. Victor Baldridge, who had previously referred to owners defending and protecting their rights as “a gang of hotheads”? After being recruited by ANEKONA to “serve” as an owner representative on the CEC, he now seems to feel that his “talents” may be wasted. Click here to read the letter he wrote to the CEC Chairman Ms. Orton.
According to feedback from various attendees, not much was accomplished at this first CEC meeting. You may have heard that the hotel will no longer handle refunds for defective washers/dryers in the laundry rooms. We have pointed out that the laundry room amenity represents a perpetual encumbrance on the hotel according to our bylaws. Therefore, the hotel should assume responsibility for the proper maintenance and service of this amenity. Contacting an outside vendor who may or may not send a reimbursement to an owner or guest is inconvenient and an unacceptable solution. We urge the hotel or the owner of the commercial laundry rooms (ANEKONA Retail) to rethink this new policy and make appropriate adjustments.
5-2-08 At the last Board meeting Mr. John V. Hall, the newly elected director and Vice President of the Board declared that he has no ties to ANEKONA and, therefore, no conflict of interest.
IMAGE HERE
Shown in the photo: (left to right) Derek Ichiyama ‘88, Jimmy Wong ‘88, Greg Sekiya ‘88, Tom Park ‘96, Brad Anderson ‘99, Trevor Benn ‘92, John Hall ‘85, Dean Shimamoto ‘94, Cord Anderson ‘99 and Adam Wong ‘94
As early as 2006, a small contingent of Iolani alumni went on a two week “business exploration” tour through China.
Remember how John V. Hall was elected to the Board. The vast majority of owners had never heard of him. ANEKONA and SHELL voted to elect him to the Board.
4-29-08 You may recall that “Cumulative Voting” at this year’s annual meeting of Ilikai owners had alledgedly been requested by ANEKONA. At that meeting, the request was challenged as it was not made in accordance with our Bylaws and State Statute. Six owners were sufficiently concerned that on March 21, 2008 they sent a “certified” letter to Mr. Richard Emery, CEO of Hawaii First, Inc., the Association’s new managing agent. You may read their letter here. Mr. Emery, who rarely misses an opportunity to espouse his professionalism, has not had the courtesy to respond to any of these owners thus far. Copies sent to the Mr. Steve Glanstein, the Parliarmentarian have also not generated any comments or response. To use a commonly used phrase in the media “we just report, you decide”.
4-28-08 Welcome back to the Ilikai Owners’ website. We have had an overwhelming response from owners to restart the website.
This website is designed to inform Ilikai owners of issues and events and is intended to help safeguard owners’ interests. If you have any information to contribute or issues you wish to see addressed here, please send an email to admin@ilikaiowners.com.
For example, at the last Board meeting, the Association’s attorney reversed his position on the previously challenged “conflict of interest” by ANEKONA members on the Board when faced with a request to take the case to arbitration. As a result, the security contract, worth about $700,000 anually will now be sent out to bid.
On another issue, ANEKONA has challenged the allocation of electricity and demanded an independent audit. We suggest that an independent forensic accounting audit also be conducted to verify the nearly $60,000/month charge the Association pays for security services.
4-16-08 Click here to read the recap of the “Organizational Meeting” held on 4-15-08.
4-15-08 The Ilikai AOAO has announced an “Organizational Meeting” for Committee Volunteers and Board Members. This meeting is to take place today at 11 a.m. in the Kauai Room on the Second Floor. The letter announcing the meeting can be read here.
4-15-08 The next Board of Directors meeting has been scheduled for April 24th, 2008 at 3 p.m. in the Kauai Room on the second floor. As always, owners are invited to attend.
4-02-08 To view the recap of today’s Board of Directors meeting, click here.
3-31-08 Want to know what the community thinks of Brian Anderson and his ANEKONA group? Click here to read the 100+ comments that have been posted in response to the article in the Star Bulletin.
3-31-08 Now that we have an ANEKONA-controlled Board it is even more important that you attend as many Board meetings as possible. Keep your eyes on any conflict of interest issues and closely monitor and report any actions the Board takes.
3-29-08 Mr. John Ellwood, a visitor from Victoria, British Columbia sent us these photos of the demonstration at the Ilikai. Click here to view a slideshow. Thank you John E.
3-29-08 KHNL Channel 8 reported on the Ilikai Workers’ Protest. Click here to read their report and view video clips.
3-28-08 KGMB9 Local Television reports that owners did not approve ANEKONA’s renovations plans because “they (homeowners) did not want their property taxes to go up. One has to wonder who is feeding the press this erroneous information. See their report here.
10-9-08 The Honolulu Star Bulletin features an article entitled “Lawsuit seeks to remove Ilikai developer from Board”. Click here to read the online version.
10-8-08 If you are concerned about what has been going on at the Ilikai and wish to opine, you may do so by sending your letter or email to admin@ilikaiowners.com. Some owners fear retaliation and have requested that we withhold their names. If you wish to make comments but don’t want us to use your name, please indicate that in your email. Letters will be posted under the tab “Letters from and to Owners”. Check this page on our website periodically to hear what others have to say.
10-7-08 The President of the AOAO sent a notice to Board members calling for a “Meeting of the Whole” to interview a General Manager for the AOAO. Owners are precluded from attending this meeting. Evidently, he claims that the Board had authorized this new position in Executive Session and hence has asked Richard Emery to advertise for candidates. Such position would significantly increase AOAO’s expenditures at a time when the association is suffering from massive, unpaid maintenance dues caused by the foreclosures of ANEKONA’s residential and commercial interests in the Ilikai. Read Mr. Herndon’s notice and our exchange with Mr. Emery here.
10-6-08 Today, two minority Directors of the AOAO together with well over 100 owners of the Ilikai Apartment Building, filed a complaint in the First Circuit Court of the State of Hawaii, seeking removal of 5 Directors as well as monetary damages for neglecting their fiduciary duties among several other complaints. Read the filing here. We will post the hearing date as soon as it is available.
10-6-08 We have added several photographs to the Gallery section of this site. They show the construction area between the Hilton Hotel and the Ilikai. Evidently, the new structure is obscuring the view for some Ilikai owners in the Diamond Head wing.
10-5-08 The Jewelry Store in the lobby has closed its doors. Only a few businesses are left. Unfortunately, the property is deteriorating further.
9-27-08 The Board meeting, held on September 24, 2008, once again was a “marathon meeting”. Read the recap here.
9-25-08 Just in case you missed it, Unite Here! Local 5 sent a letter to all Ilikai owners. Read a copy of the letter here.
9-23-08 Wendy Redman, member of our Board of Directors has resigned, effective immediately. She has also resigned as officer of ANEKONA Islander, LLC.
9-23-08 The next Board of Directors meeting will be held tomorrow, September 24, 2008 at 10 a.m. on the second floor in the Ilikai main tower. All owners are invited to attend.
9-23-08 Cronyism is Alive and Well at the Ilikai. Several owners have complained about the recent selection process of an insurance agent for the Ilikai. This has prompted us to look into the matter. Read here what we have found. Based on additional information receied from Mr. Emery at Hawaii First, Inc., the paper has been corrected. By clicking the link above, you can read the revised version.
9-22-08 As has been expected, NDP and Carlson filed their amended complaint against Brian Anderson, et al on September 17, 2008. Read the actual complaint here. Hearing on Plaintiffs’ Motion for Leave to File and Serve Second Amended Complaint has been set for 10/14/2008 09:30 AM before JUDGE KEVIN S.C. CHANG.”
9-18-08 Yesterday, the law firm of CASE LOMBARDI & PETTIT sent a letter to ANEKONA-aligned board members demanding their immediate resignation. The law firm was retained by a large group of homeowners and two minority directors who intend to pursue all legal remedies against those board members. Seven board members have been accused of failing to meet their fiduciary duties to the AOAO and violating our declarations and several Hawaiian statutes. Read the demand letter here. Following receipt of the letter, Ms. Teri Orton resigned as director of the AOAO board and as an officer of ANEKONA.
9-12-08 At today’s Special Board of Directors meeting, the board chose Guardsmark as the AOAO’s new security vendor. Read the recap of the meeting here.
9-10-08 A Special Board of Directors meeting has been called for September 12, 2008 at 3 p.m. on the second floor. The sole purpose of this meeting is to select one company of the two finalists to provide security services (the finalists are Wackenhut and Guardsmark). Owners are welcome to attend.
9-10-08 The Honolulu Star Bulletin reports on the selection of Marriott Hotel Services for the eRealty (dba M. Waikiki) Yacht Harbor Tower. The report mentions that ANEKONA, as a condition of the Yacht Harbor Tower sale, removed tenants TANAKA OF TOKYO and Angel Chapel by the Sea but failed to note that the AOAO still has an active 99-year lease in the Yacht Harbor Tower property.
9-10-08 The composition of various committees have been updated. Please check under the appropriate tabs above. In addition a Budget Review Committee has been established. Its members are listed under the AOAO Board tab.
9-8-08 The “Travel Blackboard”, Australia’s Industry Newsletter reports that Ilikai Director Teri Orton has been appointed General Manager of Outrigger’s “Ohana Islander Waikiki”, responsible for the project management, to design conceptualization, to market positioning, and finally, to day-to-day operation of the new hotel once it opens. The announcement states that as ANEKONA’s Regional Manager she was responsible for the ”343-Ilikai Condotel”. Is this description a typo or wishful thinking on the part of ANEKONA? As you know, the Ilikai was NOT a condotel but a full service hotel, even if Brian Anderson wants the public to believe otherwise. We wish Ms. Orton well. The question is “how long will she continue to serve on the AOAO Board of Directors”?
9-5-08 Brian Anderson has to deal with yet another foreclosure. Wells Fargo Bank, N.A. foreclosed on the Aloha Beach Resort Kauai on August 29, 2008. The lawsuit claims Anderson owes $13.66 million on a mortgage.
9-4-08 The Ilikai Hotel Management announced at an employees’ meeting that, effective immediately, there will be no more doormen attending to guests. This extreme measure is intended to cut costs because ”the occupancy rate is down to 25%”, according to management.
THE IMPORTANT ISSUE OF TIME SHARING AT THE ILIKAI
9-2-08 After reviewing our declarations, Hawaii State Law 514E, and a ruling by Hawaii’s State Supreme Court, it appears that SHELL Vacations Club and affiliated companies are NOT permitted to operate a time sharing business in the Ilikai. In case you have missed the post, 26 owners have notified the Board of Directors in a letter dated August 18, 2008. You may click on the links above to read these documents yourself. Brian Anderson in his “Supplementary Report No: 3 to Final Public Report No: 22″ made an attempt to grant time sharing rights to SHELL. This appears to be contrary to our declarations and would require 67% of owners’ approval to be legitimized.
8-30-08 The Star Bulletin also commented on the “dismissal” of the lawsuit and provided additional information, including a comment from Anderson’s lawyer: “It really is a concerted effort to push the loan into distress because there’s a lot of vultures trying to make a deal here and make some money.” Have you ever wondered if Anderson himself could be one of the vultures? Be sure to also read the comments following the article in the Star Bulletin.
8-29-08 Federal Judge David Ezra has dismissed the lawsuit brought by NDP and Carlson against Brian Anderson. Read the article in Pacific Business News here. You can rely on what the media feeds you or you can read the Court’s ruling yourself by clicking here.
TIPS FOR OUR WEBSITE USERS: Our analysis shows that many owners only read this site’s home page. To expand your knowledge of what’s going on at the Ilikai, you can click on links (shown in a different color) for additional or supporting information. When you move your mouse over any link, your cursor changes to a pointing finger. Click the left mouse button to bring up the additional information. In addition, there are tabs at the top which are used to organize additional information. Notice: In order to speed up the loading of our home page, we have migrated articles that appeared prior to July 2008 to “Archive” section under the “Achived” tab above.
8-26-08 “Ilikai sales continue despite foreclosure” reports the Star Bulletin. Read the article here. It should be noted that the Ilikai is NOT a condominium hotel as some will want you to believe. It is defined as a Mixed-Use Hotel Condominium Project. Peter Savio was mentioned in the Star Bulletin’s article. He had apparently made an offer for a bulk purchase of Ilikai hotel units. Read more about Peter Savio in this article published by the Pacific Business News on May 20, 2005. Peter Savio is the brother of Sue Savio of Insurance Associates who recently made her pitch to sell insurance coverage to the AOAO.
8-26-08 On July 9th, 2008, M. Waikiki, LLC – a subsidiary of eRealty Companies of San Diego, owner of the Yacht Harbor Tower, and Marriott Hotel Services, Inc. of Bethesda, MD signed a 30-year agreement to manage the Yacht Harbor Tower as a hotel. We are currently investigating the status of the AOAO’s long-term lease of our security office on the Yacht Harbor Tower property.
Update: To see what services are provided by Marriott Hotel Services, Inc., check out their web page. You should not automatically assume that the Yacht Harbor Tower will be run as a four star hotel. Marriott includes the Marriott Vacations Club, a time share operation.
8-22-08 We have received information that ANEKONA’s lender iSTAR has foreclosed on both his hotel rooms and commercial property in the Ilikai. Please remember that the 200 or so hotel keys must remain hotel rooms based on LUO (Land Use Ordinance) and based on the requirements of WSD (Waikiki Special District). To our knowledge, Brian Anderson is in violation of these requirements and could face fines by the relevant government authorities. By selling the Yacht Harbor Tower and hotel rooms to Shell and individual investors, Brian Anderson is no longer in compliance with LUO and WSD requirements and could face substantial fines. Please read the letter to the Real Estate Commission by Wimberly Allison Tong and Goo. It will be an eye-opener.
8-22-08 Read today’s issue of the Pacific Business News: Ilikai lender forecloses on $72.6M in loans, by clicking on this link.
8-21-08 You can read the [corrected] recap of yesterday’s Board meeting by clicking here. If you know of any corrections or omissions, please report them to admin@ilikaiowners.com.
8-21-08 The preliminary injunction hearing in the lawsuit of NDP/Carlson against Brian Anderson and ANEKONA has been changed. It is now scheduled for Friday, August 22, 2008 at 11:17 a.m. in the courtroom of U.S. District Judge Ezra. The court is located in the Federal Building at 300 Ala Moana Blvd. This is a public hearing and owners are invited to attend. Since parking may be limited, you may want to arrive a bit early.
Update: Ilikai developer ruling postponed (read from Star Bulletin here).
8-18-08 Today, 26 Ilikai owners have sent a letter to the Board of Directors alleging that a time sharing operation in the Ilikai is not permitted by our declarations. The owners are asking the Board to direct the Association’s attorney to investigate this matter and to take appropriate legal action, including the immediate cessation of time sharing operations by SHELL VACATIONS CLUB and its owners. Read the letter here.
8-18-08 On July 11, 2008, Brian Anderson filed a “Condominium Public Report”. This disclosure contains considerable information which we urge you to read. Just click here to see the entire report.
8-15-08 The next Board of Directors meeting has been scheduled for next Wednesday, August 20, 2008 at 10:00 a.m. in the Maui Room. As always, please try to attend.
8-13-08 Following a meeting of the Security Committe yesterday, a total of five companies were evaluated. Two of them emerged as viable vendors: Wackenhut and Guardsmark. Three companies were eliminated from futher consideration: Securitas, Star Protection Agency and Five-O Security, LLC (the company established by ANEKONA). The two selected companies will be invited to make presentations to the Board of Directors at the next meeting. At that time, the finalist will be chosen. Read the recap of yesterday’s meeting here.
8-8-08 Pacific Business News reports ”IRS, lenders press claims on developer”. Anderson is quoted as saying he is “still conficent he can pay his debts”. Read the article here.
8-7-08 At yesterday’s Special Board Meeting, called by Brian Anderson and his cronies, Mr. Herndon, President of the Board , became more brazen than ever before. He, along with ANEKONA-aligned board members defied Hawaii State Law, AOAO Bylaws and even ignored the advice of counsel by stating they had no conflict of interest in “awarding” ANEKONA an unproven credit for alleged electricity overcharges in order to once again avoid paying their overdue maintenance charges. Read the recap of this Special Board Meeting by clicking here. As a result of these blatant violations of the law and the continuing abuse of this ANEKONA-controlled and manipulated board, owners are weighing their legal options. More of this in due course.
8-2-08 Our recap of the July 2008 Board meeting includes some corrections. Please read the document here.
8-1-08 Evidently, the rather lengthy discussions at the July 2008 Board meeting were not enough to settle the dispute over electricity charges and allocations. Even though steps were taken to get to the bottom of this dispute, ANEKONA called for a Special Board meeting to be held on August 6, 2008 at 2 p.m. in the Maui Room – click to read the announcment. As one owner had pointed out at the last board meeting, ANEKONA cannot even dispute the charges, according to Hawaii State Law, as long as they are not current in their maintenance payments. As of now, ANEKONA owes the AOAO approximately $450,000 (taken into consideration the $38,000 credit voted on at the last Board meeting). At the Special Board Meeting ANEKONA may just be attempting to intimidate directors. As always, owners are invited to attend this meeting.
8-1-08 At the July Board meeting Mr. Emery stated that AOAO’s funds had been moved to Wachovia Bank – to earn a higher return. However, news about Wachovia indicate serious concerns about this bank. Perhaps Mr. Emery along with AOAO’s treasurer Linda Anthony should rethink the investment strategy and make sure that AOAO’s funds are safe.
7-31-08 Here you will find the recap of yesterday’s Board meeting. On 8-2-08, this recap was corrected after receiving additional input. To read the corrected version, please click here.
7-29-08 According to reliable sources, Brian Anderson, ANEKONA and the ILIKAI HOTEL have assigned all cash receipts to their lender. Effective immediately, rents, lease payments and hotel credit card transactions are to be paid to the lender-specified bank or deposit box. The question is: Has Brian Anderson turned over his assets to his lenders and if so, will he and his cronies resign from the Board? Additional information will be posted here as soon as it is available.
7-29-08 Last Friday, July 25, 2008, John V. Hall, chairman of the Security Committee, held a Security Committee meeting although two members were unable to attend. He had refused to reschedule the meeting. Instead, he added Mr. Peter Herndon as yet another member of this committee. Read the minutes of the committee meeting here. It is interesting to note that the issue of the lanai railing replacement is still alive and that it has now been taken over by the Security Committee. Why do the Board of Directors and the various committees continue to press on with issues that are clearly not in the best interest of the ILIKAI and the AOAO?
7-29-08 The hearing date in the lawsuit filed by NDP against Brian Anderson and ANEKONA in U.S. District Court has been postponed from August 5 to August 22, 2008. It will be held at 9 a.m. The U.S. District is located at 300 Ala Moana Blvd. If you plan to attend the hearing, please bring appropriate identification.
According to several owners, NDP’s attorneys have solicited testimony and/or statements from owners.
7-28-08 The Ilikai Hotel is looking for a security officer (Full Time) – on Craigslist.
Read the ad by clicking here. Another position is offered for “On-Call” duty. This ad can be viewed here.
7-22-08 Want to watch some deceptive advertising? Check out this video.
7-22-08 We have received a response to our inquiry from eRealty. Read it here.
7-22-08 The next Board of Directors meeting has been scheduled for July 30, 2008 at 10:30 a.m. in the Maui Room. As always, owners are encouraged to attend Board meetings.
7-21-08 If you have read the Star Bulletin article of July 18, 2008, you might have noticed that a number of people have posted comments in response to the information in the article. You, too, can leave your opinions (anonymously, if you like) by going directly to the Blog page here.
7-19-08 To read one owner’s analysis of the Ilikai “mess”, please click here. It is a bit lengthy but makes for some interesting reading.
7-18-08 Read the latest news in the Honolulu Star Bulletin here. Consider that it may well be illegal to sell hotel rooms located on the top four floors individually as the Ilikai declarations place encumbrances on those units. For example, kitchens are not allowed in those rooms. A conversion from hotel rooms to individual apartments may be more complicated than it would appear on the surface.
7-16-08 We know that some visitors to this website only check the information on the home page. In order to stay well informed, you may also want to check information posted under the various tabs above. For example, we frequently receive letters from owners. These are posted under the “Letters from and to Owners” tab.
7-13-08 The Yacht Harbor Tower which was sold by ANEKONA to eRealty Companies of San Diego has been unoccupied for two years. The building is not much more than a shell and evidently, all work has stopped. We could not verify any of the rumors surrounding this building which may have been illegally separated from the Ilikai complex. The response from eRealty was received 7-22-08. Read it here.
7-9-08 Remember the issue of Cumulative Voting at the 2008 annual meeting? Since our objections to cumulative voting were overruled, we researched applicable Hawaii laws and sent a letter to Hawaii First, Inc., the company charged with organizing and managing the annual meeting. Read the email dialog here.
7-9-08 A recent review of DLNR (Department of Natural Resources)-Bureau of Conveyances shows that on June 10, 2008 the IRS filed a tax lien against Brian Anderson and his wife in the amount of $3,892,765.02.
7-03-08 Due to needed website maintenance, the preparation of this month’s board meeting recap took a little longer. Please read the recap here. In other news: it has been announced that Mr. Peter Herndon, currently the President of the AOAO’s Board of Directors will replace Ms. Teri Orton as General Manager of the Ilikai Hotel.
12-16-07 If you believe that the Ilikai railings should be replaced and that ANEKONA’s “Written Consent Packet” should be approved for that reason, you may wish to click and read “Comments regarding Lanai Railings.”
12-14-07 The AOAO Manager has notified that the Hotel will no longer hand out towels at the Diamond Head pool.
12-14-07 Last August we reported that Shell Vacations Club had purchased another 26 apartment units from ANEKONA. Shell Vacations has decided not to close on this transaction at this time for business reasons.
12-04-07 Notice from Hawaiiana to all owners re: payment of maintenance dues: The Board of Directors has decided to employ a new Managing Agent, Hawaii First, effective March 1, 2008. Please ensure, especially if you use SurePay or a bill payment service, that Hawaiiana Management has your correct addresses so that it can be given to the new agent. The new agent will send new payment coupons and applications for automatic payments. If you are on Surepay, it will terminate after the February payment.
Address changes must be in writing signed by the owner of record.
If the name of the owner of record has changed, due to marriage, divorce, etc. it should be updated as soon as possible to ensure you are authorized to vote at the Association meeting to be held on March 4th at the Hawaii Prince Hotel.
11-30-07 The regular November Board meeting was held yesterday. Several participating homeowners made the meeting lively and informative. Read the Recap by clicking here.
Wake-Up Call for Ilikai Owners
Click on the above heading to find out what is going on at the Ilikai. Warning: it may take a while to read all of it. If you have questions or comments, please send them to admin@ilikaiowners.com.
11-26-07 The next regular Board of Directors meeting has been scheduled for Thursday, November 29th, 2007 at 3 p.m. in the Hawaii Rooms 2 and 3. All owners are invited to attend.
11-21-07 If you are interested in a recap of today’s Special Board meeting called by Brian Anderson, click here.
Over the objection of several Board members, ANEKONA’s Brian Anderson has decided to schedule a Special Board Meeting for tomorrow, November 21st, 2007 at 10 a.m. on the second floor. At this meeting he will be seeking permission to send out his ”all-or-nothing” package to homeowners at large. The meeting is so important to him that he has used his votes on the Board to override the normally required 72-hour notice for the meeting. We encourage every owner who can attend this meeting to be there.
11-19-07 It has come to out attention that a telephone campaign is underway attempting to persuade homeowners to vote yes on the proposal to reduce the approval percentage from 75% to 67% (you should have received your ballot by now). It is our position that you should vote NO to prevent ANEKONA getting too much control over the use of the Ilikai property and its common areas. Voting NO gives homeowners a greater chance to determine the future of the Ilikai. Update: the opt-in proposal has been approved.
11-18-07 A story featuring the Ilikai “redevelopment” progress, appeared in today’s Star Bulletin. Find it here.
A suggestion for Brian Anderson: Mr. Anderson, if you want to convince homeowners that your intentions to renovate the Ilikai property to the tune of $40 Mil are sincere, begin by upgrading those areas of the Ilikai you already own. Homeowners would be delighted to see you implement a part of your “grand design” and invest your money in that part of the building that does not require homeowners’ approval, e.g. the upper four floors, the rooftop swimming pool, the tennis court redesign and the ventilation system supporting the Canoes Restaurant. Such action would go a long way to reassure owners that your intentions are real and sincere and would help establish a level of credibility needed to get concurrence for your other plans.
11-2-07 Owner Donna Johnson has expressed serious health concerns related to the Bikram Yoga College of India’s classes held at the Ilikai. Read her letter to Brian Anderson and the AOAO Board of Directors here. 11-16-07 Brian Anderson has directed Mr. Randall Mack, Director of Security at the Ilikai to respond to Mrs. Johnson’s letter. Read his response here and decide for yourself if the procedures outlined in Mr. Mack’s letter are being followed. More information about the MRSA virus was reported on today’s Honolulu Advertiser. Click here, to read the article.
11-6-07 Here is a recap of yesterday’s Special Board of Directors meeting. This recap is also posted under the “Meetings/Results” tab.
11-3-07 The next AOAO Board of Directors Meeting will be held on November 5th, 2007 at 3 p.m. on the second floor. It is anticipated that Brian Anderson will present yet another iteration of the renovation plans. All homeowners are welcome.
10-28-07 It seems that not only homeowners are complaining about the state at the Ilikai. Check out what hotel guests have been posting on TripAdvisor.com. For your convenience you may click here to read their comments.
10-28-07 By now you may have received the letter and ballot in which you are asked to approve a reduction in the percentage (from 75% to 67%) needed to make changes to our bylaws and declarations. While it is unlikely that this measure can be defeated, homeowners are urged to vote against it (vote NO). See also a letter from David Perrigo (homeowner, former board member and treasurer).
10-23-07 At today’s BOD meeting all directors were present, except for Adam Wong. Hawaiiana presented financial information, including the fact that delinquent maintenance dues once again exceed $200,000. This time, however, late charges will be assessed based on the new procedures. Anderson has requested, as expected, to change the voting rules under the opt-in provisions of Hawaii Condominium Law 514-B. The letter explaining this change and the copy of the ballot you will be receiving is posted here as a preview. It is highly unlikely that homeowners will be able to maintain the 75% voting rule unless each and every one of the independent owners votes against it. Read the letter by clicking on this sentence. A new security contract is not yet in place but is being pursued. The issue with the security/fire alarm panel location and/or lease has not yet been resolved. Anderson has requested to move up the next board meeting to November 5th, 2007 in order to present his revised renovation proposals. More about this shortly. Stay tuned.
10-17-07 The Board of Directors meeting has been changed for the second time. Unless it is changed again, it will be held on October 23rd, 2007 at 2 p.m. Stay tuned for possible additional changes.
If you are interested to get an update on the Beachwalk Wastewater Emergency Bypass click here.
10-17-07 Read about the traditional Hawaiian blessing of the renovated HILTON Lagoon in the Honolulu Advertiser here.
10-8-07 “UNITE HERE! Local 5 Hawaii”, the hotel workers union sends out a survey asking owners about their experiences with ANEKONA and Brian Anderson. You may have received a copy already but if not, you can read it here. Evidently, the union is gathering as much information as possible and to alert you to what might be poor investment decisions. We have also posted the actual questionnaire here. If you did not get your own copy, please feel free to print it out, complete it and return it to the union.
9-26-07 Recap from today’s Board of Directors meeting: While Anderson was satisfied with the rules that required 75% of owners approving his renovation and lease plans, he has now indicated that he wants to reduce this requirement to 67%, an opt-in feature of the condominium law. In order change the rule, he must seek owners’ approval. Expect to receive such request in the mail. The Treasurer once again reported substantial deliquencies (over $100,000). Anderson requested that the AOAO pick up the $200/week charge to maintain the flower arrangements on each floor near the elevators and $800/quarter to replace them. The Board did not approve the motion and thus the flower arrangements will be removed. While Anderson has a problem continuing to pay $200/wk for the “flower accent”, he offers to remodel the Ilikai for tens of millions of dollars. We hope you can make sense of this. We cannot. The issue of the AOAO 99-year lease for the security office in the Yacht Harbor Tower was addressed once again. You may recall that Anderson unilaterally moved that office into the main Ilikai Tower without offering a comparable long-term lease to the AOAO. The issue remains open. And finally, according to attendees at the Board meeting, Anderson indicated that the proposed “all-or-nothing plans” would be modified so that owners can vote separately on individual aspects of the proposals. Let’s wait and see.
9-11-07 Here’s a recap from today’s Special Meeting called by Brian Anderson to once again present his “vision” for the Ilikai:
Essentially, no new information was presented. The charts did not contain any more specifics than had been presented before. No drawings that would shed more light on the plans and proposals were offered. It is anticipated that ANEKONA will come back to the Board at the next regularly scheduled meeting or perhaps another Special Meeting with more detailed plans. These would allow the Board to vote whether to recommend to homeowners acceptance or rejection of the package. Both the previous and current AOAO attorneys have expressed reservations and do not recommend approval of the proposal as currently presented.
A question from an owner dealt with the previously proposed additional pool where the tennis court is located. Anderson stated that would not be part of the plan. Regarding the financing of these renovations, Anderson was at best vague indicating that he had several sources (once again, without offering any specifics).
The meeting adjourned to Executive Session, presumably to discuss proposed lease arrangements.
Stay tuned and keep checking our website for additional information as it becomes available.
Previous Posts:
Several letters from owners have been received and posted. Please click on the “Letters fr. Owners” tab above to read them. We have also added a paper entitled “Thoughts and Commentary about the future of the Ilikai”.
The August 29th, 2007 Board meeting was held in the Maui Room. Since the meeting minutes ordinarily do not provide much detail, I have prepared a recap of the meeting. If you were in attendance and find that I need to make corrections to the recap, please email me at admin@ilikaiowners.com.
Shell Vacations Club which already owns 123 apartments in the main Ilikai tower has purchased another 23 apartments from ANEKONA for a total of 146 units. This leaves ANEKONA with no units on the lower floors.
As many owners have asked about the whereabouts of Mr. Adam Wong, who had been very active in the Ilikai project, we asked him about his status. Here’s his answer: “I am no longer at the Ilikai on a daily basis, but continue to serve as the corporate Vice-President for Anekona Ilikai Retail LLC, the owner of the commercial apartment at the Ilikai”. To date he remains on the Board of Directors but no longer serves as its President.
Some new photos have been contributed by owner David Perrigo showing progress or lack thereof at the Hilton and the Yacht Harbor Tower. Check them out under the “Gallery” tab.
The Board of Directors meeting took place on July 25, 2007 with all members present. Mr. Adam Wong resigned as President of the Board for reasons that are not entirely clear. He remains on the Board as a member. Several previous emails to determine the status of Mr. Wong had gone unanswered.
The minutes of the previous meeting were approved and are posted here.
Delinquencies: Good news - the large sums of delinquent maintenance dues have been paid. A CEC (Common Elements Committee) meeting is scheduled for August 21, 2007 at 3 p.m., at which time a new delinquency policy will be presented and reviewed. Delinquent accounts will be referred to the AOAO attorney much sooner than in the past and higher late fees, interest and attorney fees will be implemented.
Security Contract: The AOAO Board will ask for bids to handle our security. Although ANEKONA has now obtained a license, they will only be able to bid along with other firms.
The vendor who began refurbishing our elevators has been dismissed and a new vendor will be selected from a total of two bids.
The Hawaiian Music and daily Torch Lighting Ceremonies will no longer be paid for by the hotel (ANEKONA) but will continue. The AOAO has agreed to pick up the cost.
Canoes will no longer serve breakfast. The stated reason: renovation (to begin within the next two weeks). Let’s wait and see.
The next Board of Directors meeting is scheduled for August 29, 2007 at 10 a.m. in the Kauai Room.
Previous Postings: At the Special Board of Directors meeting on July 11, 2007 several agenda items were discussed, including the “out-of-control” delinquencies, security services and other important issues. Some of these topics were discussed in executive session. The minutes of the meeting are expected to be approved at the next BOD meeting on July 25, 2007 and will be published here.
Among other action items, the BOD agreed to contact eRealty, the owner of the Yacht Harbor Tower, to see if the AOAO could rent the swimming pool. After contacting eRealty, we found out that the pool is scheduled to be demolished and replaced by a new one. eRealty has already obtained a permit to demolish the pool.
David Perrigo and Hans Puehse had a meeting with ANEKONA’s Adam Wong and Teri Orton on May 22nd to address some of the many questions that many homeowners have expressed in recent months. A summary of this Information Exchange is available here.
In order to clarify issues related to ANEKONA’s assertion that individual homeowners will be given a choice in the selection of renovation designs once their package is finalized and mailed to all homeowners, we have had an email-based dialog with ANEKONA’s principal Mr. Adam Wong. You may read the exchange here and form your own opinion.
The Ilikai Hotel has confirmed that the Canoes Restaurant will reduce hours of operation beginning on June 1, 2007. Canoes will open only for breakfast from 6:30 a.m. until 10:30 a.m. and offer bar service only from 5 p.m. until 9 p.m. There will be no lunch or dinner services.
We have received the latest ANEKONA sales brochure (not from ANEKONA but from independent Real Estate professionals). You can check it out here. Please note that the construction of the exterior of the renovation project is scheduled to begin this month although homeowners have not approved any of the plans.
ANEKONA also claims to have sold most of the available units. See ANEKONA’s claims to sales as of May 5th, 2007 here.
And before you approve any of ANEKONA’s plans (once you have received their “package”), consider any possible financial exposure the AOAO may have if ANEKONA’s plans are not adequately financed and insured. Send any questions you may have to admin@ilikaiowners.com.
Hawaiiana has submitted their “final” results after we conducted a recount of the votes. The before and after counts are presented here. As you can see the vote was very close.
Following the somewhat tumultious annual meeting followed by two vote recounts, I posed a number of questions and have received the following legal opinions: please click here to read the questions and answers. You are urged to specifically read the last question and answer as it deals with conflict of interest rules when current AOAO Board Members cast their votes.
Adam Wong of ANEKONA has been elected to serve as President of the Board. A letter has been sent to him requesting that he inform owners of various changes and take a position on some issues. Read our request by clicking here.
On May 14th, 2007 we received his response. Read it here.
Owner Dennis Gilbertson tells us about the Importance of Surety Bonds on Construction. Read his letter here.
March 22nd, 2007 – The new review of the BOD election results was conducted today at Hawaiiana’s offices. As previously reported, significant, thus far unexplained discrepancies were discovered. The results are being reviewed by Hawaiiana staff during the week of March 26th, 2007. Stay tuned for additional information.
You may wish to check out “Press Links” to read the latest articles about Anderson, ANEKONA and the Ilikai.
March 9th, 2007 – Hawaii-Five-0 Party anyone? At 10:30 p.m. a live disco band can be heard throughout the complex, disturbing the peace at this residential community. Security indicated that the party may go on until 1 a.m. The HPD will pay a visit to investigate. Get ready for more of such events and be aware that the hotel will cease parts of our common area for their private purposes.
March 8th, 2007 - Several homeowners made an appointment with Hawaiiana, the association’s managing agent, to review the ballots and verify the results of the election of the AOAO Board of Directors. While initially it appeared there were only minor discrepancies, it turned out that significant discrepancies were discovered toward the end of the review session and remained unexplained. Hawaiiana terminated the review prematurely (they closed the office) so that a new review must be scheduled. It is believed that the discrepancies are stubstantial enough to declare the election of the AOAO Board of Directors invalid. A new review will be conducted during the week of March 12th, 2007. Look for a final report of our findings on this website.
Fiasco at the Annual Meeting of Apartment Owners: After 3 hours of waiting to count the ballots, interspersed with a few house-keeping items, the meeting ended in disarray and confusion for many owners. Frank Takioka, President of AOAO, read the election results because both tellers (volunteers from attending homeowners) refused to read them. One teller refused to sign the results, the other alledged voting irregularities noting that a large percentage of ANEKONAs votes were not submitted on official Hawaiiana-printed ballots. When she asked about those ballots, they were taken from her (read her own statement here). Ballots were not placed in a locked box and it was thus possible to manipulate ballots by adding, removing or substituing votes. Votes on unofficial ballots should not have been counted as they could not be verified as being legitimate.
A motion for an immediate recount was seconded but defeated as ANEKONA’s voting block was deemed sufficient to defeat the motion. Yet, the President of AOAO certified the election results inspite of these irregularities. It may now be prudent to launch a legal challenge to this election and get it invalidated.
March 2nd, 2007
By now you will have received ANEKONA’s latest “The Vision of the Future” brochure with explanations that the proposed improvements will only be offered as a complete package (it’s called “all or nothing”). While ANEKONA takes great care in presenting “reasons for improvements and benefit to condo owners”, they have left owners to wonder about the benefit to ANEKONA. Why is this critical? ANEKONA has announced that they are planning [and in fact are in the process] to sell most if not all of their units, then why would they be willing to invest $30M to improve the exterior and common areas of the building? Also, remember that once they have received approval from owners, ALL of the decisions regarding the changes will be theirs. Their most recent “Vision of the Future” does not contain enough detail, no time frames, no choices, no alternatives, no estimates of maintenance charges. And since all drawings are conceptual only, everything can and will be subject to change. Be sure to voice YOUR opinions at tonight’s meeting.
For an “Open Letter to Brian Anderson”, please click here.
An owner raises serious questions in his letter to owners. Click here to read it here.
New! The Annual Meeting of the Association of Apartment Owners of the Ilikai Apartment Building will be held on March 6th, 2007 at 6:30 p.m. at the Waikiki Yacht Club, 1599 Ala Moana Blvd., Honolulu, HI 96816. Registration begins at 6:00 p.m. By now, you should have received the agenda and proxy forms from Hawaiiana Management Company, Ltd., the managing agent of the AOAO. We hope that you will be able to attend. If not, please be sure to complete your proxy and return it by 4:30 p.m. on March 2nd, 2007 or send it to one of the people mentioned in the letter.
ANEKONA held its ”Presentation to Condominium Owners” on Tuesday, January 23rd, 2007. For those of you who were unable to attend, we have summarized the high points of the presentation under the Meetings/Results tab. In addition, that section of our website will be used to post feedback from you or other owners. Feel free to submit your comments to admin@ilikaiowners.com and check for new information regularly.
Aloha and welcome to the unofficial website of Ilikai Owners. The site features a weblog where you can post your concerns, opinions and information related to the future of the Ilikai Apartment Building. If you use the weblog, you can respond to posted items by simply clicking on “no comments” or “comments”. If you wish to initiate your own blog, please register and then log in. Suggestions about this site, e.g. what to add, delete or change, should be sent to admin@ilikaiowners.com. Mahalo!
Those of you, who live at the Ilikai or are currently here, have probably received a copy of the December 2006 AOAO newsletter under your door or tied to your doorknob. A couple of errors in that newsletter (the newsletter that has been mailed to absentee owners is correct) should be corrected as follows:
1. The AOAO annual meeting is scheduled for Tuesday, March 6, 2007, not on March 7, as the newsletter indicates. The location and other information is correct.
2. In the description of the Board of Director positions up for election at the March 6th meeting, could be read to mean that only those persons listed (all of whom currently hold positions on the Board) will be up for election. That probably is not the case. Some of those members on the Board, whose term is expiring, may decide before the meeting to not run for re-election. Even if they do decide to run for re-election, the hotel may decide to try to get more of their representatives on the Board in addition to Anderson, Wong and Orton. Please don’t forget that another Board member is a Shell Timeshares representative (more than likely to vote with the hotel), who will serve for two more years.
3. There is a slight increase (55 cents) in the cost of cable television beginning in January 2007. The newsletter indicates no change in cost of cable.
Cost of Security – something to think about: You have undoubtedly received your copy of the 2007 budget for the AOAO along with Hawaiiana’s notice of increases to the association dues. Please review the cost of Security, which are almost 13% of the Association’s operating expenses. Only electricity and maintenance costs are higher. Keep in mind that if it were not for hotel, i.e., if the building was 100% condo, we could have a secured building and not need so much security. Nevertheless, under the current structure, the cost to Association members is $45 per month for a 1 bedroom and $90 per month for a 2 bedroom unit. You may wish to raise the issue with the Board of Directors and/or at the annual owners meeting. There are less expensive alternatives that the Board has been reluctant to implement for fear of “ticking off” the hotel.
Please understand that the security force, including the Director, is employees of the hotel (with occasional assistance from outside security firms). The hotel then bills the Association $59,600 per month. There is no contract between the hotel and the Association for these services. In other words, we don’t know what we are supposed to be getting for all this money and whether or not these services are actually provided. The Association does not know how the $59,600 amount was arrived at; we just pay it because it has always been done that way. The outside CPA firm which certifies the financial results of the Association (you will receive a copy of the 2006 certified financials at the annual meeting) shirks their responsibility, by merely disclosing in the footnotes that there are certain transactions between hotel and the Association of a certain dollar amount. The CPA firm should at the very least audit and certify the services that the Association is billed for. If you believe that the hotel should absorb a higher portion of the cost of security (due to the very nature of hotel operations), then please raise this issue at the next Board meeting.
Association Dues – are we really better off? With the increase going into effect on January 1st, total monthly maintenance for a 1-bedroom (and lets face it, they are really only studio units) is $415 including air-conditioning and cable and $818 for a 2-bedroom unit. If you also pay for parking, the total comes to $565 for a 1-bedroom and $968 for a 2-bedroom unit. The rates at the new Trump tower at Waikiki Beach Walk may end up to be actually less. Are we getting our money’s worth? Do you think that these costs could be a detriment to finding buyers for your unit, should you decide to sell? Hawaiiana Management has said in the past that maintenance at the Ilikai is one of the lowest for comparable space. This appears to be doubtful. A realistic cost/benefit analysis of similar condominium buildings in Waikiki may show that the Ilikai has one of the highest fees. Perhaps someone should undertake the task of an analysis of our cost and comparison to that in other buildings. What do you think? You may start a blog on this subject if you wish and generate some discussion.
Earthquake Safety. Read about earthquake safety here.
Hawaii Condo Law: Become familiar with what happens at Board of Directors meetings and with the fiduciary duties of board members. Get this information under the AOAO Board tab. Know your rights as owner – check out Hawaii Condo Law – Boards & Board Meetings
The following information is for our Japanese speaking owners. The text in Japanese can only be viewed and read if a Japanese font is installed on your machine.
eRealty Companies and the Yacht Harbor Tower: We recently sent a communication to eRealty Companies with a request for clarification on plans and ownership of the Yacht Habor Tower. Find our questions and eRealty Companies’ response in a Microsoft WORD document here. If WORD is not installed your computer, you may read the PDF version here.