Wild Ginger Hotel Redevelopment Hearing Deferred

The Windward Planning Commission delayed the permit process for the historic Hilo site after the developer requested more time.

Updated on Oct. 6, 2026 in Hospitality

Isometric editorial illustration showing an empty building site with tropical plants and wooden beams, representing a stalled urban development project. — The Windward Planning Commission has deferred the permit hearing for BHG Aloha LLC’s proposed redevelopment of the historic Wild Ginger Hotel in Hilo. AI Illustration. Upload story photo >

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BHG Aloha LLC has paused its bid to rebuild the historic Wild Ginger Hotel in Hilo following a request to defer a permit hearing. The developer aims to replace the structure, which was destroyed by a fire in October 2025.

Why it matters

The proposal has faced formal opposition from groups like the Pacific Resource Partnership, who have filed petitions for a contested case hearing regarding the rebuild. The future of the 1.6-acre site at 100 Puueo St. remains uncertain as legal challenges and planning hurdles accumulate.

The proposed redevelopment includes a 30-room hotel complex on a 1.6-acre lot featuring a 1,395-square-foot café and 32-stall parking area. Construction costs are estimated between $10 million and $12.5 million.

The players

BHG Aloha LLC

This is the development firm that purchased the Hilo property in 2024 to initiate hotel reconstruction efforts.

Windward Planning Commission

This local government body is responsible for reviewing and approving land use permits in the Hilo region.

Pacific Resource Partnership

This organization acts as an advocacy group and has filed formal petitions opposing the hotel project.

Henry Correa Jr.

He is an individual petitioner who has formally challenged the redevelopment plans for the hotel site.

The details

The project intends to replace the hotel lost in a 2025 fire with three two-story buildings, a swimming pool, and a lounge deck. While BHG Aloha LLC secured demolition permits in 2026, the current application for a Special Management Area Use Permit is stalled by petitions from opponents including Henry Correa Jr.

The Wild Ginger Hotel was originally constructed in 1911.
BHG Aloha LLC purchased the property for $3.4 million in July 2024.
A fire destroyed the hotel and killed a resident on Oct. 22, 2025.
The county issued demolition permits for the site on July 29, 2026.
The Windward Planning Commission agenda included the permit application on Oct. 1, 2026.

Market Landscape

The project's advancement is directly contingent upon navigating the specific criteria set by Hawaii's Special Management Area Use Permit regulations. This regulatory environment frequently complicates coastal development projects in Hilo, leading to increased scrutiny and potential for prolonged legal challenges.

Local residents and potential guests should expect continued site inactivity while the permit hearing remains deferred. The ongoing legal disputes could significantly impact the project's long-term timeline, potentially delaying the return of hospitality services to this specific Puueo Street location.

The takeaway

The stalled redevelopment highlights the complex balance between historical preservation and new construction in coastal Hilo. Community members should remain attentive to future planning commission agendas for updates on public testimony opportunities.