A major new mixed-use development may be on the horizon for the Ala Moana neighborhood. Honolulu developer BSC Acquisitions II LLC, an affiliate of the Kobayashi Group and BlackSand Capital, has unveiled early plans for a project called 1588 Ala Moana that would blend luxury hospitality, market-rate homes and much-needed affordable rentals.
The project would rise on the makai parking lot fronting the Macy’s store at Ala Moana Center, near Atkinson Drive. While approvals are still pending, the developer recently presented the concept to the Honolulu City Council’s Zoning and Planning Committee, offering the first detailed look at what could become a significant addition to Honolulu’s urban core.
What is 1588 Ala Moana?
1588 Ala Moana would add housing diversity and enhance economic sustainability accross more than four acres of one of Honolulu’s busiest commercial hubs. The draft plan includes three main components:
Luxury Hotel
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400-foot tower with approximately 291 guest rooms, designed to attract high-spending visitors
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26,000 sq. ft. of commercial space, offering opportunities for local entrepreneurs and workers
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First-ever Honolulu resort proposed with a gray water reuse system to promote environmental sustainability
Market-Rate Residences
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200-foot tower with 145 market-rate condos at Ala Moana Center
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Would sit above ground-floor commercial and parking areas
Affordable Rentals
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52 one- and two-bedroom rentals with ocean views
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Reserved for households earning at or below 80% of the area median income (AMI in 2025: $85,150 for a single-person household; $121,600 for a family of four)
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Located closer to street level along Ala Moana Boulevard
Enhanced Access, Parking and Mobility Improvements
The project would align with Honolulu's transit-oriented development (TOD) vision for the Ala Moana area by focusing on walkability, mixed uses and proximity to transit connections. To support the development, the plan calls for:
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560 parking stalls returned to the mall
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575 stalls dedicated to hotel and residences
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300 bicycle stalls
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Vehicle access from Atkinson Drive
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A new ground-floor retail corridor designed to improve walkability and pedestrian flow
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Wider sidewalks and direct pedestrian access to Ala Moana Center, creating a safe, convenient and comfortable pedestrian environment
Where is the Project in the Approval Process?
The proposed development is still in its early stages. The developer has begun early coordination with the Department of Planning and Permitting (DPP), and an overall project permit application is expected to be submitted soon. Both DPP and the full Honolulu City Council are expected to review the project sometime in 2026, and a decision is anticipated in late 2026.
What Could 1588 Ala Moana Mean for the Neighborhood?
If approved, 1588 Ala Moana could bring new residential options, including much-needed affordable rental homes. It would also add hotel rooms next to the Hawaii Convention Center and increase commercial activity and walkability in the area.
The project would also support the city's goals to create a more transit-connected, mixed-use Ala Moana district. With its combination of housing, hospitality, retail and neighborhood improvements, the project has the potential to reshape a prominent corner of Ala Moana Center.
Locations will continue to follow the project as it moves through the permitting and public review process.
