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Partnership Revitalizes Kauai Lagoons Vision

November 2, 2006 By: Camie Foster Travel Agent

Master developer breathes life into long-dormant area

Today, when travel agents and Hawaii habitues think of Kauai Lagoons in Lihue, what's most likely to come to mind are the two 18-hole golf courses designed by Jack Nicklaus. Savvy longtimers may remember former Hawaii developer Chris Hemmeter's grand plans for a mixed-use destination resort.  The Ninini Point lighthouse sits near one of Kauai Lagoons' existing resort golf courses

Almost two decades ago, Hemmeter carved out a freshwater
lagoon and the golf courses, as well as developing what is now the Kauai
Marriott Resort & Beach Club on an adjoining oceanfront parcel. However,
for years, the lagoon and much of its surroundings lay dormant, with only the
hotel, a restaurant and the two golf courses in use.

That all will change under plans unveiled late last month by
master developer Kauai Lagoons LLC, which is a partnership between Kauai
Development LLC and an affiliate of Marriott International. The foliage
fringing the navigable 38-acre lagoon has been trimmed, vessels are being
gathered to ply the waters, and plans are in the works for a marina, an extensive
spa, a retooling of several holes of the golf courses, a new free-standing
restaurant and a number of vacation homes and condominiums across a range of
Marriott brands.

This is according to Hawaii
developer Kevin Showe, who leads Kauai Development. (Agents should note that
the developer anticipates some buyers will make units available for retailers
to book on a commissionable basis.)

"We are happy to see the announcement of the
revitalization of the Kauai Lagoons area that once thrived with a variety of
experiences—from golf to dinner to shopping," says Sue Kanoho, executive
director of the Kauai Visitors Bureau. "Marriott has been a strong partner
on the island of Kauai, and we are pleased to see some of
their brand products, being introduced to the island's visitor inventory."

Kauai Lagoons is reviewing two locations for its resort spa,
says Showe. One, at the site of the former Fashion Landing, would enable the
development of a spa of about 13,500 square feet, with about 20 treatment
rooms. Another possibility, he says, is partnering with the Kauai Marriott and
making use of the space now occupied by three tennis courts to build a spa of
at least 22,000 square feet, with about 28 treatment rooms.

Plans call for the spa and a new restaurant overlooking the
coast, Kiele's 13th hole and Ninini Point lighthouse to open during the second
quarter of 2008.

Also underway early in the project's 10-year lifeline are
changes to six holes of the Kiele and Mokihana courses, says Showe. Most
noticeable for golfers will be the realignment of the 14th and 15th holes of
the Kiele course to hug the coastline, resulting in five consecutive oceanfront
holes, four of them lateral.

Showe anticipates that work on the six holes will begin
early next year, noting that this multimillion-dollar project is still in the
design phase. He adds that usual timing for such work is 18 months —from the
date work starts to the date the hole is back in play—which would place
completion by the end of 2009.

Also open to the public will be miles of walking, jogging
and bike paths, including shoreline access trails.

"We are committed to putting in lots of public
access," Showe says. In the planning is a lateral shoreline access route
between Kiele's 16th hole and Ninini Point Lighthouse, with picnic areas,
recreational shelters and bathrooms.

Kauai Lagoons also is working with Kauai County to develop a four-mile public
access route from Kalapaki Beach Park
to Ahukini Landing.

As for the lodging, Marriott is breaking new ground of its
own by bringing together a mix of brands within a single resort. Represented at
Kauai Lagoons will be Grand Residences by Marriott, the Ritz-Carlton Club,
Ritz-Carlton Residences and Marriott Vacation Club. It will be the Grand
Residences two- and three-bedroom units and the Kalanipuu villas that retailers
will be able to book for their clients, with specific availability determined
by how many purchasers make their units available in this manner.

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