After sitting idle (and ugly) for years, a 1.75-acre lot in the heart of Kailua-Kona is finally getting a makeover. Hilton Grand Vacations just sold the parcel, once slated for a timeshare, to Maryland-based Baywood Hotels for $4.65M. Their plan? A $45M Residence Inn by Marriott, with 100 extended-stay rooms. That is a hefty $496K per key!
The site, next to Kona Reef Resort, had been stuck in permitting purgatory since 2023. With approvals finally in place, construction is now slated for 2027. Between this project, the Uncle Billy’s to Hampton Inn conversion, and the Pacific 19 refresh of the old Seaside Hotel, Kona is finally seeing some long-overdue investment.
