In 1994, Don Williams bought 1.137 acres of waterfront land beside Maalaea Small Boat Harbor for $1.35 million. Four weeks later the state signed a 30‑year lease, paying about $150,000 annually at first, rising to $350,000 by 2013.
When the state sought to condemn the property in 2013, the lease became a sticking point. The state initially valued the land and its lease at $4.17 million, but later argued the lease income should be excluded from just‑compensation calculations.
In 2025, the Circuit Court awarded Williams $7 million after a summary judgment. The state challenged, but the court had omitted evidence from the state’s expert appraiser that could have lowered the valuation.
The Intermediate Court of Appeals on September 30, 2026, found the lower court erred by excluding that evidence and by resolving the valuation dispute through summary judgment while competing evidence remained. The court vacated the $7 million award and remanded the case for further proceedings.
Williams said the remand meant his claim still hangs in the balance, although he remains hopeful that the full value of his lease and land will be recognized.
The property sits near Maalaea Small Boat Harbor, a hub where local fishermen launch their boats every dawn. Their livelihoods depend on the waterfront, adding a human stake to the legal wrangle.