From dKosopedia

A law passed by the Honolulu City Council in 1991 to help leasehold owner-occupants gain title to the land under their units is know as “Chapter 38”. The law allows condominium owner-occupant lessees to petition the city to use its condemnation powers to compel a landowner to sell the fee interests on their units at prices determined by a third party.

Alii trusts, foundations and small landholders that receive revenue from leasehold condominiums fear loss of revenues. The Council voted 6-3 on January 26, 2005 to repeal the mandatory lease-to-fee conversion law known as Chapter 38. How the Council voted:

For repeal:

• Chairman Donovan Dela Cruz
• Todd Apo,
• Romy Cachola,
• Nestor Garcia,
• Ann Kobayashi,
• Rod Tam.

Against:

• Charles Djou,
• Barbara Marshall,
• Gary Okino

Mayor Mufi Hannemann, on February 9, signed into law the bill repealing "Chapter 38".

External Links

• Leasehold condos convert -A 1990 law has cut the number in half on Oahu, a study finds (Honolulu Star-Bulletin, 6-4-04)
• Judge voids sale of units at Coral Reef (Honolulu Advertiser, 5-21-04)
• Leasehold reform debated (Honolulu Star-Bulletin, 8-19-04)
• Groups take stands on leasehold law (Honolulu Advertiser, 9-2-04)
• Potential liability a hurdle in leasehold-law repeal --- Six Councilmembers support the repeal but some fear legal action from condo lessees (Honolulu Star-Bulletin, 11-10-04)
• Courts might have to settle condo land sales dispute -- THE ISSUE -- The City Council has given preliminary approval to a bill to repeal the condo leasehold conversion law. (Honolulu Star-Bulletin, 11-12-04)
• City should foster condo land sales THE ISSUE: City Council members have voted in committee in favor of repealing the city's condo leasehold conversion ordinance. (Honolulu Star-Bulletin, 1-17-05)
• Lessees to take issue of conversion to court (Honolulu Star-Bulletin, 1-22-05)
• Kahala condo owners sue over conversion law (Honolulu Star-Bulletin, 1-25-05)
• City should avoid liability in repeal of land conversion THE ISSUE: The City Council is expected to repeal the city's condominium leasehold conversion ordinance. (Honolulu Star-Bulletin, 1-26-05)
• FEE LAW REPEALED Repeal supporters cheer the 6-3 Council vote, but lessees fear loss of their homes (Honolulu Star-Bulletin, 1-27-05)
• Mayor repeals leasehold law -- Charitable trusts and other groups laud Chapter 38's demise (Honolulu Star-Bulletin, 2-10-05)
• Leasehold conversion ruling is upheld -- Some owners were not eligible to force Kamehameha to sell its fee interest By Craig Gima (Honolulu Star-Bulletin, 12-9-05)

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