Ala Moana Center and Shirokiya terminate lease in legal battle – Honolulu, Hawaii

The Ala Moana Center and Shirakiya are in the midst of an endangered multi-million dollar legal battle. On Monday, the judge allowed Shirokiya operators to enter the facility and remove the remains of items, including hundreds of thousands of dollars in wine.

Ala Moana Center’s parent company is suing Shirokiya Holdings for millions of dollars in indirect rents. Shirokiya’s lawyer initiated further lawsuits.

The judge asks the operators of Shirokiya to remove alcohol and personal effects from the Japan Village Walk and Vintage Cave Cafe until August 15.

An attorney representing Shirokiya Holdings has said it is illegal for the Ala Moana Center to lock up sellers suspected of annuities, while it is also illegal to lock up more than $ 200,000 in fine wines belonging to members of the Vintage Cave Club. Claims to be.

Former Hawaii Attorney General Doug Chin said the case came as no surprise. These financial disputes are in line with the financial difficulties posed by the pandemic.

“One side will say that you illegally owned my alcohol and my property,” Chin said. “The other part would say I was never allowed to do it. The judge is basically going to put the problem aside for me and let you talk about the best way to solve it. I say. “

The judge ordered arbitration of the case.

Ala Moana Center’s attorney filed a complaint with Shirokiya Holdings on January 15. The lawsuit claims nearly $ 8 million in overdue rent.

In the counterclaim, Shirokiya said the company would not be able to pay rent after being forced to close due to COVID-19. In response, he sued the Ala Moana Center for $ 110 million. Lawyers claimed that $ 50 million was the cost of the renovation when the mall was relocated to Ewa’s side, and $ 60 million was lost in future profits.

“This is the situation where the landlord says, ‘Don’t pay the rent. You haven’t caught up with the end of the market, ”Chin said. The tenant pushes back saying, ‘You haven’t given us every opportunity to be successful, as we discussed when signing the rental agreement. “”

Jake Wilson, vice president and senior general manager of Center Ala Moana, said in a statement:

Shirakiya closed its activities at the Ala Moana center in 2020 and entered into the lease earlier this year. While details of the tenant’s lease and the reason for the cancellation were not disclosed, the decision to file or not to file has not been overlooked, and after months of discussion, we are working on a solution.

The past year has been a difficult year for all retailers and we have taken special steps to help our tenants continue to operate. It is a pity that Shirokiya has decided not to continue its operations.

We have a preliminary discussion on the future of space and look forward to sharing our plans in the coming months.

The judge said the Ala Moana center could be observed but not disturbed as Shirokiya removed his belongings.