Goodwill plans expansion: Will consolidate Hilo locations at Makaala Street property

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Kelsey Walling/Tribune-Herald A truck is parked Thursday in front Wilson's Trophies, one of the businesses on a large property located at 17 Makaala St. that has been sold to Goodwill Hawaii.
Outlined in blue is the 17 Makaala St. property purchased by Goodwill Hawaii.
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Goodwill Hawaii has purchased a large property in Hilo that will become a new East Hawaii hub for employees, customers and clients.

Goodwill Hawaii acquired the parcel — located at 17 Makaala St. — for $6.265 million, according to Colliers International Hawaii.

The lot is just over 67,000 square feet and contains four separate buildings that total 31,480 square feet.

According to Goodwill Hawaii CEO Katy Chen, the location will consolidate Goodwill’s three different properties currently leased in Hilo and offer more room for expansion.

“We’ve run out of space for some of our community initiatives, and want to put the (Goodwill Store and Donation Center) in a better environment more conducive to retail,” Chen said. “We began looking about two years ago, and it was a challenge to find something, especially with warehouse space. The location is fantastic and is a rare find, so we’re excited.”

The current Goodwill store is located at 266 Kanoelehua Ave.

In the past three years, Goodwill has opened two new stores in Pahoa and Waikoloa, and moved the Kona store to a better location. Now, there is a need for a larger processing center, since the new stores do not have a place to process donations.

“Knowing that our board wanted to serve this community more, we knew we needed the space and more cost-efficient facilities for the long term to reflect our commitment to Hawaii Island,” Chen said. “We’re excited for the four separate buildings for our different focuses because they will help us grow within the property.”

Chen hopes to move the staff that provides community services by spring 2024. However, moving the store, creating a processing center and expanding recycling services will take longer, but Chen foresees completing the move by 2025.

“There are many community needs that Goodwill can help with, and we want to be there for that,” Chen said. “This is a great first step, and we really hope the Hawaii Island community welcomes the expansion and can be a part in supporting our growth.”

Goodwill is talking with an architect to put together plans for the new space while also seeking needed permits for renovations.

According to Debbie Parmley, Hawaii vice president of Colliers, the current tenants are all on month-to-month leases and are working with Goodwill on timing to vacate the space.

Some of the businesses currently utilizing the buildings at 17 Makaala St. include Ray’s Mobile Repair Hilo, Hawaii Sheetmetal &Mechanical, Honda Food Processing, 808 Reflections Karaoke and Wilson’s Trophies Creations.

“Goodwill has to get permits and finish designs, so there is some time for everyone to do what is comfortable for them and their businesses,” Parmley said.

Parmley, who assisted Goodwill in the acquisition, said the consolidation could take approximately a year.

“We were so happy to find a location that fit the needs of a great cause,” Parmely said. “It is going to be so beneficial to the community, and we are proud to represent a nonprofit that does so much.”

Goodwill Hawaii also plans to use the acquisition to launch a capital campaign to help fund the new Hilo campus.

“We want to provide a welcoming experience for our clients, which include those with disabilities, immigrants and low-income families,” Chen said. We service so many, and I think this property will help us continue the service while giving us room to grow.”

Email Kelsey Walling at kwalling@hawaiitribune-herald.com.