HILO, Hawaii — After years of being used as an illegal shelter by squatters, the dilapidated Uncle Billy’s Hotel and Resort in Hilo will soon be demolished, according to a news release.   

What You Need To Know

  • Uncle Billy’s closed in 2017 and was later condemned

  • Next week, Isemoto Contracting Company, Ltd., will begin asbestos abatement on the three-storey property

  • As the Hilo-based contracting company removes asbestos from one part of the structure, demolition work will begin in those locations

  • The Department of Land and Natural Resources expects demolition to be completed by next November

Uncle Billy’s closed in 2017 and was later condemned because of unsafe and unsanitary conditions. A fire last year further damaged the building. Law enforcement agencies have conducted multiple sweeps at the former hotel on Banyan Street, citing trespassers. 

This summer, a contractor built a chain-link fence around Uncle Billy’s. Starting in September, DLNR Division of Conservation and Resources Enforcement officers patrolled Uncle Billy’s 24/7 to ensure people stay out of the potentially dangerous building. DOCARE ended their patrol Monday. While patrolling the building, there were two breaches in the fence, but the culprits were not caught in the act. 

DLNR Chair Dawn Chang thanked people on Hawaii Island community for their patience as the demolition of the building was delayed after asbestos was discovered and material disposal certificates were secured. However, some of the regulatory processes associated with the demolition were expedited after Gov. Josh Green issued an emergency proclamation. 

“We appreciate everyone’s patience, as our primary concern has always been everyone’s health and safety. Making this building uninhabitable was key to realizing that goal,” Chang said.

In order to demolish Uncle Billy’s, this year the Legislature appropriated $8 million in reimbursable general obligation bonds funds that DLNR will pay back over time with interest. 

Once Uncle Billy’s is demolished and restored to bare ground, DLNR will consult with the public and make recommendations to the Land Board about the site’s future use. This will include an updated strategic assessment of the Banyan Drive area to facilitate redevelopment.