HILO, Hawaii — The Department of Land and Natural Resources announced the demolition of the iconic Uncle Billy’s Hilo Bay Hotel was underway.


What You Need To Know

  • The state’s contractor began demolishing the wooden lobby and restaurant structure several weeks ago

  • DLNR said they expect crews to bring down both wings of the hotel within the next month

  • Built in the mid-1960s, Uncle Billy’s was a family-owned-and-operated hotel

  • Hawaii County condemned the dilapidated hotel after it closed in 2017, citing health concerns and public safety

The state’s contractor began demolishing the wooden lobby and restaurant structure several weeks ago. DLNR said they expect crews to bring down both wings of the hotel within the next month, according to a news release. 

Built-in the mid-1960s, Uncle Billy’s was a family-owned-and-operated hotel. Hawaii County condemned the dilapidated hotel after it closed in 2017, citing health concerns and public safety. In 2022, a fire further damaged the building. Law enforcement agencies have conducted multiple sweeps at the former hotel on Banyan Street, citing trespassers. 

Last year, a contractor built a chain-link fence around Uncle Billy’s. For about two months in 2023, DLNR Division of Conservation and Resources Enforcement officers patrolled Uncle Billy’s 24/7 to ensure people stayed out of the potentially dangerous building. 

The discovery of asbestos and securing material disposal certificates delayed the demolition of the building. However, some of the regulatory processes associated with the demolition were expedited after Gov. Josh Green issued an emergency proclamation

(Photo courtesy of DLNR)
(Photo courtesy of DLNR)

“I’d like to acknowledge the progress from a year ago, in addressing a public health and safety hazard, complaints, unauthorized occupants and significant community frustration,” said DLNR Chair Dawn Chang in a statement. “This could not have happened without the Governor’s Emergency Proclamation and the collaboration of the state and Hawaii County. Isemoto Contracting has stayed on schedule and within the state’s budget.”

Under Hawaii County’s rules, the contractor is required to cut any wood or concrete debris into pieces smaller than one foot for disposal at the county landfill. Crews will also recycle as much of the concrete waste as possible. This will reduce the amount of landfill space required for the demolition project, according to DLNR. 

(Photo courtesy of DLNR)
(Photo courtesy of DLNR)

Once Uncle Billy’s is demolished and the four-acre site 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. 

Nathan Kurohara, who is leading the demolition project for Isemoto Contracting, said he would like to see the parcel developed into a public place for people to enjoy. “I hope they don’t make it a parking lot,” he said.