HANAPEPE — A landmark of Hanapepe’s history is getting new life under a $4 million restoration plan that will see Kaua‘i’s biggest little town gain multiple new businesses and a 16-room boutique hotel.
Opened in 1936, the Aloha Theatre sat in the center of Hanapepe, Kaua‘i’s first commercial hub, providing Kauaians live performances and film screenings for 45 years before shutting its doors in 1981.
Since the theater’s closing, the building had fallen into disrepair — a constant reminder of Hanapepe’s glory days gone by. Hurricane ‘Iniki ripped the roof off in 1992, leaving the interior vulnerable to rot. The side of the building’s facade began to slump inward, and the back portion of the building collapsed in on itself.
In 2015, the remnants of the theater were condemned, and the property still sat untouched for another three years.
However, since 2019, Lynn Danaher has been repairing the theater, transforming it into The Aloha Theatre Inn — a mixed-use development that she expects will open its doors in early 2025.
“This is an iconic building in Hanapepe town, and I think it’s going to be a real revival to the economic diversity of the community,” she said.
The first floor of the inn will include six hotel rooms and two storefronts — one marking the return of Little Fish Coffee to Hanapepe, the other being Fonda’s Daughter, a retail space selling Hawaiiana. The second floor will contain another six rooms for rent, as well as a restaurant.
Finally, the third floor will house two more hotel rooms that look out onto the Hanapepe River.
The approximately 16-by-20-foot rooms will all have individual themes, all revolving around Polynesian and Hawaiian history and culture. Danaher hopes to use the hotel as a teaching tool for visitors to the island.
“If you’re staying at The Malama, you will learn that the word ‘malama’ means ‘to care for,’” Danaher said, “or ‘kuleana’ means ‘to be responsible for,’ or ‘ho‘okipa’ means ‘to be hospitable.’ I’m going to hit them over the head with as much information as I can so that people will become more educated.”
In designing the building plan, Danaher and Palms Hawai‘i Architecture have set out to reuse as much of the existing materials as possible. Original steel beams remain in place. Exterior wooden vents are being repurposed as lanai.
And even though the collapsed back portion of the building was deemed irreparable, Danaher intends to make use of the remaining lumber throughout the building.
Amazingly, the 1930s-era siding has also withstood the test of time, largely standing in immaculate condition. Danaher attributes this to an old-school wood treatment strategy using Kaua‘i’s shores.
“What they would do is they’d bring it over here in a barge, they’d drop it in the ocean, and it would sit in the ocean and get salt-cured,” she said. “Right now, Borax is what they use for all the (wood) — well, that’s basically salt. So that’s why all the siding is still in great shape, is because it was all salt-cured before it was installed.”
Where she can’t reuse or repurpose materials already on the property, Danaher has purchased as much as possible from the Habitat for Humanity ReStore, a home improvement and furniture resale shop in Hanapepe, so as to avoid being wasteful.
“I see so much waste that makes me crazy,” she said. “I see food waste, I see material waste, I see cars, I see people’s furniture, clothing — I mean, it just goes on and on. And I think it’s unfortunate. I think people need to be more respectful of that in general.”
And yes, Danaher is also keeping the Lilo and Stitch mural.
“I would get drawn and quartered, tarred and feathered, if I get rid of that,” she said.
By restoring the flagship building to its former glory and creating a hotel built around Polynesia’s past and culture, Danaher aims to help reinvigorate Hanapepe while ensuring visitors leave the island with a greater understanding of what makes Hawai‘i, Hawai‘i.
“This is going to be a destination,” she said. “It’s going to tell the history — it’s going to have Polynesian prehistory. It’s going to have Kaua‘i history. It’s a boutique hotel with a theme about the culture of Polynesia and Hawai‘i. So, it’s not just a hotel.”
Restaurateurs interested in applying to lease the restaurant space can contact Danaher at alohatheatreinn@gmail.com.
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Jackson Healy, reporter, can be reached at 808-245-0427 or jhealy@thegardenisland.com.
