Now that the Alexander & Baldwin Inc. plan for developing 36.5 acres of prime waterfront property in Kaka'ako is dead, what should be done with the state-owned land?

We put that question to Honolulu Advertiser readers last week, and they came back with suggestions ranging from turning it into one big green space to commercial development of residences, shops, museums or a miniature golf course.

The variety of responses may foreshadow the challenges the state faces in reaching a consensus about the future of the former industrial land 'ewa of Kewalo Harbor.

In May, the state Legislature torpedoed the A&B proposal after demonstrators marched in opposition of selling the land for residential high-rise development. A&B had proposed to build two condo towers to help pay for other improvements such as a hula amphitheater, waterfront promenade and farmers market. Now the state must seek an alternative plan.

Readers were split between those who favor building residential units and those who oppose them. Another point of division was between park space and commercial use.

"This is one of the few remaining public spaces in the midst of growing urban density that can be preserved for ocean access, green surroundings and recreation," wrote Barbara Downs, 71, a retiree from Manoa. "This is public land already surrounded by high residential and commercial density. It needs to be green!"

Leonard Chun, a former Coast Guard electrical engineer, said some commercial development could create a favorite spot for residents and tourists similar to Baltimore's Inner Harbor, which features restaurants, an aquarium and venues for professional football and baseball.

"Small shops and restaurants could line the edge of the basin," Chun said, adding that boat cruises and maritime exhibits such as the Falls of Clyde could complement the scene.

Cynthia Ho, a 54-year-old secretary from Kaimuki, suggested using some of the still-standing industrial buildings to shelter the homeless, a plan similar to a temporary shelter the state recently created from an empty warehouse on the 'ewa end of the Kaka'ako peninsula.

The Hawai'i Community Development Authority, the state agency guiding development in the area, believes a mix of homes, businesses and recreational facilities are needed to create a vibrant community.

But opponents have argued that public land should be reserved for public use and not private residences.

A few readers expressed acceptance for residences if they were limited to three- or four-story buildings.

John Gilbert suggested four-story residences inland, with restaurants, shops and park space along the water's edge.

Helen Wheeler mainly advocated for park space.

"I think there has to be more open space for people in Ho-nolulu," she wrote. "There is very little relief from the urban crush of buildings, people and traffic."

But Wheeler also was open to having moderate-priced condos mixed with retail such as grocery, drug and hardware stores.

WHAT WILL IT COST?

A major issue over redeveloping the area has been how to pay for improvements.

Downs, the Manoa retiree, said the state, which is running a budget surplus, can afford to make the 36.5 acres into park space.

So does Tom Sebas, 45, a Honolulu resident in the art business who would like to see the Kewalo harborfront become an extension of Ala Moana Beach Park with amenities including a miniature golf course, water fountain and tennis courts.

"The state can afford to build and maintain a quality public park with our $600 million surplus," he said. "Our over-taxed residents deserve a new park."

But Gilbert, a retired insurance industry executive who lives in downtown Honolulu and regularly uses Ala Moana Beach Park, questions whether a more expansive Kaka'ako park will be maintained by the government.

"While there is a regular clamor for beachfront parks — it is a cozy, warm, flag and apple pie issue that none can object to — neither the state nor the city maintains anywhere near adequate upkeep of the present island park facilities," he said.

BIG PARTNERSHIP

The Hawai'i Community Development Authority, which pays $750,000 a year for basic maintenance at Kaka'ako Waterfront Park, in recent years has concentrated on improving surrounding parcels through a private-public partnership.

The agency in 1998 solicited private plans to develop part of the area, and received proposals that included leasing state land for an indoor snowboarding complex and high-tech park. A preferred plan for retail shops and restaurants surrounding a miniature golf course, carousel and 130-foot high Ferris wheel ultimately was rejected.

Last year, the agency solicited more proposals, and asked that residential use be included in line with an anticipated rule change that would allow homes in the area.

The agency selected A&B's plan as the best among six submissions, all of which included residences as their linchpin to pay for other improvements such as park space, museums, an aquarium, bridges, Hawaiian music hall of fame and an amphitheater.

A&B's initial plan included three 20-story condo towers, a Kaka'ako Waterfront Park extension, hula amphitheater, waterfront promenade, farmers market, shops, restaurants and a pedestrian bridge over Kewalo Harbor channel.

A&B offered to pay an estimated $50 million to buy about 7 acres of slightly inland property on which to build the condos, and lease the rest of the land under an agreement that would earn the state revenue.

In response to community concerns, A&B eliminated the harbor bridge and one condo tower. The plan garnered some public support, but drew extensive opposition that included public rallies. Last month, the Legislature passed a bill to ban residential use or sale of state land in Kaka'ako makai of Ala Moana.

Last week, the Hawai'i Community Development Authority terminated the A&B plan and others that responded to the state request for proposals.

The agency also asked Gov. Linda Lingle to veto the bill to keep the door open for possible residential use in the next development plan.

Before coming up with a new plan, the development authority wants to hear from a community advisory panel. How to form the advisory panel is still being worked on.

DIFFERENT VIEWS

If the panel is like the readers who sent their suggestions to The Advertiser, it may have a hard time finding common ground.

Norma Baxter, 77, a housewife from Pearl City, shares the agency's mixed-use vision, but would like to see three-story loft apartments with rooftop gardens above ground-floor businesses. An aquarium and expansive park with picnicking and playground areas are also part of Baxter's vision for the area.

Another reader suggested expanding Kaka'ako Waterfront Park along Kewalo Basin to Ala Moana, with more interior land used for a fish and farmers market as well as museums for surfing and fishing.

One idea that already has some broader support is a plan promoted in January by the grassroots group Save Our Kaka'ako.

The group's self-described "People's Preferred Plan" is anchored by park space and a "living" historic Hawaiian fishing village attraction aimed at tourists and kama'aina.

Among public elements of the plan are a bandstand, community center, performing arts center, fish and farmers market and canoe halau.

Elements of the fishing village, which would charge a fee for entry, include a stream, fish pond, native forest, heiau, a canoe-building exhibit, performance theaters and a water sports exhibition hall.

Save Our Kaka'ako estimates the cost of its plan at about $70 million, which is envisioned to come from donations, and state revenue bonds repaid over 20 years with project revenue.

"There should be no need to solicit speculative special interests to buy and convert this state land to private use for private gain," said Michelle Matson, a Save Our Kaka'ako member.

Reach Andrew Gomes at agomes@honoluluadvertiser.com.