Maui Land & Pineapple Co. yesterday said it has acquired a stake in the partnership that owns the Ritz-Carlton, Kapalua.

In the transaction, Maui Land & Pineapple sold the leased land underlying the Ritz-Carlton to owners Kapalua/Gengate Holdings LLC in return for $25 million and a 21.43 percent ownership interest in the hotel, the company said in a news release.

"As a partner in the Ritz-Carlton, Kapalua we can carefully sequence our development programs and ensure that our residents and guests ultimately enjoy a seamless array of premium services throughout Kapalua Resort," said David Cole, chairman, president and chief executive officer of Maui Land & Pineapple.

The 23,000-acre master-planned Kapalua Resort in west Maui includes the Ritz-Carlton, Kapalua Bay Residences, Kapalua Gold Villas, Honolua Village and Kapalua Mauka. In 2005, Maui Land & Pineapple acquired a 51 percent interest in one of the resort's other properties, the Kapalua Bay Hotel. and began redeveloping the property in 2006.

Earlier this year, the Ritz-Carlton hotel announced that it will close for extensive renovations in July. The planned $95 million in upgrades will involve closing the hotel from July 2 to Dec. 15 and reducing the number of units from 548 to 470 as many one-bedroom units are expanded with second bedrooms. Kitchenettes are also being added to units.

The AAA five-diamond-rated Ritz-Carlton, Kapalua was developed in 1992 for $206 million by Japan-based Nissho Iwai Corp. in a joint venture with Ritz-Carlton Co. and Maui Land & Pineapple.