Full Breakdown
Uncertain Future for Kauai Coffee Company as Land Lease Expires
1/28/2026, 7:09:05 AM
Overview of the Situation
Kauai Coffee Company, the largest coffee grower in the United States, faces an uncertain future as its land lease is set to expire at the end of March 2026. The company, which has been a staple of the Kauai community since the late 1980s, employs approximately 140 people and manages 4 million coffee trees across 3,100 acres. Recent developments indicate that the company may cease operations, leading to significant layoffs.
Key Events Leading to Uncertainty
The uncertainty surrounding Kauai Coffee began in December 2025 when Wayne Katayama, a senior adviser and former president of the company, announced that there would be no extension or renewal of the land lease. This announcement prompted concerns among employees and local officials, including Kaua‘i County Council Chair Mel Rapozo, who expressed his commitment to ensuring the well-being of the workers. Rapozo is scheduled to meet with representatives from both the company and the landowner, Brue Baukol Capital Partners (BBCP), to discuss the situation.
Stakeholder Perspectives
Kauai Coffee has notified state and county officials of its intention to lay off 136 employees between March 14 and March 28, citing the expiration of its lease. In contrast, BBCP has stated its commitment to retaining employees who wish to continue working on the land, emphasizing its focus on sustainable agricultural practices. James Priestley, vice president of BBCP, indicated that the company has formed a Kauai Coffee Transition Task Force to facilitate any necessary transitions while prioritizing community and operational considerations.
Community Impact and Concerns
The potential closure of Kauai Coffee raises significant concerns for the local community, where many employees have deep-rooted connections. Approximately 90% of the workforce resides on the Westside of Kauai, and many have been with the company for over a decade. Local officials, including State Rep. Dee Morikawa, have highlighted the importance of Kauai Coffee as a job provider and a contributor to the local economy. The International Longshore and Warehouse Union Local 142 has also expressed concerns about the broader implications of agricultural land being repurposed for high-end development.
Future of the Land
BBCP, which acquired the land in 2022, has been involved in discussions about the future of the Kauai Coffee lands. The firm owns over 18,500 acres on the island and has previously listed portions of the Kauai Coffee lands for sale. However, Priestley clarified that the company is focused on finding a long-term agricultural steward for the land, rather than pursuing development beyond what is permitted by county plans.
Official Statements
Kaua‘i Mayor Derek Kawakami has been monitoring the situation, emphasizing the need to understand the potential impacts on workers and the community. The county's ability to intervene is limited due to the private nature of the lease negotiations.
Verbatim Quotes
- “This state of uncertainty — or not knowing what’s going to happen — is a lot for them.” — Mel Rapozo, Kaua‘i County Council Chair
- “If Massimo Zanetti does not renew its lease, our plan is to keep people working as we move forward,” — James Priestley, Vice President, BBCP
- “This issue extends well beyond the coffee workers at Kauai Coffee Company and to the question of whether Kaua‘i gets turned into a playground for investors,” — Chris West, President, International Longshore and Warehouse Union Local 142
The future of Kauai Coffee Company remains uncertain as stakeholders navigate the complexities of lease negotiations and community impacts.
