The Office of Housing and Community Development (OHCD) is leading the renovation of the old Hilo Memorial Hospital at 34 Rainbow Drive in South Hilo. Built in the 1920s, the facility sits on nearly 25 acres owned by the State and managed by the County of Hawaiʻi through Executive Order. It currently hosts the 44-bed Keolahou emergency shelter and the 17-bed Hale Kulike permanent supportive housing program operated by HOPE Services Hawaiʻi Inc.
The first phase of work includes re-roofing, safe removal of hazardous materials and selective removal of invasive trees near the building to prevent water retention at the building foundation or damage from roots and falling branches.
This work will be followed by selective electrical and mechanical work (such as fire sprinkler, fire alarms and elevator system, and Americans with Disabilities Act (ADA) compliance), selective restoration and replacement of interior windows to seal the building, new flooring, repairing exterior finishes, and exterior painting.
An environmental assessment covering the renovation and overall master plan for the former Hilo Memorial Hospital and site received a Finding of No Significant Impact (FONSI) on April 23, 2024, allowing the project to move forward.
In July 2025, the County of Hawaiʻi Office of Housing and Community Development (OHCD) selected SSFM International to serve as construction project manager. OHCD subsequently issued an Invitation for Bid for the initial phase of renovation work on August 4, 2025.
In February 2026, the County awarded an $8.03 million construction contract to Diede Construction Inc. for the first phase of renovations. Construction is anticipated to begin in summer 2026 and is expected to take approximately 12 months to complete.
This work is supported in part by $16.6 million in federal Community Planning and Development grants secured by U.S. Senators Mazie Hirono and Brian Schatz.