Hilo Memorial Hospital renovations underway to turn building into resource hub
The County of Hawaiʻi Office of Housing and Community Development has begun the first phase of renovations at the former Hilo Memorial Hospital.
Located at 34 Rainbow Dr. in Hilo, this project advances plans to establish a coordinated resource hub focused on housing stabilization, workforce readiness, behavioral health, and wraparound services, according to a news release from Hawai‘i County.

“This is an important step forward for our island,” said Mayor Kimo Alameda. “While projects of this scale take time, each phase brings us closer to a coordinated space where people can access housing support, services, and pathways to stability.”
Diede Construction Inc. was selected as the low bidder, with a contract award of $8.03 million. Work is expected to take approximately 12 months to complete.
Phase one includes re-roofing the main structure, safe removal of hazardous materials, and selective removal of invasive trees to protect the building foundation. The following phases will address upgrades to electrical and mechanical systems, Americans with Disabilities Act improvements, interior renovations, and exterior repairs, which will prepare the building for tenant improvements and eventual program occupancy.
The first and future phases are supported by $16.6 million in federal grants secured by U.S. Senators Brian Schatz and Mazie Hirono.
County Housing Administrator Kehaulani Costa expressed gratitude to federal partners.
“These funds are helping us lay the foundation for a space that brings housing, services, and support together in one location — making it easier for residents to access the help they need,” Costa said.
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.
The renovation of the old hospital is guided by ongoing master planning efforts to create a centralized campus for housing and supportive services. The county has worked with community partners, service providers, and stakeholders to shape a vision that aligns facility design with identified gaps in housing, healthcare access, and workforce support.
Additional information on the project can be found on the OHCD website at www.housing.hawaiicounty.gov.




