Hawaii Fire Department extinguishes blaze at vacant Hilo hotel

A fire broke out early this morning at the old Uncle Billy’s Hilo Bay Hotel, which was vacant and on track to be demolished.

The Hawaii County Fire Department said in a news release that the fire appears to be suspicious and the cause is under investigation.

Firefighters responded to a 1:41 a.m. alarm and were on scene at 1:46 a.m. They brought it under control at 3 a.m. and extinguished it at 4 a.m.

A total of 14 units with 26 personnel and an additional 12 others from different agencies responded. They found flames from the bottom floor on the east end of the hotel lobby had extended up the entire four floors of the building, and had spread to the north wing of the building.

Firefighters searched the building and found no occupants, but discovered evidence to support reports of squatters frequenting the premises, the fire department said in a news release.

The fire department estimated the fire caused $2,025,000 in damage to the $7 million building.

The Department of Land and Natural Resources’ Land Division, which has jurisdiction over the hotel property and and other properties on Banyan Drive, said three people were arrested on offenses unrelated to the fire.

DLNR Division of Conservation and Resources Enforcement officers arrested one person on suspicion of promoting drugs, possessing drug paraphernalia and criminal trespassing, while the other two were cited for criminal trespassing.

DLNR said it has been pursuing demolition and redevelopment of the property, but plans were put on hold because the agency lacked funding for demolition and litigation unrelated to DLNR.

An interim security contract lapsed in December, and DLNR said it continues to look for options to secure the property.