ยง171-37ย  Lease restrictions; intensive
agricultural and pasture uses.ย  In addition to the restrictions provided in
section 171-36, the following restrictions shall apply to all leases for
intensive agricultural and pasture uses:



(1)ย  The lease term shall be not less than fifteen
years nor more than thirty-five years, except that if the type of disposition
requires the lessee to occupy the premises as the lessee's own personal
residence, it may be longer than thirty-five years, but not in excess of seventy-five
years, and except in the case of a tree-crop orchard lease the term of which
shall not be in excess of forty-five years.



(2)ย  If the land being leased is not immediately
productive and requires extensive expenditures for clearing, conditioning of
the soil, the securing of water, the planting of grasses, or the construction
of improvements, as the result of which a longer term is necessary to amortize
the lessee's investment, then the lease term may be longer than thirty-five
years, but not in excess of fifty-five years.



(3)ย  The land leased hereunder, or any portion
thereof, shall be subject to withdrawal by the board of land and natural
resources at any time during the term of the lease with reasonable notice and
without compensation, except as provided herein, for public uses or purposes,
including residential, commercial, industrial, or resort developments, for
constructing new roads or extensions, or changes in line or grade of existing
roads, for rights-of-way and easements of all kinds, and shall be subject to
the right of the board to remove soil, rock, or gravel as may be necessary for
the construction of roads and rights-of-way within or without the demised
premises; provided that upon the withdrawal, or upon the taking which causes
any portion of the land originally demised to become unusable for the specific
use or uses for which it was demised, the rent shall be reduced in proportion
to the value of the land withdrawn or made unusable, and if any permanent
improvement constructed upon the land by the lessee is destroyed or made
unusable in the process of the withdrawal or taking, the proportionate value
thereof shall be paid based upon the unexpired term of the lease; provided
further that no withdrawal or taking shall be had as to those portions of the
land which are then under cultivation with crops until the crops are harvested,
unless the board pays to the lessee the value of the crops; and provided
further that upon withdrawal any person with a long-term lease shall be
compensated for the present value of all permanent improvements in place at the
time of withdrawal that were legally constructed upon the land by the lessee to
the leased land being withdrawn.ย  In the case of tree crops, the board shall
pay to the lessee the residual value of the trees taken and, if there are
unharvested crops, the value of the crops also.



"Tree-crop", as used in this section,
shall be exclusive of papaya and banana. [L 1962, c 32, pt of ยง2; am L 1965, c
239, ยง19; Supp, ยง103A-37; am L 1967, c 234, ยง15; HRS ยง171-37; am L 1973, c 68,
ยง1; am L 1982, c 198, ยง1; gen ch 1985; am L 1987, c 88, ยง1]



 



Case Notes



 



Decisions under prior law.



ย  Land may not be withdrawn from lease for exchange unless
lease so states.ย  30 H. 210.