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Expiring Kauaʻi Coffee Lease Puts 141 Jobs at Risk, WARN Notices

A land lease that expires at the end of March puts 141 Kauaʻi Coffee jobs at risk after WARN notices were sent, threatening local wages, tourism offerings, and the island’s largest coffee operation.

Sarah Chen2 min read
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Expiring Kauaʻi Coffee Lease Puts 141 Jobs at Risk, WARN Notices
Source: freshcup.com

An expiring land lease has thrust Kauaʻi Coffee Co. into uncertainty and placed 141 jobs in jeopardy as workers received WARN notices on Jan. 14 and no lease extension has been finalized with the landowner. The lease that allows Kauaʻi Coffee to operate roughly 3,000 acres of orchards ends at the end of March 2026, creating a narrow window for negotiations that will determine the fate of the farm’s workforce and visitor-facing operations.

Kauaʻi Coffee produces between 1 and 2 million pounds of green coffee annually from about 4 million trees, making it the largest coffee producer in the United States by volume. The farm operates on land it does not own; the property was leased from Alexander & Baldwin beginning in the late 1980s. Massimo Zanetti Beverage USA bought Kauaʻi Coffee in 2011 and continued the lease arrangement. In 2022 Alexander & Baldwin sold the acreage to Colorado-based investment firm Brue Baukol Capital Partners (BBCP), which has indicated an intent to preserve and evolve operations and has suggested it could continue coffee production under new management and potentially retain workers. No final extension has been reached.

The local stakes are immediate. Kauaʻi Coffee employs 141 workers, 69 of whom are represented by International Longshore & Warehouse Union Local 142. Senior advisor Wayne Katayama alerted the Kauaʻi County Council on Jan. 7 to the risk of layoffs if an agreement is not reached. WARN notices, which are required when layoffs or plant closings are considered, were reportedly delivered Jan. 14, signaling the possibility of substantial job disruption within the 60- to 90-day window before the lease expires.

Beyond payroll, the farm supports visitor experiences central to Kauaʻi’s tourism mix: tours, a gift shop and a museum draw both visitors and local residents. Loss or disruption of those offerings would reduce tourist spending on the south shore and ripple through local suppliers and service providers. As the United States’ largest coffee producer by volume, Kauaʻi Coffee also carries brand value in specialty and retail markets; while a change in operations is unlikely to shift global coffee prices, it could alter supply relationships, product availability, and the premium specialty profile that Kauaʻi Coffee has cultivated.

AI-generated illustration
AI-generated illustration

Policy and economic implications hinge on negotiations and timing. The landowner-tenant dynamic is at the center: lease terms, potential transition to new management, and the speed of any takeover will determine whether skilled plantation workers and experienced roasters remain employed. For county officials, the situation raises questions about workforce transition supports and tourism continuity; for workers it raises immediate concerns about income continuity and retraining needs.

With the lease set to expire at the end of March, the community should expect further announcements from Massimo Zanetti Beverage USA, Brue Baukol Capital Partners, union representatives and county leaders in the coming weeks. The outcome will shape not only 141 households but also a distinctive piece of Kauaʻi’s agricultural and visitor economy.

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