Starting August 1, the Kahala Shell gas station will no longer offer oil changes and auto repairs.
That’s because Madeleine Snow, the station’s current dealer, is preparing to leave the location at the end of her current lease term next month.
“Because of future plans for the site, overhead costs that are diminishing the profitability, it’s the right time for me to make the business decision,” Snow told KHON2. “We can’t make any capital improvements because the lease time left on the property is not sufficient to recoup any investments we might want to do.”
Snow had been affiliated with the station, located on Waialae Avenue near Kahala Mall, for 34 years including 14 years as co-owner.
“It’s mixed emotions,” she said. “We’re going to miss most of the relationships we’ve developed with all of our customers.”
Snow says 35 employees will be affected with this transition. Nine employees will be let go by Friday while 26 employees will stay on until the end of next month. Snow says, however, that there is a possibility they could be retained by new management.
“(Snow) has represented the Shell brand extremely well over the years. A number of circumstances factored into her decision to not renew her lease with us; the largest of which are the ever-increasing expenses, rents and utilities that affect small, medium and large entrepreneurs today,” gasoline distributor Aloha Petroleum said in a statement.
Aloha Petroleum says it will continue to operate the station under the Shell brand as a gas station, food mart and full-service car wash. The retail propane offering will also remain.
The company says the station will be closed and be re-built in mid-2016 as part of a master development plan.
Once re-built, Aloha Petroleum will operate the gas only portion with the Shell brand and a new facility.