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Historians and
researchers believe that it is possible that Kailua was home to
Hawaiian families at least 1,500 years ago. The earliest settlers are
thought to have lived fished and played on the slopes surrounding
Kawainui Marsh. A Bishop Museum report on archaeological excavations of
the marshland concludes that when the marsh slopes were first occupied
about 500 A.D., agriculture was not possible. The report said that
early Hawaiian occupants of Kailua apparently lived beside a lagoon or
bay open to the sea hundreds of yards shoreside of today's shoreline.
In the 16th century, Kailua attracted the ali'i giving birth to many
rich Hawaiian legends, some of which may be found in written and oral
reminiscences in Hawaii State Libraries. Many legends were born here
including the menehune who were known for working at night in Kaiwainui
Marsh and mo'o who took the shape of a large lizard that attracted
fish. Kailua was densely populated before the arrival of Captain Cook
and was the ancient capital of O'ahu's kings. The biggest event in
Kailua and the entire Windward side was in 1795 when King Kamehameha I
conquered O'ahu in his quest to unite the Hawaiian Islands. The King
granted Kaiwainui Marsh and old Kailua, which included large freshwater
fish ponds and saltwater ponds at Mokapu, to the warriors and chiefs
that had helped him. The land was used in various forms for agriculture
from sugarcane to rice to taro and eventually was used primarily for
cattle raising. Kailua was a sleepy town of barely 3,000 in the 1940s.
However, the events of World War II changed the appearance of Kailua.
Kaneohe Ranch sold portions of land to the government for expansion of
the Navy base (now Marine Corps Base Hawaii) and the Army's Fort Hase.
Finally in 1942, Kaneohe Ranch closed down its cattle raising
operations entirely, freeing thousands of acres for post-war
development. Harold K.L. Castle, owner of Kaneohe Ranch, donated the
land for many churches, schools, and for a new hospital. A new
four-lane highway, tunneling through the Ko'olau Mountains, was
completed in the late 1950s. In 1946, a small Liberty House (now
Macy's) shop opened with three employees and upgraded to a full-line
department store in 1953 with nearly 50 employees. The first bowling
alley, a branch office of the telephone company, and the very first
supermarket in Hawaii opened in Kailua in 1947. By the end of the
1950s, Hawaii had become a state and Kailua became the official postal
designation (previously known as Lanikai). Castle Hospital (now Castle
Medical Center) opened in 1963. By 1960 the population was up to
24,400. The town has grown more than 100 percent since 1960 when its
population was 24,402. It has a compact, easy-to-shop business district
surrounded by mostly single-family homes. By 1992 50,000 residents
encompassed a central urban core with surrounding residential areas. Click here for further details
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