A state agency is trying to restart an effort to create a new school and affordable housing on state and county land once occupied by the old Pohukaina School in Kaka'ako.

Part of the nearly 7-acre parcel bounded by Pohukaina, Keawe, Halekauwila and Cooke streets had been viewed as an opportunity for an affordable rental high-rise or a school more than a decade ago, but a growing need for both has revived the idea with some new twists.

The state Hawai'i Community Development Authority is suggesting that the site could be redeveloped with charter-school space to serve children from the broader community with preference to Kaka'ako residents.

Below-market residences would be for rent and sale. Other elements of the concept include a combination community center and police facility, enhanced and expanded Mother Waldron Park and perhaps a library and auditorium for shared school and public use.

"We think we can do something unique — a model urban school that has not been seen in Honolulu before," said Daniel Dinell, executive director of the agency guiding redevelopment of Kaka'ako.

Dinell said available land restricts where the state can establish a new school in Kaka'ako, which is projected to be one of O'ahu's fastest-growing residential neighborhoods with more than 25,000 people moving in over the next 25 years.

Elementary schools typically occupy seven to 10 acres and are often fenced off from the surrounding neighborhood.

"We don't have seven to 10 acres to invest in an entire school," he said. "On a single site you can have that live-work-play combination."

Under the concept, the school, housing and community center could be developed in a multi-story complex to leave enough room for the expanded park.

About half of the nearly 7-acre property is occupied by the park, including a grass field, basketball and volleyball courts and restrooms. The other half includes a building now used for state public library system operations, a closed road and a parking lot. The city owns about half an acre of the site, and the state owns the rest.

The original Pohukaina School was built in 1912 and at one time had more than 1,100 elementary students. However, Kaka'ako's residential population dwindled as industrial businesses transformed the area, and in 1967 the school was converted for use by disabled students. The school was relocated to Kaimuki in 1980, and the building was demolished.

Since then, the site has been eyed for a federal prison, Office of Hawaiian Affairs operations, state offices, affordable housing and a new school.

The most recent development plan stemmed from a 1992 Hawai'i Community Development Authority request for proposals to build an affordable rental high-rise on the former school site. The selected developer proposed giving preference for half of 600 planned units to Native Hawaiians, but the estimated $54 million project stalled in Hawai'i's weakened economy.

A combined school and affordable housing idea was briefly floated in 1997 but did not advance. Dinell said the idea is being floated again given the growing shortage of affordable housing as home prices and rents rapidly rise.

"There is such a dire need for affordable housing," he said.

The state projects that there will be demand for 17,000 affordable rental units by 2009.

Dinell said the agency is considering putting together a request for proposals but first wants to collect community input to hopefully arrive at a consensus on whether a school and affordable housing are desirable for the site.

Reach Andrew Gomes at agomes@honoluluadvertiser.com.