Shohei Ohtani Sued Over Hawaii Real Estate Deal

 

In a new legal entanglement for baseball superstar Shohei Ohtani, a Hawaii real estate investor and a broker have filed a lawsuit against the Los Angeles Dodgers player, claiming he and his agent got them fired from a $240 million luxury housing development. The civil suit, filed in Hawaii Circuit Court, alleges that Ohtani and his agent, Nez Balelo, “exploited their celebrity leverage” to “destabilize and ultimately dismantle” the plaintiffs’ role in the project for their own financial gain.

The lawsuit was filed by developer Kevin J. Hayes Sr. and real estate broker Tomoko Matsumoto, who claim they had spent over a decade working on the luxury development, The Vista at Mauna Kea Resort on the Big Island’s Hapuna Coast. As part of their marketing strategy, they enlisted Ohtani in 2023 to be the project’s celebrity spokesperson. Ohtani was also committed to purchasing one of the 14 residences, which are said to average $17.3 million each.

According to the lawsuit, the arrangement was meant to leverage Ohtani’s global appeal, particularly in the Japanese luxury vacation home market, to accelerate sales and achieve pricing objectives. However, the plaintiffs claim that Ohtani’s agent, Nez Balelo, “quickly became a disruptive force.” The suit alleges that Balelo began demanding increasing concessions from the developers and their business partner, Kingsbarn Realty Capital. Over time, the lawsuit claims, Kingsbarn began to prioritize its relationship with Ohtani over its obligations to the plaintiffs.

The climax of the dispute, according to the lawsuit, was a “coordinated ambush” where Kingsbarn allegedly fired Hayes and Matsumoto at Balelo’s demand. The plaintiffs claim that Kingsbarn openly admitted that the terminations were done “solely to placate him.” As a result, Hayes and Matsumoto stand to lose millions of dollars in projected profits, management fees, and broker commissions.

The lawsuit accuses Ohtani and Balelo of “tortious interference and unjust enrichment,” and states that the case is about the “abuse of power.” The plaintiffs assert that the defendants used “threats and baseless legal claims to force a business partner to betray its contractual obligations and strip Plaintiffs of the very project they conceived and built.” The lawsuit is a clear effort to hold Ohtani and his agent accountable, “not shielded by fame or behind-the-scenes agents acting with impunity.”

This is not the first time Ohtani has faced off-field legal issues involving large sums of money. Last year, his former interpreter, Ippei Mizuhara, pleaded guilty to bank and tax fraud in connection with the theft of nearly $16.5 million from Ohtani’s account to cover gambling debts. Mizuhara was sentenced to over five years in federal prison. While Ohtani has been cleared of any wrongdoing in that case, the new lawsuit adds another layer of off-field drama to his already high-profile career.

A spokesperson for Balelo’s agency, CAA Baseball, has declined to comment on the matter, and Ohtani has not issued a public statement, remaining focused on his playing career with the Dodgers. Kingsbarn Realty Capital has released a statement calling the allegations “completely frivolous and without merit,” and said it takes “full responsibility for its actions regarding Kevin Hayes and for removing Tomoko Matsumoto as the project’s broker.”

The legal battle is still in its early stages, and it remains to be seen how it will impact Ohtani’s public image and his off-field business ventures. For now, the legal claims serve as a stark reminder that even the biggest stars in the world can find themselves entangled in complex and high-stakes legal disputes.