Ohtani Sued Over Alleged Extortion in Hawaii Luxury Project

Developers Claim Baseball Superstar and Agent Demanded Firings

A real estate investor and broker are suing Los Angeles Dodgers star Shohei Ohtani and his agent, Nez Balelo, alleging they were wrongfully terminated from a $240 million luxury housing development in Hawaii. The plaintiffs claim the pair leveraged Ohtani’s celebrity status for personal gain.

Allegations of Exploitation and Abuse of Power

The lawsuit, filed in Hawaii Circuit Court, asserts that Balelo made escalating demands on developer Kevin J. Hayes Sr. and broker Tomoko Matsumoto. These demands ultimately led their business partner, Kingsbarn Realty Capital, to dismiss them from the project.

“Balelo and Otani, who were brought into the venture solely for Otani’s promotional and branding value, exploited their celebrity leverage to destabilize and ultimately dismantle Plaintiffs’ role in the project — for no reason other than their own financial self-interest,” the lawsuit claims.

The suit accuses Ohtani and Balelo of tortious interference and unjust enrichment. Hayes, who has four decades of development experience, and Matsumoto, slated to be the listing agent for homes priced around $17.3 million, also claim the duo attempted to harm their interests in a separate, adjacent venture.

A Pattern of Demands and Betrayal

Investment materials for The Vista at Mauna Kea Resort highlighted Ohtani as “Japan’s Babe Ruth” and the “1st Resident,” granting him prominent placement over the resort and its amenities. The brochure indicated Ohtani would serve as the celebrity spokesperson and purchase one of the 14 residences, planning to build a training facility on the property.

The developers spent 11 years on the project before signing an endorsement deal with Ohtani in 2023, calling it a “bold marketing strategy.” The partnership was expected to significantly boost demand in the Japanese luxury vacation home market.

The lawsuit contends that Balelo quickly became a “disruptive force,” threatening to withdraw Ohtani unless concessions were met. It alleges Kingsbarn Realty Capital repeatedly capitulated to Balelo‘s demands, prioritizing their relationship with the baseball star over their contractual obligations to Hayes and Matsumoto.

“Coordinated Ambush” Leads to Termination

Last month, Hayes and Matsumoto were fired in what the suit describes as a “coordinated ambush.” Kingsbarn reportedly admitted during the termination call that Balelo had demanded their dismissals solely to appease him. The plaintiffs stand to lose millions in anticipated profits, fees, and commissions.

This situation echoes broader concerns about the influence of celebrity endorsements in high-value real estate deals. For instance, in 2023, celebrity homes saw an average price increase of 10% compared to non-celebrity owned properties, according to real estate analytics firm Zillow.

“This case is about abuse of power,” the lawsuit says. “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.

—Plaintiff’s Legal Team

“Defendants must be held accountable for their actions, not shielded by fame or behind-the-scenes agents acting with impunity. Plaintiffs bring this suit to expose Defendants’ misconduct and to ensure that the rules of contract, fair dealing, and accountability apply equally to all — celebrity or not.”

—Plaintiff’s Legal Team

A spokesperson for Balelo‘s agency, CAA Baseball, declined to comment. Attempts to reach Kingsbarn officials for comment were not immediately successful.