You might be looking for the Sheraton Kona Resort at Keauhou Bay, but if you drive down to the end of Ali'i Drive today, you won’t see that logo on the side of the building. It’s gone. Honestly, the transition caught a lot of people off guard, but the property is now officially the Outrigger Kona Resort & Spa. It’s the same iconic multi-wing structure perched on those dramatic lava cliffs, but the vibe has shifted significantly since the rebrand in late 2021.
When people talk about the "Sheraton Kona," they’re usually thinking of the manta rays. That hasn't changed. The hotel is still the undisputed king of manta ray viewing on the Big Island. But everything else—from the room decor to the way they handle the "resort fee" culture—has been through the ringer.
Staying here is a weirdly specific experience. You aren't in the middle of a sandy beach paradise. You’re on a jagged, volcanic edge. It’s loud. The waves crash against the black rock with a violence that’s actually kinda soothing once you get used to it. If you’re expecting a manicured, flat Waikiki experience, you're going to be disappointed. This is the rugged side of the island.
The Real Story Behind the Rebrand
The hotel didn't just change names because of a contract dispute. The property, which originally opened as the Kona Surf Hotel back in the 70s, has always struggled with the sheer salt-spray brutality of its location. Being that close to the ocean means constant maintenance. When it was the Sheraton Kona Resort, it felt a bit like a corporate giant trying to fit a square peg into a round hole.
Outrigger, a Hawaii-based company, took over with the intent of leaning into the "place" rather than the brand. They poured roughly $60 million into renovations. They stripped out the tired, beige-on-beige Sheraton aesthetics and replaced them with darker woods, Polynesian patterns, and a more authentic color palette. They kept the bones of the architecturally famous structure—designed by the late Lucky Bennett—but they tried to make it feel less like a convention center and more like a coastal retreat.
Is the renovation actually finished?
Mostly. But here is the thing about Big Island resorts: they are never truly "done." The salt air eats metal. It fades paint. While the rooms have been refreshed with better tech and nicer linens, the exterior hallways still have that open-air, slightly weathered feel. Some guests love the "old Hawaii" breeze; others find it a bit too exposed.
That Manta Ray Situation (and why it matters)
The main reason the Sheraton Kona Resort became famous was its location next to a natural manta ray feeding ground. There is a specific spot called "Manta Village" right off the hotel’s point. At night, the hotel shines massive floodlights into the water. These lights attract plankton. The plankton attract the rays.
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It’s a circus, but a beautiful one.
You’ll see dozens of snorkelers with glowing neon lights floating on the surface like a fleet of tiny UFOs. Even if you don’t want to get in the water, you can sit at the Holua Poolside Bar with a drink and watch these 12-foot creatures somersaulting in the surf. It’s one of the few places on Earth where you can see this while staying dry.
The Manta Ray Learning Center
The resort actually hosts a dedicated Manta Learning Center. It’s run by people who actually know the individual rays by their markings. They can tell you which one is "Big Bertha" and which one is a newcomer. It adds a layer of depth that most hotels lack. It’s not just an "amenity"; it’s part of the local ecology that the resort has effectively copyrighted through its geography.
Location: The Keauhou Bay Trade-off
Keauhou is south of the main Kailua-Kona tourist drag. This is a double-edged sword. On one hand, you’re away from the "ABC Store on every corner" madness of the downtown area. It’s quieter. It’s more historic. This area was once the playground of Hawaiian royalty (Ali'i).
On the other hand, you can’t really walk to dinner.
If you stay at what was formerly the Sheraton Kona Resort, you are committed to a car or a shuttle. There is a small shopping center up the hill—Keauhou Shopping Center—which has a KTA Supermarket and some decent food like Kenichi Izakaya, but it’s a hike. Most people end up eating at the resort more than they planned, which can get expensive.
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The Room Reality Check
Let’s talk about the layout. The resort is massive. It’s spread across multiple wings: the Lagoon Wing, the Bay Wing, and the Ocean Front Wing.
- The Ocean Front Wing: This is where you want to be. You are literally over the water. The spray hits your balcony. It’s incredible.
- The Bay Wing: A bit quieter, overlooking the harbor where the boats go out.
- The Lagoon Wing: Usually the "cheaper" option. You’re looking at the pool or the interior gardens.
One thing that hasn't changed since the Sheraton days is the size of the rooms. They are surprisingly large. Even the standard rooms have enough space to not feel like you’re tripping over your luggage. However, the "open-air" hallway concept means that if it’s a humid day, your room might feel a bit damp until the AC kicks in. That’s just Kona life.
Food, Drinks, and the "Resort Tax"
Dining at the Sheraton Kona Resort (now Outrigger) has always been a point of contention. Currently, the main spots are Ray’s on the Bay and the Holua Poolside Bar.
Ray’s is the flagship. It’s built into the lava rock. You are eating dinner while the ocean literally crashes a few feet below your table. The food is standard "upscale resort" fare—think macadamia nut crusted mahi-mahi and expensive cocktails. It’s good, but you’re paying for the view. Honestly, the view is worth it at least once.
The breakfast buffet is another story. It’s pricey. If you have a family of four, you’re looking at $150+ for eggs and fruit. Most regulars drive five minutes up to the Peaberry & Galette in the shopping center or hit the grocery store to stock the in-room fridge.
The Cultural Connection
One thing Outrigger does better than the Sheraton brand is the cultural programming. They have a "Feast & Fire" Luau which is actually quite well-regarded. It’s not just a generic hula show; they try to tie it into the specific history of Keauhou Bay.
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There are also guided tours of the nearby lekia (shrine) and historical sites on the property. Most guests ignore these and head straight for the pool slide, but if you take 20 minutes to talk to the cultural practitioners on-site, the whole "lava rock hotel" vibe starts to make a lot more sense.
What Most People Get Wrong About This Resort
People often book this thinking they are getting a "beach resort."
This is not a beach resort.
There is no sandy beach directly in front of the hotel. If you want to put your toes in the sand, you have to walk or drive about 5-10 minutes to Kahalu’u Beach Park. Kahalu’u is great—it’s actually the best snorkeling beach on the island—but it’s a public park, not a private hotel beach.
The resort has a "sandy bottom" pool area for kids, which is a decent compromise, but don't show up with your sandcastle kit expecting a coastline. You are here for the cliffs, the mantas, and the history.
Practical Insights for Your Stay
If you are planning a trip to the former Sheraton Kona Resort, keep these specific tips in mind to avoid the common pitfalls:
- Rent a Car: Don't rely on ride-shares. They are spotty in Kona and expensive. Having a car lets you escape the "resort bubble" for meals.
- The Manta Viewing is Free: You don't have to pay for a boat tour to see them. You can literally just stand on the viewing deck at the hotel. If you want to swim with them, book a tour that departs from the Keauhou pier right next to the hotel. It saves you a 20-minute boat ride from downtown.
- Check the Event Calendar: This property is a huge hub for conferences (like the annual Ironman events). If you book during a major conference, the pools will be packed and the noise level stays high late into the night.
- Embrace the Breeze: Turn off the AC, open the lanai door (keep the screen shut!), and listen to the ocean. It’s the best "white noise" on the planet.
- Parking and Fees: Like most Hawaii resorts, the daily "resort fee" is mandatory. It covers things like the cultural tours, the pool towels, and some fitness classes. Factor this into your nightly budget because it’s usually around $40-$50 extra per day.
The transition from the Sheraton Kona Resort to the Outrigger Kona Resort & Spa wasn't just a name change; it was an attempt to save a legendary property from becoming another generic corporate hotel. It still has its quirks, and the lava rock isn't for everyone, but if you want a front-row seat to the wildest parts of the Pacific, there isn't really another place like it on the island.
To make the most of your visit, book your manta ray snorkel tour at least three weeks in advance, especially during the peak winter months or July. For the best room experience, request the "Bay Wing" if you prefer a quieter morning or the "Ocean Front" if you want the full, high-energy impact of the Kona coastline. Check the local weather for "Vog" (volcanic smog) reports, as southern Kona can occasionally get hazy when the wind shifts, though this is much less common since the 2018 and 2022 activity settled. Regardless, the sunset over Keauhou remains one of the most consistent and spectacular sights in Hawaii.