Shohei Ohtani and his agent are being sued by a Hawaii real estate agent and developer for obstructing a $240 million housing development.
The lawsuit says Nez Balelo, Ohtani’s agent at CAA, repeatedly demanded the developers make changes to the project and ultimately demanded Kingsbarn Realty Capital drop developer Kevin Hayes and real estate broker Tomoko Matsumoto.
The Dodgers star was supposed to endorse and promote the project, which was to be located on the Big Island’s Hapuna Coast.
“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 says according to the Associated Press. (Ohtani’s name is repeatedly spelled ‘Otani’ in the suit.)
Ohtani and Balelo are accused of tortious interference and unjust enrichment. The two are also accused of attempting to undermine Hayes—who lists properties for an average price of more than $17 million—in a second housing project near the first one.
“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.”
The since-deleted website for the project said that Ohtani would buy a home, “act as celebrity spokesperson,” and build baseball workout facilities.
The lawsuit said Baelo “quickly became a disruptive force” and leveraged Ohtani’s endorsement with the project for his own demands.
“Kingsbarn began capitulating to Balelo’s every whim,” the lawsuit says. “Over time, it became increasingly obvious that Kingsbarn was more concerned about preserving its relationship with Otani than honoring its obligations to its business partners.”
In July, Kingsbarn fired Hayes and Matsumoto from the project in what the lawsuit called “a coordinated ambush.”
“Kingsbarn openly admitted during the call that Balelo had demanded the terminations and that they were being done solely to placate him,” the lawsuit says. “Plaintiffs stand to lose millions of dollars in compensation tied to projected homebuilding profit, construction management fees, and broker commissions.”
A spokesperson for Kingsbarn said that Balelo was not responsible for Hayes and Matsumoto leaving the project.
“The allegations against Shohei Ohtani and Nez Balelo are completely frivolous and without merit,” they told Front Office Sports in a statement. “Kingsbarn takes full responsibility for its actions regarding Kevin Hayes and for removing Tomoko Matsumoto as the project’s broker.”
Ohtani won the National League MVP in 2024 and currently leads the league in home runs. His longtime interpreter Ippei Mizuhara is currently serving a 57-month prison sentence for bank fraud and filing an illegal tax return after he stole more than $17 million from Ohtani to pay off illegal gambling debts.
The Dodgers, CAA, and an attorney for Hayes and Matsumoto did not immediately respond to requests for comment.
