HONOLULU -- Kahala residents have started to organize a fight against a Japanese real estate mogul they said is ruining their neighborhood.

Japanese billionaire Genshiro Kawamoto plans to rent out some of his Kahala properties to Native Hawaiian families in need.

To prepare the homes, he is knocking down stone walls and making some changes to the properties.

Kawamoto has torn down the stone walls and filled in pools with rocks around the nine Kahala mansions he plans to rent out to Native Hawaiian families for $150 to $200 a month.

The 74-year-old tycoon said he wants to diversify the neighborhood that he feels is too exclusive. He said he wants to encourage his renters to host neighborhood luaus and open up the community.

Some of Kawamoto's neighbors went to their neighborhood board on Tuesday night to start organizing the battle against his plan.

"I don't feel it's right that some foreigner can come in and destroy a neighborhood, and to him this is just penny-change kind of stuff," Kahala resident Anita Bruhl said.

Bruhl is also a realtor who said potential homebuyers are backing out when they realize Kawamoto owns nearby property.

Residents said they are also concerned about what Kawamoto is doing to his properties.

"He's demolishing them, not to rebuild them, to destroy them," Bruhl said.

The Waialae-Kahala Neighborhood Board advised Kawamoto's neighbors to find possible violations of deed restrictions and covenants.

"Because our deeds require that properties remain well maintained, well repaired and be aesthetically pleasing," Waialae-Kahala Neighborhood Boardmember Richard Turbin said.

The board recommended homeowners join the Kahala Community Association to try to work with Kawamoto in finding some middle ground.

"But, if he won't cooperate, and if he leaves his property in disrepair or ugly, then they can go to court and have the deeds enforced," Turbin said.

Residents said they hope Kawamoto will address their concerns.

He is currently in Japan.

He said he is in the process of selecting the families who will move in to his mansions at about the middle of the next month.