Part of a warehouse at Pier 2 in Honolulu will be renovated for use as a small business incubator space under a $3 million federal appropriation sought by U.S. Sens. Daniel Inouye and Daniel Akaka.

The project will be run by the state's Foreign Trade Zone and create office and work space for businesses seeking to crack into international markets. Funding is coming from the U.S. Commerce Department's Economic Development Administration.

"This project can lead to the creation of hundreds of jobs in Hawai'i by giving local start-ups the space and support they need to compete and establish a presence in overseas markets," said Akaka in a statement released to the media.