If you’re in Waikiki and you say the words Ala Wai (sounds like Ah-Lah-Why), everyone in town will know exactly what you’re talking about. The Ala Wai Canal is a local landmark and is the rear divider between Waikiki and the rest of Honolulu.
The canal isn’t swimmer friendly and has a bit of a bad reputation after the 2006 incident in which the sewage lines overflowed and were diverted into the canal. There’s a walking path along the whole length of the canal with plenty of benches which makes for a decent stroll during the day and a way to find a little quiet just two blocks from the beach. However if you walk along the Waikiki side of the canal at night don’t be surprised to find homeless people sleeping on some of the benches and some locals fishing in the river, which I would advise against and so would the signs warning against it! However, a special bird also fishes these waters which you may want to keep an eye out for (read more).
During the day you’ll see several of the canoe clubs racing up and down the length of the canal, but other than that there isn’t much use for it other than a drainage canal. On the opposite side of the Waikiki side of the canal (the north side) you’ll find the Ala Wai Golf Course and the Ala Wai park along with several of the canoe club’s launching sites.
The Ala Wai Canal does have a bit of a fishy smell, which I’m not a big fan of, but other than that it’s fairly well kept for a drainage canal, which eventually leads into the ocean towards the west side of Waikiki.
If you’d like to learn a little bit more about the canal check out the Wikipedia page about the Ala Wai Canal for a little bit more about its history.