Hyperspectral instruments provide the spectral detail necessary for extracting multiple layers of information from inherently complex coastal environments. We evaluate the performance of a semi-analytical optimization model for deriving bathymetry, benthic reflectance, and water optical properties using hyperspectral AVIRIS imagery of Kaneohe Bay, Hawaii. We examine the relative impacts on model performance using two different atmospheric correction algorithms and two different methods for reducing the effects of sunglint. We also examine the impact of varying view and illumination geometry, changing the default bottom reflectance, and using a kernel processing scheme to normalize water properties over small areas. Results indicate robust model performance for most model formulations, with the most significant impact on model output being generated by differences in the atmospheric and deglint algorithms used for preprocessing.