Department of Housing &Human Concerns Carol Reimann, Director of Housing & Human Concerns HOUSING IN MAUI COUNTY Presented to the West Maui Taxpayer Association – January 2018 Maui County – The Perfect Storm 400 Chapter 2.96 (50% Affordability 360 Requirement) 350 Dec 2006 Show Me 300 the Water Dec 2007 280 266 250 Chapter 2.96 (25% Affordability 200 Requirement Dec 2014 150 |-------2008-2012 The Great Recession-------| 100 79 50 13 14 0 4 0 6 0 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 For Sale Maui County Code Chapter 2.96 Intent: “to ensure that the housing needs of the County are addressed”….”to encourage the provision & maintenance of residential workforce housing units for both purchase and rental” Trigger Ten or more lots, lodging units, time share units, or dwelling units A conversion of ten or more hotel units to dwelling units or time share units Any hotel redevelopment or renovation that increases the number of lodging or dwelling units in a hotel by ten or more Workforce Housing Agreement 25% of Total Market Rate Lots/units Developer may receive credits for units above 25% Workforce Housing Agreement Executed Prior to Receiving Final subdivision approval Requirement Satisfied Via: Housing Units (build the 25%) In Lieu Fee (difference of 100%AMI versus 160% AMI = $245,100) Credits Improved/Unimproved Land Income Group Distribution Ownership Units: Deed Restriction 30% Below Moderate Income (>80-100% AMI) 10 Years 50% Moderate Income (>100-120% AMI) 8 Years 20% Above Moderate Income (>120-140% AMI) 5 Years Rental Units: 1/3 Very Low Income & Low Income (<80% AMI) 30 Years 1/3 Below-Moderate Income (>80-100% AMI) 30 Years 1/3 Moderate Income (>100-120% AMI) 30 Years **100% Area Median Income for Maui is $74,100** (Set by HUD each year for Maui, Lanai, Hana & Molokai) Eligibility Criteria - Applicants Citizen of the US or permanent resident alien residing in County Gross annual family income not exceeding the County’s 140% AMI ($103,740 for 2017) Assets that do not exceed the County’s 140% AMI For 3 years prior, not have 50% or more interest in real property in the US, unless applicant is selling an affordable unit and purchasing a different affordable unit appropriate to family size 2016 Hawaii Housing Demand Study Impediments to Production Lack of “reasonably priced” developable land Lack of major off-site infrastructure High construction costs Government regulations Community opposition Growing environmental requirements UPDATE ON HOUSING PROJECTS CURRENTLY UNDER CONSTRUCTION… PROJECT NAME DISTRICT RENTAL TOTAL AFFORDABLE HOUSING UNITS MARKET UNITS ANTICIPATED OR UNITS Units Units Built Units Buildout FOR SALE Units Remaining Approved Required Completed To-Date Remaining Completion Current Projects Hale Mahaolu Ewalu Upcountry/Pukalani Senior Rental 60 60 0 60 0 0 0 2018 Fall Developer: Hale Mahaolu Kahoma Residential For Sale Subdivision (10 lots to West Maui/Lahaina 68 68 33 35 0 0 0 2018 End Developer: West Maui Land Habitat, 12 lots Company, Inc. to Na Hale) Kahoma Village Developer: Stanford Carr West Maui/Lahaina For Sale 203 102 0 102 101 0 101 2018 End Development Corp. Kaiaulu West For Sale 33 33 0 33 0 0 0 2019 Fall Developer: Aina Pacific, LLC Maui/Kaanapali Kamalani Developer: Kamalani South Maui/Kihei For Sale 633 173 42 131 460 0 460 2019 Fall Ventures, LLC (A&B Properties) Mokuhau Central 2017 Dec-8 units For Sale 16 16 8 8 0 0 0 Developer: Lokahi Pacific Maui/Happy Valley 2018 Feb-8 units Pauwela Homes Developer: Kauhikoa Land Haiku For Sale 33 33 0 33 0 0 0 2018 Summer LLC 1,046 485 83 402 561 0 561 PROJECT DISTRICT - ONGOING CONSTRUCTION Maui Lani (1,300 built,2,000 units remaining for a total 3,300 units) Wailuku Project District (Kehalani, 1,880 built, 1,720 units remaining for a total 3,600 units) West Maui Project District 2 (Mahana Estates, 51 units) Hale Mahaolu (Upcountry) 61 Affordable Senior Rental Units Kahoma Residential (West Maui) 68 Total Affordable Units Kahoma Village (West Maui) 203 Total Units (102 Affordable) Kaiaulu (West Maui) – 33 Total Affordable Units Kamalani (South Maui) 633 Total Units (173 Affordable) Mokuhau (Central Maui) 16 Total Affordable Units Pauwela Homes (Haiku) 33 Total Affordable Units Summary of Projects Under Construction 7 Projects Upcountry West Maui South Maui Haiku Central Maui 1,046 Total Units 485 Affordable Units 561 Market Units 4 projects executed Residential Workforce Housing Agreements after changes were made to Chapter 2.96 in 2014. PROJECT NAME DISTRICT RENTAL TOTAL AFFORDABLE HOUSING UNITS MARKET UNITS STATUS OR UNITS Units Units Units Built Units FOR SALE Approved Required Completed Remaining To-Date Remaining PENDING PROJECTS Haiku Town Acres Haiku For Sale 45 10 5 40 0 40 Honua'ula Gardens South Maui For Sale 1400 700 0 700 700 0 700 Hoonani Subdivision South Maui For Sale 27 27 0 27 0 0 0 Kaiwahine Subdivision South Maui Rental 120 120 0 120 0 0 0 Kalama Kai South Maui For Sale 40 40 0 40 0 0 0 Kamaole Point South Maui For Sale 129 129 0 129 0 0 0 Keala O Wailea South Maui For Sale 70 18 0 18 52 0 52 Kenolio Apartments South Maui Rental 184 184 0 184 0 0 0 Kula Ridge Upcountry For Sale 116 59 0 59 57 0 57 Lanai Affordable Housing Lanai Both 372 372 0 372 0 0 0 Maui Lani VMX Central Maui For Sale 500 255 0 255 245 0 245 Tam Yau Estates Upcountry For Sale 32 7 0 7 25 0 25 Wai'ale Elua 100% Affordable Central Maui For Sale 70 70 0 70 0 0 0 West Maui Villages - Wailele West Maui For Sale 158 12 0 12 146 0 146 Total 14 PENDING projects: 3263 2003 0 1998 1265 0 1265 KULAMALU HALE The County of Maui’s affordable- rental project consisting • 56 total units • 16 one-bedroom units • 40 two-bedroom units • <120% of AMI • a community center building • 6 two-story residential buildings Funding: • Maui County Affordable Housing Fund • HOME Investment Partnerships Program Construction Cost: $13.4M Housing Project Update Status # of Projects # of Units Finished Project 1 56 Projects Under Construction 7 1,046 Projects Pending 14 3,263 Future Projects 13 6,200+ Mahalo!