About Honolulu's Hawaii Kai

After more than 7 years of missteps and community disputes, the new investors of Hale Ka Lae (formerly Hale Alii) in Hawaii Kai are ready for buyers. I attended their formal Grand Opening yesterday, Feb. 19, and was impressed with the commitment shown to bring this project to market, and the changes they have made to satisfy community concerns.

Here are some of the changes the developers have made in the $300 million, 10-story project since originally conceived:

1. Replace key executives
2. Draw new architectural plans
3. Move the footprint of the building and amenities
4. Build a new sales center
5. Reduce condo prices
6. Revise the affordable housing agreement with the city and build the required units on another site in Hawaii Kai
7. Correct fines and actions for improper soil grading and archaelogical monitoring
8. Set up an archaeological preservation plan and reach agreement with the Trust for Public Land to purchase and maintain a 5-acre portion of the site as a cultural preserve.

Mike Greco, the project's chief operating officer. committed to, and has delivered, a fresh start for the development. He said they hope to begin construction in June on Phase 1 of the 242 units, and finish in 2013. Unit prices range from $685,265 for a one bedroom/1.5 bath home to $3.4 million for 3 bedrooms/3.5 baths. Sizes are generous - 992 - 1233 SF for a 1 bedroom/1.5 bath home up to 2,886 SF for a 3 bedroom/3.5 bath penthouse unit.

Features will include a private dining room, electric vehicle charging stations, a golf simulator, a theater, pools and a fitness center. The show room is beautiful and they have said the same high quality will be included in all the condos. Kitchens feature top-of-the-line Miele German appliances, and the entire home will be "upgraded" so there will be no additional upgrades to purchase.

Please let me know if you have an interest, so I can sign you up on their list. Remember, for you as a buyer to have a personal agent in new construction, that agent (hopefully me) needs to be involved from the very first interest you show. Watch here for follow up posts on the construction and progress of Hale Ka Lae.

7 homes sold in January in Hawaii Kai, ranging from $695,000 for a Cottages unit in the Peninsula, to $5,750,000 for a stunning view home on Poipu in Triangle. The Cottages unit was a 3/2 built in 2002, seling in only 5 days on market. The Poipu home was very large, 6500 SF interior with outside living area of an additional 1,537 SF. Built in 2010, it had 6 bedrooms, 5 full/2 half baths, pool, on a land area of almost ½ acre. It sold in 145 days on market. Three sales in January were over $1,000,000, two in Triangle, and one in NaPali Haweo.

These numbers compare to January, 2010 when 10 homes closed, ranging from $704,000 in Mariners Valley to $1,125,000 in Triangle. In that month last year, there were 5 sales over $1,000,000.

For condos, 12 units sold, ranging from a LH unit in Mawena Kai at $359,900 to a waterfront end unit in Peninsula, for $800,000. The Mawaena Kai unit (fees are available there) was 2/2, 1,012 SF, on the lower level opening directly to the marina, and included a deeded boat dock. The condo was bank-owned. The townhouse cottage in Peninsula was built in 3/2.5, 1,328 SF, and sold in 64 days on market.

The condo sales compare to 15 in January, 2010, which ranged from $360,000 in the Mauna Luan to $738,000 in the Peninsula.

Call or email me for real estate sales details on any specific community in Hawaii Kai.

It's everyone's favorite time of the year - Tax Season! Ok, perhaps its not the most joyous time of the year but it definitely requires our attention over the next couple of months. The name of the game when it comes to preparing and filing your annual tax returns is to be organized and to gather ALL important and relevant information. Not only will your tax accountant love you but there is also less chance of making errors and have to file an amendment down the road.

My brother and I have worked with hundreds of Hawaii Kai real estate buyers and sellers over the years and I am offering some helpful insight from personal experience. If you have bought or sold Hawaii Kai real estate this past year then chances are your accountant is going to need the information from that Hawaii Kai real estate sale to complete your tax returns. When you closed on your transaction, you should have received a final Hud that provided all of the final figures of the sale. If for some reason you misplaced it, you should contact your Hawaii Kai real estate professional and ask them to obtain a copy for you. If you can't get a hold of your real estate agent, then contact the escrow company that handled your Hawaii Kai real estate transaction and ask them for a copy. They will definitely have it.

Also, keeping a copy of your final HUD is very important if you are an out of state seller and are taking a loss. In Hawaii, when a out of state seller sells their property they have to pay HARPTA. HARPTA is a withholding of 5% of the sales price that goes to the state. This is not an "additional tax" but rather a "withholding". Being an out of sate seller, the state of Hawaii withholds the 5% upfront to ensure that it receives the taxes owed from the sale of the property. When the seller files his taxes at the end of the year, he may either owe more $$ or is due a refund. If a refund is due, the state of Hawaii will deduct what is owed and refund the difference. The reason I have taken the time to explain this is because in today's Hawaii Kai real estate market as everywhere else, there are a lot of short sales. A short sale is when there is more owed on the property then what it will sell for. In 99% of the cases, the seller is taking a loss rather than a gain. If they can prove their loss, then the state of Hawaii may give them an exemption and not require them to pay the 5% HARPTA at closing. The easiest way to qualify for the exemption is to provide a copy of your original final HUD when you purchased the property and the estimated HUD when you are selling the Hawaii Kai property. If a loss is evident, the state of Hawaii will grant your exemption.

I hope this information has been helpful and please feel free to call me at 808.223.8833 if you have any questions or visit my Hawaii Kai real estate website.

The real estate market in Hawaii Kai continues to strengthen.

Single Family
December, 2010
19 sales
Low price $585,000 in Kalama Valley and Koko Head Terrace, days on market 17 and 83.
High price $2,200,000 in Portlock, days on market 26. 9 sales over $1,000,000.

December, 2009
18 sales
Low price $630,000 in Koko Head Terrace, days on market 10.
High price $1,425,000 in NaPali Haweo, days on market 79. 3 sales over $1,000,000.

2010 Totals
197 sales
Low price (fee Simple) $515,000 in Kalama Valley. Days on market 42. (There was a lower Fe Available sale of $311,350 in Kalama Valley.)
High price $7,800,000 in Koko Kai, days on market 64. 61 sales over $1,000,000.

2009 Totals
182 sales
Low price $487,000 in Kalama Valley, days on market 117.
High price $8,250,000 in Koko Kai, days on market 14. 32 sales over $1,000,000.

Condos
December, 2010
19 sales
Low price $370,000 in Mauna Luan, days on market 120.
High price $789,500 in Mawaena Kai, days on market 5.

December, 2009
20 sales
Low price $225,000 in Koko Isle (Fee Available), days on market 4. Low price Fee simple $341,000 in Lalea, days on market 3.
High price $610,000 in Colony and Kalele Kai, days on market 261 and 31.

2010 Totals
208 sales
Low price $360,000 in Mauna Luan (2), days on market 59 and 18.
High price $1,350,000 in Kalele Kai, days on market 46. 2 sales over $1,000,000, both Kalele Kai.

2009 Totals
187 sales
Low price $225,000 in Koko Isle (see December, above). Low price Fee simple was $300,000 in Naniwa Gardens, days on market 67.
High price $875,000 in Peninsula, days on market 186.

Prices and numbers of sales are gradually rising. Days on market are gradually lowering. This means, if you are a Buyer, you should start looking now because rates have already started up. Visit my web site to request in-depth sales reports for any condo complex or neighborhood in Hawaii Kai, and call or email me with any questions on what would best suit your needs.

The 14th Annual Festival of Lights Boat Parade was held this past December 18, and included 26 vessels of all sizes richly decorated and entertaining. The boats tour the marina a couple of times so judges have at least two opportunities to look at the themes on each.

The Festival was really wonderful. The winner, with Avatar as its theme, was magnificent with its blue dancing people and huge flying dragon over the top. "Avatar Christmas" was Best in Show, owned by Tom Hintnaus.

All photos are borrowed from the Hawaii Kai Marina Community Assn. Visit their site to see photos of the 2nd & 3rd place winners in each class too. If you are interested in living on the marina in Hawaii Kai, their site is full of information on a water lifestyle. Then call or email me to look at some marina front homes just waiting for you, with or without boat docks.

Best under 20' Best 20' - 29' Best 30' +