Kailua, HI

BEACHSIDE, KAILUA NEIGHBORHOOD
LUXURY & BEACHFRONT HOME FOR SALE IN KAILUA, OAHU

9/28/2009 [2009 SALES DATA] [PAST SALES DATA]

ABOUT BEACHSIDE, KAILUA, OAHU The Beachside Neighborhood in Kailua is one of Kailua's and Oahu's most prolific luxury home and beachfront home neighborhoods. All of the homes in the Beachside area of Kailua are located beachfront or within a short walking distance to the beach. Many homes, even some of those with a busy street address like Kalaheo Avenue, are down quiet streets and off private lanes. There are several mini-neighborhoods and HOA's, in these charming beachside lanes, with amenities not usually seen in Kailua, like underground utilitites, and most having a private beach access path for residents. There are also several public beach access points in the Beachside Neighborhood in Kailua. Prices in the Beachside Neighborhood of Kailua can start in low 7 figures, usually around $1.0 for fixers or tear downs on Kalaheo Ave. and range to possibly, $9-10 million, (and double that for larger sized parcels and luxury homes and estates that could be further subdivided to still large lots). These super-deluxe Kailua luxury homes can be sprawling Balinese or plantation-style compounds, while the lesser expensive homes may be shabby beach cottages and anything in-between. Lots vary in size as well, usually, from around 10,000 square feet to over an acre, though there are a few smaller lots resulting from property CPRs. Zoning in this area is typically R-10, meaning one single-family residence per 10,000 sq ft. There are both homes and a few vacant lots available. Older homes, unless of historical significance tend to get torn down and replaced in this area.

The Beachside Neighborhood of Kailua, where some of the best luxury homes on Oahu, is located in the perfect location, along the 3 miles of white sandy beaches of Kailua Bay (on the makai side) bounded by and including the even-numbered side of North Kalaheo Drive (but not including all of N. Kalaheo). To the Northwest, it is bounded by the Kaiwanui Canal to the ocean, and to the Southeast by Kailua Road and the Kawailoa neighborhood (Kailua Beach Park). The Beachside Neighborhood includes the prestigious Castle Point area, with incredible luxury homes and estates, an area once owned by Harold HK Castle. Also, the coveted subdivision of Kainalu Park, with some luxury estates and some more modest homes, and small associated areas and associations such as Dune Circle, L'Orange, etc. Public schools are Kailua & Kainalu Elementary, Kailua Middle School, and Kailua and Kalaheo HS, depending upon location. Private school, St. Anthony, is within walking distance for most areas and goes PS-8th. Grocery and restaurants all within a mile from most locations.

PAST SALES DATA FOR BEACHSIDE NEIGHBORHOOD IN KAILUA

This year, with only one quarter left in 2009, the number of sales in the Beachside Neighborhood of Kailua is already down significantly. As of the end of September 2009 there have only been 10 sales, with the median price at $2,195,000 and the average price at $3,180,500. The lowest sale so far in Beachside, for 2009, at a jaw droppingly low price of $780,000 was for a tear down home on an 11,000 sq ft lot, right on North Kalaheo Ave. This went under contract at the end of 2008, and closed in Q1 2009, when the Kailua real estate market was looking its most dismal. I don't think anyone expects to see more deals like this.
BEACHSIDE HOMES SOLD IN 2009, THROUGH Q3 LUXURY HOMES IN KAILUA OAHU 2009 STATS THROUGH Q3 Median Price: $2,275,000 Average Sale Price: $3,180,500 Average Days on the Market: 181		Right now (end Q3 2009), there are 23 homes on the market. Over half of these are on estate sized lots (i.e. around 1/3 acre or more). The former Castle Estate, now listed for $15M, is on 1.5 acres at Castle Point, with three homes, but in the process of being divided into three single-family lots. Another 2/3 acre lot with a compound of two new residences on South Kalaheo, near Kailua Beach Park, is listed for $21,000,000. The home at Castle Point, used by President Obama for his vacation last year, is also for sale. Many of the homes currently for sale are newly renovated/developed properties, resulting from speculation in the boom years of 2004-2006 and the division of some larger lots. Some of these are now lender/investor owned, due to the market downturn and inability to build/sell. As you can see, average days on the market has gone up tremendously, more than doubling. May be time to see some major price reductions for some of these. If you want more specifics on what is currently on the market, please contact me directly at 808-721-8088. I didn't want to post all of the sales data here, because prices and availability may change frequently.

Looking to buy or sell a luxury or beachfront home, or a relaxed beach cottage or retreat in the Beachside Area of Kailua, Oahu, Hawaii? Or would you like help with luxury homes on Oahu in other areas of Oahu? I can help - I have specialized training in working with buyers of upscale homes and have 20 years experience in counseling and advising senior business executives and business owners, as well as handling multi-million dollar business transactions. I make it a point to stay up to date on market statistics and trend and track the relevant data. My membership in the Insitute for Luxury Home Marketing includes global networking and special resources for the luxury home market. Proud to be a full-service REALTOR-Broker and licensed transactional attorney, I help my clients get the best price in the shortest time, with the most information and the least hassle.

Here are some recent statistics on Single Family Home Sales that may give some insight into what is going on in the East Oahu real estate market. Over the past 6 mo, we have seen many more properties getting into bidding wars and/or selling over the list price at the time of sale, especially in Kailua. Many first time homebuyers have finally decided that they want to get in the market and some, who may qualify, are eager to take advantage of the $8K First Time Homebuyer Tax Credit for 2009. Others see this as a very good time to trade up, with interest rates still so low. I expect the market will get a little more crazy in the next few months as the end of year approaches, particularly, in the lower price points and condo market.

Kailua
Price Point
- Under 700K, 47 sold, with 17 (36%) AT or ABOVE asking price, Avg sold/list ratio was 97%, avg 76 DOM
- 700K to $1M, 57 sold, with 14 (25%) AT or ABOVE asking price, Avg sold/list ratio was 97%, avg 64 DOM
- $1M to $2M, 14 sold, with 2 (14%) AT asking price, Avg sold to list ratio was 93%, avg 116 DOM
- over $2M, 2 sold, with 0 at or over asking, Avg sold to list ration was 95%, 72 DOM

Hawaii Kai
Price Point
- Under 700K, 30 sold, with 6 (20%) AT or ABOVE asking price, Avg sold/list ratio was 95%, avg. 90 DOM
- 700K to $1M, 43 sold, with 11 (26%) AT or ABOVE asking price, Avg sold/list ratio was 97%, avg. 79 DOM
- $1M to $2M, 11 sold, with 0 at or above asking price, Avg sold/list ratio was 93%, avg. 139 DOM
- over $2M, 4 sold, with 0 over asking, Avg sold to list ratio was 88%, avg. 113 DOM

Diamondhead
Price Point
- Under 700K, 43 sold, with 9 (21%) AT or ABOVE asking price, Avg sold/list ratio was 95%, avg. 72 DOM
- 700K to $1M, 52 sold, with 8 (15%)AT or ABOVE asking price, Avg sold/list ratio was 96%, avg. 71 DOM
- $1M to $2M, 48 sold, with 6 (13%) AT or ABOVE asking price, Avg sold/list ratio was 92%, avg. 79 DOM
- over $2M, 14 sold, with 0 at or over asking, Avg sold/list ratio was 87%, avg. 84 DOM

Please note: The days on market statistics do not take into account that some properties may be re-lists. Also, the Sold to List price ratios are based on list price at time of sale, not the original list price data.

Good news in paradise! It appears that the activity level has been picking up steam. We are getting a lot more buyers that are looking here on Oahu. They are actually making offers and feel it is a great time to buy with the low interest rates. It may not be the bottom, but they feel with the low interest rates and the price adjustments over the past 2 years it may be a great opportunity to get a piece of Hawaii.

I have been speaking to few agents I know on Kauai and Maui. They are tell me that the are experiencing the same thing as well.

Hopefully this is a start to a recovery.

One of the things I look forward to the most with my annual subscription to Honolulu Magazine is the Kailua edition that comes out every April.

Last year, I was fortunate enough to be interviewed for the magazine's article, "Wanted: Kailua" by Catherine Toth, on Kailua real estate. They even featured a home that I sold and my clients in the article.

This year, the Kailua section featured the history of three very different Kailua families and 13 fun new things to do in Kailua. In the article "Kailua Generations," by Jenny Quill told stories of the Kanentake, Rodrigues-Pope and Peters families of Kailua. I found intriguing the historic photos, including a 1952 picture of Mount Olomana, and wonder what it must have been like here, in the "old days."

In the article on new things to do in Kailua, the writer, Ashley Hamershock, featured several new restaurants, merchants and activity providers, under the headings drink, eat, move and shop. I have tried several of the new places first-hand and found them to be quite good. In particular, Bob's Pizzeria, Crepes No Ka Oi, and Kailua Town Pub and Grill, all casual eateries, with pretty good prices. Of the merchants, I'd recommend Little Sprouts, the new Eco-boutique for kids, featuring green clothing and products, and the Sweet Paradise Chocolatier, with delicious and beautiful chocolate treats, even some handpainted tropical delights.

The last Kailua article in the magazine was my favorite, however, because it so distinctly depicts much of my experience living in Kailua. Entitled "New Year's Day," the writer, Rachel Ross, describes what makes Kailua so special. Stranded o New Year's Day with a flat tire, she hangs out for a while at the historical Kalapawai Market, just Mauka of the kitesurfing part of Kailua Beach, while the owner rides his bike home to get a pump to help fix her tire. She people watches (looking for Obama), interacts, and lives, even if for a brief moment in a "small town meets cosmopolitan" experience, which I completely understood. This is this specific location where I have my coffee almost every morning, so perhaps gives part an explanation of why I am so in love with Kailua.

This 17th Annual Event, hosted by the Lani-Kailua Outdoor Circle, Kaneohe Ranch and the Castle Foundation, promises to be a great time for residents from all parts of the island and visitors too. Held in the center of Kailua town, on Sunday, April 27 from 11 am to 4 pm, this event is Kailua's biggest party of the year. Kailua Road, from Kuulei Road to Hahani Street, will be closed off to automobiles for the event. Thousands are expected to attend, enjoying food, music, live entertainment, and handmade arts and crafts of local artists. You can also buy plants and learn more about many local businesses.

The event benefits the Lani-Kailua Outdoor Circle. This organization, founded in 1948, focuses on keeping Kailua beautiful, green and clean, and is dedicated to planting trees, shrubs and flowers in parks, public spaces and along streets of Kailua. At the festival, they will be selling "I Love Kailua" buttons and t-shirts, so don't forget to pick one or two up to help support the cause. You will need a button to purchase food and get "A Taste of Kailua." Buttons are already on sale at various Kailua merchants for $3 each. Children 12 and under are free.

Restaurants participating in "A Taste of Kailua" are A Cup of Tea, Agnes' Portguese Bak Shop, Baskin Robbins, Big City Diner, Buzz's Steak House, cakelava, Chip n Cookie, Cinnamon's, Crepes No Ka Oi, Down to Earth, Formaggio Grill, Great Harvest Bread Company, India Cafe Curry Express, Kalapawai Cafe and Deli, Laikai Catering Company, Los Garcias Mexican Restaurant, Na 'Ono, Pikinini Donuts, Pinky's Pupu ar and Grill, Tat's Shaved Ice, The Bistro, The Coffee Bean and Tea Leaf, Tokoname Restaurant, and more.

Entertainment for 2009 will include a stage devoted to the theme "I Love Hula." Performers at the festival include: Harry Koizumi, Mihani Souza, Keiki Hula with Pattye's Hula Studio, Coconut Joe, PJ Smoketrain, Kamakakehau Fernandez, and the Navy Pacific Fleet Band.

Park in the two-level structure in front of Long's Drugs, or think green and walk or ride your bike! Extra bike racks will be available too. See you there!!!