After a couple months of being in the works, the asset management company in charge has just made fifty price reductions on select two and three bedroom units at the Honua Kai Resort in Ka'anapali, Maui. Although these price reductions are not as drastic as the ones that were done in mid 2011 - 35% Price Reductions on Condos For Sale at Honua Kai Resort - they are likely the last remaining opportunity for buyers to really pick up some steals on developer inventory at the resort. The Honua Kai condo market is showing very strong signs of recovery paralleling the overall upward trends of the Maui market, so it wasn't really necessary for them to be as aggressive. In addition to the price cuts, they are also offering some back end concessions on select three bedroom units, which will improve the overall affordability of the units without as drastically affecting the sales comps.
What is also noteworthy is that lending rates are about 1 point lower than they were in mid 2011, which does significantly impact the overall affordability of these properties. As of right now, I have two buyer clients who have gone to contract at these discounted prices on two bedroom partial ocean view units.
Pictured above is the Hokulani lobby at Honua Kai. Hokulani was completed in 2009 and Konea in 2010. HOA fees for both buildings are the same at $1.33/sq.ft. of interior living area, but not covered lanai areas. Honua Kai HOA Fees Increasing By 10% Effective Feb. 1, 2013
Hokulani is one year older than Konea, but has a more elegant lobby and is home to the Aina Gourmet good market. Konea has the larger gym area and will eventually have another restaurant that is more geared towards affordable family dining rather than high end fine dining as originally proposed.
There is substantially less inventory available at Hokulani and the price points are generally lower than the northern Konea tower. I do find that the Konea tower is generally a little more quiet than the Hokulani tower, but I think that the activity level will certainly increase soon as the asset management company has an official agreement with the spa operator, which will hopefully be opening in August of this year.
Additionally, next to the spa in the Konea tower there will be a second restaurant operation on site besides the very successful Duke's Beach House.
Most Substantial Price Cuts in the Hokulani Tower
- Hokulani #225 - a 2bd./2ba. ocean view unit with 1,200 sq.ft. of interior living area with 330 sq.ft. of lanai last priced at $1,509,900 now a screaming deal at $1,120,000.
- Hokulani #215 - 2bd./2ba. partial ocean view interior courtyard (see below) unit with 1,320 sq.ft. of interior living area with a huge 625 sq.ft. of lanai last priced at $1,564,900 now a screaming deal at $1,375,000.
- Hokulani #605 - 2bd./2ba. an ocean view interior courtyard (see below) unit with 1,100 sq.ft. of interior living area with 235 lanai last priced at $1,729,000 now a screaming deal at $1,475,000.
- Hokulani #829 - (see below under substantial buyer incentives for three bedroom units) a 3bd./3ba. ocean view interior courtyard unit with 1,600 sq.ft. of interior living area and a 240 sq.ft. lanai last priced at $2,399,900 now at $2,167,450 plus substantial back end buyer incentives.
- Hokulani #1037 - a 3bd./3ba. ocean view unit of 2,205 sq.ft. with a 930 sq.ft. lanai last priced at $3,449,900 now a fantastic value for a true luxury unit priced at $2,875,000.
I really like the view from Konea #505 a resale unit, which just recently underwent a $100K price reduction and is now positioned at $1,567,000, which is about $200K lower than what the currently seller paid for the property.
Here is the full HD video of this unit: Konea 505 Video. Below you will see very similar developer units in Konea #503 and Konea #605 (the unit right above this resale)
Most Substantial Price Cuts in the Konea Tower
- Konea #343 - 2bd./2ba. partial ocean view interior courtyard unit with 1,315 sq.ft. of interior living area with 230 lanai last priced at $1,639,000 now a screaming deal at $1,465,000.
- Konea #503 - 2bd./2ba. huge ocean view interior courtyard unit with 1,315 sq.ft. of interior living area with 230 lanai last priced at $1,809,000 now a screaming deal at $1,575,000.
- Konea #605 - 2bd./2ba. huge ocean view interior courtyard unit with 1,315 sq.ft. of interior living area with 230 lanai last priced at $1,819,000 now a screaming deal at $1,580,000.
- Konea #149 - a ground floor 3bd./3ba. ocean view unit at the front of the building which is 1,930 sq.ft. with a 840 sq.ft. lanai last priced at $2,519,900 now at $2,267,000.
- Konea #749 - an upper floor 3bd./3ba. ocean view unit at the front of the building also at 1,930 sq.ft. with a 270 sq.ft. lanai last priced at $2,904,900 now at $2,702,450.
Two Bedroom Ocean View Best Buy
This is a video of Hokulani #349, 1,100 sq.ft. of living area with a 235 sq.ft. covered lanai, which sits on the inner courtyard of Honua Kai. I really like this particular unit because it is just one stack back from the front of the building making it closer to the water and thus enhancing the view.
Hokulani #349 was originally priced at $1,525,000 and is now priced at $1,325,000. I also like the fact that it is on the inner courtyard, which makes the unit very well protected from the wind.
Please use this previous blog as a reference for the location of these units, you will find it very helpful: Honua Kai Blog with building templates and aerial photos.
Three Bedroom Ocean View Best Buys
This is a video of Hokulani #503, which is a resale unit on the market for $2,499,000 - I don't think this particular unit is that great of a deal, especially in light of the new price reductions, but I wanted to show the floor plan, level of finishes, and commanding views that are present in similar units to this one. You will find my actual best buys for three bedroom units above where I detail the inventory for each of the towers.
Substantial Buyer Incentives on Interior Courtyard Three Bedroom Units
One of the things that I like most about the interior courtyard units versus the ones that are at the front of the building is that they are much more protected from the prevailing trade winds and occasional Kona winds that do affect the Honua Kai Resort.
I'd like to bring your attention to Hokulani #929 as I just recently helped a Canadian client of mine purchasing the unit three floors down from this one at Hokulani #629. Read about their personal experience: Canadian Couple From Vancouver B.C. Purchases a 3 Bedroom Honua Kai Unit for $1,900,000.
The view from the front lanai at Hokulani #629. A slightly improved view is available from Hokulani #829 offered for $2,167,450 down from $2,399,900 and Hokulani #929 offered for $2,214,950 down from $2,499,900.
This particular floorplan, which is referred to as the D-1 floorplan, is a very good use of overall space at just about 1,600 interior sq.ft. with 3 full bedrooms and 3 full bathrooms. This is the particular floorplan that they will be offering the back end sales concessions, which are pretty substantial when taking everything into account. Please do reach out to me directly about these buyer incentives.
Entire Developer Price Lists of Reductions
There are a number of substantial price reductions on units on interior courtyard locations in both the Hokulani (above) and Konea towers. There are also quite a few units still for sale on the exteriors of each buildings and are generally at a lower price point. For a complete list of all the price reductions please reach out to me directly and I will provide this in addition my recommended best buys based on your needs/wants and comfortable budget.
Here is what one of my buyer clients had to say about my representation of their efforts on one of these newly reduced units at Honua Kai:
I want to thank you for everything that you have done thus far for my wife and I. I am so glad that I viewed your website and eventually contacted you. I have built my entire career on providing timely responses to my clients questions and concerns. You have definitely mastered this art.
I must admit that its a bit scary considering the purchase of real estate without being there to view things. You have gone out of your way in answering all of our questions. You have a good contact list of bankers and property managers that you were able to connect me with.
The information that I was able to obtain was exactly what I was looking for. I can’t tell you enough how important the videos were that you sent us. No request or question went unanswered. When my wife was concerned about the direction the condo was facing and what type of sunlight we could expect, you quickly went to the property and sent us a video of the location of the sunrise and sunset. In fact, you took the video from the unit across from the one we were considering to give us a better prospective.
The extra mile that you took in servicing us has meant a lot to us. That extra mile has allowed us to feel 100% confident in our decision to purchase a unit at Honua Kai. Thanks again for everything!!
Resale vs. Developer Inventory at Honua Kai
The resale market at Honua Kai has been very hot as of late Honua Kai March 2013 Market Update Report, and we are starting to see some pretty substantial price increases on select units. The lowest priced developer unit starts at $639,900 for a partial ocean view studio (one of three developer studio units remaining).
The lowest priced resale unit on the market right now is a partial ocean view studio priced at $649,000. For a complete look at all the resale inventory be sure to check out my gallery: Honua Kai Resale Inventory Property Gallery.
Aloha from Maui,Jeremy Stice REALTOR (Broker) Stice@HawaiiLife.com 808.281.2178
My Blog Series on Honua Kai Condos
- Honua Kai Resort in Kaanapali, Maui – Start here, as this blog will provide you with a good overview of the resort including video on its location, and its world class amenities and ownership offerings.
- Honua Kai Resort Real Estate For Sale – Kaanapali, Maui Condos For Sale – This post focuses on the inventory actively for sale and where all the units are located.
- Honua Kai March 2013 Market Update Report – There has been a significant increase in the level of sales for two bedroom units at the resort. Read all about it here.
- One Bedroom/One Bath Mountain View Unit at Honua Kai Sold for $525,000- Congratulations to the Kojima Ohana on their recent resale purchase at Honua Kai.
- 5 Remaining One Bedroom Plus Den Units for Sale at Honua Kai – They are sold out of developer one bedroom units but check out this video blog for this niche units starting in the high $700k range.
- Honua Kai 2 Bedroom/2 Bath Condo Sold a Seller’s Perspective – What our seller client had to say about our team selling their property for a $135,000 short term gain.
- 2 Bedroom Ocean View Best Buys at the Honua Kai Resort and Spa – Feb ’13 post on the best ocean view and partial ocean view two bedroom units.
- 4 New One Bedroom Listings at Honua Kai – Posted on January 2013 be sure to check out these best buys priced under $550K
- Honua Kai January 2013 Market Update – What’s happening in the new year at Honua Kai? Are prices increasing?
- Honua Kai HOA Fees Increasing By 10% Effective Feb. 1, 2013 – What are the current fees, what do they cover, and what other costs of ownership are involved?
- 25% Down Payment Financing Options at Honua Kai – Get the inside track on leveraging your cash investments at Honua Kai.
- Canadian Couple From Vancouver B.C. Purchases a 3 Bedroom Honua Kai Unit for $1,900,000 – Did you know that many of the owners at Honua Kai are from Canada?
- Honua Kai November 2012 Market Update – The latest news after a crazy year of selling
- Honua Kai January 2012 Update – Why Honua Kai is the hottest deal in town right now
- Honua Kai Purchase Process – An owner’s perspective of purchasing and experiencing the resort.
- 35% Price Reductions on Condos For Sale at Honua Kai Resort – Read about how the developer dramatically slashed the prices at Honua Kai and where some of the best deals are at.
- Price Reductions on Honua Kai Resort One Bedroom Units – Video blog on 1-bedroom units that are Screaming Deals.
- Honua Kai Resort in Kaanapali – Best Two Bedroom Deals – Video blog on 2-bedroom units that are Screaming Deals.