Housing an issue on Big Island
Council candidates cite affordable units as their top priority
By Karin Stanton
Associated Press
KAILUA-KONA, Hawaii » Affordable housing is emerging as a key issue in this year's Big Island elections, especially on the island's booming west side.
County Council candidates at two forums last week cited steps to increase affordable housing as a top priority, in addition to new regulations that encourage several new developments that include lower-cost units.
Mayor Harry Kim, who is not facing election this year, has said the lack of housing options for Big Island workers amounts to a crisis.
Ideas for getting at the problem include imposing a development moratorium aimed at curbing projects that cater only to the rich, overhauling zoning regulations to address affordable housing and finding a better definition of what is meant by "affordable."
More than a year ago, the County Council jacked up per-unit contributions required of developers for their projects. Now, developers must make 20 percent of their total units affordable. Affordable is now defined as no more than 140 percent of annual median income, or $71,400. Hawaii Information Services puts the median sales price last month for a home on the Big Island at $377,500. Developers do have the option of building the units themselves, providing the county with developable land or working with a nonprofit agency to provide the required number of units.
The idea is to encourage developers to construct the units -- houses, condos and apartments -- rather than simply writing a check to the county, said Jeremy McComber, specialist with the county's Office of Housing and Community Development.
"The mayor is trying to work with developers because the county cannot do it all on its own," he said.
The new rules already seem to be having a positive impact, McComber said.
The county has negotiated eight deals with developers that will provide 160 housing units and also has received an 8-acre parcel of land just above Costco, north of Kailua-Kona.
Also, the county kick-started development last year of Kamakoa Vistas, a work-force housing project on 268 acres in Waikoloa Village. Construction is expected to begin early next year on 800 to 1,200 single- family and multifamily homes and related infrastructure improvements.
Waimea Councilman Pete Hoffmann said he has been encouraged by the county's efforts and the response of developers.
"We are heading in the right direction, but we need to continue to do more," he said.
Several developers are making contributions:
» Oceanside 1250 agreed earlier this year to build 168 units of affordable housing in Kona as part of an out-of-court settlement. The deal followed several years of litigation and stalls in developing the billion-dollar luxury subdivision Hokulia, which includes 700 home sites on 1,500 acres south of Kona.
» WestPro Holdings, which included 19 affordable units in its 190-home Lokai Makai subdivision just north of Kona, is set to begin building another work-force housing community in the same area. With a total of 108 condominium units, the Seascape project is expected to be ready for occupancy in January, said Alan Dickler, WestPro Holdings president.
» WestPro also is exploring the idea of an inexpensive rental community of up to 150 dormitory-style studio apartments. The rooms would be available for $350 per month, with the expectation that Kohala Coast resort workers live there during the week and make the longer weekend commute to family homes in South Kona, Hilo, Puna or Kau.
Dieter Seeger, Hilton Waikoloa Village general manager, said the issue affects the quality of life for the whole island.
"Housing is a challenge in attracting quality employees," he said. "It has to be quality housing, too, because you don't want to make a ghetto for your workers."