The median price of a single-family home on Maui was $1.3 million in November, according to a monthly statistical report by the Realtors Association of Maui. That’s $100,000 short of the all-time, $1.4 million record set in September of this year.

But, comparing the November median for housing to the same month last year, the price of a single-family home jumped 16.9%. Sales volume (63 units sold) rose 3.2%. Days on market went up 29.2%, and overall dollar volume of sales went up 35.8%.

From the seller’s vantage point, condo sales in November were bleak. The 49 units sold dropped sales volume 7.5% from November 2023. The median sales price of $715,000 was down 19.7%. Days on market clicked up 1.6%, and overall dollar volume of sales plummeted 52.02%.

Association President Lynette Pendergast called the difference in November single-family home and condominium real estate markets “contrasting trends” that “highlight the ever-present influence of supply and demand.”
“The notable 33% increase in new single-family home listings has provided buyers with more choices, likely driving the uptick in sales,” she said. “However, the significant rise in median sales price to $1.3 million underscores the continued demand for single-family homes, even as supply grows. In the condominium market, a more stable level of new listings coupled with a decline in sales has led to a drop in the median price to $715,000, suggesting a shift in buyer preferences or economic factors at play. These dynamics remind us of the importance of balancing inventory to meet the evolving needs of Maui’s residents and maintaining a healthy housing market.”

The full report for November can be found here.

More information is available at https://www.ramaui.com/. Consumers can browse single-family home and condominium listings available for sale on Maui, Molokaʻi and Lānaʻi. There’s also a comprehensive list of Open Houses. Searches can be done by geographic location, residential type and/or price range.

Permanently Affordable Living Hawai’i announced a $626,000 donation from Priscilla Chan and Mark Zuckerberg, which will be used to place five homes at Kauhale O Kīlauea into PAL’s Hoʻomaluhia Community Land Trust (HCLT).

This donation secures these homes as permanently affordable for generations to come, ensuring that local, multigenerational families can continue to live, thrive, and contribute to the community.

Chan and Zuckerberg have provided several grants to the organization since 2022 through the Chan Zuckerberg Kaua’i Community Fund of the Hawai’i Community Foundation.

PAL’s Hoʻomaluhia Community Land Trust safeguards housing affordability for 200+ years, aligning with traditional Hawaiian values of community stewardship over land. By retaining ownership of the land and selling homes leasehold, the HCLT ensures that housing remains accessible to families who otherwise might be priced out of their own community. PAL’s goal is to place all their homes into their HCLT, with fundraising ongoing for their projects in Kapa’a and Kalāheo. With this $626,000 donation, the homes at Kauhale O Kīlauea will now become part of this innovative model, helping to keep Kaua’i’s workforce and local families on the island for the long term.

“We are deeply grateful for Priscilla Chan and Mark Zuckerberg’s support,” said PAL Executive Director Larry Graff. “The beauty of this gift is that it will have a generational impact. Their generosity will further our mission to create affordable, sustainable living for the people of Kaua’i by safeguarding these homes for future generations.”

The Kauhale O Kīlauea project offers affordable housing to local residents, prioritizing those who live or work in the area. The five homes being placed into the land trust are part of PAL Hawaiʻi’s commitment to developing permanent housing solutions and preserving the unique cultural and social fabric of Kauaʻi.

For more information on PAL Hawai’i and the Ho’omaluhia Community Land Trust, please visit www.pal-hawaii.org.

The median price of a single-family home on Maui was $1.3 million in October, down $100,000, or 7.1% from the all-time high of $1.4 million, posted in September, according to monthly statistics from the Realtors Association of Maui.

The median price of a condominium in Maui County was down as well in October, compared with September. The price fell 9.8% to $892,500, from September’s median of $990,000.

However, compared with October 2023, prices and sales volume were up for both single-family homes and condominiums, leading the realtors association to report “significant growth,” year over year in Maui’s real estate market.

Comparing October 2023 with October 2024, the median sales price for single-family homes increased by 2.4% year-over-year, reaching $1,300,000. Condominium prices also increased, with the median price up by 9.2% to $892,500.

The statistics are derived from data collected from the association’s Multiple Listing Service system.

In addition, the number of new listings for single-family homes rose by 6.3%, and for condominiums by 3.2%, compared to October 2023, the association reported. The median days on market for all properties averaged 134 days, reflecting steady demand and market engagement. 

“Maui remains a desirable place to call home,” said RAM President Lynette Pendergast. “The increased median price in both homes and condos are a reflection of high demand but low supply, the increased costs in building, the scarcity of water and complex regulatory requirements.”

For more information on Maui County’s housing market, visit https://www.ramaui.com/. Searches can be done by geographic location, residential type and/or price range, and the website has information about buying and selling real estate in Hawaiʻi.

For the full October real estate report, click here.

Op-Ed: Supporting a balanced approach to Maui’s housing crisis
By Lynette Pendergast, REALTORS Association president 

Housing affordability is one of the most critical issues facing our community today. As the president of the REALTORS Association of Maui, I want to emphasize our commitment to fairness, transparency, and responsible practices in the real estate industry. We understand the challenges residents face and are dedicated to being part of the solution to Maui’s housing needs.

At the REALTORS Association of Maui, we uphold the highest ethical standards. We do not engage in price manipulation and are fully committed to fair market practices. Our association does not use price-fixing technologies, such as RealPage, and we stand firmly against anything that undermines the integrity of our market.

Our Multiple Listing Service (MLS) focuses primarily on real estate sales, with minimal involvement in the rental market. Home prices are determined by various factors such as supply and demand, economic conditions, interest rates, and buyer behavior. The market price is set by what buyers are willing to pay and what sellers are willing to accept, with appraisals and comparative market analyses informing fair pricing.

Maui’s housing is part of a larger nationwide challenge, with a shortage of 3.4 million homes. Affordable housing is essential, and we are committed to working alongside lawmakers and local leaders to find solutions. This includes supporting policies that will increase housing supply, streamline development processes, and address barriers to homeownership, all while preserving the unique character and culture of our island.

Advocating for the real estate industry allows us to represent the interests of local homeowners, buyers, and renters, helping shape policies that strengthen our housing market and economy. This ensures that the voices of those who live and work in our community are heard when decisions are made that impact our housing future. Our goal is not to oppose regulation, but to ensure laws and policies benefit everyone.

Over the years, the REALTORS Association of Maui has achieved several significant advocacy victories, demonstrating our commitment to supporting the community. In 2010, we helped secure $1 million in affordable housing funding for Nā Hale O Maui, enabling the organization to acquire, renovate, and resell foreclosed properties. In 2011, we successfully lobbied for the removal of the Hamakuapoko Well Use Prohibition, opening the door for the potential issuance of 500 new Upcountry water meters. And in 2017, our efforts led to an increase in the Real Property Tax (RPT) homeowner exemption from $110,000 to $200,000, providing much-needed tax relief to local homeowners.

At the state level, the Hawaiʻi REALTORS Association has consistently worked to protect homeowners and uphold fair housing policies. One notable achievement was the defeat of a bill that would have prohibited landlords from screening potential tenants based on their credit history or creditworthiness. In another significant win, the association prevented a proposed increase in capital gains tax, and they stopped 11 bills that sought to double or triple conveyance taxes on properties over $2 million, protecting homeowners from excessive financial burdens.

Our commitment is to a balanced approach that protects consumers, fosters fair competition, and promotes sustainable development. We understand that a thriving real estate market benefits everyone, and we will continue working with policymakers to ensure that the housing market remains fair and accessible to all. Realtors are part of the fabric of Maui’s community—your neighbors, friends, and partners in building a future where families can find homes and local businesses can thrive. Ultimately, our goal is to build a stronger, more resilient Maui.

*****Views expressed in Op-Ed pieces are those of the author’s alone and do not reflect or represent the opinions, policies or positions of Maui Now.*****  

The median price of a single-family home came in at more than $1.4 million in September — an all-time high, according to the Realtors Association of Maui.

The new peak in Maui housing prices came amid the association’s reports of mixed sales trends for Maui County in September: declines in overall sales volume; increases in prices.

In September, the number of single-family homes fell 22.7% to 51, but prices rose 8.8% to $1,408,287. For condominiums, the pattern was similar, except with a higher, double-digit percentage jump in prices: The number of units sold was down 25.4% to 50, but prices were up 27.1% to $990,000.

The association’s metric for housing affordability was an index figure of 30 for single-family homes in Maui County, no change from September 2023 and two index points higher than the year’s lowest index point of 28 in June. For condos, the index was 43 in September, down 12.2% from the same month last year.

The index figures show regional housing affordability. For example, an index of 120 means the median household income is 120% of what is necessary to qualify for the median-priced home under prevailing interest rates. A higher number means greater affordability.

Meanwhile, for those who can afford to be in the Maui real estate market, buyers and sellers are taking longer to make deals. The number of days on market for single-family homes increased 12.4% to 118 days; for condos, the number shot up 31% to 135 days.

The number of new listings for single-family homes decreased by 17.5% compared to the previous year, while new condo listings dropped by 6.7%. Additionally, the median days on the market for properties was 127 days.

“While the decline in sales is a reflection of the current market dynamics, the increase in median home prices demonstrates that demand remains strong,” said RAM President Lynette Pendergast. “Our focus remains on providing guidance to buyers and sellers alike as they navigate these changing conditions.”

The full September real estate report can be found here.

The public is encouraged to visit https://www.ramaui.com/ to see what’s happening in the Maui County housing market. Consumers have the ability to browse single-family home and condominium listings available for sale on Maui, Molokaʻi and Lānaʻi, and to see a comprehensive list of Open Houses. Searches can be done by geographic location, residential type and/or price range, and https://www.ramaui.com/ provides useful information about buying and selling real estate in Hawaiʻi.

While Maui County’s resident population of roughly 164,000 represents about 11% of Hawaiʻi state residents overall, the Tri-Isle county had the highest supply of available vacation rental unit nights of any county in the state in August, according to a report by the Hawaiʻi Department of Business, Economic Development & Tourism.

In August, Maui County’s unit night supply of vacation rentals was 277,958, a 56.5% increase over August 2023. Most of the county’s vacation rental supply was in Wailea/Kīhei, 125,551 unit nights; and Lahaina/Kāʻanapali/Nāpili/Kapalua, 120,340 unit nights. Together, those Maui resort areas represented 88% of the county’s available vacation rental nights in August.

The county’s unit night supply total of 277,958 was 32% of the state’s overall unit night supply of 865,038 for the month. Statewide the unit supply amount rose 15.9% from August 2023 to the same month this year.

For August 2024, the Hawai‘i Vacation Rental Performance Report included data for 34,106 units, representing 59,408 bedrooms in the Hawaiian Islands.

Oʻahu had 230,186 unit nights, up 3.5%; Hawaiʻi island had 215,965 unit nights, up 1.8%; and Kauaʻi had 140,929 unit nights, up 4.9%.

For unit night demand in August, Oʻahu’s demand was higher — 137,127 unit nights; versus Maui County’s 132,723, although Maui’s demand rose 57.2%, compared to Oʻahu’s higher demand increase of 1.3%. Statewide, demand went up 6.2%.

Statewide, unit occupancies fell 4.5% from 54.4% in August 2023 to 49.8% last month. Maui County saw almost no change in occupancy rates: 47.5% in August 2023 and 47.7% last month.

The average daily unit rate for Maui County was $370.35 in August, up 18.7% from the same month last year. In South Maui, the rate was $312.50, up 7.8%; and in West Maui, the rate was $461.06, up 6.9%. For August 2024, Maui County hotels reported average daily rate at $515, and occupancy of 55.1%.

Statewide, the average daily unit rate was $319, up 14.1%. Kauaʻi had the highest average daily unit rate at $403.71, up 8.7%.

DBEDT said it’s important to note that unlike hotels, units in vacation rentals are not necessarily available year-round or each day of the month and often accommodate a larger number of guests than traditional hotel rooms.

The data in DBEDT’s Hawai‘i Vacation Rental Performance Report specifically excludes units reported in DBEDT’s Hawai‘i Hotel Performance Report and Hawai‘i Timeshare Quarterly Survey Report.

A vacation rental is defined as the use of a rental house, condominium unit, private room in a private home, or shared room/space in a private home. This report does not determine or differentiate between units that are permitted or unpermitted. The legality of any given vacation rental unit is determined on a county basis.

The Hawai‘i Vacation Rental Performance Report is produced using data compiled by Lighthouse Intelligence, Ltd. (formerly known as Transparent Intelligence Inc.)

The report includes data for properties that are listed on Airbnb, Booking.com, Vrbo and TripAdvisor. Data for units included in DBEDT’s Hawai‘i Hotel Performance Report and Hawai‘i Timeshare Quarterly Report have been excluded from the Hawai‘i Vacation Rental Performance Report.

The Rotary Club of Kahului welcomes commercial realtor, Brian Rose to its weekly meeting on Monday, Sept. 24, 2024, from 12 to 1 p.m. He will speak on the current state and future of commercial real estate on Maui. The public is invited to the meeting, which is held at the Pono Center, located at 62 N. Market Street on the third floor in Wailuku.

Rose has been a commercial real estate agent for about five years representing over 1.5 million square feet of commercial space. He is with Kōkua Realty, one of the largest commercial real estate firms in the state.

Rotary International is an international service organization whose mission is to provide service to others, promote integrity, and advance world understanding, goodwill and peace through its fellowship of business, professional and community leaders. Rotary’s motto is “Service Above Self.”

The Rotary Club of Kahului meets every Monday (except for holidays) from 12 to 1 p.m. For more information, visit www.kahuluirotary.com.

Rent stabilization is legal, but will it work to help residents at the mercy of landlords seeking the highest possible return on their Maui property investments? That’s the question left hanging after Maui County Council members heard Monday evening from more than two dozen testifiers, most of whom favored putting brakes on runaway rental costs.

Members of the Council’s Housing and Land Use Committee, chaired by Council Member Tasha Kama, heard four presentations and about two hours of public testimony. The committee also received dozens of written testimonies, mostly in favor of controlling rising rents.

Kama deferred further committee discussion on rent stabilization until 9 a.m. Sept. 26.

Before Monday’s meeting, Deputy Corporation Counsel Michael Hopper said the Council has authority to enact rent stabilization. Under Hawaiʻi law, “each county shall have the power to regulate the renting, subletting, and rental conditions of property for places of abode by ordinance.”

When specific legislation is proposed, more analysis would be needed, Hopper said.

At the end of Monday evening’s meeting, Kama was asked whether she would propose legislation—she said she would “at some point in time.”

That’s not helpful for residents facing skyrocketing rents.

“We need mandatory rent stabilization now. Not in the near future. Tomorrow is already too late,” said Desilee Santiago, a tenant and Maui Tenants and Workers Association member. “We have been dealing with an eviction proceeding against us from our landlord, wanting more money. When everybody was getting tens of thousands for their rental, he thought he would jump on that bandwagon and displace local families to house displaced local families.”

Santiago said she and her family have already moved out of their former rental and into a new one, paying more than two-and-a-half times more. And, it’s inconvenient.

“It’s further away,” she said. “My son doesn’t have a bus, so we have to take him and pick him up from school. It’s really turned our lives upside down in the last six months.”

Association member and Lahaina fire survivor Krizhna Bayudan still faces housing instability.

“Stable housing is directly tied to mental well-being, and I empathize with the entire island, which has seen extreme rent hikes in the aftermath of last year’s tragedy,” Bayudan said. “More and more residents are being forced to leave Maui, and our island is changing. Soon, my family and other Lahaina fire affected families will also have to compete for stable housing as our insurance rent coverage comes to an end. We need solutions now.”

According to the tenants association, monthly rent for two-bedroom homes on Maui range from $3,000 to $11,000, fueled by federally subsidized and insurance assistance rents for displaced wildfire survivors. For a household with an annual income of $88,249, affordable rent of about 30% of that income would be $2,206 per month, the association said.

The association proposes controlling rents by first establishing a base rent that could only be increased annually by small amounts tied to the Consumer Price Index. If landlords believe they need to raise rent beyond the index cap (for major repairs, for example), then they could apply to the county Department of Housing for approval.

Also, under the rent stabilization law, landlords would be required to register their rental properties with the County, which would ensure compliance with rules and assist with tracking rentals and housing availability, according to the association.

Equity One Real Estate President and Chief Executive Officer Leil Koch, representing the Realtors Association of Maui, said rent controls don’t work and have the opposite intended effect in communities that have tried it. He pointed out that rent controls are prohibited in 33 states, including Washington, Arizona, Florida, Massachusetts and Minnesota.

“Rent control reduces, actually reduces, available housing,” he said. “The number of total rental units in Cambridge and Brookline, Massachusetts, fell by 8% and 14% (respectively) after those cities imposed stringent rent controls.”

Rent control contributed to the gentrification of San Francisco, contrary to what was intended by legislation for that city, he said.

“Tenants may also suffer from fewer options of rental type and location, meaning that as the funnel gets smaller for potential rental units you lose the ability to have your choice of studio, one bedroom, two bedroom, Upcountry and everywhere else,” Koch said.

A rent control program would come with significant administrative costs for Maui County, he said.

For property owners, as their rental income gets fixed, their homeowners’ association fees and insurance costs continue to go up, Koch said.

Developers will not build new housing if there are constraints about their return on investment, he said. Then, there would be job losses in janitorial and landscaping companies, he added.

And, he said, Maui County would lose property tax revenue, which would impact money available for county services.

“If you do this thing, it’s a downward spiral,” he said. “You’re gonna kill all the rentals.”

Koch suggested alternatives, including: streamlining Maui County permitting processes; increasing rental subsidies; continuing tax incentives for landlords who offer long-term rentals, especially for low and very low income tenants; providing fast-tracked, pre-approved plans for new housing developments; carrying out zoning reform to permit multiple units in all districts and eliminating minimum lot sizes; and encouraging the county to purchase existing housing units, buildings and vacant offices to create immediate available rentals.

Attorney and housing policy expert Jason Economou, former government affairs director for the Realtors Association of Maui, agreed with Koch’s alternatives, but disputed what he called some of his “scary language.”

While it’s true that rent controls reduce the availability of housing, “that’s because one of the ‘consequences’ of rent controls is that people don’t move as often,” Economou said. “So there’s less turnover in housing. It keeps people staying in one place.”

Also, there’s a difference between what economists refer to as “pure rent control,” which is a “hard cap or stop on increasing rentals,” versus rent stabilization, he said.

Economou also agreed with Koch that there are significant administrative costs for implementing a rent stabilization program, and he questioned the feasibility of tasking the fledgling Housing Department (not yet fully operational or staffed now) with “a whole new task of determining rents for every rental on the island.”

“Then, we have to create new technology to register every rental in the island,” he said. “And then you’re telling people that you’re not going to use this registration information for building code enforcement. But, the truth is, the owners aren’t going to trust you. They’re not going to trust that the county won’t use these rental registrations to enforce the building code infractions, so you have an uphill battle to get any semblance of this program off the ground.”

In an email to Maui Now, Economou said he still thinks rent stabilization should be considered, but as part of a multifaceted approach.

“Some of the other facets should focus on the preservation of inventory for local residents, as well as incentives/disincentives to guide preferrable models of ownership,” he said. “For example, I think rental units owned by corporate entities or offshore owners, where the property is primarily managed by property management companies, should be taxed at a substantially higher rate than locally owned or owner-occupied rentals.”

Economou also suggested establishing an incentive program for local owners to voluntarily place deed restrictions on their own properties to enable their properties to be sold down the line only to people with an established Maui County work history.

“These are potentially easier and less expensive programs to administer, but could have a long-term beneficial effect on rental rates,” he said.

In a Sept. 13 letter, Kama said she’s considering an alternative to rent stabilization: setting lower property tax rates for landlords who provide long-term rentals of at least 12 months to residents if rents are affordable to households making 140% and below median income and cap rents at amounts published annually in the Department for Housing’s Affordable Rental Housing Program.

The department would review the leases and other documentation, including information that demonstrates the renter’s qualifying income to ensure compliance.

August 2024 saw Maui’s housing market exhibit contrasting trends, with single-family homes experiencing both a rise in sales and an increase in median prices, according to the latest data from the Realtors Association of Maui (RAM). The median sales price for single-family homes increased by 10.4% compared to August 2023, reaching $1,325,000, indicating continued demand at higher price points. Meanwhile, condominium sales dropped by 34.7%, though the median price for condos surged to $1,000,000, a 33.3% increase.

The analysis conducted by the Association using data collected from its Multiple Listing Service (MLS) system shows the following statistics:

Single Family Home Resales

Condominium Resales

*Median price means half the prices were above and half below the given price.

Additional highlights include a significant increase in new listings, with single-family homes up 40.7% and condos up 74.7% year-over-year. Both markets saw a median of 142 days on the market for properties.

Condominium sales are particularly notable, as there has been a downward trend since the short-term phase-out bill was announced in early May 2024. Prior to the announcement, the market was showing strength, with April data indicating condo sales were up 17.8% year-over-year to 106 units. However, in May—coinciding with the bill’s announcement—condo sales dropped 16.5% to 76 units. The cooling effect continued in June and July with condo sales decreasing 36.6% and 15.8%, respectively.

“While it’s too early to definitively call this a long-term trend, the immediate impact of the announcement is evident,” said RAM President Lynette Pendergast. “Should this pattern persist, it could signal a sustained cooling of the condo market, especially as buyers respond to the regulatory changes. Fortunately, the rise in single-family home prices underscores continued demand despite higher costs. These trends will be closely monitored as we move through the rest of the year.”

The public is encouraged to visit https://www.ramaui.com/ to see what’s happening in the Maui County housing market. Consumers have the ability to browse single-family home and condominium listings available for sale on Maui, Molokai and Lanai, and to see a comprehensive list of Open Houses. Searches can be done by geographic location, residential type and/or price range, and https://www.ramaui.com/ provides useful information about buying and selling real estate in Hawaiʻi.

Maui Planning Commission members breezed by a proposed policy statement in the draft South Maui Community Plan update Tuesday evening, agreeing by consensus that the plan would aim to increase long-term residential housing by phasing-out short-term rentals from Māʻalaea to Kanaio.

The draft plan’s Section 2.2.25 policy statement says: “Increase the inventory of long-term housing units, whether owner-occupied or long-term rental, and whether single-family or multi-family, by phasing-out and converting existing vacation rentals to long-term occupancy.”

After earlier discussion of draft policy words like “require” and “encourage” in various statements, commissioners came to the short-term phase-out policy in the community plan draft. They quickly determined that they had already dealt with the so-called Minatoya List of vacation rentals. They did so by recommending approval on July 23 of a bill proposed by Mayor Richard Bissen to make vacation rentals a non-permitted use in apartment-zoned districts in Maui County. If approved by the Maui County Council, that bill would impact about 7,000 units, mostly in South and West Maui.

Planning staff told commissioners the South Maui draft plan statement might lower the number of allowed bed-and-breakfast permits, but beyond what was already forwarded to the County Council for limiting short-term rentals, the plan statement is “not super impactful.”

Commissioner Ashley Lindsey said: “Given our recent Minatoya List meeting and also the limited size of the B&Bs and short-term rentals in each area, I think we have tackled this one for now.”

Commission Chair Kimberly Thayer said: “Okay. So leave this (policy statement) as is. So, that’s what you’re saying? (Lindsey: “Yes.”) Okay, I see thumbs up from everybody else online.”

The so-called “Minatoya List” refers to vacation rentals that have been grandfathered, or allowed to continue, even after Maui County passed an ordinance in 1989 making transient accommodations non-permitted uses in apartment-zoned districts. Most of the affected units are in South and West Maui.

Aside from transient vacation rentals in apartment districts, Maui County has permitted transient vacation rentals by conditional permit, short-term rental homes and bed-and-breakfast operations. The numbers are broken down by community plan area and are available by clicking here; see hyperlinks under “Resources.”

The commission received dozens of written testimonies, virtually all opposed to including the draft plan’s Section 2.2.25 policy statement.

When asked about enforcing plan provisions, in general, the Planning Department said via email that the County Council could pass conditional zoning to effectuate the policy, and special management area conditions or new ordinances could also be used.

Later in deliberations Tuesday evening, commissioners took up draft policy statement 2.2.27. It says the plan would “prohibit new transient units and require the development of high-end and luxury homes to provide their required workforce housing on-site until adequate workforce housing is established to meet existing needs.”

The Planning Department recommended deleting the word “prohibit” and replacing it with “discourage.” And, the department called for deleting the word “on-site” and the words “until adequate workforce housing is established to meet existing needs.”

Commissioners agreed, and the revised statement reads: “Discourage new transient units and require the development of high-end and luxury homes to provide their required workforce housing within the project area.”

The Planning Department recommended softening the language because “developments may already have entitlements and more direct language regarding workforce housing to be more easily implemented.”

The statements are among numerous proposed policies in the South Maui Community Plan Advisory Committee draft, dated February 2024.

Early in Tuesday’s meeting, commissioners heard numerous appeals from South Maui residents, urging them to retain the draft plan’s tougher, more restrictive language; For example, retaining “require” instead of replacing it with “encourage.”

“The South Maui Community Plan is the voice of the people of South Maui,” said Randy Wagner, a Kihei Community Association board member and chair of its design review committee. “The volunteers of the Community Plan Advisory Committee created this draft with specific ideas and vision through countless hours of deliberation, collaboration and long meetings. We have no governmental body to look out exclusively for what is best for South Maui. Even our council member is chosen by the entire island. (And), for that reason, it’s really important to honor the South Maui Community Plan as a true representation of what the community is striving for.”

Wagner said the definitive language in the plan must be upheld, giving as an example to not change “required to encourage in the diversity of location for affordable housing.”

When the commission considered that provision, the Planning Department recommended changing the language to drop “require” and instead “encourage workforce housing units to be spread out equitably throughout the South Maui Community Plan subareas to create diverse communities in all South Maui residential areas.”

The department said that requiring affordable housing to be spread equitably throughout the community plan area “may hinder the overall development of affordable housing.”

As a compromise, Commissioner Mark Deakos suggested keeping the word “require” but to add ” ‘to the extent practicable’ to those situations where it’s unrealistic.”

Vice Chair Dale Thompson supported Deakos’ suggestion. “I’m sure there’s people watching the TV now that are swearing that they just said ‘require,’ but we required 50% affordable housing before from 2006 to 2014 and nothing got built. . . . No builder would build because there’s no money in it.”

“I think when we require and we strangle those people then nothing can happen,” he said. “As much as everybody came out and said, ‘We want require,’ I still think we’re doing a positive thing for them. We’re trying to help the community there.”

The commission ultimately agreed to Deakos’ suggestion and struck out the word “equitably,” as suggested by Commissioner Lindsey.

Attorney Cal Chipchase cautioned against including mandatory language in the community plan, especially when Hawaiʻi courts have held that developments must be in compliance with the community plans.

Such restrictions have led to the high cost of housing in the islands, he said.

“It takes $220,000 of annual income to afford the median home on Maui,” he said. “And the processing time for a single-family home is 206 days to get a permit. For two or more units, it is 416 days to get a permit. We have to ask ourselves when we review these policies: Are we making it harder to build homes for the folks who live here? Are we making it harder to earn a living here? If the answer to both of those is yes, we are making it harder; we should have a very good reason for it.”

The commission is expected to continue its consideration of the South Maui plan update next month.