State's Homeless Population Has Increased by 18 Percent Since 2010

According to a new report issued by the Department of Housing and Urban Development, Hawaii's homeless population has increased by 18 percent in 2010.  This is a huge increase, especially considering that the United States as a whole has had their homeless population decreased by 9 percent during that same period.  Part of the increase in Hawaii's numbers has been attributed to improved efforts to find and tally the homeless, but residents and visitors alike have noticed a visible increase and are placing pressure on the government and nonprofit service providers to do something about this problem.

Source: Honolulu Star Advertiser, 10-31-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Economic Forecast for 2015 by Jack Suyderhoud

Jack Suyderhoud is the economic adviser to First Hawaiian Bank and a professor of business economics at the University of Hawaii Shidler College of Business.  At a presentation held for local business leaders, Suyderhoud was cautiously optimistic about what 2015 will look like for the state of Hawaii, thanks to several construction projects that will provide a much needed boost. Suyerhoud stated, "Despite erratic tourism patterns and slow, but promising, construction spending, the Hawaii state economy has built some internal momentum so that output, jobs and incomes are expected to expand overall next year with continued strength in most sectors. I am cautiously optimistic about the economic outlook for the rest of 2014 and 2015. Tourism will contribute to growth, but construction will finally fulfill its anticipated role as the leading growth engine in 2015."

According to his presentation, Suyderhoud estimates that the construction industry will increase their revenue by about 12 percent next year and as a result will also be increasing their hiring.  Suyderhoud commented, "There has also been a change in the composition of the construction with more emphasis on high-density housing that uses a lot of concrete and specialized labor, away from single-family housing that uses more lumber and carpenters. More projects face regulatory and community hurdles that are delaying construction."

In terms of visitor arrivals, it is predicted that they would increase by about 2 percent in 2015 and the state should see an increase in visitor spending by about 2.9 percent. Unemployment should drop to around 3.9 percent by the end of 2015.

Source: Honolulu Star Advertiser, 10-30-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Visitor Spending and Arrivals Increase in September 2014

The Hawaii Tourism Authority has announced that visitor spending increased by 1.4 percent to $1.1 billion in September 2014 as compared to the same month a year prior. Visitor arrivals also increased by 4.1 percent to 622,163 visitors.  Mike McCartney, the President and CEO for the HTA commented that these numbers show that the Hawaii visitor industry continues to maintain the positive momentum that they had experienced over the past two years.  McCartney stated, "While we are just shy of our targets, we are optimistic that 2014 will be another record-breaking year for Hawaii's tourism economy."

Barry Wallace, the executive vice president of hospitality services for Outrigger Enterprises Group, commented, "We beat last year by a pretty good margin. We didn't see double-digit increases, but the gains were pretty significant given that tourism set records last year. I think almost everyone is sold out for Christmas and New Year's, and there are a few conferences and the Hono­lulu Marathon to give us some nice spikes. With any luck at all, we'll continue that momentum into 2015."

Source: Honolulu Star Advertiser, 10-29-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

HCDA Will Decide on Three New Kakaako Condominium Towers by November 25, 2014

The Hawaii Community Development Authority has announced that they will be making their decision about whether or not they will give approval for developers Howard Hughes and MK Vida LLC to build a total of three new condominium towers in Kakaako by November 25, 2014.  The significance of this date is that when the new governor takes office on December 1, 2014, four of the nine board members of the HCDA could be replaced by new appointees. This might delay approval, as the new board members would have to be brought up to date on the entire development process.  Real estate experts believe that the plans for the three new towers will be approved in their entirety in November.

Source: Honolulu Star Advertiser, 10-28-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Hawaiian Airlines Requesting for a Second Route to Haneda, Japan

Hawaiian Airlines has requested the Federal Department of Transportation (DOT) for a second route to Handea, Japan.  The DOT currently only allows a total of four routes to Haneda International Airport, and as a result, Hawaiian Airlines has file a motion to take a slot allocated to Delta Airlines, stating that Delta has not demonstrated that they have been committed to offering a Haneda Service.  Delta previous had a route from Haneda to Detroit, which was unsuccessful, and then switched that round to Haneda to Seattle. From October 5, 2014 to March 29, 2015, Delta will be offering only 17 round-trip flights between Haneda and Seattle, much fewer than Hawaiian Airlines believes it can operate.

Delta responded by arguing that they are in full compliance with the Department of Transportation.  Delta issued the following statement, "While it has been challenging to establish Haneda service, as we continue to implement our Seattle strategy, we have seen passenger traffic and profitability surge.  In fact, Delta's summer season … performance improved by an astounding 54 percent year-over-year. Buoyed by this unexpectedly strong summer 2014 performance, Delta has offered a full pattern of daily Seattle-Haneda service in summer 2015 and anticipates a more regular schedule next winter. Delta's seasonal reduction this winter, operated in full compliance with DOT's dormancy condition, is a temporary measure that is reasonable and appropriate in the current circumstances. Seattle is Delta's largest West Coast hub and each new ‘spoke' added to the hub makes every other flight stronger."

Source: Honolulu Star Advertiser, 10-27-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Ko Olina Resort Redevelopment to Cost $500 Million

Real estate developer Jeff Stone has announced that he will be unveiling his new vision to change the existing JW Marriott Ihilani hotel at Ko Olina into a Four Seasons resort. Jeff Stone will be partnering with Westbank, a Canadian company, to acquire the property for $250 million and to redevelop the property for another $250 million.  Under the proposal, a new 15-story tower with 150 luxury homes will be built and will be branded as Hawaii's first Four Seasons' Estates.  The existing 401 room hotel will be closed for about a year starting in January and will be converted to 195 rooms dedicated for hotel rooms and 206 resort condominium residences priced at $1.5 million to $5 million.  There will also be a new wedding chapel, two new main pools, seven new private pools, a coconut grove and a water promenade.  Stone stated, "This is the fulfillment of a long-held dream for Ko Olina. The economic impact of the project, the return to the state and county, is over $1 billion. This is a real hotel with real residences that are part of the hotel. No brand has ever come and done this."

For the 500 employees currently working at the Ihilani Resort, they will receive one week's pay and one week's medical coverage for each year of service.  Stone stated that he expects to rehire about 800 workers once the renovation is completed in a year and added, "We're expecting every single person to reapply. These are very valuable people. We're going to do everything we can to keep them."

Source: Honolulu Star Advertiser, 10-25-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Matson to Lower Fuel Surcharge by 5 Percentage Points

Matson Inc. has announced that they will be lowering its fuel surcharge by 5 percentage points on November 2 due to falling ship fuel prices.  The state's largest ocean cargo carrier stated that the decrease will put the surcharge at 37.5 percent and will save customers between $100 to $175 for every container that they ship. Dave Hoppes, the senior vice president of ocean services for Matson, stated, "We are pleased to be able to make this downward adjustment to our fuel surcharge. We have been encouraged by the recent moderation in bunker fuel prices, and remain focused on diligently exploring ways in which we can maximize fuel efficiency for our fleet."

Source: Honolulu Star Advertiser, 10-24-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Solar Farm Proposed for Waiawa

Kamehameha Schools has proposed building the largest solar farm in the state of Hawaii in Waiawa, which is located between Pearl City and Waipio in the central portion of the island of Oahu.  The land was previously approved as a residential community. but problems with market timing and financing prevented the development from starting. Under the new plan, the solar panels would feed into a 115-megawatt facility, which would be large enough to power 22,540 homes.  Kamehameha Schools stated that the project would have a low impact on the land and that the solar panels would not produce any glare or effect the views from surrounding areas.  The Land Use Commission will hear public testimony over the next few months.  If approval is given, Kamehameha Schools could start building the solar farm by June 2015 and be producing power by June 2016.

Source: Honolulu Star Advertiser, 10-23-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Hawaiian Airlines Posts Strong Third Quarter Earnings

According to a report issued by Hawaiian Airlines, the company earned an adjusted net income of 79 cents per share during the third quarter of 2014.  This was a record for all previous third quarters and beat analysts estimates by a penny.  As a result, the company's stock rose 53 cents per share to $15.03 when the market closed.  Mark Dunkerley the President and Chief Executive Officer for the airlines stated, "We've had a good quarter based largely on improvement in our long-haul business. Demand remains strong for overseas visitors to Hawaii and for travel between the islands. If these conditions remain, we remain hopeful that this positive trend will continue."

The Hawaiian islands weathered two storms during the past quarter, Tropical Storm Iselle and Hurricane Julio, which reduced the airline's income slightly due to flight changes and cancellations.  Experts believe that earnings would have been several percent higher if it weren't for these weather related problems.

Source: Honolulu Star Advertiser, 10-22-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Department of Education Requests $19 Million in Emergency Funding

The state of Hawaii's Department of Education is requesting $19 million in emergency funding from the Legislature to pay for shortfalls in its school lunch and bus transportation programs.  According to Kathryn Matayoshi, the Schools Superintendent, the state had reduced the amount of funding for these programs thee years ago, and inflation has increased their costs.  Matayoshi noted that the DOE has been dipping into their cash reserves to make ends meet, but this is drying up.  If funding is not given, the price of school lunch may increase and bus routes may be canceled.  Currently, elementary school students pay $2.25 for lunch while high school students pay $2.50.  About 47 percent of public school students qualify for free or reduced lunch, based upon family income levels.  

Source: Honolulu Star Advertiser, 10-22-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Walt Disney Studio to Create New Animated Feature About Polynesia

Walt Disney Studios has announced that their 2016 animated feature film will take place in Oceania, and will feature a young Polynesian girl named Moana. The basic plot is that a "spirited teenager sets sail for a fabled island. During her journey, Moana teams up with the demigod Maui, her hero, and together they encounter enormous sea creatures, breathtaking underworlds and ancient folklore." Marisa Mayase, the spokeswoman for the Polynesian Voyaging Society, commented, "The Polynesian discovery and settlement of islands across the Pacific Ocean is one of humanity's remarkable achievements. It is a compelling story that continues today. Disney has an opportunity to show that voyaging is not just a part of our past, it is a part of our future."

Source: Honolulu Star Advertiser, 10-21-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

State Unemployment Rate Drops to 4.2 Percent in September 2014

According to a report issued by the state Department of Labor and Industrial Relations, Hawaii's unemployment rate dropped to 4.2 percent in September 2014. Leroy Laney, a professor of economics and finance at Hawaii Pacific University, stated, "It continues to be favorable news, and it's a gradually improving economy that we hope continues. I would emphasize the word ‘gradually' because there are some pockets of weakness in the economy. We're not approaching a boom this time, but we are doing well."  Laney added that the tourism industry has not been as robust this year as economist had initially forecast, but noted that the construction industry has been improving to offset this.

In comparison, the U.S. unemployment rate was 5.9 percent for September 2014.

Source: Honolulu Star Advertiser, 10-21-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Hawaii's Public Hospitals In Financial Trouble

The Hawaii Health Systems Corps, which manages a total of 12 public hospitals in the state, has recently learned that they must contribute a total of $69.2 million to their retired workers' health benefits during the 2016 and 2017 fiscal years.  This would bring their projected budget deficit to $197.4 million after state appropriations during those two fiscal years. Edward Chu, the chief financial officer for HHSC, stated, "To understand the gravity of this, you could probably close half of the HHSC hospitals and you would not erase the deficit. To focus on cutting our way to solvency will not only require cuts of unrealistic magnitude, but also hurt the people we are charged to serve, and position us for closure within the next few years. The system is broken and we urge creative, patient-centered solutions to develop a sustainable model of care for our rural and neighbor island communities. Health care is unavoidably expensive and our current levels of service to our communities will require a greater commitment of resources than in the past, whatever the source."

Currently the largest provider of health care in the state, the Hawaii Health Systems Corp has already announced that they will be eliminating services and reducing staff in an effort to combat the $31 million budget deficit expected for the 2015 fiscal year.  However, now that they would be required to set aside money for retiree health benefits, it is unclear how they will stay financially solvent. Josh Green, the state Senate Health Committee Chairman, commented, "Once again this underscores the incredible challenges we have to make our community hospitals economically viable. This is additional evidence that we need to reform the system with a local partner that can simultaneously treat our workforce respectfully but get our system in the black. Otherwise we will see a loss of services and facilities."

Source: Honolulu Star Advertiser, 10-19-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Average Gas Prices in Honolulu Drops to Below $4 Per Gallon

For the first time in nearly four years, the average gas prices in Honolulu drops to below $4 per gallon.  Furthermore, due to a recent plunge in the global price of oil, Hawaii customers should see additional relief, with analysts predicting that the average price of gas could fall to $3.60 by the middle of January.  This would also reduce shipping costs, electrical bills and airline tickets.  As a point of comparison, the average price of gas on the mainland United States is currently $3.16 per gallon.

Source: Honolulu Star Advertiser, 10-17-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

The Collection in Kakaako Breaks Ground

Developer Alexander & Baldwin has announced that The Collection is the latest condominium tower to break ground in Kakaako.  Located on Ala Moana Blvd at the site once occupied by a CompUSA store, The Collection already has sold 75 percent of its 397 condominium tower units and all of their 50 low-rise units.  The building is part of the Kamehameha School's master plan called Our Kakaako, which will completely redevelop a 9 block area along Ala Moana Boulevard between South Street and Ward Avenue. Alexander & Baldwin expects to finish The Collection in late 2016.

Source: Honolulu Star Advertiser, 10-16-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Electrical Rates Dip in October 2014

The Hawaiian Electric Company has announced that electrical rates for the island of Oahu will be 34.2 cents per kilowatt-hour for the month of October 2014, a slight decrease from the 35 cents per kilowatt-hour posted in September 2014.  This means that the bill for a typical household using 600 kilowatt-hours of electricity will be $213.91.  The decrease is attributed to the fact that oil prices worldwide have gone down.  Peter Rosegg, spokesman for HECO stated, "Changes almost always reflect a change in fuel prices. That is the case for October, a welcome and meaningful reduction after months of small increases. However, even with the highest renewable energy percentage use in the nation, Hawaii is still about 80 percent dependent on imported oil for our primary generation fuel. We have little to no control over fuel prices set in world markets, primarily in Asia."

Source: Honolulu Star Advertiser, 10-16-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Ihilani Resort Will Probably Be Converted into a Condominium

While developer Jeff Stone has not officially announced what he plans to do with the JW Marriott Ihilani hotel at Ko Olina Resort & Marina, a condominium registration report has been filed by one of Stone's subsidiary companies  with the Hawaii Real Estate Commission.  The report states that the 387-room hotel will be converted into 206 residential resort units and the sales of the units will be managed by the Ko Olina Realty LLC, a brokerage firm affiliated with Jeff Stone.  Additional work may be completed to the Ihilani, including demolishing part of the banquet pavilion to build a new residential tower or towers. It is generally believed that the Four Seasons will take over as the management company for the Ihilani once it finishes its condominium conversion process, through, neither Jeff Stone nor the Four Seasons has confirmed that.  However, in the designs provided in the condominium registration report, it does specifically list drawings that state "new exclusive Four Seasons entrance" would be located along the Ihilani's entry road.

No price range for the units have been mentioned, though industry experts believe that they will be similar to those of the Ritz Carlton Waikiki Project, which ranged from $568,800 for a studio to $20 million for a penthouse unit.  The report did note that the majority of the units would be studios ranging from 428 sq ft to 929 sq ft in size.  There will also be 12 one-bedroom suites, and a presidential suite that will have 2,948 sq ft of living space.

Source: Honolulu Star Advertiser, 10-15-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Housing First Project to Offer 115 People Permanent Shelter for a Year

Honolulu Mayor Kirk Caldwell's office announced that they have awarded a one-year Housing First contract to the Institute of Human Services in the amount of $2 million.  Under this contract, the IHS will provide permanent shelter for 115 chronically homeless people starting November 1, 2014.  Under the city's definition, chronically homeless are those who have been without shelter for at least a year and/or are prevented from getting ahead financially due to serious issues such as mental illness, substance abuse and other medical conditions.  IHS would provide rental vouchers to help people find shelters in units within the community.

The Honolulu City Council has approved $47 million in capital improvement dollars to purchase and develop affordable housing for the homeless and disadvantaged.  However, acquiring and building these properties would take at least a year.  Therefore, the contract to the Institute of Human Services was awarded.  IHS will be required to give 40 percent of its vouchers to clients from Wai­kiki, 40 percent from downtown Hono­lulu and 20 percent from West Oahu.

Source: Honolulu Star Advertiser, 10-15-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Maui Memorial Hospital Seeking Buyer

The Maui Memorial Hospital in Wailuku has entered preliminary negotiations with Kaiser Permanente Hawaii and Hawaii Pacific Health, as a growing budget deficit makes it difficult for them to stay afloat.  Current estimates has the hospital facing an $11 million deficit in 2015, a $40.1 million deficit in 2016, and a $46.5 million deficit in 2017.  Wesley Lo, CEO of Maui Memorial, stated, "It gets way worse in 2016 and 2017. All of a sudden as we look to 2016 and 2017, revenues aren't projected to increase at all, then you have continued inflation and then also it appears there's going to be additional raises (for workers), The amount of losses over the next three to five years, I don't even know what you would do to stem those losses. At (a certain) point in time, what do you cut? (If) you start cutting services, you start cutting revenue."

Currently, Maui Memorial Hospital is a quasi-public hospital, and therefore if an agreement is reached, the legislature would have approve the deal.  Lo stated that he hopes to have proposals from both Kaiser and Hawaii Pacific Health in the next few months.

Source: Honolulu Star Advertiser, 10-14-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Publicly Funded Preschool Education on Ballot

In the upcoming November 4th ballot, voters in the state of Hawaii will be able to decide if the state should provide public fund to private preschools to help educate Hawaii's 4-year-olds. Most groups in Hawaii agree that preschool education is a good thing, but differ on the idea of giving money to private preschools.  Supporters of the measure, including the nonprofit organization Good Beginnings Alliance-Children's Action Network, believes that it is important that preschool education be more widely available for families, especially low-income families. However, opponents of the bill, including the Hawaii State Teachers Association, argue that preschool programs should be available to all children, free of charge, at public schools.  HSTA notes that Hawaii is one of only ten states without state-funded universal preschools and that half of the students who enter kindergarten have no preschool education.

Wil Okabe, the President of the Hawaii State Teachers Association, stated, "Constitutional amendment No. 4 would take money away from the public schools and benefit private preschools.We feel that because the infrastructure is in place, there is a public school in every community, and we have certified and trained teachers, we can do it. Our No. 1 issue is equity and accessibility, that no kids be left behind."

Source: Honolulu Star Advertiser, 10-13-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Concern Mounts on Where the Waikiki Homeless Will Go

At the start of this year, Honolulu officials estimated that there were 560 chronically homeless people living on Oahu, out of which approximately 30 percent, or 170 people, lived in Waikiki.  Last month, the Honolulu Police Department begun enforcing a new law which prohibits lying and sitting on Waikiki's public sidewalks.  It is estimated that about 50 to 60 percent of the homeless population in Waikiki has moved away from Waikiki.  However, there has been conflicting information as to where the homeless have gone or plan to relocate to.

According to Ron Lockwood, the chairman of the McCully-Moiliili Neighborhood Board, there appears to be an increase of homeless camped out in his board's jurisdiction. Lockwood stated that the homeless are sleeping on side streets to avoid being harassed by law enforcement officers.  Neighborhood boards in Ala Moana, Kakaako, and Chinatown are also concerned if they would see an surge in homeless on their streets.  Mayor Kirk Caldwell has stated that he is committed to its "Housing First" Program which would help to provide permanent housing to those deemed chronically homeless.  However, while the funds are in place to build these units, they are still months away from completion.

Source: Honolulu Star Advertiser, 10-12-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Real Estate Sales Data for Maui for September 2014

Source: Realtors Association of Maui

Single Family Home Sales Data for the Island of Maui

September 2014 - 95 Houses Sold - $570,000 Median Price

September 2013 - 85 Houses Sold - $475,000 Median Price

Condominium Sales Data for the Island of Maui

September 2014 - 79 Condos Sold - $465,000 Median Price

September 2013 - 121 Condos Sold - $345,000 Median Price

Source: Honolulu Star Advertiser, 10-11-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Kalakaua Gardens - Residential Senior Facility Next to Hawai'i Convention Center

Construction has begun for the Kalakaua Gardens, a 17-story residential senior facility across the street from the Hawai'i Convention Center.  Officially in the Pawaa neighborhood and not in Waikiki, the property is located at 1723 Kalakaua Avenue and will feature 168 units including 136 units for assisted living.  Plans also call for 23 beds designed for memory care and 49 beds for skilled nursing.  It is estimated that it would be around the mid-$5,000 level and up for assisted living.  The developer estimates that the rental property will employ about 160 people when it is completed including 80 health care specialists.  Construction is expected to be completed in late 2015.

Source: Honolulu Star Advertiser, 10-11-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

No More Overnight Camping on Fort DeRussy Beach in Wakiki

Last month, the City and County of Honolulu passed a new law which banned sitting or lying on sidewalks within the Waikiki Special Design District.  In response, many homeless decided to camp out overnight on the Fort DeRussy Beach in Waikiki, as its jurisdiction fell under the state of Hawaii's Board of Land and Natural Resources and could not be regulated by the Honolulu Police Department.  This led to complaints from hotel operators, residents and community leaders in Waikiki.

In the latest development, the state Board of Land and Natural Resources has voted unanimously to issue the city a one-year revocable permit which allows the Honolulu police and other city workers to enforce laws at Fort DeRussy Beach for "health and safety reason."  The state will continue to be responsible for erosion control, sand replenishment and sand cleaning on the beach during the time of the permit.

Source: Honolulu Star Advertiser, 10-11-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Honolulu Repaved 269 Lane Miles of Road So Far in 2014

According to a report issued by the Honolulu Department of Design and Construction, a total of 269 lane miles of city-owned roads have been repaved in 2014, bring the grand total since the road repair initiative began in January 2013 to 667 lane miles.  The city had budgeted $120 million for road repairs in the 2014 fiscal year, and has set aside an additional $130 million for the 2015 fiscal year.  Mayor Kirk Caldwell stated that he hopes to have the city repave a total of 1,500 lane miles before December 2018.

Source: Honolulu Star Advertiser, 10-11-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Credit and Debit Card Transactions Increase Significantly During Third Quarter of 2014

According to a report released by First Hawaiian Bank, credit and debit card transactions increased by 8.3 percent during the third quarter of 2014, as compared to the same quarter a year ago.  Bob Harrison, the chairman, president and chief executive officer of First Hawaiian Bank, stated, "The consumer in Hawaii and across the nation has done a great job of paying down debt and getting their financial house in order. But the consumer is also the primary driver of our economy. If they don't spend, then the economy can't grow. Hopefully with some of the numbers in the broad consumer categories increasing, people are feeling more comfortable spending."

Jack Suyderhoud, a professor of business economics at the University of Hawaii Shidler College of Business, commented, "What we're seeing this year is kind of an acceleration of spending. The first quarter was pretty slow. The second quarter picked up some speed, and in the third quarter we're seeing even more growth. That suggests to me that things have been picking up after a slow start for the year. I find encouraging in the numbers that for the last couple of quarters, the expenditure categories have been more kind of a local type of spending -- utilities, home furnishings and supermarkets. They've been among the leading sectors, which means we're seeing an internal momentum to the economy."

Source: Honolulu Star Advertiser, 10-10-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Longs Drugs to Open First Location in Waikiki

Longs Drugs has announced that we will opening their very first Waikiki location at the Bank of Hawaii Waikiki Center, where the former Teddy Bear World store was located.  The tentative plan is complete the two-story, 20,000 sq ft location by the end of 2015.  Waikiki currently has only two pharmacies, though there are many ABC Stores and Lawson convenience stores that sell over-the-counter medications.  Rick Egged, the president of the Waikiki Improvement Association, commented, "We think it's a great idea. I've actually wanted one in Waikiki for a long time. It's a great addition to Waikiki because it'll provide services that will be much in demand, both from the standpoint of our visitors and even our residents and people who work in Waikiki."

Source: Honolulu Star Advertiser, 10-9-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

University of Hawaii at Manoa Facing Budget Deficit For Current Fiscal Year

According to University of Hawaii at Manoa officials, the states' flagship campus is facing an estimated $31 million deficit for the current 2015 fiscal year.  Overspending began in 2012 when the campus had a $2.6 million deficit.  This increased to $17 million in 2013 and $26 million in 2014, but these three years of deficits were covered by university reserves.

Robert Bley-Vroman, the Interim Chancellor at Manoa, stated, "Our goal is to fly level for this year, and during this year try to reconnoiter and figure out where we're going to go in the future. The university as a whole needs to fly level. I think we can do it. I think it will be tough, and we may see our bank balance decline even more for a while, but we can do it. I know that each individual dean is going to have (to) work on what is best for the dean's college. There are going to have to be some ways of tightening belts. I think we'll see different approaches. We'll probably see less new faculty hiring in the future, again, that will differ unit by unit, but I know that's one thing we're considering."

Source: Honolulu Star Advertiser, 10-8-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Real Estate Sales Data for the Big Island of Hawaii for September 2014

Source: Hawaii Information Services

Single Family Home Sales Data for the Big Island of Hawaii

September 2014 - 141 Houses Sold - $335,000 Median Price

September 2013 - 180 Houses Sold - $277,500 Median Price

Condominium Sales Data for the Big Island of Hawaii

September 2014 - 54 Condos Sold - $299,000 Median Price

September 2013 - 44 Condos Sold - $305,000 Median Price

Source: Honolulu Star Advertiser, 10-7-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Real Estate Sales Data for the Island of Kauai for September 2014

Source: Hawaii Information Services

Single Family Home Sales Data for the Island of Kauai

September 2014 - 39 Houses Sold - $560,000 Median Price

September 2013 - 39 Houses Sold - $490,000 Median Price

Condominium Sales Data for the Island of Kauai

September 2014 - 23 Condos Sold - $232,500 Median Price

September 2013 - 28 Condos Sold - $207,500 Median Price

Source: Honolulu Star Advertiser, 10-7-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Real Estate Sales Data for the Island of Oahu for September 2014

Source: Honolulu Board of Realtors

Single Family Home Sales Data for the Island of Oahu

September 2014 - 318 Houses Sold - $678,500 Median Price

September 2013 - 303 Houses Sold - $675,000 Median Price

Condominium Sales Data for the Island of Oahu

September 2014 - 415 Condos Sold - $347,000 Median Price

September 2013 - 421 Condos Sold - $348,000 Median Price

Source: Honolulu Star Advertiser, 10-7-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Major Freeway Repairs of Airport Viaduct to Commence Soon

The state of Hawaii's Department of Transportation have announced that construction on the H-1 freeway airport viaduct will commence shortly and could affect traffic on Nimitz Highway from now until the middle of 2016.  The viaduct, which was built in the 1970s is in needs of repair, and as a result the DOT has allocated $15.6 million to resolve the problem on a 3 mile stretch of road.  Construction will begin on Friday nights and will commence until Sunday night every single weekend for the next two years.  All ramps to the airport will remain open unless specifically announced. The federal government will be providing 80 percent of the projects cost and the state will pay for the remainder.

Source: Honolulu Star Advertiser, 10-5-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com

Solution to Homeless at Waikiki's Fort DeRussy Beach Sought

Last month, the Honolulu City Council approved several bills that would prevent people from sitting or lying on sidewalks in Waikiki and that would ban public urination and defecation. These new laws, coupled with existing park closures and no-camping polices were part of Mayor Kirk Caldwell's strategy of compassionate disruptions, which were meant to have the homeless population find help, government assistance and long term housing. However, many of the homeless found a loophole in the law and have simply moved themselves to Fort DeRussy Beach and made themselves at home.

The challenge stems from the fact that the Honolulu police department has no jurisdiction over Fort DeRussy Beach.  The stretch of beachfront that runs from the Hale Koa Hotel to the Outrigger Reef Hotel is under the jurisdiction of the state Department of Land and Natural Resources.  Police Captain Lisa Mann, who is in charge of District 6 Waikiki, stated that the police have been getting complaints daily about the homeless who have taken over Fort DeRussy Beach.  Mann stated, "The area is under state jurisdiction and the district attorneys won't prosecute."

Mayor Kirk Caldwell's office has stated that they are in preliminary discussions with the DLNR about how to resolve the jurisdictional issues of Fort DeRussy, but it could take months since it would require approval from the state Board of Land and Nature Resources. Jesse Broder Van Dyke, Caldwell's spokesman, stated, "The mayor is definitely interested in this measure, but he wants to make it clear that it could only happen with the approval of DLNR."

Daniel Raffone, a new resident to Waikiki, stated, "Homeless people are everywhere. It's a huge contrast to Hilton Hawaiian Village and shops like Armani and Tiffany's. If this continues, the tourists will stop coming to Hawaii. They'll say, 'Hawaii was great and beautiful, but there were so many homeless people and drugs all over. We're going to take our $5,000 elsewhere.'"

Source: Honolulu Star Advertiser, 10-3-2014, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Principal Broker, REALTOR®
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com