The City and County of Honolulu has announced that they would like to have private companies buy and manage all 12 of its affordable housing complexes. By recent estimations, the city would save approximately $6 million a year in management costs. Honolulu Mayor Peter Carlisle stated, “Transitioning ownership of these projects will relieve the city of the responsibility and cost of operating and managing these projects. Further, it will relieve our taxpayers of the responsibility of paying for future capital improvements and repairs to these buildings.”
City officials stated that potential buyers will be given several months to do their own research and appriasals of the properties. Bids will be accepted in the month of April. Tenants have expressed concern that once a private owner takes over the management of these affordable housing complexes that rent could increase drastically. The city responded that while it was true that rents may increase slightly, rents would not increase past federal guidelines.
Source: Honolulu Star Advertiser, 2-18-2012, www.staradvertiser.com
Posted by Jeff Uyemura-Reyes, Broker-in-Charge, Realtor
Global Executive Realty, LLC
www.myhawaiihomesearch.com
www.myhawaiicondo.com
www.myhawaiidreamhome.com
