US Home Sales Rise in August

According to the National Association of Realtors, existing-home sales rose in August following a big correction in July. Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums and co-ops, increased 7.6% to a seasonally adjusted annual rate of 4.13 million in August from an upwardly revised 3.84 million in July, but remain 19.0% below the 5.10 million-unit pace in August 2009.

Lawrence Yun, NAR chief economist, said home sales still remain below expectations. "The housing market is trying to recover on its own power without the home buyer tax credit. Despite very attractive affordability conditions, a housing market recovery will likely be slow and gradual because of lingering economic uncertainty," Yun said. He added, "Home values have shown stabilizing trends over the past year, even as the economy shed millions of jobs, because of the home buyer tax credit stimulus. Now that the economy is adding some jobs, the housing market needs to steadily improve and eventually stand on its own."

First-time buyers purchased 31% of homes in August, down from 38% in July. Investors rose to a 21% market share in August from 19% in July; the balance of purchases were by repeat buyers. All-cash sales slipped to 28% in August from 30 percent in July.

Figures for the Hawaii Kai real estate market in August were very positive. Call or email me to look at some properties, while the rates remain at historic lows.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.barbarashawaii.com
www.movetohawaiikai.com
www.activerain.com/blogs/abeb

(resource: RealEStateChannel.com)

Hawaii Kai Planned Development in Kalama Valley

On my web site in July, Hawaii Kai Local News, I reported on the proposed development in Kalama Valley, just over the hill from the main center of Hawaii Kai, of 26 duplex units near the Hawaii Kai Golf Course.

The Honolulu Dept. of Planning and Permitting this last week approved a cluster housing permit for the 26 homes. As designed, the homes would be 1,600 - 1,900 SF constructed in one duplex and 6 4-plex buildings up to 24' high. On an included half acre, developers would build a recreational facility with a pool.

The developer is Pololei Partners LLC, a company formed in 2007 and managed by James McWhorter of Orem, UT. The 2.9 acres of land is owned by Plate Lunch Properties LLC, managed by Bob Gerell and Bill McCorriston. According to the Staradvertiser, Gerell has developed other Oahu projects, including Aloha Tower Marketplace, Enchanted Lake Center, and Maunakea Marketplace.

The paper reports, "In recent years much of Gerell's work has been in Hawaii Kai, sometimes acquiring land and obtaining entitlements then selling the project to another developer for completion. The 60-home Kaluanui subdivision and 35 homes across from Safeway in Hawaii Kai were built this way. Gerell, along with McCorriston, was also involved with a now-stalled plan for a Hawaii Kai cemetery, and a derailed plan to build 180 vacation cabins and recreational facilities on the hills above Hawaii Kai Golf Course and Kalama Valley."

Not all Hawaii Kai residents are enthusiastic about the increased density. Community opposition to any development there dates back to the 1980s, when the land was scheduled as an extension of Hawaii Kai Drive running by Queen's Beach and including hotel and condos in addition to the golf course. This uproar eventually led to the preservation of Queen's Beach and the Ka Iwi Coast, recently confirmed by Gov. Lingle. The proposed project borders 9+ homes which have enjoyed scenic views of the golf course for many years, and which would loose that view.

In its decision, the Dept. of Planning and Permitting branch showed no concern over the development, regarding it as "in-fill development encouraged by the city's East Honolulu Sustainable Communities Plan. The city in its approval subjected the project to several conditions, including increasing the space between buildings to better maintain the character of the neighborhood and provide more mauka-makai views," as explained by the Staradvertiser (see their article for a map of the area.)

If you have an opinion on this development, contact your Hawaii Kai Neighborhood Board representative, or the Department, or even the mayor's office to find out what will be the next step in the approval process.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
http://www.movetohawaiikai.com/
http://www.barbarashawaii.com/
www.activerain.com/blogs/abeb

Hawaii Kai Home Sales, August, 2010

Real Estate sales in Hawaii Kai in August continued the upward price trend of the last few months. Nothing is really more graphic than this chart provided by Altos Research (on my web site, Market News page) showing Honolulu:

Condos

In August, 2009, 18 condo sales ranged from $378,000 (9th Floor, Commodore, 2/2) to $740,000 (3/2, waterfront, Kala Kai Marina).

In August, 2010, 15 condo sales posted a low of $365,000 (16th Floor, Heritage House, 2/2) to $1,030,000 (marinafront, Kalele Kai, 3/2.5).

Kalele Kai, the prestigious complex in West Marina, has not seen a sale over $870,000 in the last year. This complex routinely commands the highest sales prices of condos in Hawaii Kai. So it is significant that this home - oversized at 2210 SF interior with 674 SF wrap-around lanai - broke the million mark again.

Single Family home sales also show significant price increases.

15 sales in August, 2009 ranged from $550,000 in Koko Head Terrace (4/2/2, 1904 SF) to $1,135,000 in Triangle (4/3, 2,005 SF, lot 10,822 SF).

This year, in August, 2010, 21 sales ran from $517,000 in Kalama Valley (attached home, 3/2, 3,914 SF lot, 1,252 SF home) to 2 sales at $2,700,000. One was a beautiful view home in Koko Kai, 5 bedrooms/4.5 baths, 4,859 SF interior, 21,818 SF lot. The other was an oceanfront in Portlock, on a 17,515 SF lot, built 1944.

With the economy still struggling, no Realtor can say with assurance that we've turned the corner. But prices have undeniably increased in the last 12 months in Hawaii Kai. Good news for sellers - if you are a buyer, contact me now to start looking at homes for sale in Hawaii Kai.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.movetohawaiikai.com
www.barbarashawaii.com
www.activerain.com/blogs/abeb

Hawaii Kai Golf

In the words of a blog on golf vacations in Hawaii, "The problem with playing golf in Hawaii is distraction. Not too many people can concentrate on their backswings with the crystal blue waters of the Pacific to their right, a palm-lined fairway in front, a brilliant azure sky above, and a steady, relaxing breeze all around." If you want to play a few holes even with the "distractions," our Hawaii Kai Golf Course is the perfect location.

The Hawaii Kai Golf Course, a short drive around the base of Koko Head and past Sandy Beach, actually offers you two courses. Opened in 1973, the Championship course measures 6500 yards from the championship tee and features wide fairways, large greens with well placed bunkers and beautiful scenery. The course boasts the largest greens in the state with deep bunkers surrounding the greens. The coastline along this area of Oahu is probably the most beautiful on the island.

Every tee on the Championship Course offers a view of the Makapuu Cliffs, Pacific Ocean and the rugged eastern Oahu coastline. Wind is a significant factor and the gusts can take the spin off downwind shots and create a club selection problem on those holes where the golfer is playing into the wind. For most golfers who are not accustomed to playing the course, there is a tendency to under club on the ten holes which play into the wind.

Take a look at the course layout and scorecard on the course page.

The Executive Course, designed by Robert Trent Jones, Sr., was opened in 1962. It is a 2223 yards , 54 par 3 layout that is characterized by small, undulating and sloping greens. The design requires emphasis on the golfer's putting and chipping skills, providing a challenge for even the most advanced player.

This course snakes up the base of the Makapuu Cliffs, offering views from every hole of the extinct Koko Head Volcano and one the most picturesque panoramas on Oahu. The greens are always in excellent condition at Hawaii Kai and tend to be fast especially in the summer months. Of course , tradewinds are always a factor, because the courses are close to the water and face the direction of the trades.

Take a look at the course layout and scorecard on the Executive Course page.

Hawaii Kai Golf Course also offers a pro shop, restaurant, driving range, and lessons. Details:

8902 Kalanianaole Hwy
Honolulu HI 96825
T: 808-395-2358
F: 808-395-7726
E: proshop@hawaiikaigolf.com

Here are their directions:
"Take H1 East which leads to Kalanianaole Highway ( Route 72). Continue on passing Hanauma Bay, Halona Blowhole and Sandy Beach on your right. About a mile past Sandy Beach, you will see a two-story building, the Hawaii Kai Club House on your left. A sign indicates the entrance to the golf course. Should you proceed beyond Hawaii Kai Golf Course, you will soon come to Sea Life Park on your left, famous for their dolphin and seal shows."

(note - Sea Life Park isn't quite that close. You have to go around Makapuu Point first, where you will often see whales in the winter months.)

There are many golf courses on Oahu. Visit GoHawaii.com for a complete list with site links.

As you drive through Hawaii Kai on your way to the golf course, be sure and take a look at our homes and community. Hawaii Kai is unique in the Islands and you can find real bargains now in condos or waterfront properties. Request my free Relocation Package, and call or email with your questions on how to live close to our Hawaii Kai Golf Course.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com

http://www.movetohawaiikai.com/

http://www.barbarashawaii.com/
www.activerain.com/blogs/abeb

Enjoy Kona Brewing Company in Hawaii Kai

Next month, the Kona Brewing Company releases its annual Pipeline Porter, a dark ale mixed with local Kona coffee. With 2% of the average amount of caffeine in a cup of coffee, you won't have to worry about the beer keeping you awake. The brew is available September-March.

Their web site describes the beer: "Pipeline Porter is smooth and dark with a distinctive roasty aroma and earthy complexity from its diverse blends of premium malted barley. This celebration of malt unites with freshly roasted 100% Kona coffee grown at Cornwell Estate on Hawaii’s Big Island, lending a unique roasted aroma and flavor. A delicate blend of hops rounds out this palate-pleasing brew."

The company believes in sustainability and green business practices. It has reduced its bottle weight by 11% this year, employs a sustainability coordinator, and produces the certified-organic Oceanic Organic Saison.

Rich Tucciarone is the brewmaster at Kona Brewing Company. He is a judge at the Great American Beer Festival, to be held this year in Denver, and World Beer Cup, the world's largest-ever commercial beer competition.

Enjoy the variety of beers offered at the Hawaii Kai location of the Kona Brewing Company, in the Koko Marina Center, enroute to Hanauma Bay, 7192 Kalaniana'ole Hwy. This is a full-service restaurant on the Hawaii Kai marina, and features a state-of-the-art beer delivery system with 24 taps.

Yes, we have an enviable lifestyle in Hawaii Kai. Request my free Relocation Package, and call or email me for information on Hawaii Kai real estate.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.barbarashawaii.com
www.movetohawaiikai.com
www.activerain.com/blogs/abeb

Hawaii Kai Forum for Mayor and City Council Candidates

Aug. 31, at the regular meeting of the Hawaii Kai Neighborhood Board, Hahaione Elementary School, Mayoral and City Council District 4 Candidates will participate in a forum for the public. The Board will hold its meeting from 7 - 7:30 PM, and then open the forum until 8:30 PM. The public is invited to arrive at 6:30 to meet and talk with the candidates before the forum.

All 8 candidates for mayor and 7 for City Council have been invited. The election for both is Sept. 18.

Beth-Ann Kozlovich, host and producer of Hawaii Public Radio’s “Town Square,” will serve as moderator.

The Board is asking the public to submit questions for the candidates in advance. Questions may be sent to yacuk@aol.com by August 27.

The Board will hold another candidates forum at its September 28 meeting. That forum will include state legislative candidates in Senate Districts 8 and 25 and House District 18, and Board of Education candidates in all Oahu races.

This is an important election, so do try to attend.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.movetohawaiikai.com
www.barbarashawaii.com

Kamilo Nui Farmers in Hawaii Kai Face Steep Lease Increase

We've been wondering for a couple of years how the lease negotiations for the 13 farmers in upper Kamilo Nui Valley would resolve. Now we know.

Kamehameha Schools recently notified its farm tenants that it is seeking a roughly 25-fold increase in rent. The trust, Hawaii's largest private landowner, believes the offer is fair because the farmers have been paying rent set in the early 1970s. The farm leases call for rent to be reset now for the 15 years remaining on the leases. Kamehameha Schools spokesman Kekoa Paulsen said the trust wants farming to continue on the land, but also wants to receive fair market rent based on agricultural use. "We feel we're presenting fair values for the time and the area," he said. "They've been paying 1970s rents for 40 years."

While the farmers have been paying a rent set many years ago, that doesn't mean they can now afford such a large increase to keep their land. Many of the farmers, some of whom are in their 80s, say they cannot handle such a drastic hike, especially at their age and with the economy the way it is. They now face a rent increase from around $200 an acre per year to around $5,000 an acre per year, according to tenant and landlord representatives. The old rental rate expired July 1, so the revised rate will be retroactive.

Not only will the new lease price change the lives of many of the farmers, but if they leave or retire, this will no doubt influence the future use of the last undeveloped valley in Hawaii Kai. 40 years ago, the farmers were moved to Kamilo Nui Valley from other locations in Hawaii Kai, and they formed a coop to pay for the infrastructure of roads and water.

As reported in the StarAdvertiser, "Paulsen said the proposed rent is based on appraisals for farmland in the broader area. He added that similar lease rent increases were proposed for seven farms about a mile away behind Kaiser High School and that five tenants agreed on new lease rents within the last 18 months. Two of the 13 Kamilo Nui Valley farmers have agreed to new lease rents since the trust made its opening offer in a June 9 letter, Paulsen said.
'This is not a take-it-or-leave-it proposition,' he added. 'This is the beginning of the (rent negotiation) process.'

"Other new terms being proposed by Kamehameha Schools include allowing farmers to sublease parts of their farm, which would help older farmers generate more income, and receiving half of any proceeds if farmers sell their leasehold interest in the property. The trust, however, is not offering to extend the term of the lease beyond 15 years or sell the land to its tenants.

"Paulsen said Kamehameha Schools is not trying to push farmers off the land before their lease ends. 'We want farmers to be there,' he said. 'We want farming to continue on that land.' Beyond 15 years, Paulsen said it is uncertain what the trust would see fit to do with the property."

Read more at the StarAdvertiser.com.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.barbarashawaii.com
www.movetohawaiikai.com
www.activerain.com/blogs/abeb