As 2014 draws to a close, it’s been a remarkable year for the Kapalua Resort. With just 43 properties sold, totaling over $108 million, there were record breaking condominium sales at the Montage Residences Kapalua Bay.
SO WHAT'S ON BOARD FOR 2015?
THE RITZ CARLTON KAPALUA RESIDENCES
2015 should be very interesting as well from a developer sales perspective, with the anticipated sales launch of the remaining Ritz-Carlton® Kapalua Residences (formerly the Residential Suites at the Ritz-Carlton®, Kapalua).
In 2007, the Ritz-Carlton®, Kapalua underwent a spectacular renovation. The North Wing was transformed into 107 luxurious, whole-ownership, one and two-bedroom residential condominiums. Sales began in 2008, and 34 were purchased by private individuals.
After foreclosure, the hotel was sold in early 2014 to Honolua Associates, a partnership between two capital companies. With the hotel, the new ownership group acquired 73 unsold condominium residences, which will be offered for sale. Please contact me for more information and to register to be kept updated on the upcoming condominium sales at the Ritz-Carlton, Kapalua.
As of today, there are approximately 114 listings in the Kapalua Resort. Calculating the Absorption Rate, there is currently 32 months of inventory available in the resort—this is a higher figure than we had at the same time last year, with 21 months of inventory. This does not include the upcoming release of the Ritz-Carlton condominium residences.
While this is considered an overall BUYER’S MARKET, it is important to note that not all properties are created equally: sought after views and floor plans tend to move quickly in the marketplace, and buyers have paid a premium for outstanding locations within the resort. Each neighborhood is different, with varying inventories and availability.
In Kapalua, you'll find everything from condominiums to homes and land:
- Kapalua Condominiums: One, Two, Three and Four Bedroom oceanfront, ocean view, and golf course condominiums.
- Homes & Land:
- Pineapple Hill and Pineapple Hill Estates: lot sizes range from approximately a quarter-half acre in this gated community with a pool, owner's pavilion and two tennis courts. Located overlooking the Kapalua Bay Course in the heart of the resort.
- Honolua Ridge: some of the largest lots ever offered in the resort, the agricultural lots in Honolua Ridge range from approximately 3-30 acres.
- Plantation Estates: surrounding the famed Plantation Course, the Plantation Estates is a gated community of homes situated on two plus acre lots that are amongst Maui's most sought after estates.
- Kapalua Place: Kapalua's only beachfront residential community. There are just five oceanfront lots and three ocean view lots in this gated community overlooking Oneloa Bay.
- Oceanfront Homes: Kapalua is home to three of Maui's most exclusive and priciest listings. There are two beachfront homes currently listed at $20,880,000 and $23,950,000 at Kapalua Place, and a home on a conservation point overlooking Mokuleia and Honolua Bays listed at $28,000,000.
WHAT MADE KAPALUA'S MARKET SO STRONG IN 2014?
THE MONTAGE RESIDENCES KAPALUA BAY
In 2014, the Kapalua Resort real estate market was most significantly impacted by the launch of re-sales at the Montage Residences, Kapalua Bay (formerly the Ritz-Carlton Club and Residences, Kapalua Bay). Sales this year totaled $46,785,000 and averaged $5,848,125, with only one resale. With four bedroom sales ranging from $7.5-8.25M, the property set record high condominium sales not only for the Kapalua Resort, but for West Maui in general.
Originally, this development launched in 2009, at the downturn of the market. Prior to the foreclosure in 2013, sales ran through 2011, and topped $53,747,552 (developer and resales) and averaged $3,839,111.
Without the sales of the Montage Residences, Kapalua Bay, the sales volume in the resort would have been just under $62M instead of $108M; median sales up only +10% instead of +29%; and average sales up +1% instead of +45%.
Overall, in 2014, while the number of transactions were down -19%, the sales volume was up +17% in the Kapalua Resort.