TOO MANY PROJECTS + HIGH CONSTRUCTION COSTS = OVER-SATURATION
There has been talk for months of the over-saturation of new developments in the Luxury Market. With dozens of Condo projects in pre-sales and with construction costs at an all time high, competition has been fierce for the cash and carry crowd in the Honolulu Luxury Real Estate market.
Vida is the first casualty of the current round of Luxury Developments to make headlines as it cancels it's buyers contracts and shelves it's plans to develop the 888 Ala Moana address into an Ultra-Luxury Complex overlooking Kewalo harbor in the Kaka'ako neighborhood of Honolulu.
The Developers for the project, The MacNaughton and Kobayashi Groups, have cited the lack of sales and sky rocketing construction costs as the reasoning behind the cancellation. The sales office for Vida opened over a year ago and despite marketing efforts the project was only 40% sold when the developers decided to shelve the project this past week.
The 38-story Vida tower was to include 265, 2 and 3 bedroom units designed by Los Angeles-based Arquitectonica and Honolulu-based Ben Woo Architects.
Pricing ranged from the low $900,000 to $4.7 million for units with about 1,500 square feet to 1,890 square feet of living space. Vida was part of the Kamehameha Schools master plan called Our Kaka‘ako. There have been no new plans announced for the address as of yet.
A Sign of What's to Come? Vida gets Zapped!