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High costs puts Kai'ulani Condo-tel Project on the back burner.

By
Real Estate Agent with HI Pro Realty LLC RB-21531 RS-76763

 

Kaiulani Condotel Project Waikiki

The Kai'ulani

133 Kai'ulani Ave.

Honolulu, HI 96815


The proposed 133 Kaiulani  Avenue Condo-tel project, a 32-story, 246-unit condominium-hotel that would replace the King’s Village shopping center in Waikiki has been pushed to the back burner to simmer by the developers. The managing partnership of MacNaughton Group, Kobayashi Group and BlackSand Capital blamed the red hot construction market and the high cost of construction as the impetus for delaying breaking ground on the project, as reported by Pacific Business News.

 

 

The Kaiulani condo-tel project would replace the Prince Edward apartments and Hale Waikiki, in addition to the King’s Village Shopping Center. Construction for the project was to start last year with a scheduled completion date of 2018. The developers paid out $41 million to aquire the land for the project located in Central Waikiki.

 

 

Last year the same developers’ nixed their Vida project located at 888 Ala Moana in Kaka’ako. The proposed luxury tower condo project was to overlook Kewalo basin but was cancelled citing lack of demand and rising costs.

 

 

The Kaiulani condo-tel has planned for 168 studios, 73, 1 bedroom, and a handful of 2 bedroom, and 3 bedroom units in a 350-foot high-rise. 85% of the units are estimated to be operated in a hotel rental program. The hotel lobby and several retail spaces will occupy the ground level. There will be a lobby lounge and reception area, as well, as a restaurant, bar, event and meeting spaces including a recreation deck.

 

 

 

 

 

 

 

 

 

 

 

 

Posted by

Crypto Certified Agent - By Propy 

HI Pro Realty LLC

REALTORS®, PROPERTY MANAGERS® 

We are a boutique brokerage firm offering responsive, dedicated, and professional Real Estate Sales and Pet Friendly Management Services in Honolulu, Hawai'i. 

 

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Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

This situation is no surprise. These high priced projects seem to be trying to price themselves out of business in their quest to bring the 'latest, greatest' in amenities, features and location. There are always alternatives for high-end buyers.

Jan 27, 2017 06:05 AM
Mark Don McInnes, Sandpoint-Idaho
Sandpoint Realty LLC - Sandpoint, ID
North Idaho Real Estate - 208-255.6227

I believe I read about the pricing of units in this project and frankly was blown away.  I can appreciate why rethinking might be a good idea.  Mark

Jan 27, 2017 08:20 AM
Kimo Stowell
HI Pro Realty LLC RB-21531 - Honolulu, HI
REALTOR Associate® RS-76763 - Honolulu Hawai'i

Aloha Sandy Padula and Norm Padula, JD, GRI NMLS#1483386, the luxury market is the only market builders can afford to build, the whole concept is counter intuitive and speaks of the costs associated with living on a remote island.

 

Aloha Mark Don McInnes, Sandpoint , with all the local construction going on, limited labor pool, high costs of imported goods and many luxury condo options available, the margins are probably to tight for the developers comfort. mahalo for commenting!

 

 

Jan 28, 2017 12:14 PM