Over the years, West Maui has become a wonderland of luxury real estate, with home and condo developments inspired by extraordinary natural beauty. The majestic mountains, the rich blue ocean extending to the horizon, and the dramatic outlines of Molokai and Lanai in the distance all come together to create a place unlike any other. Its location on the opposite side of the West Maui Mountains from Central Maui also provides a bit of isolation, which has fueled efforts to make the region as self sufficient as possible. But with all the expensive housing, it can be difficult for the many hard working folks in the area to find an affordable place to live. That’s why the Pulelehua project has been an interesting development to follow.
Maui Land & Pineapple (MLP) is now under contract to sell Pulelehua, a workforce housing project covering 304 acres for $15 million. The buyer was undisclosed. What stands out about the development is the fact that about half of its 882 homes will be considered affordable by the Housing and Urban Development (HUD) median income level.
The project’s land is being held as collateral for for a loan that MLP has with American AgCredit. The proceeds from the sale of Pulelehua will be used to repay the loan. The development was approved by the Maui County Council back in 2011, and that was when MLP announced that half the homes would be affordable. In fact, they seem to have gone to great lengths to ensure that they stay that way.
To ensure that these West Maui homes remain affordable, the project requires certain terms to be met with regard to the owners who will later choose to sell. For example, the homes must be owner-occupied and a buyback restriction stipulates that Pulelehua Trust gets the first right of refusal. The main goal is that homes remain affordable when and if they are resold. Qualified buyers must also meet several terms, like meeting the affordable median income requirement and not owning any other real estate.
Also to their credit, they have a very informative website, so those of you who are curious about the project can visit pulelehua.com to learn more about it. The website features FAQs as well as “community plan” and “about” sections. The FAQ section covers the required median family income needed to qualify as a buyer, but they may adjust this. If any interesting new developments come up regarding this project, we’ll be sure to share them. Mahalo!