The Pulelehua project has officially been sold by Maui Land & Pineapple to an undisclosed buyer for $15 million, according to a filing with the Securities and Exchange Commission. If you follow our blog, you might remember that half of the project comprises affordable housing.
Pulelehua is a 304-acre planned workforce housing project, which was designed to fill a serious need for affordable housing amidst the countless West Maui luxury properties that many hard working residents can’t afford. Not only will the project provide affordable housing to buyers below a predetermined income, but it will also keep the housing affordable if resold in the future.
Beginning in March, Maui Land and Pineapple (MLP) began its 90-day due diligence period on the deal to sell to their undisclosed buyer. Also, the land is collateral for MLP’s term loan with American AgCredit, and the sale will pay most of it back. The principle balance on the loan was $14.7 million, but the gain from the sale was $14.3. MLP will have to come up with the remainder of the funds, but hasn’t disclosed how they plan to do that yet.
This project has been in the works since 2004, with the Maui County Council granting approval in 2011. Many lower income workers in the West Maui area will be happy to know that a substantial number of new affordable homes will be available through this project. The project includes 882 homes total, and about half of those will be affordable.
If you’re in the market for West Maui real estate, you’ll find a good range of prices. For any assistance you might need choosing the right property for your needs, whether as a permanent resident or for income property, you’ll find our contact information at the bottom of the page. Mahalo!