Honua Kai Market Update May 2018
Posted by Alex Cortez on Saturday, June 2nd, 2018 at 2:51pm.
In an effort to continuously keep our clients updated on micro-market conditions, we present our monthly Honua Kai market update. This shall encompass new listings on the market, those that have gone into escrow during the month, and closed sales for the month.
The Honua Kai micro-market continues to see increased inventory, particularly after the developer finished its sales and re-sales have dictated values, available inventory, and absorption. The month of May saw a good amount of new listings:
Konea 521 - Studios are in short demand, particularly those on higher floors. As Konea 521 came on the market, even with its large floor plan for a studio (at 615 square feet), the asking price of $975K may have seem above market to some, but those knowledgeable of the rarity of this type of unit saw the value. As such, it came as no surprise that it went into escrow within 4 days of being on the market.
Hokulani 140 - Ground level units are in demand as a rental, particularly among those with children and accessibility issues. With an asking price of $920,500, it remains to be seen whether there is demand at this price point - particularly when the unit directly above sold for $840K two months ago.
Konea 206 - The one bedroom plus den niche is high demand, with little inventory. Coming on the market at $1.05M, it was highly expected to be absorbed quickly and that came to fruition, as it went into escrow 3 days upon coming to the market.
Konea 1032 - A top floor 2 bedroom unit with mountain and ocean views priced under $1.5M? It took less than 10 days to go into escrow and may prove to be one of the best values in the Honua Kai market this year.
Hokulani 309 - The 'L' shaped 2 bedroom units are in high demand due to its floor plan maximizing light exposure and a feeling of openness. Priced at $2.025M, we'll await to see how long it remains on the market.
Konea 449 - Interior courtyard 3 bedroom unit near the front row with big ocean views and a large 1,900 square foot floor plan, it is our opinion that priced at $2.96M, this is a good value for a prospective purchaser. On the fourth floor, it has enough elevation to feel private yet be in the middle of the resort.
Hokulani 604 - Although almost identical in size to Konea 449 mentioned above, this unit presents a VERY different setting. Hokulani 604 is on the outside, southern perimeter of the Hokulani tower, facing the Westin property. With a 6th floor location, it feels private (higher than the structure next door) and has big view corridors. Priced at $3.19M, it is arguably within its fair market value range.
Hokulani 524 - Smaller 1 bedroom floor plan with mountain views, it sold for $720K, which is arguably right along where it should.
Konea 730 - Another smaller 1 bedroom floor plan on the Konea tower, this may be more perplexing to understand, selling for $747K. Small floor plan, facing the Luana Garden Villas site.
Hokulani 438 - Forward on the stacks and elevated enough to have ocean views, it comes as no surprise that this unit sold quickly near its asking price, with a sales price of $919,900.
Hokulani 116 - Facing the Westin property, this ground-level unit has much to offer, including direct access to the walkway right down to the beach for easy access. Selling ABOVE the asking price, with a sales price of $926,888, it is also pushing values upwards.
Hokulani 442 - Another 1 bedroom plus den selling. The sales price of $1.1M is understandable, as it offers ocean views, a quiet resort setting, yet privacy with its 4th floor location.
Konea 743 - Interior courtyard unit in Konea. With 2 bedrooms, outstanding ocean view corridors, the premium location garnered its sales price of $1.85M and arguably at a strong value comparative to others.
The bulk of sales are in the 'entry level' at Honua Kai, with premium units taking longer to be absorbed. Arguably, that may also be due to Luana Garden Villas taking some of the higher-priced Buyers into that niche of new construction - those sales will record next year upon completion. The one bedroom micro-market continues to evolve, with some sales recording at 'interesting' sales prices. To discuss which are the best available options currently on the market, foreseeable trends/projections, and how Honua Kai falls within the overall Kaanapali real estate market, contact us.
New Inventory
The Honua Kai micro-market continues to see increased inventory, particularly after the developer finished its sales and re-sales have dictated values, available inventory, and absorption. The month of May saw a good amount of new listings:
Konea 521 - Studios are in short demand, particularly those on higher floors. As Konea 521 came on the market, even with its large floor plan for a studio (at 615 square feet), the asking price of $975K may have seem above market to some, but those knowledgeable of the rarity of this type of unit saw the value. As such, it came as no surprise that it went into escrow within 4 days of being on the market.
Hokulani 140 - Ground level units are in demand as a rental, particularly among those with children and accessibility issues. With an asking price of $920,500, it remains to be seen whether there is demand at this price point - particularly when the unit directly above sold for $840K two months ago.
Konea 206 - The one bedroom plus den niche is high demand, with little inventory. Coming on the market at $1.05M, it was highly expected to be absorbed quickly and that came to fruition, as it went into escrow 3 days upon coming to the market.
Konea 1032 - A top floor 2 bedroom unit with mountain and ocean views priced under $1.5M? It took less than 10 days to go into escrow and may prove to be one of the best values in the Honua Kai market this year.
Hokulani 309 - The 'L' shaped 2 bedroom units are in high demand due to its floor plan maximizing light exposure and a feeling of openness. Priced at $2.025M, we'll await to see how long it remains on the market.
Konea 449 - Interior courtyard 3 bedroom unit near the front row with big ocean views and a large 1,900 square foot floor plan, it is our opinion that priced at $2.96M, this is a good value for a prospective purchaser. On the fourth floor, it has enough elevation to feel private yet be in the middle of the resort.
Hokulani 604 - Although almost identical in size to Konea 449 mentioned above, this unit presents a VERY different setting. Hokulani 604 is on the outside, southern perimeter of the Hokulani tower, facing the Westin property. With a 6th floor location, it feels private (higher than the structure next door) and has big view corridors. Priced at $3.19M, it is arguably within its fair market value range.
In Escrow
The only units to go into escrow in the month of May were the previously mentioned Konea 521, Konea 206, and Konea 1032.Sold
Another busy month at Honua Kai saw 6 units trade hands.Hokulani 524 - Smaller 1 bedroom floor plan with mountain views, it sold for $720K, which is arguably right along where it should.
Konea 730 - Another smaller 1 bedroom floor plan on the Konea tower, this may be more perplexing to understand, selling for $747K. Small floor plan, facing the Luana Garden Villas site.
Hokulani 438 - Forward on the stacks and elevated enough to have ocean views, it comes as no surprise that this unit sold quickly near its asking price, with a sales price of $919,900.
Hokulani 116 - Facing the Westin property, this ground-level unit has much to offer, including direct access to the walkway right down to the beach for easy access. Selling ABOVE the asking price, with a sales price of $926,888, it is also pushing values upwards.
Hokulani 442 - Another 1 bedroom plus den selling. The sales price of $1.1M is understandable, as it offers ocean views, a quiet resort setting, yet privacy with its 4th floor location.
Konea 743 - Interior courtyard unit in Konea. With 2 bedrooms, outstanding ocean view corridors, the premium location garnered its sales price of $1.85M and arguably at a strong value comparative to others.
Conclusion
The bulk of sales are in the 'entry level' at Honua Kai, with premium units taking longer to be absorbed. Arguably, that may also be due to Luana Garden Villas taking some of the higher-priced Buyers into that niche of new construction - those sales will record next year upon completion. The one bedroom micro-market continues to evolve, with some sales recording at 'interesting' sales prices. To discuss which are the best available options currently on the market, foreseeable trends/projections, and how Honua Kai falls within the overall Kaanapali real estate market, contact us.
Specializing in Makena and Wailea real estate, Alex Cortez is fully dedicated to representing his clients ethically and diligently. Contact him at 808.385.5034 or Alex@MauiRealEstateSearch.com for more information.