My email inbox is full of incentives being offered by developers of condo and home projects along the Kohala Coast on the Big Island of Hawaiʻi. That means we have come to the end of high season. For the next few months, it is even more of a buyer’s market than a seller’s market at the resorts. Now could be a good time to act if you have been thinking about Waiʻulaʻula at Mauna Kea Resort, Ka Milo or Kulalani at Mauna Lani Resort, or even Kohanaiki, the newest resort near Kona airport.
Waiʻulaʻula at Mauna Kea Resort: Creative Buyer Incentive
Waiʻulaʻula is the community mauka of the highway at Mauna Kea Resort that offers three types of homes. The four-plex Ridge condos sold out in 2009 in the close out of the first phase of development. Phase II at Waiʻulaʻula consists of paired Villa homes and single family Estate homes. They started sales up in 2014 and would like to close out in 2017.
To that end, the developer has offered a series of incentives this year, including a higher commission to cooperating brokers, substantial credits towards furnishings, and now the creative idea of a credit good for buyers who purchase this month and close by year-end. Most importantly, though, the developer is negotiating on price.
The best deal is likely to be had on the 3- or 4-bedroom single family homes as only one has sold so far this year (for $2,800,000 on a $2,985,415 list price). The four active listings range from $2,495,000 for #424, a 3 bed/3 bath, 2,860 sqft home, to $2,899,000 for #417, which adds a guest suite for a 4th bedroom and a total of 3,300 sqft.
Kulalani at Mauna Lani Resort
Just as at Waiʻulaʻula, Kulalani at Mauna Lani Resort took a break after its initial phase before breaking ground on a new set of condo buildings in 2012. Sales this year have been relatively slow, perhaps because of competition from resales, and the developer has finished condos ready for immediate occupancy.
Pricing at Kulalani for new condos ranges from $604,400 for a 1,331 sqft unit with 2 beds/2 baths in a typical 6-plex building, to $832,500 for a 1,868 sqft 2-bedroom in a four-plex building. There are six Kulalani condos in escrow right now, of which four are resales (one of them our listing). Is it time for the developer to finally begin to negotiate on price and move some inventory?
Ka Milo at Mauna Lani
Ka Milo at Mauna Lani is the community that shares an acre+ amenity area with Kulalani. Different in concept, Ka Milo offers paired and free standing homes, some of which have distant ocean views. Like its neighbor, developer sales face competition from resales, which could be an advantage for a buyer looking to negotiate a deal.
The developer at Ka Milo is definitely looking at offers. Of the three closed sales this year, two were resales. But there are four developer properties in escrow, and three of those are 4-bedroom homes at prices just under $2 million. Asking prices start at $855,000 for #432, a single level 3-bedroom paired home that is ready to occupy.
Kohanaiki – New Stoplight South of Kona Airport
The access to the Big Islandʻs newest resort community has just been improved with the stoplight finally allowing for convenient left hand turns. The developer recently hosted a lunch for select brokers to enjoy the 67,000 sqft Clubhouse facility. Even at this new community, Kohanaiki options include non-developer listings, which should give the knowledgeable buyer more leverage.
If you want help comparing Kohala Coast resort property resale and developer options and negotiating the best deal on a sale, contact me for advice and representation. We also can help you price your home or condo to be the next to sell in this market.