I reported at the start of the year that condo sales for Kolea at Waikoloa Beach Resort were up slightly in 2018 over 2017, with 10 sales, and a shift towards the larger more expensive villas. So far Kolea sales in 2019 are keeping pace, with four closed sales and two more condos in escrow.
First Half 2019 Kolea Condo Sales Summary
Recall that the beachfront Kolea community is rimmed with 17 lots, most of which now have single family homes built on them. On the interior of the property are two types of three-story condominium buildings. The front row (Buildings 1-8,10, 12 and 13) has only six large 3-bedroom units per building, each with a garage. The back row (buildings 9,11,14,15 and 16) consists of 12-plex buildings, with two different 2-bedroom floorplans and a smaller 3-bedroom.
So far this year almost every floorplan has sold. Already closed are two of the larger 1,554 sq ft two-bedroom condos, and in the six-plex buildings we saw a second floor and top floor of the 3 bed/3.5 bath 2,174 sq ft villas sell. Still to close are a smaller 1,270 sq ft two-bedroom, and a ground floor in the six-plex. The ground floor has an attached garage, so comes in at 1,716 sq ft for the 3 bedrooms, instead of the 2,174 sq ft of the units above, and generally speaking has its ocean view blocked by the single family home in front of it.
Sales are Steady — What about Prices?
It is much easier to gauge the rise and fall of prices in a resort condo complex where we can compare the proverbial apples with apples, than in our more rural areas where homes are more like comparing papayas with mangoes. Both tropical fruit, both with their appeal, but harder to compare and contrast in their details.
Let’s look at the statistics for the recent Kolea condos. The first buildings completed began closing in 2005, and the last in 2007. We consider 2007 pretty much the top of the real estate market for Kohala Coast resort property in the last cycle.
Kolea 2F, a top floor condo, was sold by the developer to the first buyer in 2005 for $1,961,000. They offered it “for sale by owner” in 2009 and I represented the buyer, who purchased for $1,500,000. That’s a decrease of 24%, and really more since the second sale included furnishings. It sold again in 2013 for $1,650,000 — up 10% but with the seller having invested probably almost that much in renovation and upgraded decor. The recent sale was for $1,648,000. In other words, no increase since the 2013 sale, and still 16% below the original sales price, when the market was still rising.
My listing of Kolea 13E, a second floor three bedroom, just sold for $1,475,000. The original buyer paid the developer $2,150,00 in 2006. No, that’s not a typo. In 2009, that owner decided to buy a Kolea single family home, and offered the seller this condo as part of the purchase price, valuing it at $2,000,000. But since that owner had no cash into it, he sold to my buyer for $1,050,000 six months later. My owner and her family enjoyed the condo for a decade, and just sold for $1,450,000. So depending on how you look at it, Kolea 13E’s value is up 38% over the last decade…and down 32% from the peak.
There are currently 14 Kolea condos for sale, priced from $720,000 to $1,999,000. There is also one Kolea single family home listed for $5,200,000 (MLS 607446) and others who would sell, and two vacant lots priced at $1,390,000 and $2,450,000. I have a spreadsheet with every resale noted going back to the beginning. Call or email if you’d like help making sense of the best buys at Kolea.