Owning a desirable Waikiki condo under $200K that you can rent to other vacationers and reserve for personal use is possible at the Island Colony.
The bulk of the 746-unit building consists of studio condotels ranging in size from 280-316 sq. ft. and nice large lanais that are approximately 100 sq. ft. The studios were originally divided into two categories:
- Lodging units that include wet bar with sink and refrigerator
- Studio apartments that feature a wet bar with sink, refrigerator, and built-in cook top
Until recently, the significance of this distinction was that buyers could procure conventional mortgage financing on studio apartments, however, had to pay all cash for lodging units. Presently, it appears there is no conventional financing available for either type of unit, however, that will probably change in the very near future. In fact, one mortgage broker that I work with is willing to attempt a loan through a local source that recently announced they are going to lend on condotels, however, no guarantees.
Island Colony pool
Originally built in 1979, the entire building has undergone extensive rehabilitation over the past 5 years and the recreation deck/pool area renovation was just recently completed. Most of the units have great Ala Wai Canal/golf course views.
Island Colony view
Owners seeking rental income have the option to contract with the in-house rental pool set up by Island Colony Partnership, which is managed by Aqua Resorts. Enrollment in the rental pool entitles the units to be rented to vacation guests on a daily basis. Otherwise, units are required to be rented on a 30-day minimum rental period.
Island Colony lobby