Hawaii Housing Authority seeks 10,880 more affordable units

Jul. 4—The Hawaii Public Housing Authority has taken on the monumental task of taking its inventory from 1, 187 units to an additional 10, 880, announcing Monday that it has chosen a developer for its Ka Lei Momi Redevelopment Project at nine existing housing properties over the next decade and beyond.

The Hawaii Public Housing Authority has taken on the monumental task of taking its inventory from 1, 187 units to an additional 10, 880, announcing Monday that it has chosen a developer for its Ka Lei Momi Redevelopment Project at nine existing housing properties over the next decade and beyond.

Gov. Josh Green and HPHA Executive Director Hakim Ouansafi said Highridge Costa Development Co. as master developer will lead construction of 10, 880 new affordable housing units and the renovation of 1, 187 existing public housing units on Oahu, Hawaii island, Maui and Kauai in what they describe as one of the largest moves in the country made by a public housing authority.

"We're going to build as big and as fast as we can for our people, " Green said. "They deserve housing. That will solve many of our problems."

If all that is anticipated materializes, the effort would create approximately 12, 000 affordable units. The multiphase redevelopment currently has no start date, according to HPHA Housing Information Officer Dallis Ontiveros.

Funding has been allocated by the state Legislature, but the effort will require "multiyear funding, without a doubt, " Green said. The project is a long-term investment for the state and its future leadership, the governor said, calling it a "generational move."

Highridge Costa President and Chief Executive Officer Michael Costa and Highridge Costa Development President Mohannad Mohanna joined Green and Ouansafi to sign two public-private contracts to set the project in motion.

The first contract is for development of 78 acres of public housing across the four islands with an estimated cost of $6.6 billion over a decade. The contract will also make way for the partners to determine the appropriate number of units and construction phases necessary, Ouansafi said.

The second will renovate 364 units and create an additional 2, 450 mixed-use and mixed-income housing units at Mayor Wright Homes, a 70-year-old public housing complex in Kalihi. The project has already received approval for $10 million for its first phase of redevelopment, Green said.

Mixed-income-and mixed-use-oriented housing are envisioned for all nine sites. Ouansafi called the plan a tried-and-true method nationwide for reducing and breaking multigenerational poverty.

"We all view that it's not just bricks and mortar and steel, " Ouansafi said. "We see it as bringing hope, joy and support where there is despair, uncertainty and misfortune."

The full project represents Green's efforts in recovering what he calls the "missing middle."

Hawaii, he said, is in "great jeopardy " of becoming a fully two-tiered state without a middle class, creating a desperate need for a housing boom.

"This is our workforce, " Green said. "These are local people who are often teachers, firefighters, police, nurses—people that have modest income, who may very well be outside of the (asset-limited, income-constrained, employed ) family home but still can't afford a home if it's $1.2 million."

The price point for the first 10, 000 units is approximately $580, 000, Green said.

"That represents kind of a sweet spot for people to be able to, with support, get financing, especially if they're in one of these jobs, " Green said.

Mohanna said families living in units that will undergo renovation reserve the right to return to those same homes once the renovation is complete.

Highridge Costa has previously developed affordable homes at Palehua Terrace in Honolulu and Hale Moena Kupuna and Hale Moena Ohana in Kapolei.

Ouansafi said Highridge Costa is "a developer who shares a resolve to not rest until every family, irrelevant of their race or ethnicity, age or gender, faith or creed—until they all have a place to call home."

With over 33, 000 completed units in 30 states and Puerto Rico, Costa applauded Green's efforts in public housing.

"Gov. Green has made a commitment to affordable housing, a bigger one than anything we've seen anywhere in the nation, " Costa said. "We commend you."

Mohanna stressed the company's commitment to collaborating with the state, mayors and City Council members for funding and building permits.

In the middle of Monday's announcement, Mohanna made attendees stand up and hold hands in a circle.

"This symbolizes not only everyone in this room, but everyone in the state of Hawaii, " Mohanna said. "Together, we're going to take the first step in this journey."

Mohanna said the company has already established partnerships with the HPHA, Hale Mahaolu and 50 other local professional organizations to produce the units' designs.

Monday's announcement marked another step toward Green's goal of achieving 50, 000 new affordable housing units in Hawaii. In June he signed 11 bills that also favor affordable-housing applicants, particularly homeless families, low-income workers and victims of domestic violence.

"It's not a coincidence that we are doing several things at once—increasing teacher wages, opening the rail, increasing the capacity to build along that rail and also luring the middle class back into the housing market—because we need these individuals to be doing the work that keeps Hawaii going, " Green said.

ADDITIONAL INVENTORY The state announced Monday that Highridge Costa Development Co. will be responsible for adding to the state's public-housing inventory, working in multiple phases to create more than 10, 000 units for nine properties. Here's a breakdown of the anticipated units :

Mayor Wright Homes, Kalihi Existing units 364 Additional units 2, 450 Pu 'uwai Momi, Aiea Existing units 260 Additional units 2, 170 Ka 'ahumanu Homes, Honolulu Existing units 152 Additional units 1, 550 Kamehameha Homes, Honolulu Existing units 221 Additional units 2, 950 Hale Laulima, Pearl City Existing units 36 Additional units 700 Nanakuli Homes, Waianae Existing units 36 Additional units 500 Lanakila Homes, Hilo New units 250 Kahekili Terrace, Wailuku Existing units 82 Additional units 200 Kapa 'a, Kauai Existing units 36 New units 110