Mayor asserts that Maui tourists will transition to hotels, a claim met with skepticism by residents and visitors alike who say such changes will drive visitors away from the island entirely. Ongoing debate highlighted in latest new, impactful report.
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I thought government was supposed to do the will of the people and not the other way around? What do actual Maui residents want? That should dictate what the government does.
I for one will not be staying in high priced hotels where I then have to eat at high priced restaurants for every meal because I don’t have a kitchen and all the amenities that the rental props have.
I prefer Maui but Florida has some nice beaches too. And doesn’t take as much time, money, and prep to get there.
Exactly
Super piece Guys. I don’t think we tell that you enough in appreciation of your hard work. Well written, lucid, even handed, and on point subject matter wise. Hopefully some of the people making these decisions read this site.
Best Regards!
Hi Jay.
Mahalo!
Mahalo Nui Jay H, and well said regarding the work of BOH editors! If I might say so, I personally solved these problems several weeks ago when I suggested that Jeff and Rob should run for Governor and Lt. Governor of Hawaii in the next election cycle. Since that post my suggestion certainly makes more sense. Iy is not a joke, and should be considered. Hawaii needs a complete and thorough house cleaning of most all of its state and county politicians! Keep up the great work BOH, we all appreciate it.
Aloha to all.
So what if the visitors move to hotels instead of STRs? Will such rules on STRs prevent me from going to Maui? No. I can at the same time see why people would rather rent a private home or condo, and those property owners should have a right to do so (renting them out). You could limit the STRs, to one per owner, so it doesn’t run up purchases by investors only. That will get tricky, since owners can hide their identities by taking title in an LLC or corporation. All of Hawaii just needs to solve their affordability problem, big time. So many locals have moved away because they cannot afford a home or apartment.
We’ve been to Hawaii 15 times, mostly Maui, mostly STR’s. Going forward, if “forced” to stay in a hotel, we will no longer go to Hawaii.
Regarding transitioning from a Maui STR to a Maui hotel, a month in an STR versus 7 to 10 days in a hotel, goodbye Maui and hello Costa Rica or Caribbean.
In response to one response to my post. I own one condo on Kauai, which I rent out as an STR in order to make it affordable. Over 35 years, my condo has been a second home to my family, and we love it. We are not into it because of “profit”, because we have none. Over the years, we have paid well over $300,000 in property taxes, and our dwindling visitors pay an unaffordable 18%.
I understand that many who support this policy likely receive a government check, but where does that money come from? Where do all of the tourist dollars go? n Europe has become the primary tourist destination for most Americans – because they think people welcome and appreciate their visit.
Perhaps part of the motivation for HI politicians is to divert attention on their failure of them to provide for affordable housing. And what is the contribution to their re-election by the Hotel association?
Ultimately, this asset grab by our greedy politicians is unconstitutional.
40 years ago my husband and I bought a home backed by FmHA at a reduced interest rate that adjusted every year according to our income. A standard no frills home, 1008 square ft with 3 bedrooms 1 bath and a single car garage. Iknow peoplewill say its too small or whatever, but it got us into our Own Home and away from renting and a starting place to build on. The STR’s we’ve stayed in on Hawaii were far more than than a standard home. Why can’t the government back a similar program on Maui? And could they be built on the lots where people lived before in and around Maui?
We reside in Michigan when we’re not in Hawaii. Locally, we have a program whereby new homes are built and approximately 1/2 of the cost is subsidized by a government grant, enabling the qualified, lower income individual to acquire a 1700-1800 square foot home at 1/2 of market cost. Same organization builds apartments with grants/government loans, enabling qualified individuals to reside at a reduced rental rate. Of course, these units are prohibited from being used as STRs. We live in a vacation destination, too, although the weather isn’t perfect year round as it is in Hawaii but STRs do exist here as well. Difference is our local governments jumped on the STR issue right away and enforce their STR regulations.
Maui does not want to build. That is obvious, looking back over the last 50 years. That is what is causing the housing crisis, much more so than “clamping down” on STRs. Your government is clearly more intelligent and balanced.
Once in a lifetime opportunity to buy Maui real estate at fire sale prices approaches. Good for some, but those buyers will most likely be mainlanders. Feel sorry for people who felt that they had a solid investment. Hoping for more rationality.
Absolutely correct! As the residents that lost homes are locked out of their property, still making mortgage payments our politicians posture and look for any way possible to put residents, tourists and property owners at odds, while sucking up their hefty salaries unaccountable to anyone, because everyone has left!
The real reason for the ultra expensive costs on Maui are the ultra high regulations and taxes! I picture a room full of people whom never worked hard a day in their life trying to figure out how to squeeze one more dollar from everyone on the islands, not just tourists, or investors! While giving their political friends incentives and tax breaks!
I have been following this discussion very closely and have not been able to determine if STR’s include timeshares. These have not been mentioned in the discussion. Please clarify.
Thank you,
Suzi M.
Suzi M, I checked the listing of Maui STRs slated for elimination. My timeshare is on that list. I bet your is too. BOH published the list in May. Wish I could post the screenshare I have on it.
No timeshares and hotels are not affected. Google the Minetoya list for the details of residences that are potentially affected by Mayor Bissen’s announcement.
My timeshare is on the elimination list. So, Yes, timeshares are included.
Bissen having UHERO do another study is scary. UHERO already put out ridiculous statistics, which caused Green and Bissen to justify the creation of the STR bills in the first place – statistics such as:
– County revenue will only decrease by 4.3% and Hawaii state revenue will decrease by .4% if Minatoya STRs are eliminated
– Only 1 out of 18 Minatoya STR owners offered their units to fire survivors, under FEMA and otherwise
Both of these “study results” are far from the truth.
STRs are cooked geese if the county relies on UHERO studies to make these decisions.
Maui Mayor is nuts.
We almost exclusively choose to stay in vacation rentals. The price is right. The convenience is right. The amenities are right.
We’ll choose to not go where there aren’t vacation rentals.
The only exception is if we are staying in a location for only 1 or 2 nights … then it will typically be a hotel.
I understand the challenge of home prices going astronomical and pricing the locals out of the market. We have that challenge on the mainland as well.
I own rentals on the mainland, and everyone, especially government seem to think that owners are getting rich off of rentals. That is so untrue. Especially owners who live hours away from their properties.
Taxes, insurance, mortgages, management fees, repairs, replacement of linens etc… is an ongoing concern. Most renters don’t take care of their rental like they do at home, which is sad, as we do try to make our properties a home away from home. The big hotels are able to add a lot of hidden fees that personal owners don’t do. Time to start voting in government who are business minded. Before it is too late.
Let start by saying that the locals on Maui deserve proper housing
the losses from the fire are more than most people could bare.
That said, i honesty wonder how converting these actually legal STRs into long term housing is actually workable. The HoA fees and high maintenance fees, resort fees and high tax and utilities— how can anyone , i mean most working folk, afford to pay what rent would need to be charged to cover thses costs if they are converted. Rents would have to be in the 3-4k per month for a 1 bedroom, which is under 600 sq ft with no storage. This seems like an unreasonable solution to an issue that is plaguing many parts of the world. Govnmts have been grossly negligent in providing proper rental accommodations for people, and are now grasping at the lowest, most vulnerable fruit to pick. This is shameful, foo and unworkable .
Mayor Bissen obviously doesn’t understand that many of us would stay home before be subjected to an overpriced room with no conveniences and resort fees.
Pretty sure Bissen is way off-base if he thinks that vacation rental visitors will simply switch to hotels.
Maybe visitors should submit testimony at upcoming hearings on the proposed short-term rental bill, stating that they will simply go elsewhere if they can’t rent an STR. Hundreds of such testimonies may help Bissen and the council see the light.
If Ever there was a time to follow the money it should be after the Mayor’s comment on moving visitors to Maui into the hotels that are already ridiculously overpriced for literally everything! Talk about being out of touch with reality on so many different levels but then he is a politician so that goes without saying!
Really???!!! Tourist are going to be flocking to the $800/nite rooms at the hotels where in addition to room charge, pay for all meals, etc.! Who does the Mayor & the rest of the “powers that be” think they’re kidding!!!??
Hawaii vacations will be a thing of the past!
Sadly the majority of Maui politicians do not want any tourists so they don’t care if tourism stops. They want “their” aina back and to heck with the consequences. The vast majority of us residents do not agree with them because we want to work and there is nothing yet to replace tourism. We working class are already living in financial devastation because Bissen/Lahaina Strong told people to stay away and they are. All this could end if the mayor would go on TV and social media welcoming visitors back. But he won’t. And we small business are suffering terribly. Which is the goal of Bissen/anti visitor groups here.
I’m really not sure how you can claim that the vast majority of citizens don’t support them when it was the majority of the citizens that voted them into office! If or when the citizens throughout the Hawaiian Islands finally wake up and realize that their is more than one party around then maybe things might change for the better of everyone! Doubtful that will Ever happen but hope is something that is still free until the politicians figure out how to tax it!
We have been going to Maui for 30 years. It has become so expensive and now eliminating condo rentals means we are looking elsewhere. It’s just not worth it.
Marlie
It’s gotten so expensive everywhere in the U.S.
To understand expensive on the mainland compared to Maui, price a gallon of water and a quart of milk at a convenience store…
Maui, $5 for on gallon of water, $6.59 for a quart of milk… Plus tax…
Curious how many vacation rentals the article writer owns and whether you are from Hawai’i?
Why is the writer truly so against limiting vacation rentals? Is it because you predominantly live on the mainland but want the right to also live part time in Hawai’i?Only a STR would allow you the luxury? – I am sorry that you may lose that but the basic housing needs of those of this community are far more important.
I don’t understand why it’s that awful to turn your home from a STR to a long term rental?
Community need comes far before the need of a visitor. Sure maybe the economy may take a “devastating” hit and we have to lower our standard of living BUT at least locals have a better chance of finding housing. What is the point of having a better economy without the local community?
If you are a visitor and wish to travel elsewhere if no STRs are in Hawai’i – That’s Okay!
I own one condo, and rent it out only to make it affordable. It is also our second, very loved home where my children learned to swim and grew up.
Kay, I’ve always loved Hawaii, but this increasing anti-local sentiment is – really not something nice people would do. We add so much money in taxes, jobs, visitor spending – and this is your thank you?
Perhaps, as a local, you should ask why your politicians are covering up their lack of providing affordable housing by attacking offshore owners and seizing their property. Very few people actually earn money on their STR. I can only attribute your response to anti-off island sentiment or worse.
Rolf – I am not local, just a resident that lives and works here. My husband is Hawaiian so I guess I have a biased connection there but your assumptions were wrong. I actually love STRs when I vacation but unfortunately they are no longer sustainable in this community 🙁
I am sorry you may lose your family vacation home. That truly does suck.
we recently bought a second home for our growing family and rent out our starter condo long-term. And that too may some day be deemed not good for the community and banned. That would also really really suck to lose but if that allows my family and friends to stay here then it’s worth it.
In my personal opinion you are certainly welcomed here. Would also love to see you volunteering in a Lo’i, you would be surprised by how much aloha locals and Hawaiians would give you 🙂
-Kay , haole girl
I’m confused, why would your long-term starter condo be deemed not good for the community and banned? I thought long-term renters are what the Mayor (i.e. the hotels) wants.
And, sorry, most people need to work for a living, as is provided by your hated STRs – whom you would gladly deprive of a job or being able to live in Kauai. Do a little more research, put you biases aside and realize the gift of Hawaii is not just for you
1b/2ba condo that we str, property tax and HOA fee is right at $2,400 a month. It is assessed at $1,100,000 for property tax. So if those are my costs, how much does a 1 br 2 bath unit rent for? No pets, no room for a family, just for a single person or a couple. I don’t think you have an understanding of what is going on. Really this is the Hotel industry trying to eliminate the STR’s. These condominium complexes are not useful for local families on even workers. They we designed as 2nd or vacation homes. They completely support the local economy.
I’m an owner at a complex on the list. Our complex used to be a community. We’d have pot lucks, weekly game nights, etc. In the last 4 years, it’s gone from a community to a resort. What use to be 30 STR and 110+ residents has now flipped to 30 residents to 110+ STR. A condo that used to have 2-4 occupants now has 6-8+. HOA fees have double due to increased water, propane, and garbage use, along with increased insurance coverage/costs. STR guests are rude and inconsiderate of anyone else at the property. Parking has become a nightmare with guests renting mammoth SUV/vans, for their 6-8+ guests, and trying to park in compact spaces and/or someone else’s spot. Majority of the STR owners don’t live on island or even in the US. They don’t use it as a second home, but purely as a business. So you can’t say all complexes, on the list, weren’t meant for families or workers, because mine was before STR ruined “my community”.
Which condo complex is this? I’ve been trying to find a complex that has had this happen for a long time. I’d like to get that data. Mahalo!
“Maui mayor (says you’ll move to Maui hotels!” What a smug and arrogant comment from the mayor. Clueless. We were hotel people 30-years ago and migrated to STR’s for all the reasons stated here. The fire and Maui attitude in our last visit (as part time recovery volunteers, I can add) sent us packing to a hotel, alright – in a place other than Maui. Hawaii was the Only place we vacationed for the last 15 years. Now we’ve discovered there’s a bigger (and more welcoming) world out there. We can’t be (or won’t be) the only ones. We’ll be back someday – when we feel welcome. Might be a while.
As a short term renter for the past 20 years, the mayor is absolutely wrong in as I will not come to Maui and stay in a hotel. I’m not alone with this thought as we sun seeking Canadians will look elsewhere. JR
Ohh thats right..tourists will pay the hotels 500$ + a night cuz he believes that. He will put together a report to support something he wants but refute a report that states the obvious. You know if you tell someone something 7 times, they believe it’s their idea. It’s no different than being able to afford dinner at Mamas fish house or only enough to go Safeway…fewer choices, fewer tourists. Duh!!!
I’ve only seen very few hotels at $500 a night most are closer to
$1000-$1500 a night depending on time of year. A few years ago I had a condo that was long term and had major water leak and was only able to find a hotel in Kahalui and it was $395 a night In January.
Everything in south side was $1500 a night.
I’ve been coming to Honolulu since 1966. We’ve been there countless times. We now rent a condo for a minimum stay of 30 days and enjoy the Elks Lodge, Outrigger Canoe Club and other places that catch our attention. We come to enjoy friends, family and lovely weather. We’ve watched Honolulu/Waikiki change.
It will never again be what it was but things change and people change.
However, if the politicians think they can take away our lovely condo with ocean and Diamond Head views to be stuck in a hotel room…they’ve been puffing too much Maui Wowi. There are other places to go who would enjoy our company and money
You would think this should hit timeshares since they are not really hotels
I think many timeshares would be OK if the timeshare is fee simple ownership. That means the user (visitor) is a property owner in Hawaii and is using the property they own (assuming they are not renting it out to someone else.)
My timeshare is on the list for elimination. I wonder how the mayor will force me to sell and at what price? Emminent domain requires fair market price. In addition, I pay approx $1,400 per year in maintenance/taxes for my week. That translates into a HOA of $5,600 per month PLUS rent. How is that affordable for someone in the low/middle tax bracket who no longer has a job in hospitality?
No one is forcing you to sell; this is not a “taking” or eminent domain case. You will be free to continue to use it as your own residence or offer it for long-term rental. You may find that the “fair market price” in that situation is much lower than it is today.
Transition to hotels for my six week stay? Nope!
As many BOH responses and knowledgeable stakeholders particularly on Maui have correctly noted, visitors are not going to just simply change their travel habits and check into a luxury beachfront hotel that they cannot afford or justify with their travel budge. They will simply go elsewhere and it won’t be in the state of Hawaii. The mayor is incompetent, and clearly doesn’t know what he is talking about. Same goes for the out of touch governor. Residents of Hawaii are not being served by these one party special interest politicians.
Here on Kauai, and especially at farmstays, we welcome those who are experiencing difficulties with what is going on in Maui. Yes, we pay very high STR tax rates, but keep our prices moderate, and are attractive to those desiring a more authentic and less expensive stay than hotels.
Families of 4 or more traveling to Maui may need 2 hotel rooms. This additional expense will probably create a 20 to 30 percent reduction in families visiting Maui. Once the state realize the economic impact this is having may be to late to reverse.
I have lived and worked in hawaii since 1976 I live part time in East Texas, and stay 1/2 a year in Maui/Oahu in a a VRBO. I was going to
buy a few condo’s as investments. I now changed my mind and
found 4 condos on the beach in South Florida that are working
VRBO’s Why should i over pay for Hawaii when I can stay on the
beach in Florida. Sand is Sand at 1/4 the cost.
This study goes to show locals who’s pocket the Mayor and
Unions is paid by. This is why most visitors are dumping Hawaii
and going to the islands like Virgin islands, Mexico, Porto Rico.
as a property owner since 2006 I’m sick of these folks being voted in
and eaach has their own rice bowl.
Wise up Mr Mayor your policies are driving people away.
Funny, but the island tourism was just fine prior to entry into the industry of STR. I am sure it will be just fine if they are removed. Those located in buildings that were specifically for short term condo rental, should stay. The ability to book houses for a week at a time is not good for any community – so many Mainland East Coast communities are banning it as well for a myriad of reasons, not to mention skyrocketing housing costs! Everyone wants to whine about not being able to find affordable housing, but when the answer is staring you in the face???
Short term rentals began proliferating in Hawaii around 2010,prior to that,Hawaii survived without them
I get so weary of correcting false, misleading information, usually regurgitated from others with false, misleading information.
Short term rentals and vacation homes have been here, In Abundance, thousands and thousands of them, for 50-60 years. They sprung up immediately after jet service began bringing passengers to Maui. They did not “start” after 2010. You do not know of a world of visitors to Maui without many, many short term rentals available, because that world never existed.
Please get your facts straight, and stop harming your neighbors.
I have owned a home infact 4 over 45 years since 2006
Problem with that line of thought I paid $89 for a Hotel room on Maui and Oahu in 2010. Thanks to our greedy Politian’s and a bloated city county and State govts we are lucky to get a room no view for $500+. If you all read the comments you can see the majority of comments. The Caribbean and Europe has got sand and islands just like Hawaii.
I love Hawaii and protested in the 70’s to stop bombing Kahoolawe & putting a second traffic light in Waimanalo. Did it work? Heck No!!!! the Blue State mentality over ruled us way back then. You folks got to wake up and start finding Politian’s that Help Hawaii and locals not chase people away from Hawaii.
If they eliminate tourism that abruptly, there will be many terrible consequences. Many small business will have to close, and more local people will be forced to leave the island.
If the strategy is to build more hotels, my guess is that they will be built in Lahaina town. This will effectively force the conversion of Lahaina town into a high end resort, just like Wailea.
Where can I start? You lose all of your casual And economy travelers. Hotels are expensive, they drive you to only eat in restaurants, and don’t allow you a full experience of the island. No grabbing of quick groceries to fill your condo and grill, etc.
Next, you have hundreds of cleaning service jobs, which will no longer be needed for daily weekly turnovers of short term vacation rentals, adding to the unemployment rate or the need to seek work elsewhere. Many people simply will choose to vacation elsewhere. So yes, this will be a blow to our local economy.
There are, according to a locally written article a few days ago, hundreds of rentals, empty, having been scooped up by FEMA, but not filled according to their promise. The housing crisis here is in part, self manufactured.
As a local fast food restaurant manager, sales are down from last year. Tourism is lower.
Just my thoughts. The government wants control of every aspect Of housing and visitor choices.
Having control of every aspect is an understatement, but, I could see the rezoning and determining a per square foot price minumum, never a max…
besides, the talk of affordable housing for the “locals” is the dog whistle for out of site, put of mind shacks… Kinda like the FEMA housing, 250 sq’shed for a family, while the county recently bought a resort for the important people…
A judge and a doctor trying to run a three billion dollar economy… There’s a joke somewhere, but it’s not funny!
Reducing STR’s and expecting people to migrate to high priced hotels is pure fantasy. Clearly, the mayor has not tried to stay in a Maui hotel recently. Even the airport hotels are fetching close to $800 a night. Please tell me what income bracket can afford to stay in a mediocre hotel near an airport for that price? This is rearranging deck chairs on the Titanic. The efforts should be solely focussed on building affordable, accommodation for locals in the tourism industry and providing ways for STR owners to reduce the cost of doing business on the islands.
A resident of WI for 61 years, we always look forward to a winter break in Maui or Kona HI .We average around 2 weeks and have stayed as much as 3 weeks. There’s no way we could or would do this in hotels. VRBO and Airbnb is what we enjoy.Goodbye Maui..
If anyone wasn’t certain that the mayor is in the pocket of the hotel lobby, he just erased all doubt with these comments.
PS- regarding the belief that we STR owners are making a fortune, I can tell you this one isn’t. We’ve owned our one condo since 2018 and we were profitable in only 2 years. That profit was about 10k for the year in both cases. That’s less than 1k per month. Not bad, but we usually lose money.
Let’s be honest, mayor. This is more about kow-towing to the increasing sentiment of native Hawaiians towards
“wealthy” off island owners. I’ve owned a condo on Kauai for 35 years, and although my (highly taxed) income is in the 6 figures, my expenses have outweighed my income for most of those years. I wonder how much the Hotel association has contributed – guess.
And if those condos are rented to locals, who I’m sure will take good care of them, their value will likely plunge an uncompensated 50-70% drop in value.
“where taxes on some vacation rentals are likely to see significant increases”
Attention Hawaii: your taxes, fees, and cost structure are already out of control. Drowning visitors with even more taxes? Answer: no.
Maybe they should spend the next 10 years studying this and spending more and more taxpayers dollars to do so, all while watching our economy go into the toilet.
The mayor is surely on the take by the hotel/motel lobby that are the biggest behind the scenes advocates of the STVR ban. Many communities on the mainland have commissioned study after study showing that STVR’s don’t affect local rentals nearly as much as the local governments and hotel/motel lobbies assert. The majority of owners of STVR’s that are in resort/vacation areas will not rent to the locals, sorry. Those that are run in parts of owner occupied houses simply won’t rent them, they’ll just lose the income. So in other words very few additional rentals and a loss of a huge amount of tourist dollars. Just what do the mayor and his cohorts think is going to support the economy? Magic Covid money to reappear??? That ship has sailed. I’m sorry but it is what it is….. Tourists don’t want to stay in overpriced hotels, they’ll go either to other islands or to Mexico where they’re welcomed instead of shunned and the cost is half what it is in Hawaii.
That is their plan! Only the ultra rich donor class may visit Maui, and the Hard working low paid immigrants tend the manors!
The mayor and governor are clearly on the take from the hotels. Look at what happened in the wake of the fire: STRs with fully functioning kitchens sat empty while people and animals overran the hotels, being housed at exorbitant rates and having to eat boxed meals. Then FEMA paid to renovate hotels after all the destruction this caused. STR managers begged FEMA to house people in condos, but no. Then, months later, FEMA set up an unworkable plan for LTR in those same condos. The whole thing has been disgusting.