Furniture maker Martin & MacArthur has found opportunity in the slow economy and is in the midst of a rapid expansion.

With the opening today of its seventh location — at the Outrigger Reef on the Beach in Waikiki — Martin & MacArthur has more than doubled in one year the number of stores it operates.

The local furniture maker, which sells koa wood pieces and home accessories made by more than 100 Hawaii artisans, plans to open at least four more stores next year and up to four locations in 2012, according to Michael Tam, chief executive officer.

The 2,000-square-foot store opening today joins Martin & MacArthur stores at the Hilton Hawaiian Village Beach Resort & Spa, Ala Moana Center and Ward Centre on Oahu. The company also has three stores on Maui.

Next year Martin & MacArthur hopes to open four stores, one each on Kauai, Maui, Oahu and the Big Island.

"This is a great opportunity for us to work with current and potential landlords for the ideal perfect spaces that are going to be in high-traffic areas, be it for locals or for visitors," Tam said.

The economic slump has given tenants more negotiating power in lease rents, which helps store owners looking to expand.

"If you’re going to expand, rents are generally much lower than they were five years ago, so it’s not a bad time to expand if you have the capital," said John Reed, owner of RSI Real Estate, who has worked for more than 40 years in the retail industry.

Martin & MacArthur produces roughly 30 percent of its koa furniture and accessories in-house with 25 full-time employed craftsmen. It is investing more than $200,000 in each new store, including build-out and merchandise, Tam said.

Besides koa furniture, the business sells koa home furnishings such as photo albums, frames, place mats, jewelry boxes, clocks, coasters, wine stands and ornaments.

Sales revenue this year at its Ala Moana, Ward and Wailea, Maui stores, which have been open at least a year, has been 50 percent higher than last year, Tam said.

The company’s business is split 50-50 between local customers and tourists, many of whom are repeat visitors who have gradually changed their spending patterns toward higher-priced merchandise, Reed said.

"It’s been an evolution over time," he said.

"It’s been a graduation of really low-end gifts and souvenirs to gradual growth in terms of better and obviously more expensive products."