Maili low-income homes receiving first tenants

A new low-income rental housing complex is filling up in Maili after overwhelming interest from prospective tenants.

The developer of the $22.7 million project called Hale Makana O Maili held a low-key blessing Jan. 15 because of COVID-19.

About half of the 52 apartments are now occupied by families, and the balance should be filled over the next couple of weeks as tenants complete the leasing process.

Demand for the one- to three-bedroom apartments with monthly rent from $551 to $1,691 was strong, with over 300 families applying, according to the developer.

Planning for Hale Makana O Maili goes back more than four years and was supported financially by the state and city but also drew some community opposition over density and other issues.

A group of about 20 neighbors formed the nonprofit Na Kiai O Maili Inc. and filed a lawsuit against the developer and the city in 2019, alleging the project was too big and wasn’t properly permitted, among other things. The lawsuit was dismissed, but that decision is being appealed.

In November, some neighbors blocked construction crews from completing a concrete stormwater drainage structure that the developer took on at the request of the city and some area residents to help address existing flooding on an adjacent street.

The developer, a partnership between the nonprofit Hawaiian Community Development Board, Pacific Development Group and 3 Leaf Holdings, said its two-story complex complements and enhances the neighborhood while also addressing homelessness, overcrowded households and a lack of quality affordable housing opportunities on the Waianae coast.

“Families, especially those living in the Waianae community, will now be able to live affordably in new and attractive housing that was delivered to improve the surrounding area,” Chris Flaherty, CEO of 3 Leaf, said in a statement.

“During these extremely challenging times, the need for affordable housing becomes even more critical,” Kali Watson, president and CEO of Hawaiian Community Development, said in a statement.

The development partnership, Laulima Development LLC, said 90% of rental applications received were from immediate or nearby area residents.

To qualify for an apartment, applicants could not have household incomes beyond 60% of Honolulu’s median income, which equates to $52,920 for a single person, $60,480 for a couple and $75,540 for a family of four. Ten units are also reserved for households earning no more than 50% of the median income, and five are reserved for households earning no more than 30% of the median income.

Rents tied to low incomes must be maintained for 65 years under project financing conditions.

Amenities in the project include a playground, a multipurpose room with Wi-Fi, a kitchen, a laundry room, offices, electric vehicle charging stations and bicycle storage stalls.

Hale Makana O Maili is more dense than the surrounding area, but the developer obtained a zoning exemption from the City Council under a state law that allows such waivers for affordable housing.

The 2.8-acre project site previously contained 10 homes abutting part of a single-­family home subdivision. Under existing zoning, up to 24 homes were permitted without the waiver. Six of the existing homes were retained, and six new two-story buildings each with eight to 12 apartments were added along with a 71-stall parking lot.

Tatiana Kamai, one of the new residents, said in a statement that her new home is a fresh start. “We resided with ohana all our lives, so it is a dream to finally be on our own,” she said.