Kula, Keokea, and Ulupalakua .... Maui Real Estate's new high end market

It's easy to understand why high net worth people gravitate towards resort areas such as Wailea and Kapalua. Given the manicured golf courses, and the presence of large, high end hotels to help secure the value of their investments, this clientele finds their comfort zone in these areas. However, with new development adding to the traffic congestion and living density, buyers are looking past the typical resort areas, and toward other options ..... and there's plenty to see !

Maui's Kula, Keokea and Ulupalakua areas are the exact opposite of your Wailea / Kapalua resort area, and until recently lacked the large scale marketing and awareness necessary to bring peoples attention to a particular area. Coming online shortly is a 1800 acre development in Lower Kula which will be heavily marketed and promoted by one of the biggest real estate brokerage firms in the world. Given the attention that will come with such a large scale development, and the promise of the long awaited highway that will connect Kula and Kihei with a 20 minute commute, I looked at some of the houses available on the Kula / Keokea market that would benefit from large scale marketing. The results were surprising! I found that what was once considered sleepy old "Upcountry" was, in fact, now, a very high end area, with very desirable Gentleman's estates ! Take for example this 4000 sqft, "Hamptons" style house on almost 4 acres in Keokea, or this incredible 5000 sqft plus house on 8.6 acres complete with pool and exquisite library built in Omaopio Ridge. The most recent Kula mansion on the market boasts over 7100 sqft of living area, a pool, a tennis court, a separate 958 sqft cottage, and every upgrade imaginable !

With all the marketing and roadways aimed at connecting Kula, Keokea and Ulupalakua with the high end resorts, it's my prediction that more and more high net worth people will begin to realize the true value of Maui's Upcountry Gentleman's estate. Click on this Kula, Keokea, Ulupalakua link to see a complete list of incredibly beautiful homes.

Should you have any questions, please leave a comment, or call me directly on 808 276 4017. Thank you for reading my blog.

Aloha !

Makena Property on Maui

This incredible piece of Makena property is up for sale, but few understand its full potential.

With the current agricultural (Ag) zoning, and leaving the lot lines as they are, the property could be developed into five main houses and three 1000 sqft cottages. Total acquisition $ 26.5MM for the land, plus a $ 30MM (estimated) build out of all the house and cottages, totals $ 56.5MM. Total gross form the sale of the house and cottages would come in anywhere between $90 MM - 100MM (based on current comps), which allows significant profit margin. Expected permitting and build out to take 5-6 years to complete. With water meters and power available on all four lots, a buyer would be able to start planning right away. An SMA (Special Management Area) is required as part of the building permit condition.

To expand on the development possibilities: If the current Ag zoning were changed to match the Rural zoning called for in the General Plan, the owner would be able to subdivide the total property into fourteen, one acre lots, with the possibility to build a main house and a cottage on each lot. The down side being additional fire protection (water) would need to be brought to the property, a major SMA, and sub-division final approval, would need to be completed before any construction could start. With fourteen new lots, an affordable housing component would need to addressed. The upside being an even higher profit margin.

Another option would be four families who acquire this 4 lot, 14.15 acre, magical Makena property, each take a lot, and build their dream homes with ultimate privacy and space!

Click this Wailea Makena Real Estate link for a complete list of luxury properties in the Wailea / Makena area.

Thank you for reading my blog. If you have any questions, please leave a comment, or call me on 808 276 4017. I look forward to speaking with you soon.

Aloha !