There is strong activity in the Kihei condo market driven by several market factors. 15 Kihei condos for sale went into escrow in January, 26 in February, and 51 went into contract in March and the month isn’t over.
Hale Hui Kai sits on the sand at spectacular Keawakapu Beach, a few buildings south of the Mana Kai. Both properties have featured listings in this Kihei condo list.
Cash buyers and others who are highly qualified are recognizing value when they see it, and are stepping off the sidelines. Prices on some properties have tumbled to those seen in 2003, and motivated and must-sellers are pricing accordingly.
Sellers who really want to sell are looking at previous closings not just at a low-point REO, but the last few sold prices. Listings that are priced close to recent closings are drawing multiple offers in many cases, and even bid up in some.
There are Maui condo deals to be had. Here are six of them, with an end-of-blog addendum: one-liners on four more (it was impossible to go with just six). Later in the week I’ll blog on the final four, but if you’d like a jump on it, just e-mail us and we’ll respond with details. In case you’re wondering, none of these are our listings.
1) Kamaole Sands Unit 4-103 (MLS# 342378) | 1 bed / 1 bath | $299,000
South Kihei’s Kamaole Sands, across from Kamaole III Beach Park. Prices have found the low $300K’s on perimeter building units.
The Kamaole Sands is a blue chip property with a terrific location across from Kamaole III Beach Park, 15 acres of beautiful grounds, one of the best resort pools in Kihei, and an excellent performance as a vacation rental destination. Building four isn’t my favorite, but the prospect of owning anywhere here at less than $300K makes it a top pick. Two units,Â also in building 4, were listed at $290 and $300K and went into escrow in late January and early March.
This REO unit, listed a few days ago, is priced at $35K less than next lowest comparable listed unit. There are other potential targets here (Buildings 4, 8, and 9) that might be even more appealing. They’re listed at under $350K. With another unit (4-103)Â destined to find escrow at under $300K, it’s a good time to cherry pickÂ the best one, and come in with a similar offer. It bears noting also that 4-103 is being soldÂ unfurnished, a rarity at the KamSands and a factor in your ultimate net price to get it rental-ready.
View from the lanai of this Mana Kai Condo
South Kihei’s beaches are among the best in the world, and if you’re looking at 2 bedroom oceanfront condos here, the choice most often comes down to the Mana Kaiâ€”the 8-story high rise that anchors the north end of Wailea’s Keawakapu Beachâ€”and the Royal Mauian, feet from the ocean between Kamaole I and II beaches.
The deals atÂ these twoÂ properties come and go, but right now honors go to the partially renovatedÂ Mana Kai 409 and its magnificent view andÂ recentÂ $200K price reduction, to $999K.
TwoÂ Mana Kai units sold Â in 2009, one for $1M, and one in aÂ less desirable location (three stacksÂ remoed fromÂ the Kihei Road side)Â for $900K. Prior to that, you have to go back to 2005 for a lower priced sale. From 2005 to 2008 inclusive, 13 Mana Kai units sold, at an average of $1.26M. Today’s 26% discount over that average, Â and the fact that Mana Kai’s recent $5 million renovation has transformedÂ the propertyÂ makes this unit a buy.
The more rustic four-story Hale Hui Kai, on the sand at Keawakapu Beach and just a few hundred yards south of Mana Kai, has a distinctly different feel: it’s smaller, more intimate, and beachy. Units here are also a little larger, though views from this one aren’t as dramatic as its Mana Kai counterpart.
If you’re shopping this terrain, however, unit 305 deserves a long look at $899K. It’s a nicely renovated unit with a decent side ocean view. It’s about 130 square feet larger than the Mana Kai higher-rise unit. Sales figures here have roughly paralleled those at Mana Kai. You have to go back to 2005 to find a comparably-located unit that sold for $900,000 or less.
4) Island Surf 302 (MLS# 340446) | 1 bed / 1 bath | $235,000
Across the street from the beach for low $2ooK
The Island Surf is best appreciated from the inside, looking out — the wedge-shaped Kihei landmark was designed to saturate the ocean views off The Cove surf point a couple hundred yards away, and the trade winds bathe the building. Owners here appreciate the ongoing full-time show below — the daily beach rhythm of life on Kihei Road. To further accentuate the Surf’s unique flavor, there are an assortment of retail (surf shop, great local plate stop, veggie cafe, etc) on ground level. The property is also an approved vacation rental, with a second-story pool.
There was a closing in February at $210K. Two sales in late 2009 closed at $290K to $295K.
5) Kai Makani 30-302 (MLS# 340414) | 3 bed / 2 bath | $430,500
I try not to get too excited about short sales and the roller coaster ride and pitfalls they inevitably produce for my buyers, but the property sometimes justifies the chase. Kai Makani is a stylish, elegant, and very well planned residential condominium property a few hundred yards from North Kihei’s Sugar Beach, just completed in 2007. Unit 30-302 features the property’s largest floor plan, at 1,238 square feet.
Kai Makani features a nice pool and workout room, is pet friendly,Â and the buildings are much like individual neighborhoodsâ€”manyÂ of them owner occupied. Only one 3-bedroom unit in this history of the property has closed lower than this list price (by $1,000, the last sale). The average sale price for a 3-bedroom unit since the project opened is $560,000.
6) Keonekai Villages 24-206 (MLS# 341166) | 2 bed / 2 bath | $224,900
This property’s location close by Kamaole III BeachPark, adjacent park, well kept grounds, and various yard settings and configurations make it my top choice in large, lower priced residential condominium properties (no vacation rentals permitted.)
Bottom-end pricing has found the low 200s here, where rentals are generally in higher demand than price-contenders Kihei Villages and Kihei Shores. This would be a great unit to own in the low 200s range — it’s nicely renovated and in a good location on the property.
3 More Kihei Condos I Like
- 1-bedroom vacation rental located near The Cove…needs a reno, but low price per square foot and south Kihei location make it viable, at $150K
- 2 bed / 2 bathÂ residential condo across from Kamaole I Beach, appealing building in a great location. Nicely sized. No vacation rentals. Excellent entry level choice at $250K
- 2 bed / 1.5 batj residential condo. Usually not a big fan of this property, but how can you not like owning income-producing real estate on Maui for $135K?