Maui 1031 Exchange Golf Course Living Kapalua Golf Villas to Beachfront Mahana at Kaanapali

Many Hawaii vacation rental buyers struggle with the internal conflict to purchase a direct oceanfront/beachfront condo or a non-oceanfront one. Clearly, there are a lot of important considerations to take into consideration. It’s tough to beat oceanfront but the cost/sq.ft. is considerably higher as are the nightly rates. You can get a lot more “bang for the buck” on non-oceanfront buildings so if size and budget is very important or you have concerns about sea level rise, perhaps something across the street from the ocean or a golf course fronting property might be right for you.

I have assisted many with the intricacies of this process and such was the case with my friends and client, Todd Hensley. Two years ago, Todd relocated to Maui from LA and I represented him on the purchase of his home in Kaanapali Golf Estates. Todd decided to further invest in Maui by picking up his first income producing property with buying a vacation rental condo at the Kapalua Golf Villas. Todd and his girlfriend always had dreams of owning oceanfront property here on Maui.

ocean view maui condo

Above is the golf course, outer island, and ocean view from Kapalua Golf Villas 20T8. Link to Kapalua Golf Villas 20T8 Vacation Rental Site here.

About 6 months after owning the Kapalua Golf Villas 20T8, Todd decided that he wanted to pursue his dream of owning an oceanfront Maui Vacation Rental property. Inventory was very sparse at the time but I let Todd know that there was one absolutely perfect property on the market at one of my very favorite vacation rental properties, the Mahana at Kaanapali.

Todd followed my listing recommendations and we were able to put his property under contract immediately and closed 30 days later to an cash over asking price buyer. Once we put Todd’s property under contract, we were able to succesfully negotiate a purchase contract on Mahana 508 subject to his Golf Villa closing. About a month after the Golf Villa closed, Todd’s loan funded and he was able to close on Mahana 508. Our team worked diligently to transition the property from the previous management company into ours. This leads into a very detailed previous blog post where I touch on these important steps: Properly Transition a Hawaii Vacation Rental Property During a Purchase Part 1

Although I didn’t represent the buyer on KGV #20T8, the Buyer elected to keep the property in our management program and the link for reference can be found above.

If you are interested in perusing all actively listed Kapalua Golf Villas here is the ability to do so.

Link to Kapalua Golf Villas Real Estate for Sale

Mahana 508 Before Condo Refresh:

maui condo living room before refresh

outdated furniture in living room

bedroom with large glass door with ocean views

A Few Words from Todd Hensley:

“We had a condo in the Kapalua Golf Villas which had lovely views of the Kapalua Bay course and the ocean but really had our hearts set on ocean front. Fortunately, the market in Kapalua had increased to a point that the profits selling from selling it were enough to finally land the dream condo we found at the Mahana. Only problem was Uncle Sam was going to want his share. That would put us over budget for the Mahana property.

Jeremy gave us excellent advice as his seller clients and brought us multiple competing offers. He shared astute contractual negotiation insight and we were able to close to an all cash buyer at over asking.

That’s when Jeremy walked me thru the 1031 process and connected me with IPX. They further explained the benefits and terms very simply and made the process simple and seamless for me. The profits we were going to make from the sale exceeded the 30% down required for my Mahana purchase. IPX, in coordination with Pacific home loans, were able to build it into escrow that the down payment I had put down on the new property would be covered in the exchange and were returned to me at close.

I recently did my taxes and got a virtual standing ovation from my accountant for the way the transaction was handled.

Jeremy may not be very good at golf, but his advice on how to utilize a 1031 exchange in order to make the dream of an ocean front a reality was right on par. “
-Todd Hensley-

Mahana 508 Post Refresh

Below are a few shots of how this property looks now and is offered through the Stice Team of Hawaii Life Vacations. Link to Mahana 508 Rental Site Here.

Our team worked diligently with Todd, his girlfriend Autumn, and our network of contractors, our in-house professional design team, and furniture suppliers to create an absolutely stunning new offering shown below.

dining room and living room with ocean views

living room with updated furniture

updated furniture in bedroom

The Mahana at Kaanapali is the most spectacular oceanfront setting in all of Maui in my opinion. All of the units (studios, 1bd/1ba, 1bd/2ba, and 2bd/2ba are all direct oceanfront and have unobstructed 180 degree views of Lanai and Molokai island. Search all Mahana at Kaanapali Active Listings here 

The results of the hard work have been immediate as we have already earned four different 5 Star Reviews on the property since starting earlier this year. We already have over $60k on the books for the remainder of 2022 despite some ongoing substantial ongoing construction projects at the resort. You can see all of the Maui Vacation Rentals that my team has to offer here: Stice Team Hawaii Life Maui Vacations.

Mahana 508 Performance as of April 19, 2022

graph of mahana 408 performance

Mahana 508 Feature Video

Why Hire Jeremy Stice

  • Licensed since 2006 at age 23; Third Generation Realtor
  • Top Selling Broker in the Entire State of Hawaii under age 40.
  • $40M Sold in 2021 and a very consistent track record of vacation rental condo sales.
  • Born and raised on Maui; Seabury Hall and Babson College educated.
  • Honua Kai Homeowner Investor and Ka’anapali Coffee Farm property owner.
  • Facts. Analysis. Performance.
  • Expert negotiator and astute contractual knowledge.
  • Comprehensive pricing Analysis- more valuable/insightful than an Appraisal.
  • Complimentary In-house design and staging services by Laura Lancaster of WIBU Interior Designs.
  • Commitment to stellar “white glove“ services.
  • Driven, Knowledgeable, assertive, determined, and fun to work with.
  • Solution-oriented and able to navigate very challenging issues.
  • Listens well and has strong communication skills.
  • Introduced and established Hawaii Life Real Estate Brokers, Hawaii’s Top Real Estate Firm to Maui in 2009.

Work with a True Vacation Rental Specialist

My wife and I have owned an investment property at Honua Kai since 2014, I have represented countless buyers and sellers on Vacation Rental Properties in Hawaii, and we operate a top performing vacation rental program operating within numerous resorts in Maui.

Jeremy Stice R(B) at Your Service

As the director of Hawaii Life’s West Maui Vacation Rental portfolio and one of Hawaii Life’s top-selling Brokers, my team and I are here at your service. I was born and raised here in Maui, am a third-generation Realtor, and my wife and I have called West Maui home for the last 10 years-we enjoy sharing our passion for it with all who are interested. I make a commitment to pick up my cell phone as best as I can, return voicemails, text messages, and email in a timely fashion. I also work 7 days a week so feel free to call me anytime you need me. I am here at your service, I look forward to sharing my passion and expertise with you. Want to follow my blog via email updates? Please enter it below. This will not be used for any other reason than automatic blog updates that I post. Subscribe to the Jeremy Stice Blog Roll Here 

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