Developer seeks to add homes at Royal Kunia
By Andrew Gomes
Advertiser Staff Writer
With Hawai'i home sales running ahead of last year, Castle & Cooke Inc. is seeking to increase the density in its next subdivision at Royal Kunia.
The California-based homebuilder plans to build 224 single-family homes on a 32-acre Anonui Street parcel near the Royal Kunia Golf Course by the end of next year. Prices are expected to be about $250,000 to $320,000 at the as-yet-unnamed project.
To fit more homes on the property without sacrificing prices, Castle & Cooke is offering to build a roughly half-acre neighborhood park in return for a city permit that would allow positioning the homes in the middle of the almost-4,000-square-foot lots.
Under applicable zoning requirements, homes built on lots between 3,750 and 5,000 square feet require homes be positioned flush with one of the lot edges, known as "zero-lot-line" construction.
Alan Arakawa, Castle & Cooke's vice president of development and construction, said centering the homes is more attractive to buyers and will allow Castle & Cooke to maintain prices.
"It's a better land plan," he said. "Ultimately, our buyers get a better product."
The proposal is one of several ways developers can build single-family homes on lots smaller than 5,000 square feet. The proposal will be the subject of a public hearing at City Hall Annex on Sept. 14 at 1:30 p.m.
Castle & Cooke is building about 150 single-family homes at four Royal Kunia projects this year, including Expressions II, Gallery Homes, Royal Vistas and The Pointe. Overall prices range from $240,000 to $360,000.
The neighboring Royal Kunia Golf Course, idle since its construction in 1994, is expected to open by December. The City Council allowed owner JAC Hawaii to satisfy a $13 million balance of a $25 million impact fee with $2.5 million, plus $1 per round for the life of the course.
Arakawa said the course opening should increase exposure of Royal Kunia homes but did not affect Castle & Cooke's decision to increase building. "The market has been getting better, and we're trying to meet the demand," he said.
Royal Kunia was conceived by Herbert Horita in 1988 as a two-phase, master-planned development of 4,000 homes. In 1992, after financing and permitting delays, Horita sold a 50 percent stake to Castle & Cooke, which became general partner of the 1,900-unit first phase.
Horita maintains control of the unbuilt second phase.
Castle & Cooke estimates completion of phase one by the end of 2004.
