Kailua-Kona housing project prices double
Associated Press
KONA, Hawai'i — Changing economics will double the original price announced for homes in a long-delayed Kailua-Kona housing project, but the new builder says the homes still qualify as affordable housing.
Hawai'i-based Schuler Homes, which merged last month with D.R. Horton Inc., announced it will develop 260 lots at the Pualani Estates subdivision started six years ago with the backing of an Australian developer.
Homes will be sold in a range around $250,000 for homes from 1,100 to 1,900 square feet. In 1994, the previous builder said it would offer homes for around $110,000.
The affordable tag still applies, according to Edwin S. Taira, assistant county housing administrator. He said current interest rates at 6.5 percent qualify a $247,000 home as affordable to a family of four.
"We believe that as the island continues to diversify its economy, more affordably priced homes will be needed for local residents," said Mike Jones, president of Schuler's Hawai'i Division.
Schuler announced Tuesday that it hopes to begin site work on Pualani early next year, with the first homes to be completed in the latter half of the year.
Pualani Estates, backed by Assets International of Perth, Australia, began selling lots in 1994. It abandoned the project in late 1995 after a $10 million investment, blaming poor economic conditions brought on by the Gulf War and economic decline in Asia.
Only two model homes were completed.
It is Schuler's second Big Island development. The builder last year announced a venture with Parker Ranch to develop a 60-acre subdivision of 300 homes between Paniolo Park and Waimea School.
