Posted on: Sunday, August 17, 2003
Housing shortage hits new-home showcase
By Andrew Gomes
Advertiser Staff Writer
For those who like to discover the latest in Hawai'i home design and construction by following the Parade of Homes, be prepared for a relatively short tour of the free event this year.
The hectic pace of building and selling homes has created a severe cutback in entries for the industry's premier new-home showcase in its 47th year.
Only three developers entered a total of nine homes — the lowest turnout in 40 or so years for the Building Industry Association of Hawaii event, scheduled to run the first two weekends in October.
The slim showing contrasts with 18 to 39 homes entered in each of the past six years. Also, there are no Neighbor Island participants this year, no custom homes and just one multifamily project. Even one of the hottest segments of the market — timeshare — did not field any contestants.
Developers say participation is low because they are sold out, haven't completed new models recently, have too much traffic through model homes already or suspect they may sell out before October.
"I have no product to show," said Stanford Carr, president of Stanford Carr Development, which won the three top awards in last year's Parade of Homes for projects on O'ahu and the Big Island.
Carr said both of last year's winners — CarriageWays in Hawai'i Kai and Kahakai Estates in Kona — are sold out. He is building a four-story condominium in Hawai'i Kai called The Colony, but models won't be ready by October. Another project on the Big Island caters mostly to Mainland buyers, so Carr said he decided not to enter it.
Another major no-show this year is Gentry Homes, which had two entries last year. Company president Bob Brant said the hot market and no new product persuaded Gentry to sit out this year.
Brant said the company would have entered if it had new models coming out this summer, but its newest product, Tiburon in 'Ewa Beach, opened in December. "That would have been a little stale," he said.
"We realized we weren't going to have any new product, and we have more than enough traffic coming through our models. It takes time and money, and when everybody's busy as hell, it's something you take a look at. We just didn't feel it was worth it."
Entering the contest costs between $2,500 and $7,600 per entry.
Mark Richards, president of Maryl Group Inc., which won a Parade of Homes award last year for its Big Island project The Villages at Mauna Lani, said cost was a factor.
"Frankly, for the money we spend on that, we kinda thought that we had some better ways to reach our buying public rather than go for the ego thing among our peers," he said, noting that new models under construction wouldn't be finished in time for the Parade of Homes.
Richards said he would take a look at entering the promotional contest next year. So will Gentry. And Carr said he plans to enter projects on Maui, the Big Island and O'ahu. "We'll be there next year with a lot of new product," he said.
Organizers said this year's event — themed "Surprises Through Every Door" — will be filled with many examples of innovative materials, building techniques, design and amenities useful to home buyers and people who just like to gather ideas for their homes.
Developers also offer "added-value" incentives exclusively at the Parade of Homes, according to BIA-Hawaii.
The three developers entering are: Castle & Cooke Hawaii, with four entries; Schuler Homes, three entries; and Haseko (Hawaii) Inc. with two.
BIA-Hawaii will publish a guidebook with driving directions and descriptions of the homes entered. The group also expects to have event information online Sept. 1 at bia-hawaii.com. Featured homes will be open from 10 a.m. to 5 p.m. October 4, 5, 11 and 12.
Reach Andrew Gomes at agomes@honoluluadvertiser.com or 525-8065.
