Loan program helps repair unsafe homes

By Treena Shapiro
Advertiser Staff Writer

One night, while in front of the TV, Napua Kai watched as part of her ceiling collapsed in front of her.

Napua Kai and her husband got help from a general contractor specializing in low-income clients, and they were approved for a $50,000 loan. Deborah Booker • The Honolulu Advertiser

Once the ceiling broke in the area she used for a bedroom, Kai began having to move her bed around to avoid water dripping through the roof. "I just moved according to where it wasn't leaking," she said.

Eventually, Kai said her husband just removed what was left of the ceiling and covered the exposed electrical wiring with tarp. "We had a tarp in here to collect the water, and we had a big barrel," she said. "The whole ceiling fell in."

Kai said she wasn't worried about her own safety, but was concerned that something could happen to one of the nine grandchildren whom she watched in her home.

Living on the side of a mountain on Tantalus Drive, she said, "I just had this feeling that one day, I might end up down there in the valley."

Kai and her husband eventually got help from a friendly contractor and the city, but it wasn't easy.

Living on a fixed income that recently rose to $900 a month, the couple had no money to fix their roof and ceiling and no hope of getting regular financing from a bank. Meanwhile, they were losing their furniture and carpeting to water damage.

The city receives about $3 million in federal money every year to lend to low-income homeowners who need to renovate their property, but Kai's rehabilitation loan applications were rejected three times. She had too many bills, no home insurance and not enough income.

For eight months, Takahashi walked Kai through the city's Rehabilitation Loan Program application process for the fourth time."Where ever I got stuck, he would come and walk me through it," she said.

In December, she was approved for a $50,000 loan. Two days before Mother's Day, the major repairs were complete. Kai said she hopes all the renovations will be completed by Thanksgiving, so she can begin watching her grandchildren in her home again.

Now Kai wants to spread the word to other people living in dangerous conditions. "Even with a fixed income, it can become a reality. They can get their homes renovated."

The city still has about $2 million in federal money to use for rehabilitation loans through the end of June. Since the program has started, city spokeswoman Carol Costa said the city has loaned about $13 million.

"The average loan is around $40,000 to repair an unsafe and unhealthy residence or living unit," she said.

City Bank has stepped in to help Takahashi's company get enough start-up capital to begin the renovations. "It looked like a very worthwhile project and we're very happy to be a part of it," said vice president Graham Wood.

He said without the city program, there is no way a person of Kai's financial status would qualify for a loan. "It would have been impossible."

City Councilman Gary Okino wants to see the city distribute all the federal money allocated for the rehabilitation loan program. "I just hate to see all this federal money lying around," he said.

Takahashi said the problem is that many people living in dangerous situations may not know that the loans are available, may not know how to fill out the application or may be too intimidated to go through the process.

He said he would be willing to help people through the application process and select a contractor — such as his company. "People get lost in the process," he said. "I would help them whether I get the job or not."

Takahashi, 56, worked as an accountant and ran a golf course concession before turning to construction about six years ago. He has worked with about 10 families living in deplorable conditions.

"I've never found one so fulfilling," he said of his job.

Takahashi can be reached by phone at 521-4927 or by pager at 583-5788.