Groundbreaking held for Līloa Hale, a 117-unit affordable senior housing project in Kīhei

A groundbreaking ceremony with a Hawaiian blessing marked the beginning of construction of 117 units of affordable senior rental housing at Līloa Hale, a project in Kīhei by Hale Mahaolu and Highridge Costa Development Co.

“When you participate to bring an affordable housing community, you’re part of a legacy for future generations of kamaʻāina to live with dignity in a place they can call home and a place that they know they can afford without any ongoing rental or operating subsidy,” said Moe Mohanna, president of Highridge Costa Development Co.

“Today is a day of celebration and a day of gratitude,” said Grant Chun, executive director of Hale Mahaolu. “Celebration because, of course, we’re embarking on an effort that’s going to bring 117 new homes to our Maui kūpuna and gratitude because, as Moe said, ‘It takes a village to build a village.’”

The project for seniors 55 years and older is located on 3.61 acres next to Hope Chapel and near the intersection of Līloa Drive and East Welakahao Road. Hale Mahaolu’s already existing 114-unit senior housing complex, Hale Mahaolu Ehiku, is south of the project site.

Plans include a picnic area, community meeting room, a clubhouse, a laundry room and a landscaped outdoor plaza.

Tuesday’s groundbreaking event came a little more than two weeks before Chun’s retirement from the agency at the end of this month. He will be succeeded by Anders Lyons, a former consultant at Kapalaea Consultants.

Dignitaries attending Tuesday’s event included Lt. Gov. Sylvia Luke, state Sen. Troy Hashimoto, South Maui Rep. Terez Amato, Maui County Council Member Tom Cook, new Department of Housing Director Richard Mitchell and Hawai’i Housing Finance and Development Corp. Executive Director Dean Minakami.

In remarks before the blessing, Luke said that “because so many kūpuna lost their homes… lost the sense of belonging when the fires happened, (Līloa Hale) is providing an opportunity for so many people to find a sense of community, find a sense of belonging so that they have dignity, and can age in a safe place.“

Minakami said Maui’s housing shortfall is felt especially by the island’s kupuna, so Līloa Hale provides “housing inventory where it’s needed most.”

Collaborative projects, such as Līloa Hale, are the key to unlocking much-needed affordable housing, he said.

“Those of us working towards building affordable housing know that developers, working alone, would have a difficult time,” Minakami said. “And, by the same token, any one government agency, working alone, is hard-pressed to find much success. It’s only through collaboration between multiple private sector elements working alongside multiple government agencies that we achieve our greatest successes.”

The project will be a low-rise, three-story wood structure designed by Honolulu-based Design Partners Inc. The structures will have 101 one-bedroom and 16 two-bedroom apartments with an average of 39 residences per floor. Buildings will have interior ventilated corridors and two elevators, one on each end. Residences will have amenities such as a range and oven, refrigerator, air conditioning, garbage disposal, carpet and window coverings.

Hale Mahaolu will manage the completed complex.

Construction is expected to begin Monday and be completed in March 2026. Hawaiian Dredging is the general contractor. Goodfellow Bros. will be one of the subcontractors working at the site.

Apartment units will be offered for rent to seniors 55 years and older earning from 30% to 60% of the area median income. Monthly rents will range from $481 to $1,320.

In July, the HHFDC board of directors voted to award the Līloa Hale project $23.9 million in a low-interest loan through the Rental Housing Revolving Fund; $37.3 million in issuance of tax-exempt revenue bonds; and $39.3 million in federal and state tax equity, Minakami said.

Highridge Costa built Hale Moena ʻOhana and Hale Moena Kupuna, both affordable complexes and the first mid-rise residential towers in Kapolei, Oʻahu, he said. The Hawaiʻi Public Housing Authority has hired Highridge to lead a statewide effort to add 10,000 affordable housing units, he added.