|
|
|
Polo Beach Club Real Estate Update
We will target this unofficial newsletter to sales and related real estate matters here at Polo and surrounds. There’s a lot going on and coming down.
Although 2006 was close to a banner year for Polo sales volume, this year has been slower. Sales prices have seen no decline at our property (we are still on the rise), but current sales activity is at half the level it was this time last year. Polo Beach Real Estate Update 9/07 Presently at Polo:
Four units are for sale here at home. Unit 509 is listed with Jackson & Company at $2,695,000. This is currently the most attractive price offered. We also have the beautifully remodeled Unit 809 listed at $3,500,000. Maui Multiple Listing Service shows Unit 108 offered at $2,795,000. Unit 109 listing price is $4,200,000. A second MLS posting shows 109 offered for $1,400,000, although this would be the price for a one-third share. A half-share purchase may be available for $2,100,000.
Jackson & Company participated in four of the total six sales in Polo during 2006. There have been two sales in Polo this year. In January 2007 we represented Buyer and Seller, closing unit 706 for $2,875,000 in one of our speediest escrows on record. Many of you have met Lucy and Lloyd over the years, as they have stayed at Polo often in the past, and know the names of all the turtles from here to the Maui Marriott. In February our Polo 503 listing closed at $2,400,000. Owners Dave and Patty are no newcomers to Maui…they definitely have sandy feet. We’re very glad that our new next door neighbors have their toes in the sand at Polo Beach.
At the beginning, it seemed as though the year 2007 had plenty of momentum. However, from March on the pace has dwindled. Here’s a look at 2- bedroom units in our neighboring established beachfront properties.
Makena Surf update:
Three listings are offered between $2,400,000 and $3,165,000. Two are in escrow with asking prices of $2,645,000 and $3,180,000. Two sales have occurred in 2007. Prices were $2,500,000 and $2,550,000. The only two sales in 2006 were just above $3 million. Both sales occurred in the early half of the year.
Over at the Point:
Four 2-bedroom places are for sale at Wailea Point. For the first time in ages we see something offered under $2 million over there. Well, just barely, at $1,999,999 (now through the weekend). A couple more are offered in the $2 million range. A prime ocean front is available for $4,900,000. It features a fabulous remodel but has been on the market for more than a year. Only one sale has occurred at Wailea Point this year for an unusually low price of $1,800,000. Please forgive me, it is ridiculous to say $1.8 million is a low figure...but I am quite certain no one at Polo would consider selling at that price. By the way, as a counter point (no pun intended) the entire upper level unit 1602 is in escrow. This four-bedroom prime ocean front has an asking price of $10,000,000.
Some settling at Elua:
A bit more for sale here at Wailea Elua, with some softening in pricing…but bear in mind that location in Elua is a major factor in value. Right now there are five 2- bedroom units for sale. The lowest asking price is $1,700,000; the highest is at $2,200,000. The one upper level unit in escrow in a nice view location has an asking price of $3,195,000. The two sales so far in 2007 recorded at $2,090,000 and $2,200,000. Both are considered good view units.
Respectable activity at Ekahi:
Although Wailea Ekahi is promoted as an ocean front location, only a very small portion actually meets the Pacific shore. Still and all, it’s a beautiful property with lovely landscaped greenbelts and the all-important beach access. The four 2-bedroom units for sale range from $1,495,000 to $1,875,000. Guess which one is closest to the sand? The two sales this year were at $1,200,000 and $1,500,000.
Busier at the Wailea Beach Villas:
Actually, the 2-bedroom activity is not super extraordinary. Four 2-bedroom units are offered from $2,195,000 to $3,900,000. Two sales in 2007 were in the $2 million range, and a third sold for $3,425,000. However, the demand for the 3-bedroom Beach Villas and Penthouse units really boomed. Six are offered for sale: One in the high $3 million range, one at $4 million, two in the $5 million field, one on the high side of $6 million, and the topper offered at $9,200,000. Now take a look at the 2007 sales in this 3- bedroom category: four sales between $3,785,000 and $4,800,000; a fifth sold for $7,130,000 and the sixth for $10,200,000. This knocked double-wide Wailea Point 1601 off the pedestal. When #1601 sold in May of last year for $10 million, it recorded as the highest priced condominium sale in the state of Hawaii.
The Baccarat blast off!
The Renaissance is indeed coming down. And from the ashes will rise…Baccarat Wailea! With this ultra high-end branding of the 15.6-acre beachfront “re-development” project, we can expect a new and stellar level of service and accommodation in the hotel resort and residences arena. Watch out, Four Seasons!
Demolition is scheduled for early September. There promises to be a web cam on site, so those who have already bought in can monitor the progress of their substantial investment. We have two full pages of resort and residence features, plus floor plans, site and elevation plans, the works. Monthly fees will be twofold: There will be a maintenance fee and a service fee. Holler if you want more details. For now, a quick summary:
There will be 193 private 1, 2, 3 and 4-bedroom residences plus spa, specialty bars and restaurants featuring world renowned chefs, meeting rooms, event lawns, fitness center, children’s play center, game room, beachside pool, custom furnishings plus Baccarat crystal and sculpture. There will be full concierge and private butler services, valet underground parking, 24-hour security, a la carte food, beverage and maid services.
The resort will be configured into three distinct levels: Beachfront, Central and Upper Resort. A good portion of the residences will be 1 bedroom and 1 bath units of 1,100 to 1,200 square feet. Imagine this revised concept of hotel accommodation…Living area, kitchen, bedroom, bath & lanai, about this size of our average Polo Beach unit.
The Grand Opening Sales event occurred July 27th, with a lottery the following day for those who did not get their first choice. There were 42 pre-sales to “Founder” investors. An additional 100 units were offered at the Opening Event (the remainder will be held for future release). It was not quite the scramble witnessed at the Beach Villa sales event, which was a virtual sell out. This might be due in part to significantly higher pricing, and partly to a perceived trepidation regarding market conditions nationwide. After the two-day sales event 39 additional units went into escrow. A total of 81 Baccarat Wailea units are presently “sold.”
Right now our four-page list of available inventory shows two Beachfront locations from $7 to almost $9 million. These are 2 and 3 bedroom floor plans. There are 19 Central Resort units available. These are 1, 2 and 3 bedroom plans ranging in price from $1,862,000 to $4,998,000. The 44 remaining units from the original offering are located in the Upper Resort. These are primarily the 2, 3 and 4 bedroom plans.
Not such a brief summary after all…The build out will likewise be lengthy. It should be at least two and one-half years before the elegant Baccarat Wailea lobby is ready to receive residents, renting guests and neighbors. Both restaurants and the spa will be open to the public.
Magnificent in Makena - Maluaka revisited:
We previewed “Shades of Comfort” in previous letters. Since then, initial sales have gotten underway for this exclusive, strictly residential development on 11 acres due south of the Maui Prince Hotel.
In review: there will be 69 condominium residences comprised of 11 buildings and 2 free standing bungalows. The property is situated along the 15th and 16th holes of the Makena South Golf Course. While not strictly a beach/ocean front location, the spectacular views overlooking the slender green belts are uncompromised.
The private 35,000 square foot Club at Maluaka will offer a variety of exceptional services 7 days a week. Club facilities will encompass a world class, full service Spa & Wellness Center, fitness center, 25 meter infinity pool with whirlpool, dining facilities with many options, wine cellar and a full time Hawaiian cultural steward. Beach services will include chaise lounges, umbrellas and recreational ocean equipment. Residents will apply for Club membership, and these expenses will be separate from standard condominium maintenance fees. Monthly Club dues are estimated at $1,250 and estimated annual food and beverage minimum at $2,000. Condominium maintenance fees will be based on square footage of interiors, but should range from $2,200 to $2,500 per month.
Interior residential features (too numerous to cite here) are impressive indeed. However, we have floor plans, lists of feature details, site plans and view projections available. This will be a gated entry property with 24-hour security kiosk, security elevators with private entry access and deeded covered parking with locked storage rooms.
Because Maluaka is strictly residential – no rentals allowed – there was a mandatory 30- day purchase period open only to buyers committed to full time residency. I believe there were nine contracts completed in this period. Subsequent sales to Founders and investor owners brings the total “sold” tally to 23. I can provide a list of the 14 units currently offered for sale. These are all 3 bedroom floor plans from 3,150 to 4,556 square feet. Prices range from $4,055,000 to $10,250,000. The balance of 34 units is on hold for future release. Developer Dowling hopes the project will “go vertical” by this November.
Closings underway at Ho’olei:
Every few days another closing occurs, although the property is still raw in some areas. Construction may conclude by July 2008. The new stop light at the Ho’olei entrance, across from the side entry to the Grand Wailea, is now up and bwebpageing. Of the total 120 townhouse units, only 13 have not yet sold. Two of those remaining are under $3 million. The remaining 11 range in price from $3,195,000 to $3,995,000. Eventually all owners and renting guests at Ho’olei will be sharing the beach and many of the grand amenities at the Grand Wailea. A jitney service will provide transport to and fro.
Papali impresses!
Exceptional in concept, quality and execution, Papali is emerging as a true gem in the Wailea collection. Terraced high above the Wailea Kai neighborhood, this 10-acre parcel is zoned for 80 condominium units. Award-winning, Seattle-based Architect Ed Weinstein envisioned and designed a residential community of just 24 spacious, gracious homes. The single-level 3 bedroom/3 bath plan is keenly appropriate for our tropical environment. To wit: There are some 1,300 square feet of covered and open lanai space. Overall emphasis is on broad ocean views from within and without, lush landscaped avenues and borders for privacy, color, texture. There is an element of quiet elegance, and amenities to promote a healthy lifestyle. The spectacular pool and fitness facility are of a scale that would easily serve a much denser, much larger property. Construction is in full swing, but I encourage after-hour on site tours. I was initially quite enthused by the concept, but am very impressed by the reality.
There have been 17 sales at Papali, and three units are currently offered at $3.5 million. Four units are held for future release. If you would like to have a very special tour, call me. It is profoundly enlightening to experience Papali with Ed Weinstein as our host.
More up and coming or coming up soon in Wailea:
Soon enough there will be no pukas left undeveloped in Wailea. Just where the Pi’ilani Highway drops us into the resort, the Wailea Gateway Center is underway. Dust screens are being erected before serious grading begins. Abutting this project on the Kihei side, 12 home sites are being prepared for future construction. There are 9 additional home sites planed for the parcel next to and just north of the Diamond Resort.
Special Management Area approval has been granted Kila O Wailea. This will be a development of 75 condominiums on 12.5 acres. The parcel is located at Okalani and Wailea Alanui. Plans are for 15 buildings of 5 units each. Three of the 12.5 acres will be dedicated to open space. Refreshing, that!
Major moves in Makena:
Big news in the neighborhood was the $575 million sale of the 1,800-acre Makena Resort to a hui of veteran local developers. Everett Dowling plus partners “Chuck” Sweeney (of Kea Lani fame) and Jon Miho (born and raised on Maui, now an attorney in Honolulu), have teamed up with Morgan Stanley Real Estate. This giant entity has steered more than $100 billion in real estate investments since 1991. The sale included the 310-room Prince Hotel and the two 18-hole Makena Golf Courses. Presently about 1,300 acres remain unused. For years the Seibu Group, previous owner, has been rebuffed in attempts to develop this land. There seems to be a groundswell of local resistance.
Dowling’s 20-year plan would include 1,100 luxury homes, condominiums, apartments and a time-share hotel. No one says if there are plans to refurbish the Prince or take it down. So many factors hinder potential development, water being a key issue. Dowling promotes green building concepts that may lessen demand for water. A new wastewater treatment plant would be included in the build-out. While some might say Dowling’s apparent commitment to the environment is no more than developer-speak, he does seem willing to put some of his money where his mouth is. He recently pledged $250,000 to the Hawaii Nature Center in Iao Valley.
Honua’ula still under fire:
Almost every week a new twist, turn or concern pops up, adding to the litany of issues that have inhibited approval for the development project originally called Wailea 670: Water, traffic, density, exclusivity, overloaded infrastructure, harm to the native dryland forest…the list goes on. Most recently, the Maui County Council members decided they want the private golf course planned for Honua’ula opened to public play.
Meetings and debates continue. Still under question is how the recently passed county “Residential Workforce Housing Policy” will affect Honua’ula. Interpreted literally, 50% of the proposed 1,400 housing units must be priced at affordable prices. Determining what “affordable” is may prove difficult, if not ludicrous. But the need for 700 new homes local residents may manage to afford could prove to be an irresistible carrot for council members. The information offered in this unofficial newsletter deemed reliable but not guaranteed.
JACKSON & COMPANY The Unofficial (End-of-Summer) Polo Beach Club Newsletter
New Maui Tidbits, many are courtesy of Phylleen Jackson Jackson and Associates 808 874 1336 |
| |
|
|
|
|
A
PLUS RESORTS - for