Affordable housing is a real problem, what is the solution?
Stay informed on upcoming legislation that may impact you
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Maui Mayor Richard Bissen announced a bill to eliminate vacation rentals in apartment districts, specifically the ones on the Minatoya List zones A1 & A2.
Thousands of short-term vacation rental apartments could be prohibited from offering short term occupancy as early as July 1, 2025, for West Maui, and Jan. 1, 2026, for the rest of Maui County.
The proposed bill will be submitted first for review to Maui County planning commissions before going before the Maui County Council. The first public hearing on the bill will be before the Maui Planning Commission on June 25.
Strong pushback and legal challenges from vacation rental owners and community leaders are expected throughout the process.
13 Compelling FACTS Regarding Legal STR Properties on Maui
Act Now
We need you! Testimony will take place on June 25th, it’s time to start drafting testimony, they need to hear your personal story.
Do you live on Maui and own and STR? Please consider testifying in person. To find out more, join the FACEBOOK page “STR’s Aren’t the Problem” to connect with other locals, property owners and community leaders.
Please also reach out to family and friends on the island as well as property managers, cleaners and vendors who work within the industry. We will need their voices to be heard!
What's going on?
Maui’s affordable housing crisis has not been addressed properly for years.
The devastating Maui wildfires have now exacerbated a pressing near-term problem of housing displaced residents, but also the challenge of rebuilding to meet longer-term needs.
Legislation SB2919, which grants Hawaii counties full control over short-term rentals passed the legislature, and was recently signed into law by the Governor.
Now County of Maui has introduced a bill to eliminate short term rentals on the Minatoya List which impacts over 7000 units.
How it could impact you
This legislation has the potential to upend the tourism industry in Maui. The proposed changes are expected to have big economic impacts, including potential job losses in multiple areas related to vacation rental support, as well as decreased visitor spending.
There will also be a significant reduction in property tax revenue from these vacation rentals, which currently are a major financial support for all of Maui. Bissen acknowledged these challenges while maintaining that the priority must be to “house our local residents, especially now.”
The bill will next move to the planning commission for Maui, Molokai, and Lanai islands. It will need approval by the county’s Housing and Land Use Committee as well as by the full county council. There will also be public hearings which there will be strong divisions voiced about this.
What the many thing the government has yet to address is that many of the buildings on the Minetoya list were designed for travelers and therefore lack schools and other infrastructure families need. These buildings were also never designed for long term rentals, lacking basic storage, parking and services. The ongoing fees and maintenance on these 30-50 year old buildings far exceeds what the local community considers affordable housing.
LEGAL EXPERTS WEIGH IN
While addressing Maui’s housing crisis by returning apartment units to long-term residential use is a laudable goal, Mayor Bissen’s proposed phase-out of vacation rentals in these properties raises legitimate constitutional concerns over regulatory takings and property rights that could prompt legal challenges.
The county must carefully craft reasonable amortization periods, transfer provisions, and clearly define the public purpose criteria to withstand judicial scrutiny that the law does not arbitrarily overreach government authority.
However, courts have given municipalities significant leeway with land use regulations in the public interest, so a thoughtfully constructed ordinance balancing private property rights with remedying the affordable housing shortage could pass constitutional muster – though a poorly constructed law risks being bogged down in lengthy litigation delaying relief for those most impacted.
Robust public input will be critical as the county walks this legal tightrope between regulatory necessity and constitutional property protections.
STAY INFORMED
STR's Under Attack at the State Legislature (MVRA)
13 Compelling Facts Regarding Legal Short-Term Vacation Rental Properties on Maui
Thousands Of Maui Vacations Rentals First To Be Cut (Beat of Hawaii)
Maui Council passes bill to end hotel moratorium, but cap transient vacation rentals (MauiNow)
