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Kona Residential Housing Demand Relative to Roval Vistas Paae 1 <br />Testimony Summary <br />The subject property is attempting to reduce housing prices, stabilize welfare within our community, provide <br />shelter for our workforce (fueling our economy), and increase the county and the state's ability to support and <br />sustain the less fortunate in our community... all by building homes for our middle and middle -lower income <br />neighbors. <br />Hawaii has seen a significant increase in families living in poverty, according to an Aloha United Way report <br />released this month, thanks to the pandemic, and inflation. And the coming recession will make this worse. <br />15% of Hawaii households were below the federal poverty line in 2022, up from 9% in 2019 (1 in 7 of us). <br />Another 26%, 1 in 4, are considered ALICE households, or some 634,000 people having tough times. <br />ALICE — Asset Limited, Income Constrained, Employed. Per the report, "ALICE workers educate our <br />children, keep us healthy, and make our quality of life possible, yet do not eam enough to support their own <br />families. ALICE households are forced to make tough choices, such as deciding between quality child care or <br />paying the rent, which have long-term consequences not only for ALICE, but for all. How many? <br />39% of the families in North Kona (5,831 households), 48% in South Kona, 33% in South Kohala , or 2,166, <br />Total Percent ALICE Alice & Below <br />North Kona 15,073 39% 5,878 <br />South Kohala 6,495 33% 2,143 <br />South Kona 3,609 48% 1,732 <br />Leeward 32,750 32% 10,439 <br />Note this is 2018 data, not 2022 data - it's not yet processed down to the county level. However, the statewide <br />numbers came in at 15%, 6% points higher than the 9% statewide in 2018 <br />4 years ago, a study was done by the state on housing, describing the effects of high housing costs on families. <br />It found evidence of doubling up ('more than one family group' in a household) and crowding (2 or more <br />persons per bedroom). For this area, North Hawaii, showed that <br />1. 13% of the households in the North Hawaii area had two or more families per dwelling, and that <br />2. 10% had more than 2 persons per bedroom and that <br />3. 21 % of all households had to double up or crowd in. <br />Per the chart, housing supplied since 1960 has fallen significantly. Every time it rises, prices moderate. When <br />if falls, prices escalate. Today, the average assessed value of a condominium on Leeward Hawaii is $1.6MM. <br />Falling Supply, Rising Prices, Kona/Kohala MF <br />2,000 -- $1,600,000 <br />I,800 -- Condo Production $1,440,000 <br />- Ave Assess'd $ <br />$1,280,000 <br />$1,120,000 <br />$860,000 <br />$800,000 <br />$640,000 <br />$480,000 <br />$320,000 <br />$160,000 <br />1,600 <br />1,400 <br />1,200 <br />1,000 <br />800 <br />600 <br />400 <br />200 <br />0 <br />y� rIts <br />cf r9•la y9� s9Qi 19O yA9a 1A� 0 0 0 0 0 <br />cY K 0'K d K cr K cl K cr q d <br />yA� y0 y91 +41 y0 ti0 ti`A ti`A 'ti`f' ti0 °~ ti°y °ry <br />By Ricky Cassiday rcassidavhme.com <br />$0 <br />Re'd ati4smist by <br />Dist'i <br />COPY <br />