HomeMy WebLinkAboutAnnual Plan for Fiscal Year 2023-24AFFORDABLE HOUSING PRODUCTION
PROGRAM
FY2023-24 ANNUAL PLAN
County of Hawaii
Office of Housing and Community Development
1990 Kinoʻole Street, Suite 102
Hilo, Hawaiʻi 96720
Phone: 808-961-8379
1
EXECUTIVE SUMMARY
The Office of Housing and Community Development (OHCD) was appropriated $9,000,000 in Fiscal Year (FY) 2022 and another $9,000,000 in FY 2023 for the Affordable Housing Production (AHP) Program. Due to the time it took to develop and approve Administrative Rules and create
the electronic application for the program, the appropriations from two (2) fiscal years were combined into one Request for Proposal (RFP).
In March 2023, the OHCD held two (2) public meetings to hear the community’s views and comments on the needs for affordable housing, which included:
• Workforce Housing
• Rental Housing
• Single-family housing
• Multi-family housing
The Administrative Rules providing the framework for administering the AHP Program were finalized and approved effective April 9, 2023. The OHCD set goals and priorities for the FY 2023-24 funding round: 1. To increase the supply of affordable units by prioritizing new construction or acquisition
of land or market units to produce affordable units; 2. To prioritize households earning between 100% and 140% of the Area Median Income
(AMI); and 3. To produce affordable rental units with longer-term affordability periods.
The Request for Proposal period started on May 1, 2023, and closed on July 31, 2023, for $17,324,559.46 in AHP funds. During this time, the OHCD provided technical assistance to applicants and received twenty (20) proposals, totaling $55,405,685.58 to add/impact 1,609 units. Examples of project proposals include acquisition of property, new construction, infrastructure, rehabilitation, deferred payment loan program, and residential repair loan program. The Selection Committee reviewed, ranked, and rated each proposal and based their scores on the following objectives, along with how projects aligned with the set goals and priorities:
• Project Impact and Delivery
• Project Readiness
• Project Funding and Leverage
• Applicant Qualifications
2
FUNDING
FY2022-23 Allocation $ 9,000,000
FY2023-24 Allocation $ 9,000,000
*Set-Aside -
**FY2022-23 and FY2023--24 Administrative Expenses $ 675,440.54
TOTAL AMOUNT AVAILABLE TO FUND: $ 17,324,559.46 *Discretionary up to 30% of the total appropriated amount per Section §1-3 Funding (6) Administrative Rules **Allocation can be up to 10% of the total appropriated amount per Section §1-3 Funding (5) Administrative Rules
SUMMARY OF PROJECTS FUNDED
Project Name Total Amount Requested Total Amount Funded
Units added/impacted
Na Hale Makoa $2,000,000 $2,000,000 140
Manago Mauo $5,500,000 $5,500,000 72
Land Trust Pa Ali'i Street $300,000 $300,000 1
Land Trust University Heights $300,000 $300,000 1
Hoʻomalu at Waikoloa $3,000,000 $3,000,000 229
Kamakoa Nui Workforce Housing $5,400,000 $5,400,000 643
Hale Ola O Mohouli $2,000,000 $824,559.46 90
Total of 7 projects funded $18,500,000 $17,324,559.46 1,176
3
Na Hale Makoa
Project Name: Na Hale Makoa
Applicant: Kamakoa Nui Limited Partnership aka Pacific Housing Assistance Corporation (PHAC)
Total Requested: $2,000,000
Total Funded: $2,000,000
Location: Waikoloa Village, Hawaii, District (9)
Land Tenure: County-owned land
Project Type: New Construction
Housing Type: Rental, Multi-family
Target Population: Family
Length of Affordability: 61 Years
Affordability Restrictions:
20 Units @ 30% Area Median Income (AMI) 89 Units @ 60% AMI 13 Units @ 80% AMI 10 Units @ 100% AMI 7 Units @ 140% AMI 1 Manager Unit ---------------------------------------------------------------------------------------------- Total: 140 Units
Kamakoa Nui Limited Partnership, a for-profit organization, requested a total amount of
$2,000,000 in AHP Program funds to support the development of a 140-unit multi-family rental
project. The project includes 40 one-bedroom units, 80 two-bedroom units, and 20 three-bedroom
units, including one manager unit. These units will be available to households earning between
30% to 140% of the AMI. The affordability period for these affordable units will be 61 years.
4
Manago Mauo
Project Name: Manago Mauo
Applicant: Mental Health Kokua (MHK)
Total Requested: $5,500,000
Total Funded: $5,500,000
Location: Captain Cook, South Kona, Hawaii, District (6)
Land Tenure: Manago Hotel, Private owner
Project Type: Property Acquisition, Converting Hotel Units into Affordable Rentals
Housing Type Rental, Multi-family
Target Population: Workforce
Length of Affordability: Perpetuity
Affordability
Restrictions:
71 Units @ 140% Area Median Income (AMI) or below 1 Manager Unit
---------------------------------------------------------------------------------------------- Total: 72 Units
Mental Health Kokua (MHK), a non-profit organization, requested a total amount of $5,500,000
in AHP Program funds to acquire Manago Hotel with 72 market units to be converted into
affordable workforce rentals. The project includes 67 studios, 2 one-bedroom, and 3 two-
bedroom units. These units will be available to households earning no more than 140% of the
AMI. The affordability period for these affordable units will be in perpetuity.
5
Land Trust - Pa Ali'i Street
Project Name: Hale o Hawaii County - Pa Ali'i Street
Applicant: Housing and Land Enterprise of Hawaii County dba Hale o Hawaii County
Total Requested: $300,000
Total Funded: $300,000
Location: Royal Hawaiian Estates, Volcano, Hawaii, District (5)
Land Tenure: Owned by applicant
Project Type: New Construction
Housing Type: For-sale on leased land, Single-Family
Target Population: Workforce
Length of Affordability: Perpetuity
Affordability
Restrictions:
1 Unit @ 140% Area Median Income (AMI) or below ---------------------------------------------------------------------------------------------- Total: 1 Unit
Hale of Hawaii County, a non-profit organization designed as a Land Trust, requested a total
amount of $300,000.00 in AHP Program funds to develop one 3-bed/2.5-bath single-family
dwelling unit. The unit will be available for sale to households earning between 60-140% of the
AMI. The affordability period for this unit will be in perpetuity. Hale o Hawaii County operates on
a self-sustaining model that focuses on reinvesting proceeds generated from the sale of AHP-
funded property back into the construction of additional affordable homes.
6
Land Trust - University Heights
Project Name: Hale o Hawaii County - University Heights
Applicant: Housing and Land Enterprise of Hawaii County dba Hale o Hawaii County
Total Requested: $300,000
Total Funded: $300,000
Location: University Heights, Hilo, Hawaii, District (2)
Land Tenure: State owned land conveyed to County of Hawaii via Executive Order then leased to Hale o Hawaii for 65 years
Project Type: New Construction
Housing Type: For-sale on leased land, Single-Family
Target Population: Workforce
Length of
Affordability: Perpetuity
Affordability Restrictions:
1 Unit @ 140% Area Median Income (AMI) or below
---------------------------------------------------------------------------------------------- Total: 1 Unit
Hale of Hawaii County, a non-profit organization designed as a Land Trust, requested a total amount of $300,000.00 in AHP Program funds to develop one 3-bed/2.5-bath single-family
dwelling unit. The unit will be available for sale to households earning between 60-140% of the
AMI. The affordability period for this unit will be in perpetuity. Hale o Hawaii County operates on a self-sustaining model that focuses on reinvesting proceeds generated from the sale of AHP-
funded property back into the construction of additional affordable homes.
7
Ho’omalu at Waikoloa
Project Name: Ho’omalu at Waikoloa
Applicant: Ho’omalu at Waikoloa LP aka Standford Carr
Total Requested: $3,000,000
Total Funded: $3,000,000
Location: Waikoloa, Hawaii, District (9)
Land Tenure: Land owner Waikoloa Development Co. to convey land subject to 201H approval and closing of all financing
Project Type: New Construction
Target Population: Workforce
Housing Type: Rental, Multi-family
Length of
Affordability: 65 Years
Affordability Restrictions:
12 Units @ 30% Area Median Income (AMI)
168 Units @ 60% AMI 48 Units @ 100% AMI 1 Manager Unit
---------------------------------------------------------------------------------------------- Total: 229 Units
Hoʻomalu at Waikoloa LP, a for-profit organization, requested a total amount of $3,000,000.00 in
AHP Program funds to support the development of a 228-unit workforce rental housing. The
project includes 30 one-bedroom units, 168 two-bedroom units, and 30 three-bedroom units.
These units will be available to households earning between 30% -100% of the AMI. The
affordability period for these 229 affordable units will be 65 years.
8
Kamakoa Nui Workforce Housing – Mini Loop
Project Name: Kamakoa Nui Workforce Housing-Mini Loop Road and Infrastructure
Development
Applicant: Office of Housing and Community Development (OHCD) Community Development Division
Total Requested: $5,400,000
Total Funded: $5,400,000
Location: Waikoloa, Hawaii, District (9)
Land Tenure: County-owned land
Project Type: Infrastructure (Road), providing access to 9 parcels for the development of 643 residential units.
Housing Type: For Sale & Rental
Target Population: Family
Length of Affordability: Minimum 20 years (rental) 10 years (for-sale) with potential for extension (RFP)
Affordability Restrictions:
318 Units @ 60% Area Median Income (AMI) 132 Units @ 120% AMI 193 Units @ 140% AMI
---------------------------------------------------------------------------------------------- Total: 643 Units: 318 rental and 325 for-sale units
The Office of Housing and Community Development (OHCD), Community Development Division,
a public agency, requested a total amount of $5,400,000 in AHP Program funds for the
development of essential road and utility infrastructure, enabling the development of an estimated
643 housing units which includes 318 rental and 325 for-sale units. This initiative, "Mini Loop," is
a segment of a broader infrastructure plan designed to provide access to other County-owned
parcels, facilitating future affordable housing development. (see attached map) Upon successful
infrastructure implementation, the agency intends to initiate a Request for Proposal (RFP) process
to identify qualified developers for the new construction phase. The affordability period for these
643 units will be for a minimum of 20 years (rentals) and 10 years (for sale), with the potential for
further extension as determined by the developer's proposal during the RFP process.
9
Kamakoa Nui Workforce Housing – Mini Loop MAP
10
Hale Ola O Mohouli
Project Name: Hale Ola O Mohouli
Applicant: Hawaii Island Community Development Corporation (HICDC)
Total Requested: $2,000,000
Total Funded: * $824,559.46
Location: Hilo, Hawaii, District (2)
Land Tenure: State owned land conveyed to County of Hawaii via Executive Order then leased to HICDC for 65 years
Project Type: New Construction
Housing Type: Rental, Single-Family, Pocket Neighborhood
Target Population: Family
Length of
Affordability: 61 Years
Affordability Restrictions:
5 Units @ 30% Area Median Income (AMI) 84 Units @ 60% AMI
1 Manager Unit ---------------------------------------------------------------------------------------------- Total: 90 Units
* Due to the limited availability of AHP Program funds, OHCD could only provide a partial award.
Hawaii Island Community Development Corporation (HICDC), a non-profit organization,
requested a total amount of $2,000,000 in AHP Program funds to support the development of 90
single-family dwelling units in a pocket neighborhood setting. This project includes 38 one-
bedroom units and 52 two-bedroom units. These units will be available to households earning
between 30% - 60% of the AMI. The affordability period for these 90 affordable units will be 61
years.
11