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Kukuiula Luxury Development Opens on Kauai

A smaller Kukuiula opens three decades after it was first proposed

(page 2 of 2)

 

"There's no question that … the magnitude of the downturn is radically greater than, I think, anybody in the real estate industry could have planned for," Herrington says. Still, he says, Kukuiula has largely gone as planned, with even a few pleasant surprises.

"We're a big project and this is a small county, so we anticipated the process would be challenging. The reality has been better than predicted and our relationship with the county has been very good. They've been tough on us, as, I would argue, they justifiably should be."

This big and complicated project was done primarily using local companies, labor and suppliers, and Herrington says he has been "blown away" by their work ethic, professionalism and ability to handle the jobs. "From the quality of workmanship, ability to hit a budget and keep a schedule – we've just been dazzled by the capability that exists in Hawaii."

Despite the strategic decision to halt marketing during the height of the recession, Kukuiula achieved $108 million in "Founder" pre-sales and now has nearly 100 members made up of full-time Kauai residents, people who already lived there part time, and those who plan to spend only a few weeks to a couple months a year on the island.

Herrington says Kukuiula has reached a significant milestone. "Our first two homes are occupied and people are sleeping there. That's the moment when, after 10 years, you stop being a real estate project or construction site, and start thinking and behaving as a community."

 

Prices

• Half-acre to 1-acre homesite lots start at just under $1 million;
• Makai Cottages start at $2.2 million;
• Initiation fees for club membership are included in the price of new homesites ($50,000 for owners of resold homes). Dues are $1,000 a month.

Kukuiula Timeline

Early 1980s
A&B’s initial planning and entitlement efforts for Kukuiula

1985
A&B applies for first county permits

2002
DMB and A&B form venture to develop Kukuiula

2003
Decision to reduce density and downzone property from 3,400 units to 1,500

2004
County approves rezoning.
Development of roads, water lines and other infrastructure begins

2006
First lots, called Founders lots, go on sale

2007
Groundbreaking for Kukuiula Village shopping center

2008
Groundbreaking for club and golf amenities

2009
First shops open at Kukuiula Village

2009
First homes break ground

March 2011
First residents move in

June 2011
Club, spa and golf amenities open

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Old to new | New to old
Sep 21, 2011 08:14 am
 Posted by  1968mustanggt

Beautiful property and concept, but, I'm not sure it can sustain itself. The collapse of other smaller properties was also the result of unsustainable ego-pricing, however the model that follows the Anderson-Nicklaus of Deset Mountain, Superstition, Santa Fe, Big Island, Loch Lomand gets unweilding in subsequent years with Transfer fee's and increased costs. It should be remembered the late '80's start-up was slowed on 091191 by Hurricane Iniki that went right through and devaststated Poipu.

This has been flagged
Sep 21, 2011 12:16 pm
 Posted by  Valerie

It is a great concept and would love to buy there. The prices just seem to be so far out of line for such small cottages.

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