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Oahu Real Estate History
[Continued]
This has immediate repercussion for Oahu houses and condos. Property values fell quickly and, with land being a barometer of Hawaii’s wealth, so did the rest of the Islands’ economy. Unlike the rest of the US, that experienced a boom in the late 90’s and early years of the 21st Century, Hawaii had a recession. That’s how linked Oahu and the Neighbor Islands were to Japan.
Waikiki Landmark Condominium
And what about the Waikiki Landmark? The project was actually finished, or close to it, when the bottom fell out. But that didn’t stop its developer from going broke. This 34-story behemoth (it’s made up of 2 condominium towers linked at the top) became tied up in court as ownership became contested in the wake of the developer’s lost business and the top man’s criminal charges.
Inconceivably, this Waikiki condominium sat empty for 2 years as all of the court drama played out. Even when a new owner bought the building, the condos sold very slowly with many prices slashed to attract buyers. This all sounds like a fairy tale now, just a few years later.
Oahu real estate has more than recovered as Hawaii is once again hot, hot, hot. Prices and land values skyrocketed in recent years. So much so that owners are lobbying the state government for tax relief. They cannot afford the taxes required for the current value of their houses or condos. And, in case you were wondering, the Waikiki Landmark is doing just fine.
In recent months we’ve seen a cooling in the real estate market, though nothing like the mainland. In fact, as Oahu houses have dropped, condo prices have risen or stayed constant. That will change as even condos are sitting on the market longer now. However, prices will not be dropping in the amounts that they did back in the early 1990’s. If we only had a time machine…
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