How Bill 159 Will Affect Short-Term Condo Owners on Maui

Bill 159 Maui County

Update May 2024: The County is now trying to ban short term rental condos in apartment districts.

With the primary objective of establishing a means to limit tourism on Maui, the Maui County Council recently passed Bill 159. The desire to limit tourism on the island comes from environmental groups seeking to reduce the impact that growing tourism is having on Maui as well as from local residents who are growingly concerned about overcrowding and an ongoing housing crisis. 

The bill was originally introduced for discussion in January 2022 and addresses the total number of legally allowed transient vacation accommodation units on the island. These accommodations include hotel rooms, short-term rentable condos, bed and breakfasts, as well as camper vans and recreational vehicles. 

Browse New Listings on Maui

Sort by:
Listing Image for 264 Kawailani Cir 1 of 36 Listing Image for 264 Kawailani Cir 2 of 36 Listing Image for 264 Kawailani Cir 3 of 36 Listing Image for 264 Kawailani Cir 4 of 36 Listing Image for 264 Kawailani Cir 5 of 36 Listing Image for 264 Kawailani Cir 6 of 36 Listing Image for 264 Kawailani Cir 7 of 36 Listing Image for 264 Kawailani Cir 8 of 36 Listing Image for 264 Kawailani Cir 9 of 36 Listing Image for 264 Kawailani Cir 10 of 36 Listing Image for 264 Kawailani Cir 11 of 36 Listing Image for 264 Kawailani Cir 12 of 36 Listing Image for 264 Kawailani Cir 13 of 36 Listing Image for 264 Kawailani Cir 14 of 36 Listing Image for 264 Kawailani Cir 15 of 36 Listing Image for 264 Kawailani Cir 16 of 36 Listing Image for 264 Kawailani Cir 17 of 36 Listing Image for 264 Kawailani Cir 18 of 36 Listing Image for 264 Kawailani Cir 19 of 36 Listing Image for 264 Kawailani Cir 20 of 36 Listing Image for 264 Kawailani Cir 21 of 36 Listing Image for 264 Kawailani Cir 22 of 36 Listing Image for 264 Kawailani Cir 23 of 36 Listing Image for 264 Kawailani Cir 24 of 36 Listing Image for 264 Kawailani Cir 25 of 36 Listing Image for 264 Kawailani Cir 26 of 36 Listing Image for 264 Kawailani Cir 27 of 36 Listing Image for 264 Kawailani Cir 28 of 36 Listing Image for 264 Kawailani Cir 29 of 36 Listing Image for 264 Kawailani Cir 30 of 36 Listing Image for 264 Kawailani Cir 31 of 36 Listing Image for 264 Kawailani Cir 32 of 36 Listing Image for 264 Kawailani Cir 33 of 36 Listing Image for 264 Kawailani Cir 34 of 36 Listing Image for 264 Kawailani Cir 35 of 36 Listing Image for 264 Kawailani Cir 36 of 36

$1,300,000

Piilani Village II

264 Kawailani Cir, Kihei

4 Beds 3 Baths 1,780 SqFt Residential MLS® # 410562

Days on Market: 26

Keller Williams Realty Maui-Ki Cell: 808-371-6475

Short Term Rental
Listing Image for 24 Hoolei Cir T-1 1 of 50 Listing Image for 24 Hoolei Cir T-1 2 of 50 Listing Image for 24 Hoolei Cir T-1 3 of 50 Listing Image for 24 Hoolei Cir T-1 4 of 50 Listing Image for 24 Hoolei Cir T-1 5 of 50 Listing Image for 24 Hoolei Cir T-1 6 of 50 Listing Image for 24 Hoolei Cir T-1 7 of 50 Listing Image for 24 Hoolei Cir T-1 8 of 50 Listing Image for 24 Hoolei Cir T-1 9 of 50 Listing Image for 24 Hoolei Cir T-1 10 of 50 Listing Image for 24 Hoolei Cir T-1 11 of 50 Listing Image for 24 Hoolei Cir T-1 12 of 50 Listing Image for 24 Hoolei Cir T-1 13 of 50 Listing Image for 24 Hoolei Cir T-1 14 of 50 Listing Image for 24 Hoolei Cir T-1 15 of 50 Listing Image for 24 Hoolei Cir T-1 16 of 50 Listing Image for 24 Hoolei Cir T-1 17 of 50 Listing Image for 24 Hoolei Cir T-1 18 of 50 Listing Image for 24 Hoolei Cir T-1 19 of 50 Listing Image for 24 Hoolei Cir T-1 20 of 50 Listing Image for 24 Hoolei Cir T-1 21 of 50 Listing Image for 24 Hoolei Cir T-1 22 of 50 Listing Image for 24 Hoolei Cir T-1 23 of 50 Listing Image for 24 Hoolei Cir T-1 24 of 50 Listing Image for 24 Hoolei Cir T-1 25 of 50 Listing Image for 24 Hoolei Cir T-1 26 of 50 Listing Image for 24 Hoolei Cir T-1 27 of 50 Listing Image for 24 Hoolei Cir T-1 28 of 50 Listing Image for 24 Hoolei Cir T-1 29 of 50 Listing Image for 24 Hoolei Cir T-1 30 of 50 Listing Image for 24 Hoolei Cir T-1 31 of 50 Listing Image for 24 Hoolei Cir T-1 32 of 50 Listing Image for 24 Hoolei Cir T-1 33 of 50 Listing Image for 24 Hoolei Cir T-1 34 of 50 Listing Image for 24 Hoolei Cir T-1 35 of 50 Listing Image for 24 Hoolei Cir T-1 36 of 50 Listing Image for 24 Hoolei Cir T-1 37 of 50 Listing Image for 24 Hoolei Cir T-1 38 of 50 Listing Image for 24 Hoolei Cir T-1 39 of 50 Listing Image for 24 Hoolei Cir T-1 40 of 50 Listing Image for 24 Hoolei Cir T-1 41 of 50 Listing Image for 24 Hoolei Cir T-1 42 of 50 Listing Image for 24 Hoolei Cir T-1 43 of 50 Listing Image for 24 Hoolei Cir T-1 44 of 50 Listing Image for 24 Hoolei Cir T-1 45 of 50 Listing Image for 24 Hoolei Cir T-1 46 of 50 Listing Image for 24 Hoolei Cir T-1 47 of 50 Listing Image for 24 Hoolei Cir T-1 48 of 50 Listing Image for 24 Hoolei Cir T-1 49 of 50 Listing Image for 24 Hoolei Cir T-1 50 of 50

$3,850,000

Hoolei T-1

24 Hoolei Cir T-1, Wailea/Makena

3 Beds 3.5 Baths 3,076 SqFt Residential MLS® # 410561

Days on Market: 26

Keller Williams Realty Maui-Ka Cell: 808-385-0882

Listing Image for 48 Lalaha Pl 1 of 41 Listing Image for 48 Lalaha Pl 2 of 41 Listing Image for 48 Lalaha Pl 3 of 41 Listing Image for 48 Lalaha Pl 4 of 41 Listing Image for 48 Lalaha Pl 5 of 41 Listing Image for 48 Lalaha Pl 6 of 41 Listing Image for 48 Lalaha Pl 7 of 41 Listing Image for 48 Lalaha Pl 8 of 41 Listing Image for 48 Lalaha Pl 9 of 41 Listing Image for 48 Lalaha Pl 10 of 41 Listing Image for 48 Lalaha Pl 11 of 41 Listing Image for 48 Lalaha Pl 12 of 41 Listing Image for 48 Lalaha Pl 13 of 41 Listing Image for 48 Lalaha Pl 14 of 41 Listing Image for 48 Lalaha Pl 15 of 41 Listing Image for 48 Lalaha Pl 16 of 41 Listing Image for 48 Lalaha Pl 17 of 41 Listing Image for 48 Lalaha Pl 18 of 41 Listing Image for 48 Lalaha Pl 19 of 41 Listing Image for 48 Lalaha Pl 20 of 41 Listing Image for 48 Lalaha Pl 21 of 41 Listing Image for 48 Lalaha Pl 22 of 41 Listing Image for 48 Lalaha Pl 23 of 41 Listing Image for 48 Lalaha Pl 24 of 41 Listing Image for 48 Lalaha Pl 25 of 41 Listing Image for 48 Lalaha Pl 26 of 41 Listing Image for 48 Lalaha Pl 27 of 41 Listing Image for 48 Lalaha Pl 28 of 41 Listing Image for 48 Lalaha Pl 29 of 41 Listing Image for 48 Lalaha Pl 30 of 41 Listing Image for 48 Lalaha Pl 31 of 41 Listing Image for 48 Lalaha Pl 32 of 41 Listing Image for 48 Lalaha Pl 33 of 41 Listing Image for 48 Lalaha Pl 34 of 41 Listing Image for 48 Lalaha Pl 35 of 41 Listing Image for 48 Lalaha Pl 36 of 41 Listing Image for 48 Lalaha Pl 37 of 41 Listing Image for 48 Lalaha Pl 38 of 41 Listing Image for 48 Lalaha Pl 39 of 41 Listing Image for 48 Lalaha Pl 40 of 41 Listing Image for 48 Lalaha Pl 41 of 41

$1,570,000

Parkways at Maui Lani

48 Lalaha Pl, Kahului

4 Beds 2.5 Baths 2,461 SqFt Residential MLS® # 410560

Days on Market: 27

Pacific Image Properties MannyMila808@gmail.com

Listing Image for 160 N Market St 1 of 19 Listing Image for 160 N Market St 2 of 19 Listing Image for 160 N Market St 3 of 19 Listing Image for 160 N Market St 4 of 19 Listing Image for 160 N Market St 5 of 19 Listing Image for 160 N Market St 6 of 19 Listing Image for 160 N Market St 7 of 19 Listing Image for 160 N Market St 8 of 19 Listing Image for 160 N Market St 9 of 19 Listing Image for 160 N Market St 10 of 19 Listing Image for 160 N Market St 11 of 19 Listing Image for 160 N Market St 12 of 19 Listing Image for 160 N Market St 13 of 19 Listing Image for 160 N Market St 14 of 19 Listing Image for 160 N Market St 15 of 19 Listing Image for 160 N Market St 16 of 19 Listing Image for 160 N Market St 17 of 19 Listing Image for 160 N Market St 18 of 19 Listing Image for 160 N Market St 19 of 19

$3,500,000

Wailuku

160 N Market St, Wailuku

0 Beds 0 Baths 0 SqFt Commercial Sale MLS® # 410559

Days on Market: 27

Realty 1st Inc kwee@realty-1st.com

Buying Real Estate on Maui

Buying Real Estate on Maui

Read Evan's complete guide to buying a home or condo on Maui.

Read the Guide
Short Term Rental
Listing Image for 2777 S Kihei Rd A110 1 of 17 Listing Image for 2777 S Kihei Rd A110 2 of 17 Listing Image for 2777 S Kihei Rd A110 3 of 17 Listing Image for 2777 S Kihei Rd A110 4 of 17 Listing Image for 2777 S Kihei Rd A110 5 of 17 Listing Image for 2777 S Kihei Rd A110 6 of 17 Listing Image for 2777 S Kihei Rd A110 7 of 17 Listing Image for 2777 S Kihei Rd A110 8 of 17 Listing Image for 2777 S Kihei Rd A110 9 of 17 Listing Image for 2777 S Kihei Rd A110 10 of 17 Listing Image for 2777 S Kihei Rd A110 11 of 17 Listing Image for 2777 S Kihei Rd A110 12 of 17 Listing Image for 2777 S Kihei Rd A110 13 of 17 Listing Image for 2777 S Kihei Rd A110 14 of 17 Listing Image for 2777 S Kihei Rd A110 15 of 17 Listing Image for 2777 S Kihei Rd A110 16 of 17 Listing Image for 2777 S Kihei Rd A110 17 of 17

$848,000

Maui Kamaole A110

2777 S Kihei Rd A110, Kihei

1 Bed 2 Baths 849 SqFt Residential MLS® # 410557

Days on Market: 28

Wailea Vacation Rentals

In Escrow
Listing Image for 136 Kaniela St 1 of 31 Listing Image for 136 Kaniela St 2 of 31 Listing Image for 136 Kaniela St 3 of 31 Listing Image for 136 Kaniela St 4 of 31 Listing Image for 136 Kaniela St 5 of 31 Listing Image for 136 Kaniela St 6 of 31 Listing Image for 136 Kaniela St 7 of 31 Listing Image for 136 Kaniela St 8 of 31 Listing Image for 136 Kaniela St 9 of 31 Listing Image for 136 Kaniela St 10 of 31 Listing Image for 136 Kaniela St 11 of 31 Listing Image for 136 Kaniela St 12 of 31 Listing Image for 136 Kaniela St 13 of 31 Listing Image for 136 Kaniela St 14 of 31 Listing Image for 136 Kaniela St 15 of 31 Listing Image for 136 Kaniela St 16 of 31 Listing Image for 136 Kaniela St 17 of 31 Listing Image for 136 Kaniela St 18 of 31 Listing Image for 136 Kaniela St 19 of 31 Listing Image for 136 Kaniela St 20 of 31 Listing Image for 136 Kaniela St 21 of 31 Listing Image for 136 Kaniela St 22 of 31 Listing Image for 136 Kaniela St 23 of 31 Listing Image for 136 Kaniela St 24 of 31 Listing Image for 136 Kaniela St 25 of 31 Listing Image for 136 Kaniela St 26 of 31 Listing Image for 136 Kaniela St 27 of 31 Listing Image for 136 Kaniela St 28 of 31 Listing Image for 136 Kaniela St 29 of 31 Listing Image for 136 Kaniela St 30 of 31 Listing Image for 136 Kaniela St 31 of 31

$925,000

Wailuku

136 Kaniela St, Wailuku

3 Beds 2 Baths 830 SqFt Residential MLS® # 410555

Days on Market: 27

Compass Cell: 808-868-8604

Listing Image for 14 E Makahehi Pl 1 of 35 Listing Image for 14 E Makahehi Pl 2 of 35 Listing Image for 14 E Makahehi Pl 3 of 35 Listing Image for 14 E Makahehi Pl 4 of 35 Listing Image for 14 E Makahehi Pl 5 of 35 Listing Image for 14 E Makahehi Pl 6 of 35 Listing Image for 14 E Makahehi Pl 7 of 35 Listing Image for 14 E Makahehi Pl 8 of 35 Listing Image for 14 E Makahehi Pl 9 of 35 Listing Image for 14 E Makahehi Pl 10 of 35 Listing Image for 14 E Makahehi Pl 11 of 35 Listing Image for 14 E Makahehi Pl 12 of 35 Listing Image for 14 E Makahehi Pl 13 of 35 Listing Image for 14 E Makahehi Pl 14 of 35 Listing Image for 14 E Makahehi Pl 15 of 35 Listing Image for 14 E Makahehi Pl 16 of 35 Listing Image for 14 E Makahehi Pl 17 of 35 Listing Image for 14 E Makahehi Pl 18 of 35 Listing Image for 14 E Makahehi Pl 19 of 35 Listing Image for 14 E Makahehi Pl 20 of 35 Listing Image for 14 E Makahehi Pl 21 of 35 Listing Image for 14 E Makahehi Pl 22 of 35 Listing Image for 14 E Makahehi Pl 23 of 35 Listing Image for 14 E Makahehi Pl 24 of 35 Listing Image for 14 E Makahehi Pl 25 of 35 Listing Image for 14 E Makahehi Pl 26 of 35 Listing Image for 14 E Makahehi Pl 27 of 35 Listing Image for 14 E Makahehi Pl 28 of 35 Listing Image for 14 E Makahehi Pl 29 of 35 Listing Image for 14 E Makahehi Pl 30 of 35 Listing Image for 14 E Makahehi Pl 31 of 35 Listing Image for 14 E Makahehi Pl 32 of 35 Listing Image for 14 E Makahehi Pl 33 of 35 Listing Image for 14 E Makahehi Pl 34 of 35 Listing Image for 14 E Makahehi Pl 35 of 35

$1,050,000

↓ $45,000

Legends at Maui Lani

14 E Makahehi Pl, Kahului

3 Beds 2.5 Baths 1,584 SqFt Residential MLS® # 410554

Days on Market: 27

Shore To Shore Realty, Inc.

Listing Image for 22 Pakani Pl 1 of 12 Listing Image for 22 Pakani Pl 2 of 12 Listing Image for 22 Pakani Pl 3 of 12 Listing Image for 22 Pakani Pl 4 of 12 Listing Image for 22 Pakani Pl 5 of 12 Listing Image for 22 Pakani Pl 6 of 12 Listing Image for 22 Pakani Pl 7 of 12 Listing Image for 22 Pakani Pl 8 of 12 Listing Image for 22 Pakani Pl 9 of 12 Listing Image for 22 Pakani Pl 10 of 12 Listing Image for 22 Pakani Pl 11 of 12 Listing Image for 22 Pakani Pl 12 of 12

$799,000

Pakani Subdivision

22 Pakani Pl, Makawao/Olinda/Haliimaile

1 Bed 1 Bath 613 SqFt Residential MLS® # 410552

Days on Market: 31

Compass-W

View 8 More Listings

The Number of Transient Vacation Rentals on Maui Is Now Legally Capped

Maui County Adopts Bill 159

Effectively, Bill 159 caps the number of transient vacation rentals (TVRs) on Maui at the number that were existing prior to January 7th, 2022. We also call these short-term rentable units, of which approximately 16,000 currently exist on Maui. A TVR is defined as any rental of a housing unit for less than 180 days. 

While TVR use is already prohibited outside of hotel districts by Maui County Code Chapter 19.37, there exists a permitting process to operate outside of the hotel districts. The Minatoya opinion, originally adopted in 2001, established which condo associations on Maui can legally operate short-term rentals in apartment-zoned properties.

These complexes will continue to be allowed to offer transient accommodations and be legally rented as TVRs. The bill also specifically allows for existing TVRs built before the January 7th, 2022 date to renovate as long no new TVR units are added in the complex. Relating to hotel development, new construction will be allowed as long as they are built landward of what would be 3.2 feet of sea level rise expected to happen in the next 50 years. 

 

 

Clearing The Confusion For Short Term Condo Owners

Bill 159 Maui County Planning Meeting

The Planning and Sustainable Land Use Committee took testimony from the public and discussed Bill 159 on October 20th, 2022. During the testimony, it was obvious that the impacts on owners of short-term rentable condos were unclear to many. It’s unfortunate that the council does not use the testimony time to answer the serious questions raised by the bill and several council members seem to be arrogantly dismissive of legitimate concerns by property owners. I can see where that could consume a lot of extra time, but I think many of the testifiers wouldn’t have needed to make a statement had the council addressed their concerns earlier in the meeting. 

Several property owners on Maui and even clients of mine gave testimony during the meeting. The main concern we have is that Bill 159 could have prohibited the future use of a condo as a transient vacation rental in a previously approved short-term rentable condo complex that had not been actively used as a vacation rental prior to the January 7, 2022 date.  

Fortunately, Maui County Planning Director Michele McLean was able to address this concern specifically around the 2 hour 39 minute mark of the meeting when she said “

“The way that the bill reads now, you have the existing language that allows vacation rental use, under the “Minoytoya ordinances” the new language says the number of units allowed for TVR use may not increase beyond those allowed for such use as of January 7th, 2022…So, if you have an apartment or condo complex that has 100 units and 75 of those units are doing TVR use, we consider the other 25 units also allowed to do TVR use even if they are not exercising it. And this language says the number of units and rooms allowed may not increase, so you can’t add more units (to the complex), but the 25 units could start if they wanted to.”

Whew. That’s a relief. While I am personally in support of Maui managing its tourism industry with consideration given to the environment and the local population, the County needs to carefully consider its economic impact on the community and its property owners. Bill 159 was heavily debated between the public and the council and was heavily amended since its introduction by Vice Chair Keani Rawlins-Fernandez. 

What Does Bill 159 Mean For the Island and Investors?

Short Term Rental Condos Affected By Bill 159

I think the debate was productive and the final result is a net positive for Maui, it’s also great for short-term rentable property owners who have the reassurance of limited supply for these units in the future which will certainly help property values rise. Bill 159 could have had a bigger impact against the development of new hotel rooms, but it ultimately succeeded by enforcing a ban against the development of new TVRs while establishing slightly stricter guidelines for hotel development.

After some revision, Bill 159 also provided guidance on the allowed usage of recreational vehicles and camper vans and limited their use to designated areas such as the Haleakala National Park in Kipahulu and Olowalu Campground. 

Maui Is a Place For Balance

Royal Mauian Condo in South Maui

Maui is a place that attracts visitors from all over the world and many of our visitors end up purchasing property on the island, in the form of moving here to buy a primary residence, buying a second home, or buying TVR as an investment. What they love about the island are the same things local residents love about it.

The beauty, the beaches, and the island life. These transient vacation rentals generate significant tax income for the County to use for infrastructure improvements along with environmental protection initiatives. Balancing the economic needs of locals needing jobs provided by tourism with how we care for the land is extremely important. If you have any questions about Bill 159 or other related Maui County Planning Department questions, I would be happy to do my best to answer them or to connect you with the right person to speak with. 

Get In Touch With Evan!

Evan Harlow Maui

Evan Harlow ranks among the best real estate agents on Maui annually and is in the top 1% of Coldwell Banker agents worldwide in production. Evan has the expertise, experience, and work ethic to help you achieve your real estate buying and selling goals. We promise exceptional service and support from the beginning of the process through closing and beyond. See what Evan's clients are saying on Google.

Provide a valid email address.
Newsletter consent

Posted by Evan Harlow R(S) on

Enjoy this blog post? Click here to subscribe for updates

Tags

Email Send a link to post via Email

Leave A Comment

e.g. yourwebsitename.com
Please note that your email address is kept private upon posting.