First phase of Kalihi housing rebuild starts with $333 million budget

Construction began Thursday on the first phase of the Mayor Wright Homes redevelopment in the Kalihi-Palama neighborhood.

The Hawai‘i Public Housing Authority and developer Highridge Costa will replace the current complex, which is nearly 75 years old. The site is bounded by King Street, Liliha Street, and Vineyard Boulevard. State officials and community leaders attended a ceremony to mark the start of work.

The plan calls for more than 2,400 new rental homes across ten towers. The units will range from studios to five-bedroom apartments. The development will also include condominiums for sale and commercial space. More than half of the units are reserved for tenants earning less than 80% of the area median income. Later phases will serve households earning up to 100% of that amount, which is roughly $150,000 a year for a family of four.

Hakim Ouansafi, executive director of the housing authority, said the project aims to serve a mix of incomes rather than only very low-income residents. He stated that the state cannot solve future housing problems by using old methods. "Public housing should never mean second class housing," he said.

Gov. Josh Green said stable housing allows residents to focus on education, food security, and health care. He described the project as central to the state's housing strategy. Moe Mohanna, president of Highridge Costa Development Company, called the project a legacy for the state. Honolulu Mayor Rick Blangiardi linked the development to the planned Iwilei rail station.

The housing authority estimates the first phase will cost $333 million. The state estimated the full cost at $1.3 billion in 2017. The project includes four acres of public parks and recreational space. It is designed to be within walking distance of the future rail station.

Current residents displaced by construction will be relocated and have priority to return. The first building is scheduled to open in 2029. The full redevelopment is expected to take 15 years.