Housing returns to agenda for lawmakers this year

Chang wants state to build apartments on land near rail line stops

HONOLULU — Hawaii lawmakers plan to once more tackle the state’s housing shortage as they gather for a new session this week.

The Senate is expected to consider a proposal from Sen. Stanley Chang, who wants the state to build high-density apartment buildings on state land near stops along Honolulu’s planned rail line.

A three-bedroom unit in one of the buildings would cost $300,000, Chang said. Hawaii residents would be able to buy 99-year leases to the units provided they don’t own other property. Residents would need to live in the unit for at least five years, but could sell after that if they want. The state would keep 75 percent of the profit from any sale.

Chang said the proposal is based on how Singapore provides public housing. He said the program would pay for itself and not rely on taxpayer subsidies.

The state in 2015 predicted Hawaii’s population growth would drive the need for 65,000 new housing units by 2025.

“I intend to solve the housing shortage. I don’t want to nibble around the edges. I don’t want to make marginal improvements,” said Chang, a Democrat representing Hawaii Kai and Kahala.

Sen. Kalani English, the Senate majority leader, said his caucus was backing Chang’s proposal because it’s a new way to look at a longstanding problem.

“We’re saying we have to start thinking differently. What Stanley is putting forward is something very different,” said English, a Democrat from Maui.

House Majority Leader Rep. Della Au Belatti said lawmakers in her chamber plan to monitor how $570 million lawmakers allocated for housing last year was being spent.

“We want to see progress in terms of seeing projects lined up and getting shovel ready,” Belatti said.

Last year’s legislation aimed to create 25,000 affordable housing units by the year 2030.

The measure included $200 million for the state’s Rental Housing Revolving Fund, which provides

low-interest loans or grants to affordable housing developers. It set aside $360 million over 12 years to expand and extend a general excise tax exemption for the construction of affordable housing. The final $10 million went to a fund that provides interim

construction financing.

Belatti, a Democrat representing Makiki, said the House majority would also examine how lawmakers can help homeless find permanent housing.

The new legislative session begins on Wednesday. It’s scheduled to last through May 2.