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November 10, 2026
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Hawaii Starts Building 2,400 New Homes in Honolulu

The state has begun construction on a massive mixed-income housing complex that will transform a 15-acre site in the Kalihi-Palama neighborhood.

By Lina Lewis ·

Illustration for: Hawaii Starts Building 2,400 New Homes in Honolulu
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The new development will include more than 2,400 rental homes, a figure that marks the largest public housing project in the state's history. This significant expansion is set to reshape the urban landscape of Honolulu by replacing a complex that has served the community for nearly three decades of its nearly 75-year existence. The scale of the operation is designed to address a critical shortage of housing options for residents across various income levels.

The financial and physical scope of the project is substantial. The first phase, known as Phase 1A, carries an estimated cost of $333 million. State officials previously projected the total cost for the entire redevelopment at $1.3 billion in 2017. The construction will spread these units across ten towers, which will house a diverse range of living spaces including studios, five-bedroom units, condominiums for sale, and commercial areas. Additionally, the design incorporates four acres of public parks and recreational space to enhance the quality of life for future residents.

The site is located in the Kalihi-Palama neighborhood, a 15-acre area in downtown Honolulu bounded by King Street, Liliha Street, and Vineyard Boulevard. The project is a partnership between the Hawai‘i Public Housing Authority and the developer Highridge Costa. The goal is to move away from a model that serves only very low-income residents. Instead, the new complex will feature a mix of incomes. More than half of the units are reserved for tenants earning less than 80% of the area median income. Later phases will expand eligibility to households earning up to 100% of the area median income, a threshold that equates to approximately $150,000 per year for a family of four.

State and local leaders attended the groundbreaking ceremony held on Thursday to mark the start of the physical work. Governor Josh Green emphasized the broader impact of stable living conditions. He stated that housing provides health, allowing individuals to focus on education, food security, and medical care. By describing the project as central to the state's housing strategy, the administration highlighted the importance of this initiative for the long-term well-being of the population.

Hakim Ouansafi, the executive director of the housing authority, framed the event as a symbolic milestone. He noted that the occasion was about breaking barriers rather than just breaking ground. Ouansafi argued that the state cannot solve future housing issues by relying on past methods. He stressed that residents deserve safe and modern homes in communities where poverty is not concentrated. His remarks included the assertion that public housing should never mean second-class housing.

Moe Mohanna, president of Highridge Costa Development Company, expressed appreciation for the state's willingness to undertake an initiative of this magnitude. He described the work as a legacy being built for the future. The developer's involvement underscores the private sector's role in this large-scale public effort. The partnership aims to ensure that the project meets its ambitious timeline and quality standards.

Honolulu Mayor Rick Blangiardi connected the redevelopment to the arrival of the Skyline rail line. He called the combination of new affordable housing and improved transit access historic and unprecedented. The site is designed to be within walking distance of the planned Iwilei rail station, which is expected to improve connectivity for residents. This integration of housing and transportation is a key component of the project's long-term vision.

Current residents of the Mayor Wright Homes complex are being relocated as construction begins. These displaced individuals will have priority to return to the new buildings once they are ready. The first building is scheduled to open in 2029. The full redevelopment is expected to take 15 years to complete. For those interested in learning more about the process, further information is available at mayorwrighthomes.com.

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