Demand for affordable housing in Hawaiʻi is rising, and so is the number of developers seeking to meet that demand. And now federal changes could mean more housing built.
Developers seeking to build affordable housing in Hawaiʻi reached a high this year of 35 project applications, according to the Hawaiʻi Housing Finance and Development Corporation, or HHFDC.
The agency administers the state's low-income housing tax credit program. So far, four of the projects have been funded, and there are more awards to come later in the year.
Future growth could come from changes at the federal level. The Trump administration's spending bill includes changes to the tax credit program, which can subsidize up to 70% of the cost of new construction of affordable units.
One estimate found that financing could add an additional million affordable rentals in the U.S. between next year and 2035, with 9,000 of those in Hawaiʻi.
But even the extra funding and 9,000 more units are unlikely to address Hawaiʻi's housing shortage.
Karen Seddon is the regional vice president in Hawaiʻi at affordable housing developer EAH Housing. She said that while “it’s not a silver bullet, everything that happens that can create more support will help."
