August 4, 2010

Hilo housing real estate market

The Hilo real estate market, a subsidiary of the Big island housing market, saw mixed signs in the month of June. Although the number of home sales increased dramatically in the most recent tracking period, the median sales price crashed over the same time. According to a July 10, 2010 report from the Honolulu Star Advertiser, “Sales of homes on the Big Island and Kauai were strong in June, but prices were weak. The number of sales climbed more than 50 percent on both islands, but median prices were flat or down, according to sales data compiled by Hawaii Information Service and released yesterday. The biggest sales gain occurred in the Big Island’s condominium market, where transactions soared 89 percent to 53 last month from 28 in the same month last year. The median price was down 30 percent to $210,000 from $299,450. The median is a point at which half the sales are for more and half for less, which means the figure can be swayed by the mix of homes sold, especially when the number of sales involved is relatively small. Single-family home sales on the Big Island rose 56 percent to 161 last month from 103 a year earlier. The median price was up 2 percent to $285,000 from $280,000.”

The Hawaii real estate market also includes a commercial sector, which has seen some drastic changes recently. For example, a number of Hawaii mall properties have switched hands lately, including one on the Big Island. According to a July 12, 2010 report from KITV News, “General Growth Properties Inc. on Monday announced it has turned the management and leasing of 18 of its malls to Jones Lang LaSalle in a deal that includes three Hawaii properties. The change affects the Hawaii malls Kings’ Shops in Waikoloa on the Big Island, Queen Kaahumanu Center in Kahului on Maui and Windward Mall in Kaneohe on Oahu. GGP still retains control of Honolulu’s Ala Moana Center and Ward Centers, Prince Kuhio Plaza in Hilo and Whalers Village in Lahaina. General Growth owns more than 200 malls in 43 states. It has been under Chapter 11 bankruptcy reorganization. Jones Lang LaSalle is a financial firm that specializes in real estate from retail space to residential. About 200 employees who work in management teams at the 18 properties plus 30 corporate employees who provide services to the properties will become Jones Lang LaSalle employees, GGP said.”