Coastal Options – Southeastern Oahu – Diamond Head
The southeastern coast of Oahu, bracketed by Koko Head in the east and Diamond Head the west, claims some of Hawaii’s most desirable and valuable real estate.
Development along this approximately 10 mile stretch of scenic coastline, almost exclusively residential, includes primarily single family homes, a few townhome communities, and a cluster of highrise condominiums at the edge of Waikiki. A hotel, country club, golf course, and two private beach clubs constitute the only additional development. Numerous parks provide acres of open space along the coast and within the communities.
The first permanent or primary residences began replacing vacation cottages on beachfront lots nearly a century ago. Kamaaina families with primary homes in the valleys and on the heights were attracted by the sunny weather and clear, calm waters of Maunalua Bay. Today distinctive estates set the tone for upscale living in neighborhoods from Portlock to Kahala.
Over the years, southeast Oahu oceanfront neighborhoods have continued to reinvent themselves, retaining value despite negative market fluctuations and offering renewed opportunity for local and offshore builders, buyers, and investors.
Among the large vacant oceanfront parcels on Kahala Avenue currently on the market is a 35,896-square-foot lot offered by Hawaii Life Real Estate Services for $12 million. According to listing agent Erik Hinshaw it is one of the best located of the half dozen vacant properties previously occupied by large luxury homes.
“It is on a lovely stretch of sand with an impressive 127 square feet of ocean frontage,” Hinshaw said.
“It’s conveniently close to the Kahala Hotel and Waialae Country Club, and the beach out front is usually empty.”
Hinshaw explained that the parcel was one of almost 30 in the neighborhood sold in 2013 to A&B Properties, the real estate subsidiary of kamaaina company Alexander & Baldwin Inc. The seller was Japanese billionaire Genshiro Kawamoto, who in the 1980s had bought more than 170 properties throughout Oahu, then left them vacant and allowed them to deteriorate. Hinshaw’s listing still has signs of the previous home’s footprint, but that would be a small detail for any potential new development.
The fee simple lot is zoned R-5 and buffered from Kahala Avenue by two contiguous smaller properties, which a new owner of the beachfront property would have first right to purchase. The larger one, priced at $2.38 million, is 9,375 square feet with a three-bedroom, three-bath house. The smaller lot, which is 8,438 square feet with a small cottage, is priced at $1.89 million. Both structures are vacant.
“The asking price for the three properties if purchased together is $16.27 million, but this is negotiable,” Hinshaw said. “The owner would very much like to sell all three together. The advantage to the buyer would be creation of a beach-to-avenue lot with the potential for at least three dwellings.”
For more information or to arrange a showing, phone Hinshaw at (808) 800-6278 or email email@example.com.