City pursues plan to find managers for rental property
Honolulu Star Advertiser
Sept 17, 2011
By Rosemarie Bernardo
The city is moving forward with the search for someone to lease and manage 12 affordable rental complexes.
The administration retained CB Richard Ellis, a real estate brokerage firm, to review proposals and assist with the sale of the residential buildings, which have 1,257 affordable and market-rate rental units. During a news conference Friday, Mayor Peter Carlisle described city officials as “lousy landlords.”
“We’re getting out of the business and putting it into the hands of people who are capable of doing it far better than government has ever been able to,” Carlisle said. While a private entity will manage the buildings, the city will make sure that they remain affordable.
Officials estimate the annual loss of managing the properties at $3 million. Sam Moku, director of the Department of Community Services, said the complexes will be sold on a long-term leasehold basis with rental restrictions subject to approval by the City Council. The city will retain ownership of the land, while the new property owner will manage and maintain the residential developments.
Moku said they plan to seek proposals by the end of the year.
Officials informed residents of the city’s plan to retain CB Richard Ellis, which was involved in the sale of the affordable rental housing project Kukui Gardens.
Cat Wong, president of the Ohana Housing Network Oahu, said residents are pleased with the city’s open communication. “For the first time there is accountability and transparency within the new administration,” said Wong, a resident of Chinatown Gateway Plaza.
Keith Ishida, executive director of the Office of Housing, said, “We’ve emphasized with our residents that there will be no loss of affordable units and none of them will be converted to a market-rate rental unit, and no rental unit will be converted to a condominium.”
NEW MANAGEMENT
The city will transfer ownership of these 12 apartment complexes:
» Chinatown Gateway Plaza
» Marin Tower
» Chinatown Manor
» Harbor Village
» Pauahi Hale
» Winston Hale
» West Loch Village Elderly
» Manoa Gardens
» Westlake Apartments
» Kulana Nani
» Kanoa Apartments
» Bachelor’s Quarters
Click here to see original article.
Calendar
Invest in FACE
Invest in FACE
FACE in pictures