Low income families to build their own affordable housing in Nanakuli

HONOLULU (HawaiiNewsNow) – State and local leaders attended a groundbreaking on Thursday for a new “self-help” affordable housing subdivision in Nanakuli.

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The Self-Help Housing Corporation of Hawaii, or SHHCH, launched the Nanaikeola Self-Help Housing Subdivision, with 87 residential lots on 12 acres of land.

Attendees included Hawaii Gov. Josh Green, Honolulu Mayor Rick Blangiardi, and other City and State officials, as well as developers Fukunaga & Associates, Royal Contracting Company, and more.

This unusual program gives low income families the opportunity to build their own houses for $496,000 fee simple.

Founder and Executive Director of SHHCH Claudia Shay said it took five years of pre-development work to secure loans and grants for acquisition and infrastructure.

Most of the funding is coming from the U.S. Department of Housing and Urban Development and loans from various agencies and groups.

Upon completion of the subdivision, 87 families will build one and two story, three and four bedroom houses, for $496,000 fee simple.

With technical assistance from SHHCH, families will spend 32 hours per week on labor and help each other build the houses as a team.

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The self-help builders will contribute 65% of the labor, giving them immediate equity.

Each house and lot will appraise at $725,000, according to SHHCH.

Bigger, more skilled tasks, such as excavation, masonry, electrical, plumbing work, will be subcontracted out.

SHHCH has completed about 60 projects, helping 754 low-income families to build their own houses on Oahu, Kauai, Maui, and Molokai for the past 40 years.

Construction of the Nanaikeola Self-Help Housing Project is expected to take approximately 8-10 months to complete.

SHHCH staff will provide loan counseling and help with packaging loan dockets to submit to lenders.

SHHCH will also offer six-week homeownership courses, breaking down the legal and financial responsibilities of homeownership and preparing participants for the construction stage.

There will be six teams of 14-15 families for this project.

Looking toward the future, SHHCH is exploring the possibility of self-help housing projects on land trusts and transit-oriented developments.

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