Which Maui Vacation Rentals Could Keep Operating Under Bill 9? Resolutions 26-110 and 26-111 Breakdown

For over two years, buyers, property owners, and returning visitors have operated under a single dominant narrative regarding Ordinance 5909, widely known as Bill 9. The standing assumption was straightforward: thousands of apartment-zoned short-term vacation rentals across Maui were facing an inevitable, absolute phase-out starting in West Maui by December 2028 and extending across South and Central Maui by December 2030.

That landscape has experienced a monumental legislative pivot.

The Maui County Council voted to advance two pivotal measures, Resolutions 26-110 and 26-111. These resolutions officially identify specific historical Minatoya List properties to be referred to the Planning Commissions for conversion into the county's newly established H-3 and H-4 hotel zoning districts.

This decision impacts roughly 2,056 individual condominium units, representing nearly thirty percent of the entire short-term rental inventory originally slated for removal under Bill 9. For owners and prospective investors navigating Maui real estate, understanding which properties have entered this initial legislative wave is critical for evaluating capital safety and future portfolio yields.

Let's break down the exact complexes named in these measures, the procedural path ahead, and what this means for property valuations on Maui.

The Specific Complexes Named in Resolutions 26-110 and 26-111

Rather than attempting to process all 104 eligible Minatoya List complexes at once, the County Council has established a clear triage framework. Resolutions 26-110 and 26-111 prioritize properties that possess established resort infrastructure, high unit densities, historical hotel-style registration desks, or complex leasehold and timeshare structures that make conversion to long-term residential housing impractical.

West Maui Pipeline (Resolution 26-110 & Selected Extensions)

West Maui carries an urgent timeline due to its earlier Bill 9 enforcement deadline. Properties advanced in the initial council pipeline include:

  • Kaanapali Royal: Located along the golf course corridor in Kaanapali, this high-profile complex was specifically included under Resolution 26-110, marking a major legislative development for its ownership group.
  • Papakea Resort: Positioned on the oceanfront in North Kaanapali, this well-known resort complex has operated as a visitor destination for decades and sits prominently inside the active rezoning pipeline.
  • Maui Eldorado: Offering expansive golf course and ocean views in Kaanapali, this property features leasehold and fee-simple elements that fit the county's criteria for hotel-district reclassification.
  • Mahina Surf: Functioning with traditional hotel-like operations since 1971, this West Maui oceanfront property survived a council motion to remove it from the rezoning list, keeping its path toward hotel zoning intact.

South Maui Pipeline (Resolution 26-111)

In South Maui, where the Bill 9 phase-out target is set for December 2030, several major resort complexes were selected for inclusion:

  • Wailea Ekahi I, II, and III: Spanning over thirty acres along Wailea Alanui Drive, this iconic low-density community represents one of Wailea's largest and most established condo developments.
  • Kamaole Sands: Operating as a resort condominium in South Kihei since 1983 with a 24-hour registration desk and on-site amenities, this high-density property is explicitly included under Resolution 26-111.
  • Luana Kai: Operating as a popular oceanfront vacation destination since 1979, Luana Kai was retained in Resolution 26-111 following direct site reviews and council debate.

The Procedural Path Ahead: What Needs to Happen Next

It is essential for buyers and sellers to recognize that the advancement of Resolutions 26-110 and 26-111 does not instantly change the zoning map or grant immediate permanent immunity. The legislative vote represents an official referral, pushing these specific properties into the formal land-use amendment process.

Step 1: Planning Commission Review

The resolutions move directly to the Maui Planning Commission and Molokaʻi Planning Commission for formal public hearings. Commissioners will evaluate utility capacities, shoreline erosion factors, traffic patterns, and community testimony for each listed property.

Step 2: Final County Council Votes

Following commission reviews and recommendations, the proposals return to the Maui County Council for second and final reading ordinances. Only when the Council officially passes property-specific zoning map amendments will the underlying land designation formally shift from Apartment to H-3 or H-4 Hotel.

Step 3: Enforcement Clock Alignment

While these administrative steps unfold, the underlying Bill 9 phase-out dates remain active. Because the West Maui deadline sits at December 31, 2028, complexes in the western corridor must navigate this multi-layered public process efficiently to ensure their new hotel zoning is fully enacted before the phase-out clock expires.

Market Dynamics: The Emergence of a Two-Tiered Market

This legislative shift is creating a distinct divide within the Maui condos landscape.

Properties explicitly included in Resolutions 26-110 and 26-111 are regaining buyer confidence and underwriting support. Lenders who previously paused portfolio loans on apartment-zoned Minatoya List properties are beginning to re-evaluate complexes that hold an active, council-sponsored path toward H-3 or H-4 hotel zoning.

Conversely, apartment-zoned complexes omitted from these initial resolutions face mounting pressure. Properties outside the active pipeline must either wait for hypothetical future waves of council resolutions or shoulder the immense financial cost of private change-in-zoning applications. As a result, market pricing is beginning to diverge sharply based on a complex's exact position in the county's legislative queue.

To evaluate how these zoning updates and council votes are impacting sales prices and inventory volumes across specific Kihei, Kaanapali, and Wailea complexes this month, explore our latest updates directly on MauiProperty.com.

Frequently Asked Questions (FAQ)

Does inclusion in Resolution 26-110 or 26-111 mean my condo is officially hotel-zoned today?

No. Inclusion in these resolutions means the County Council has officially initiated the rezoning process for your complex. The proposal must clear public hearings at the Planning Commission and pass final reading votes at the County Council before the official zoning map is amended.

What happens to Minatoya List complexes that were not named in these resolutions?

Complexes omitted from Resolutions 26-110 and 26-111 remain under the original Bill 9 phase-out schedule. To secure short-term rental rights, these properties must either be included in future council-sponsored resolution waves or independently fund and submit a private change-in-zoning application before the enforcement deadlines hit.

Why did the County Council select these specific properties for the first wave?

The council prioritized developments that function operationally like traditional hotels, including properties with high unit counts, on-site registration desks, resort-style amenities, and complex ownership structures like timeshares or leaseholds that make residential conversion difficult.

Can I secure conventional financing on a condo listed in Resolution 26-110 or 26-111?

Lending environments are improving for named complexes, as conventional underwriters recognize the reduced risk profile of properties in an active council rezoning pipeline. However, buyers should work with experienced local lenders who understand the specific progress of Maui land-use amendments.

 

Is Your Maui Property Positioned for Safety Under Bill 9?

Navigating the rapid shifts between Bill 9 phase-outs and active council rezoning resolutions requires precise local knowledge. Whether you are looking to acquire a resort asset in the active H-3/H-4 pipeline or need to assess your current property's zoning trajectory, our team provides uncompromised market guidance.

Call the Maui Property Team

808-217-8832

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