Real Estate & Development

Kahuina Breaks Ground in Kakaʻako: 861 Units With 60% Designated Affordable and Workforce Housing

Stanford Carr Development broke ground this week on Kahuina, a transformative mixed-use project in Kakaʻako that will deliver 861 residential units with an unprecedented 60% designated as affordable and workforce housing. The Block C development represents one of the most significant affordable housing commitments in the neighborhood’s ongoing transformation from industrial district to urban residential hub.

Located within the 60-acre Our Kakaʻako master-planned community, Kahuina will rise on a 4.2-acre site bounded by Auahi Street and the future Koula Street extension. The project’s housing mix includes 258 affordable units for households earning 80% or less of area median income, 257 workforce housing units for those earning between 80-140% of AMI, and 346 market-rate condominiums.

“This project demonstrates that large-scale affordable housing development is not only possible in Kakaʻako, but essential for creating a truly inclusive community,” said Mark Bratton, vice president of development at Stanford Carr Development. “We’re addressing Honolulu’s housing crisis while building a neighborhood where families across income levels can thrive together.”

Commercial Space and Community Amenities

Beyond residential units, Kahuina will feature approximately 42,000 square feet of ground-floor commercial space designed to serve both residents and the broader Kakaʻako community. The retail component aims to reduce residents’ dependence on cars by providing essential services within walking distance.

The development will include extensive amenities across multiple levels, with recreational facilities, community spaces, and green areas integrated throughout the design. A central courtyard will provide open space for residents, while rooftop amenities will offer views of Honolulu Harbor and the surrounding cityscape.

Parking for 861 vehicles will be integrated into the structure, addressing one of the primary concerns raised during the community planning process. The project also incorporates bicycle storage and car-sharing facilities to support alternative transportation options.

Kakaʻako’s Housing Challenge

The Kahuina project arrives as Honolulu grapples with a severe housing shortage that has pushed homeownership out of reach for many local families. With median home prices exceeding $800,000, workforce housing has become critical for retaining teachers, firefighters, nurses and other essential workers who form the backbone of Oʻahu’s economy.

Kakaʻako’s master plan envisions 15,000-20,000 new residential units across the district by build-out, with requirements that developments include substantial affordable and workforce housing components. The Hawaii Community Development Authority, which oversees Kakaʻako development, has mandated that projects contribute to the neighborhood’s goal of creating housing opportunities across income levels.

Previous Kakaʻako developments have faced criticism for catering primarily to luxury buyers and mainland investors. Kahuina’s 60% affordable and workforce housing commitment represents a significant shift toward serving local residents’ needs.

Construction Timeline and Impact

Construction on Kahuina is expected to take approximately four years, with the first residential units anticipated to be ready for occupancy in 2028. The project will create hundreds of construction jobs during the build phase, providing economic benefits for local workers and contractors.

The development sits strategically near planned infrastructure improvements, including enhanced bus transit connections and the proposed rail transit extension to Ala Moana Center. These transportation links will improve access for residents commuting to downtown Honolulu and other employment centers.

Stanford Carr Development has committed to working with local contractors and suppliers where possible, keeping construction dollars circulating within Hawaiʻi’s economy. The company previously developed successful mixed-income projects including Salt at Our Kakaʻako and has established relationships with local affordable housing advocates.

Neighborhood Transformation

Kahuina joins a growing roster of residential developments transforming Kakaʻako from its industrial roots into Honolulu’s newest urban neighborhood. The area now hosts more than 4,000 residents, with thousands more units in various stages of planning and construction.

The project’s commercial component will add to Kakaʻako’s emerging retail and dining scene, which includes established destinations like Salt at Our Kakaʻako and newer additions throughout the district. This growing commercial base supports the master plan’s vision of creating a walkable, mixed-use community.

For Honolulu residents struggling with housing costs, Kahuina represents both opportunity and urgency. The affordable and workforce units will be allocated through lottery systems, likely drawing thousands of applicants for the available slots. With construction beginning now, local families have four years to prepare for what could be their best chance at homeownership in one of Oʻahu’s most dynamic neighborhoods.

Sarah Nakamura

Sarah covers Honolulu's business landscape with a focus on commercial real estate and economic development. Before joining Honolulu Wire, she reported on Hawaii's construction and development sector.