No End In Sight For Kapolei’s Bullish Economy

By Lisa Scontras

It was only 20 years ago that sugar cane fields covered most of the land between Makakilo and Barbers Point Naval Air Station. Today, the Navy’s airplanes have been moved to Kaneohe, and the Ewa landscape has been transformed into a vibrant city.

If you haven’t been to Kapolei lately, you might not even recognize the new crop of homes and businesses being cultivated on the Ewa plain.

The City of Kapolei broke ground in 1990, after years of planning. While construction of Makakilo (now part of Kapolei) started in the 1960s, the first residential development in the Villages of Kapolei, Kumuiki, was built in 1991 – and marked the beginning of a new era.

According to Jill M. Federizo, Realtor Associate with Prudential Locations and 10-year Kapolei resident, “It was once called the ‘Second City’ and is still frequently referred to as such. However, things are changing and today, Kapolei is definitely second to none.”

In fact, despite tough economic times most everywhere else, developers see Kapolei’s future as bullish and are still pushing projects through. Huge cranes can be seen at the new Disney resort site at Ko Olina along with the many new businesses forging ahead with plans to open in this demographic gold mine.

Originally intended to help relieve the need for affordable housing on Oahu, the concept of living where you work and Kapolei’s master plan to integrate residential areas with a business center have exceeded expectations. The demographic mix of 30-somethings with high median incomes – median household incomes of $60,000 in Kapolei, compared to $52,000 in Honolulu, according to Decision Analysts Hawaii – may be due to the area’s growth potential.

Since Safeway opened in 1992, the City of Kapolei has grown, attracting Home Depot, Target, a 16-screen movie theater, City & County buildings, its own Kapolei Hale, a new Judiciary Complex, medical park, library, police station, Wet ‘n’ Wild Hawaii, Outback Steakhouse, Sports Authority, Ross Dress For Less and a drive-thru Starbucks. At Costco’s opening last year, thousands came.

Construction broke ground in August on the University of Hawai’i West Oahu campus in east Kapolei, and construction continues at Disney’s Aulani resort at Ko Olina, which is scheduled to open at the west end of Kapolei’s boundary in August 2011. Down to Earth also plans to open its sixth natural food store in the chain in 2011.

“There are many projects in the works including The Kapolei Village Center, which will have Foodland as an anchor,” says Federizo. “Department of Hawaiian Homelands has its headquarters in Kapolei and will be building 1,450 more residential homes. D.R. Horton, Castle & Cooke both have residential developments. There are design guidelines for the construction in the city, which makes for an aesthetically pleasing community.”

Federizo grew up in Hawaii Kai and moved to Kapolei about 10 years ago. Her children attend public schools and she has been active on the local school boards and is a member of the Rotary Club of Kapolei Sunset.

“I think people are surprised to know that Kapolei has grown to be such a vibrant community

with endless possibilities and growth,” says Federizo, “and that we are really not that far away after all.”

Kapolei’s popularity is growing. According to the City & County of Honolulu Department of Planning & Permitting, homeowner-ship rates are high in the Kapolei region – 70 percent as compared to only 55 percent in Honolulu. And while new businesses brought in 30,000 new jobs to the area in 2010, an estimated 50,000 new jobs will be created in Kapolei by 2020.

“Kapolei’s appeal is all about job growth and development, affordability and quality of life,” says Federizo. “We have such a diverse range of properties to choose from, affordable homes, to live-work condos where the bottom floor of the unit can be used for a street-front business and the second and third levels upstairs are the living spaces, to a resort home at Ko Olina. There is even Leihano, a planned retirement community.

“Something for everyone, including bikeways, walkways, and the proposed rail transit system, which appears to be on track now and will link Kapolei to downtown,” she said.

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