Hawai‘i Pacific Health provides funding for home loans to support Kaua‘i Habitat for Humanity

Hawai‘i Pacific Health is providing $500,000 in social-impact loans to support Hawai‘i Habitat for Humanity Association.

The community-based investment will allow the not-for-profit health care system to make revolving loans to the Kaua‘i- and O‘ahu-based affiliates to help the organization build affordable single-family homes to be purchased by income-qualifying families, Hawai‘i Pacific Health announced on July 12.

Kaua‘i Habitat for Humanity is working on several projects across the Garden Island that will when completed, provide affordable homes for more than 300 Kaua‘i families. The healthcare system will leverage investment to support these developments and expand Habitat for Humanity’s capacity to help working families in Hawaii attain stable homeownership.

“This investment into Hawai‘i Habitat for Humanity Association’s revolving loan fund comes at a critical time for our organization,” said Erik Mann, executive director of Hawai‘i Habitat for Humanity Association. “With increasing demand due to increasing costs of acquisition and development, HHFHA can now provide the capital our affiliates need at an affordable rate to provide desperately needed affordable homeownership opportunities.”

There are currently three Kaua‘i Habitat for Humanity subdivisions in various stages of development:

• Waimea Huakai: Work is underway on 10 homes in this 32-home development; the first eight were completed in 2023.
• Pu‘u Maluhia in Kalaheo: The 0.83-acre property off of Puu Road is slated for six single-family homes.
• ‘Ele‘ele: ‘Ele‘ele Iluna, a 125-home subdivision, was completed in June 2023.
• Kauhale O Waipouli: 17 units featuring duplexes and one single-family detached home.

The nonprofit utilized this recent investment to acquire property for an additional six new homes in Kīlauea. It is also planning to build homes in Anahola on Department of Hawaiian Home Lands in Pi‘ilani Mai Ke Kai and a flood recovery project in Wainiha.

Hawai‘i Pacific Health’s loan reflects the healthcare organization’s commitment to making social-impact investments to improve conditions that impact the quality of life where Hawaii’s residents live, work, learn and play.

“At Hawai‘i Pacific Health, we recognize that healthy communities begin outside the medical care system through building strong families and resilient communities. A key factor is affordable housing, which is why we are proud to support Habitat for Humanity’s important work on Kaua‘i,” said the healthcare system’s vice president of government relations and community affairs Michael Robinson. “Creating economic empowerment through affordable housing, healthy food systems and education is essential in our mission of creating a healthier Hawai‘i.”

Since Habitat for Humanity was created in 1976, it has helped more than 39 million people and families find self-reliance through shelter. In Hawai‘i, Habitat for Humanity has constructed more than 500 affordable homes.

Homeownership is the goal of Hawaii Habitat for Humanity, with mortgages being set at less than 30% of homebuyers’ annual income. Homebuyers receive financial education, and first-time buyer counseling, and contribute hundreds of hours of “sweat equity” to help build their own and their neighbors’ homes.

“We completed our 125-home subdivision project in ‘Ele‘ele Iluna during Summer 2023. Our Board of Directors and leadership team has long known that the critical next steps for Kaua‘i Habitat would be to acquire more land for the development of truly affordable housing,” Milani Pimental, executive director of Kaua‘i Habitat for Humanity, said. “The loan funds that Hawai‘i Pacific Health has provided helps us achieve just that, and most importantly enables us to continue serving the people of Kaua‘i.”