Table of content
- Lahaina Rebuilding Update: The Role of Affordable Housing in Disaster Recovery
- Milestone: The Opening of Kaiāulu o Kūku′ia
- The “FEMA Cliff” Extended to 2027 (With New Rules)
- Housing Options Matrix 2026
- The Rise of the Lahaina Community Land Trust (LCLT)
- Are You “Document Ready”?
- Frequently Asked Questions
It has been over two and a half years since the fires changed Maui forever. For a long time, the news was dominated by cleanup, soil testing, and temporary shelters.
But as we stand here in February 2026, the narrative is finally shifting from “Recovery” to “Rebuilding.” Cranes are visible on the horizon. The first residential homes in the burn zone are being framed. And most importantly, families are finally moving out of hotels and into permanent homes.
At HAPI, we know that affordable housing isn’t just part of the solution—it is the only way to keep Lahaina’s workforce and ohana from being displaced permanently. Here is the detailed housing status report for West Maui in early 2026.
Milestone: The Opening of Kaiāulu o Kūku′ia
The first permanent victory for local families.
In late 2025, West Maui celebrated a massive win: the grand opening of Kaiāulu o Kūku′ia. This is the first permanent affordable housing project completed in Lahaina since the fires, and it sets a new standard for disaster recovery development.
The Details:
- Scale & Scope: The community features 200 units specifically designed for families, with a mix of 2, 3, and 4-bedroom floor plans. Unlike typical resorts, there are no studios here—this is built for ohana.
- Affordability: Rents are restricted to households earning 30% to 60% of the Area Median Income (AMI). This ensures that the teachers, hotel workers, and first responders who power West Maui can actually afford to live where they work.
- Community Features: Beyond housing, the site will host the Bezos Academy Maui, a tuition-free preschool slated to open in Fall 2026. This is a game-changer for working parents who have struggled to find childcare in the burn zone.
- Status: As of February 2026, the property is fully leased. However, waitlists reopen periodically as residents move or qualify for homeownership.
The “FEMA Cliff” Extended to 2027 (With New Rules)
Breathing room, but rent is changing.
For the thousands of residents still in temporary housing, anxiety about the “FEMA Cliff” has been constant. Good News: In late January 2026, FEMA officially extended its housing assistance program through February 28, 2027.
The Critical “March 1st” Update: While you can stay longer, the cost is changing. Starting March 1, 2026, FEMA acts roughly as follows:
- The New Rent Rule: FEMA will typically not charge any Direct Housing occupant less than 25% of the HUD Fair Market Rent.
- What this means: If you have been living rent-free, you may see a bill starting this month. This is designed to transition families back to “market responsibility” gradually.
- The Action Plan: We are advising all families to use this extra year to aggressively apply for permanent communities like Kekuilani Courts or Front Street Apartments if vacancies arise. Do not wait until January 2027 to start looking.
Housing Options Matrix 2026
Understanding the difference between the programs available right now.
| Feature | FEMA Direct Lease | Ka Laʻi Ola (State) | Kaiāulu o Kūku′ia (Perm) |
|---|---|---|---|
| Duration | Temporary (Ends Feb 2027) | Mid-Term (Ends Aug 2029) | Permanent |
| Who Qualifies? | Registered Fire Survivors | Survivors + DHHL Waitlist | Low-Income (30-60% AMI) |
| Cost to Tenant | Variable (Adjusts Mar 1, 2026) | Usually Rent-Free/Subsidized | Fixed Income-Based Rent |
| Pet Policy | Varies by Owner | Yes (Restrictions Apply) | Yes (Pet Friendly) |
| Best For… | Immediate bridge while rebuilding. | Families needing 2-3 years. | Long-term stability. |
The Rise of the Lahaina Community Land Trust (LCLT)
Keeping land in local hands forever.
One of the biggest fears post-fire was that displaced families would sell their land to outside investors, turning Lahaina into a luxury resort town. The Lahaina Community Land Trust (LCLT) has emerged as the shield against this.
How the Trust Works:
- Acquisition: The Trust uses donor funds and grants to buy properties from families who must sell and want to ensure it stays local.
- The “Ground Lease” Model: The Trust holds the land “in perpetuity” (forever). They sell the house on top of the land to a local family at an affordable rate. Because the family isn’t buying the expensive land, the mortgage is much cheaper.
- 2026 Status: As of this year, the LCLT has secured multiple parcels in the Kaluaʻehu area and is moving forward with plans to build clustered affordable units that honor the neighborhood’s history.
Are You “Document Ready”?
Don’t get skipped on the waitlist.
With new projects like DHHL’s Villages of Leialiʻi 1B breaking ground this year (slated for 2026 construction start), waitlists will open suddenly. In 2026, you cannot afford to scramble for paperwork.
Keep these digital copies ready on your phone:
- FEMA Registration Number: Essential for priority status in almost all new West Maui lotteries.
- 2025 Tax Returns: Proof of income is mandatory to prove you fit the AMI bracket.
- Disaster Impact Proof: Photos or insurance claims showing your displacement status.
- Bank Statements: 3 months of current statements. Note: If you received a large insurance payout, ask a housing counselor how this affects your “asset limit” for affordable housing.
Frequently Asked Questions
Is it safe to move back to Lahaina yet?
Yes. The EPA and Army Corps of Engineers completed the major debris removal and soil remediation in 2025. While construction dust is a nuisance, the area has been cleared for residential rebuilding, and water quality has been restored in most zones.
How do I apply for Kaiāulu o Kūku′ia?
The initial lease-up is complete, but waitlists reopen periodically. You should monitor their official management website or the Maui County housing portal weekly for turnover vacancies.
What is "Ohana Hope Village"?
Located in Kahului, Ohana Hope Village is a mid-term housing solution. As of 2026, it is fully operational with 88 modular homes. It is an excellent option for families who are transitioning out of hotels but aren’t ready to buy or lease a long-term apartment yet.
Can I use my Section 8 voucher in the new Lahaina buildings?
Generally, Yes. Most new affordable developments (LIHTC properties) are required to accept Housing Choice Vouchers (Section 8), provided the rent falls within the voucher’s payment standard.
Restoring the Spirit of Aloha
Rebuilding structures is the easy part. Rebuilding a community takes time. At HAPI, we are committed to supporting West Maui’s recovery by managing homes that local families can actually afford. Contact Us to learn about housing availability across Maui.
