Bed and Breakfasts, condos shutting down in Maui

Who doesn’t love trading in winter snow and chill for the beaches of Maui? Many repeat visitors enjoy the privacy and quiet Maui has to offer, however, starting this week lodging in such areas will significantly decrease. We’re not talking resorts, but accommodations that lay in the heart of tranquil Maui—along the scenic Hana Highway or “upcountry”.

Effective January 1, one thousand estimated, unlicensed condominiums, B&Bs and short-term vacation rentals must shut down or will face up to $1,000 a day in fines. The crackdown began this summer as county officials cited complaints of increase traffic and noise in residential areas. Also, a limited supply of affordable housing made matters worse. Officials decided to enforce a 16-year-old, much ignored ban on unlicensed rentals outside major resort areas in Kaanapali, Kapalua, Makena and Wailea. Exceptions are those condos that offered short-term rentals before 1991.

According to Hawaii’s tourism office, less than 5% of Maui’s lodging was classified as vacation rentals or B&Bs in 2006. They did, however, represent more than a third of inventory available in and around Hana. Furthermore, about 26% of Hawaii’s out of state U.S. visitors stayed in a B&B, rental condo or house in 2007.

Critics of “alternative lodging” say that many residents are feeling pressured by the increased growth of unregulated rentals outside resort areas. Individuals that would rather ignore existing laws would urbanize rural and agricultural areas, thus commercializing their residential neighborhoods.

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