A Kaua‘i Water Department requirement for a 250,000-gallon storage tank hangs over a 27-lot subdivision in Kapa‘a Homesteads approved by the Kaua‘i County Council Thursday. Representatives for Jensen of Hawai‘i said while they are ready to build the multi-million-dollar project,
A Kaua‘i Water Department requirement for a 250,000-gallon storage tank hangs over a 27-lot subdivision in Kapa‘a Homesteads approved by the Kaua‘i County Council Thursday.
Representatives for Jensen of Hawai‘i said while they are ready to build the multi-million-dollar project, they fretted the requirement could stifle their efforts to build housing at affordable prices.
Some of the houses would be sold at fair market value but would not be at “exaggerated” prices, while others would be lower, but still nice “base models,” said Chris Jensen, president of Jensen of Hawai‘i.
But building the water storage tank, estimated to cost about $750,000, would drive up development costs that would be passed onto property buyers, the developers have said.
The increased costs would make it difficult for local families, one of the target groups of the developers, to buy into the project, the developers have said.
Jensen and Kevin Hurst, vice president of the company, have said their best option, as a means to cut cost, would be to forego building the tank and drill wells on the 7-acre project site to provide water to 22 of the homes.
The developers already are eligible for five water meters for five of the 27 homes.
Jensen said the requirement for the 250,000-gallon water tank would be an “overkill” for his project.
County Water Department manager Ed Tschupp has said the requirement for a 250,000-gallon tank was something that came from developers, not from Water Department officials.
Tschupp said he and his staff have told Jensen representatives the area where the proposed project is located has water constraints.
Tschupp said his department plans to hire a consultant to design a 500,000-gallon water storage tank to be located near the Jensen Hawai‘i site, and that the construction is four years away.
The project would be part of the Water Department’s 2020, a $150-million-dollar project to upgrade and improve the island’s public water system.
Eligible for five water meters, the developers said they can develop five lots. But according to the ordinance, no house or lot can be sold until the Department of Water requirements are meet.
Jensen said the council chairman Kaipo Asing and government officials told him and other company executives that they could sell the remaining 22 lots when they are bonded, a tank is built or an alternate water system is set up.
“We can’t sell anything until the land (the 7 acres) is subdivided,” Jensen said yesterday.”I am willing to wok with all departments to provide a nice subdivision.”
According to the ordinance, three lots shall be sold to Kaua‘i County for its affordable housing program, subject to approval by the Kaua‘i Housing Agency.
Two of those lots will not be less than 10,000 square feet each and should be located next to one another.
The county is to buy the lots when the subdivision is completed, and is required to create a condominium property regime for one or more of the lots, the ordinance said. In all, the applicant is to build five dwelling units for the county.
The ordinance also stipulated additional unit units will not be allowed on more than nine of the lots.
Councilman Jay Furfaro pushed through legislation to keep density out of open-designated land in cases where developers stipulate so. The intent was to preserve views and property values.
For the Jensen project, Furfaro successfully pushed through a condition that prescribes open space will remain undeveloped.
Jensen, a 1989 graduate of Kapa‘a High School, Ross Hood, a 1990 graduate of Kapa‘a High School, and other company representatives have agreed to provide land for a bus stop and shelter off Kawaihau Road to benefit Kapa‘a school children.
The developers also agreed to mitigate traffic impacts from their project.
During Thursday meetings, the council approved the request from Jensen Hawai‘i for a bill to amended the state Land Use District boundary for the project.
The council also approved a bill to amend the Kaua‘i County code for a residential zoning designation for the project.
The Kaua‘i County Council Planning Committee vote earlier this month to approve both measures. The Kaua‘i County Planning Commission also recommended approval of the project.
Staff writer Lester Chang can be reached at 245-3681 (ext. 225) and mailto:lchang@pulitzer.net