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DHHL presents draft NAHASDA annual housing plan prioritizing homeowner financing and modular pilot projects

Hawaiian Homes Commission · January 20, 2026

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Summary

DHHL staff outlined a draft Native Hawaiian housing block grant plan for 2026–27 that emphasizes homeowner financing, developer financing ($2.4M for 30 units), Kupuna rental subsidies, modular pilot projects and low‑income housing tax credit strategies; HUD approval will be required for final submission.

DHHL staff presented the department’s draft Native Hawaiian Housing Block Grant (NAHASDA) annual housing plan for fiscal 2026–27, emphasizing use of federal funds to support homeowner financing, rental subsidies for kupuna, and pilot modular housing projects.

Lehua Kinila O'Kano, NAHASDA government relations program manager, walked commissioners through proposed CIP uses, planning for the Ewa Beach homestead, and developer financing tools. She highlighted a proposed developer financing commitment of $2,400,000 for 30 units at Layopua, and identified homeowner financing as the plan’s largest line item (an estimated $27 million proposed to serve 45 families in a Maui project). "Think remember that number, 2,400,000, that's 30 units in Layopua," she said.

The plan also anticipates expanded use of low‑income housing tax credits, rental vouchers tied to new tax‑credit units, homeowner assistance partnerships (including Hawaii Community Lending, which can provide up to $30,000 for past due mortgages and property taxes), and pilot modular housing projects (12 units in Ka‘ula Kahahi and seven in Waianae) to reduce unit costs.

Lehua cautioned that NAHASDA model activities must be approved by the HUD secretary and that projects requiring HUD approval will lengthen the timeline. A public commenter later urged careful beneficiary consultation, citing past litigation tied to a prior NAHASDA use at Waipoli Courtyards.

The commission received the draft for review and staff said they plan to seek acceptance next month before submitting to HUD.