Tourism drives the economy of Hawaii. Timeshares in Hawaii continue to drive the highest occupancy of all the resorts in Hawaii. With the planned construction of a new Hilton Grand Vacations Club 32 story timeshare tower in Waikiki in 2018 – 2019 those numbers will continue to keep pushing upward. The next three years have been projected to be the busiest years in history for the construction industry with over $9 billion per year being spent on hotels, timeshare resorts, rail, government projects, airport renovations, a $375 million sewage tunnel and other infrastructure projects according to a study by the University of Hawaii Economic Research Organization.
Residential condos are also seeing a huge surge in new development with the announcement of a 6th tower being planned by the Howard Hughes Corp. Planned for 41 stories and 570 residential units, this tower will be in Honolulu and has already received unanimous approval.
This new burst of activity of building in Hawaii is coming at a higher cost. Unemployment in Hawaii is running around 2% forcing higher costs, and the cost of materials is rising as well. As with everything else the higher costs are eventually going to be passed along to you the buyer or traveler.
As far as new construction projects are concerned, the added burden to the already overtaxed area will soon slow down timeshare developers from building new towers. The Hilton Grand Vacation Club timeshare tower is moving ahead and according to Island News “The tower will be the sixth HGV property in Honolulu, with 191 units. Construction will begin in the second quarter of 2019.”